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Ashley Michael
Donor Conversion Manager, Heifer International

              Rob DiCesare
     Director Marketing Analytics, Acxiom
Since 1944, Heifer has helped
more than 15 million families in
more than 125 countries move
toward greater self-reliance
through the gifts of animals and
training.

The most powerful aspect of
Heifer’s model is demonstrated as
each recipient passes on an
animal’s offspring and training in
its care to another needy
family, creating an ever-widening
circle of hope.
• Acxiom provides
  data, processing, consulting, S
  MS / digital and/or other
  services to more than 7,500
  recurring clients around the
  globe in approximately 50
  countries and 20 languages
• Named No. 1 U.S. Agency in
  2010 for third year in a row,
  Ad Age
• Named No. 2 in “World’s Top
  CRM/Direct Marketing
  Agencies” Ad Age
Spanning Business
    Models, One Thing Remains
            Constant…
• A small portion of one’s potential audience accounts for a
  preponderance of success – the 80/20 rule
• Heifer International has identified a program to improve their ability
  to define, recognize and understand the interaction of top audiences
  enabling them to increase impact and to keep the lights on for tens
  of millions of people in need around the world through self-
  sustaining gifts




                                                                       4
High Value Audiences Keep the
Lights on…for Millions of People
        around the World



     Ashley Michael           Rob DiCesare
    Donor Conversion   Director Marketing Analytics,
     Manager, Heifer             Acxiom
      International




                                                       5
Where Does It Start?

                                                Data Profile Analysis
              Giving                                 • Lifestyle Profile
             Patterns       Right                    • Demographics
                                                     • Consumer
                        Message, Right                 Behavior
                           Donor
Motivation
 Patterns




                        Donor             Product
                        Types            Selection



                                                                           6
Behavioral Analysis
                            A Donor Investigation
The Six Ws                                                                Response
                                                                           Clusters
                                                                    •   Donor Types
                                                  Data Portrait     •   Giving Patterns
Who:    Giving Clusters and                        Analysis         •   Product Selection
                                                • Consumer          •   Motivation Patterns
        Donor Types                             • Lifestyle
                                                • Demographics


What:   Product Clusters
                                                                  Predictive
                                                                  Modeling
Where: Transaction and
       Lifestyle Profiles
                                Data Portrait
                                  Analysis
When: Transaction and
      Lifestyle Profiles

Why:    Motivation Clusters                      Right Message Right Donor
                                                 • Increased Donor Satisfaction
How:    Predictive Model                         • Increased Donor Engagement
                                                 • Increased Revenue

                                                                                              7
Donor Profiles
                                   Segment 1
                                     New         Index       Segment 2
                                                              Sustainer     Index          Segment 3
                                                                                             Active      Index       Occasional 4
                                                                                                                     Segment        Index
Age                                           54    100                  60    112                    55    102                  46     86
Income                                  $74,723     100            $68,701      92              $76,625     102            $79,011     106
Net Worth                              $262,632      92           $249,186      87             $310,093     108           $325,211     113
Home Value                             $236,843      98           $212,718      88             $253,996     105           $268,062     110
Presence of Children                        36%     104                26%      75                  36%     104                40%     116

Completed Graduate School                   29%       94               31%       101                32%     103                31%     102
International Travel                        10%       98               12%       117                10%      97                 9%      88
Interest in the Arts                        40%       95               45%       108                42%     101                41%      97
Interest in Children's Interests            53%       99               50%        93                55%     102                57%     105
Interest in Environment                     24%       91               33%       125                26%      97                23%      86
Interest in Community/Charities             43%       94               53%       116                45%      99                42%      92


Top Personicx Clusters         01 - Summit Estates       09 - Platinum Oldies          01 - Summit Estates       01 - Summit Estates
                               04 - Skyboxes & Suburbans 28 - Suburban Seniors         02 - Established Elite    04 - Skyboxes & Suburbans
                               02 - Established Elite    03 - Corporate Clout          04 - Skyboxes & Suburbans 07 - Lavish Lifestyles




                                                                                                                                      8
Donor Profiles Compared
                                                             Estimated HH Income

                                                            50%

                                                            40%

                                                Segment 1   30%
                                               New
                                                Segment 2 20%
            Age 1st Individual in HH           Active
                                                Segment 3
                                               Sustainer 10%
                                                Segment 4
            70%                                Occasional
                                                            0%
            60%

            50%
New
Segment 1   40%
Active
Segment 2
            30%
Sustainer
Segment 3
Segment 4 20%
Occasional
            10%
                                                                  Net Worth
            0%                                50%
                  18-35   36-65               45%
                                       66 +
                                              40%
                                              35%
                                              30%
                                              25%                                  New
                                                                                   Segment 1
                                              20%                                  Active
                                                                                   Segment 2
                                              15%
                                                                                   Sustainer
                                                                                   Segment 3
                                              10%
                                                                                   Segment 4
                                               5%                                  Occasional
                                               0%
Results of Donor Analysis
• Understanding differences and similarities between donor types
  ignited strategic discussions about how to personalize the approach
  to the donor base
• Results: Generation of many actionable ideas about how to
  anticipate and influence donors




