The biggest problem faced by Retail Stores providing credit through their proprietary cards is around customer retention. The cost of acquiring a new customer is far higher as compared to retaining and winning back an existing customer. To download visit: blog.cequitysolutions.com and www.cequitysolutions.com

1. Customer Retention and Win-Back
Strategies using Analytics for Retail
Solution Overview
The biggest problem faced by Retail Stores providing credit through their
proprietary cards is around customer retention. The cost of acquiring a
new customer is far higher as compared to retaining and winning back an
existing customer.
The challenges currently faced are around knowing which customer
would churn and what would be the preventive strategies to prevent
the customers from churning.
The challenge also lies around whether all customers who have
churned should be won back or organizations should focus only the
most valuable customers.

2. Business Problem - What are the Retention Strategies Currently in place?
Do we know from where the customer came to us?
Do we know what are the reasons why the customer came to us?
Do we know when the customer would close the relationship with us?
Do we know the customer segments with their preferred products?
How do we bundle Products/Services to maximize sale and reduce churn?
How do we retain the highly profitable customers from going dormant?
Develop Proactive Retention Strategies to Prevent Customer Churn
Differentiate Proactive and Reactive Strategies
Create Time Series trends for customers
Develop Predicted Attrition Probability Treatment Optimization
Conduct Market basket analyses to identify product association
To identify the Credit Card Customers who are likely to become dormant and the most likely reason for dormancy
Identify customer segments with preferred product association
Business Problem - How can we Win-Back the Customers we have Lost?
Do we know who our one-hit customers are?
What are the different Campaigns that can be executed to win-back customer lost?
Develop Win-Back Campaigns based on the insights gathered through Modeling
To create actionable campaigns for multiple segments
Valuable Customer win-back based on Customer Segmentation
Utilize the learning’s from Churn Model Development to pro-actively prevent the top customers from churning
Utilize the learning’s from Dormancy Model Development to pro-actively prevent the most valuable customer from going dormant

3. Proactive action to reduce dormant bucket inflows
Customer in Active 30 Customers in 45-60 days dormancy 90 + dormant customers re-activation
Model used
Score with 90+ Score with 45-60 days Score 90 + dormant
Dormancy Dormant re-activation customer re-activation
prediction model model model
Campaign launched & strategy
Dormant re-activation
Usage campaign Usage campaign
campaign
Focus on customers with Focus on customers with low propensity
high propensity to go dormant to re-activate and give better offer Focus on customers with high propensity
with better offer including customers to re-activate & remain active.
Contact in the active 30
Peoples movement into dormancy buckets before proactive approach
With new proactive approach the flow of customers into dormancy should reduce
Development of models to identify card holders with propensity to go Dormant in future and Reactivation Model for
Dormant card holders between 90 to 180 days vintage.
Develop Churn Management Strategy (both Proactive and Reactive) resulting in control of customer erosion over a period of time.
Voluntary
Year 1 Total Sale
Closure
Involuntary
Year 2 Total Sale
Silent Attritors
Closure
Downward Upward
Sale Sale
Migration Migration

4. Our Services
CEQUITY’S services are powered with deep domain expertise and process excellence by adding Intelligence to Information. Our
banking Analytics consultants are capable of generating effective solutions to your business problems and quickly provide you with
a competitive price and turn-around time. Choose from a wide array of reports covering demographic trends, consumer spending
potential, business profiles, consumer segmentation, activity volumes and more.
Our Analytical Consultants are qualified to provide deep insights by objectively analyzing vast amount of customer transactional
lifestyle and secondary data to help make quick business impact. Our consultants have rich experience in key verticals like: financial
services, insurance, mortgage, retail, travel, entertainment & telecommunications.
Our analytics services include:
CEQUITY BIZACTION – Modeling Services
Insight2Action Acquisition Models Insight2Action Value-build Models Insight2Action Retention Models
Prospect Modeling and Scoring Cross-Sell/Up-Sell Analytics Churn Prediction
Lead Scoring and Enhancement Lifecycle Profiling Attrition Models
Optimal Contact Strategy Development Response/Conversion Modeling
Portfolio Analysis CLTV Modeling Segmentation Models
About Cequity
Customer Equity Solutions (Cequity) Pvt. Ltd. is an IT-enabled Customer Experience Management Company which will help
enterprises improve marketing performance and accelerates customer relationships.
We help enterprises by combining data, technology and services to build actionable analytical marketing frameworks, optimize
marketing performance and accelerate real-time customer engagement. Thereby, enabling greater ROI on their marketing
technology investments. Cequity brings a blended perspective which allows companies to bring the power of Marketing automation
technology to business problems. Our services include:
Customer Management Consulting Managed Campaign Management Services
Managed Analytics Marketing Operations and Measurement Services
Marketing Database Solutions Event Driven Marketing Services
Contact us:
Customer Equity Solutions Pvt. Ltd.
INDIA USA
Mumbai Office: Chicago Office:
105-106, 1st Floor, Anand Estate, 189-A, Sane Guruji Marg, 626, Grove Street, Evantson, IL 60201
Mahalaxmi, Mumbai-400 011, India
Phone: +91 22 23000133 / 23054039, Fax: +91 22 23053809
Website: www.cequitysolutions.com Email: info@cequitysolutions.com