Identity | Address | Data Management | Database Marketing | Tracing

Customer Profile

Businesses use customer profiles to try and target their products at the right people and increase sales. By using a customer profile they are cutting down on wasted advertising as understanding a customer profile means they are not spending money on people that are not interested. Advertising in the form of direct mail for example has always had a low return. In the past, this type of blanket bombing advertising may have been able to pay for itself even without customer profiling, but consumer demand has changed such that using customer profiles has now become essential to any kind of marketing. Using a customer profile you can target your marketing budget to known interested customer profiled consumers. The return rate, thanks to customer profiling is likely to be much higher.

As an example of using customer profiles, a specialist retailer wants to use customer profiling to sell a surplus of exotic teas. They use their customer profile system to isolate which groups of people buy luxury and exotic teas, the customer profile system can isolate individual customer profile records to bring up a list of customer details. A retailer will use a scheme such as a loyalty card to have gathered such customer profile information. The customer profile system records information of what the customer has bought and when they bought products, along with other information such as whether they have responded to other marketing activities, creating a customer profile image which puts them into a consumer group.

When the company wants to promote its exotic teas it looks at the customer profile system, takes the customer profile details and directs a marketing campaign to those people only. Customer profiles can be used to increase ROI on any type of campaign, from direct mail to email campaigns.

GB Group