                                                                    10
From Understanding
 to Anticipating and
    Influencing…
Work Steps
Step 1 – Enhanced Donor Data with External Attributes
• Append InfoBase® geo-demographic lifestyle data to the New Donor
   and Sustainer universe. Only records that matched used for
   modeling

Step 2 – Identified Most Important Attributes for Modeling
• Statistical analysis of individual variables to determine correlation to
   being a Sustainer

Step 3 – Built Regression Model
• Determine a final regression equation for the Heifer International
   Sustainers


                                                                         12
Predictive Model                                   Example Data Only


                                                            Top Decile is 4.5
   Model enables precision                                 times more likely
   targeting of best targets                               to be a Sustainer


Demi-                                               % of    Cumulative Cumulative Cumulative
Decile      N     Target=Yes Pen Rate    Index     Target      %        Target %    Index
      1     5,356      2,272    42.4%        454      22.7%     22.7%       42.4%       454
                                                                                                Model targeting
      2     5,356      1,231    23.0%        246      12.3%     35.0%       32.7%       350
      3     5,356        919    17.2%        184       9.2%     44.2%       27.5%       295
                                                                                                lift vs. Random
      4     5,356        779    14.5%        156       7.8%     52.0%       24.3%       260
      5     5,356        649    12.1%        130       6.5%     58.5%       21.8%       234
      6     5,356        639    11.9%        128       6.4%     64.9%       20.2%       216
      7     5,357        535    10.0%        107       5.4%     70.3%       18.7%       201
      8     5,356        498      9.3%       100       5.0%     75.2%       17.6%       188
      9     5,356        426      8.0%        85       4.3%     79.5%       16.5%       177
    10      5,356        358      6.7%        72       3.6%     83.1%       15.5%       166
    11      5,356        324      6.0%        65       3.2%     86.3%       14.6%       157
    12      5,356        279      5.2%        56       2.8%     89.1%       13.9%       149
    13      5,356        238      4.4%        48       2.4%     91.5%       13.1%       141
    14      5,357        238      4.4%        48       2.4%     93.9%       12.5%       134
    15      5,356        162      3.0%        32       1.6%     95.5%       11.9%       127
    16      5,356        137      2.6%        27       1.4%     96.9%       11.3%       121
    17      5,356        110      2.1%        22       1.1%     98.0%       10.8%       115
    18      5,356         89      1.7%        18       0.9%     98.8%       10.3%       110
    19      5,356         71      1.3%        14       0.7%     99.6%         9.8%      105
    20      5,356         44      0.8%         9       0.4%    100.0%         9.3%      100
Total     107,122      9,998      9.3%                                                   -




                                                                                                                  13
Results
• Targeted messaging to the most likely sustainers yielded larger gifts.
• Targeting only the most likely sustainers will decrease campaign
  cost and allow for expense re-investment.




                                                                      14
Takeaways
• Understanding the donor base creates a more personalized
  approach to communications
• This understanding enables anticipation and influence, which helps
  accelerate the conversion to a Sustainer
• Donor insight development is an iterative process. These efforts
  create a path to a closer connection between donors and the cause




                                                                   15
Questions?
How to get involved.

1. Choose Heifer holiday gifts
   this year. Chicks, a llama or
   even a Heifer will make an
   unexpected gift, and your
   friends and family will be
   honored you’ve given a gift of
   hope and self-reliance in their
   honor.
2. Become a monthly donor
   and give animals throughout
   the year to help families build
   a brighter future.

Find out more at
   www.heifer.org.
                                     16
Thank You!




   www.heifer.org




    www.acxiom.com
 Stop by our Booth #513




                          17

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DMA 2012: High Value Audiences Keep the Lights on

  • 1. Ashley Michael Donor Conversion Manager, Heifer International Rob DiCesare Director Marketing Analytics, Acxiom
  • 2. Since 1944, Heifer has helped more than 15 million families in more than 125 countries move toward greater self-reliance through the gifts of animals and training. The most powerful aspect of Heifer’s model is demonstrated as each recipient passes on an animal’s offspring and training in its care to another needy family, creating an ever-widening circle of hope.
  • 3. • Acxiom provides data, processing, consulting, S MS / digital and/or other services to more than 7,500 recurring clients around the globe in approximately 50 countries and 20 languages • Named No. 1 U.S. Agency in 2010 for third year in a row, Ad Age • Named No. 2 in “World’s Top CRM/Direct Marketing Agencies” Ad Age
  • 4. Spanning Business Models, One Thing Remains Constant… • A small portion of one’s potential audience accounts for a preponderance of success – the 80/20 rule • Heifer International has identified a program to improve their ability to define, recognize and understand the interaction of top audiences enabling them to increase impact and to keep the lights on for tens of millions of people in need around the world through self- sustaining gifts 4
  • 5. High Value Audiences Keep the Lights on…for Millions of People around the World Ashley Michael Rob DiCesare Donor Conversion Director Marketing Analytics, Manager, Heifer Acxiom International 5
  • 6. Where Does It Start? Data Profile Analysis Giving • Lifestyle Profile Patterns Right • Demographics • Consumer Message, Right Behavior Donor Motivation Patterns Donor Product Types Selection 6
  • 7. Behavioral Analysis A Donor Investigation The Six Ws Response Clusters • Donor Types Data Portrait • Giving Patterns Who: Giving Clusters and Analysis • Product Selection • Consumer • Motivation Patterns Donor Types • Lifestyle • Demographics What: Product Clusters Predictive Modeling Where: Transaction and Lifestyle Profiles Data Portrait Analysis When: Transaction and Lifestyle Profiles Why: Motivation Clusters Right Message Right Donor • Increased Donor Satisfaction How: Predictive Model • Increased Donor Engagement • Increased Revenue 7
  • 8. Donor Profiles Segment 1 New Index Segment 2 Sustainer Index Segment 3 Active Index Occasional 4 Segment Index Age 54 100 60 112 55 102 46 86 Income $74,723 100 $68,701 92 $76,625 102 $79,011 106 Net Worth $262,632 92 $249,186 87 $310,093 108 $325,211 113 Home Value $236,843 98 $212,718 88 $253,996 105 $268,062 110 Presence of Children 36% 104 26% 75 36% 104 40% 116 Completed Graduate School 29% 94 31% 101 32% 103 31% 102 International Travel 10% 98 12% 117 10% 97 9% 88 Interest in the Arts 40% 95 45% 108 42% 101 41% 97 Interest in Children's Interests 53% 99 50% 93 55% 102 57% 105 Interest in Environment 24% 91 33% 125 26% 97 23% 86 Interest in Community/Charities 43% 94 53% 116 45% 99 42% 92 Top Personicx Clusters 01 - Summit Estates 09 - Platinum Oldies 01 - Summit Estates 01 - Summit Estates 04 - Skyboxes & Suburbans 28 - Suburban Seniors 02 - Established Elite 04 - Skyboxes & Suburbans 02 - Established Elite 03 - Corporate Clout 04 - Skyboxes & Suburbans 07 - Lavish Lifestyles 8
  • 9. Donor Profiles Compared Estimated HH Income 50% 40% Segment 1 30% New Segment 2 20% Age 1st Individual in HH Active Segment 3 Sustainer 10% Segment 4 70% Occasional 0% 60% 50% New Segment 1 40% Active Segment 2 30% Sustainer Segment 3 Segment 4 20% Occasional 10% Net Worth 0% 50% 18-35 36-65 45% 66 + 40% 35% 30% 25% New Segment 1 20% Active Segment 2 15% Sustainer Segment 3 10% Segment 4 5% Occasional 0%
  • 10. Results of Donor Analysis • Understanding differences and similarities between donor types ignited strategic discussions about how to personalize the approach to the donor base • Results: Generation of many actionable ideas about how to anticipate and influence donors 10
  • 11. From Understanding to Anticipating and Influencing…
  • 12. Work Steps Step 1 – Enhanced Donor Data with External Attributes • Append InfoBase® geo-demographic lifestyle data to the New Donor and Sustainer universe. Only records that matched used for modeling Step 2 – Identified Most Important Attributes for Modeling • Statistical analysis of individual variables to determine correlation to being a Sustainer Step 3 – Built Regression Model • Determine a final regression equation for the Heifer International Sustainers 12
  • 13. Predictive Model Example Data Only Top Decile is 4.5 Model enables precision times more likely targeting of best targets to be a Sustainer Demi- % of Cumulative Cumulative Cumulative Decile N Target=Yes Pen Rate Index Target % Target % Index 1 5,356 2,272 42.4% 454 22.7% 22.7% 42.4% 454 Model targeting 2 5,356 1,231 23.0% 246 12.3% 35.0% 32.7% 350 3 5,356 919 17.2% 184 9.2% 44.2% 27.5% 295 lift vs. Random 4 5,356 779 14.5% 156 7.8% 52.0% 24.3% 260 5 5,356 649 12.1% 130 6.5% 58.5% 21.8% 234 6 5,356 639 11.9% 128 6.4% 64.9% 20.2% 216 7 5,357 535 10.0% 107 5.4% 70.3% 18.7% 201 8 5,356 498 9.3% 100 5.0% 75.2% 17.6% 188 9 5,356 426 8.0% 85 4.3% 79.5% 16.5% 177 10 5,356 358 6.7% 72 3.6% 83.1% 15.5% 166 11 5,356 324 6.0% 65 3.2% 86.3% 14.6% 157 12 5,356 279 5.2% 56 2.8% 89.1% 13.9% 149 13 5,356 238 4.4% 48 2.4% 91.5% 13.1% 141 14 5,357 238 4.4% 48 2.4% 93.9% 12.5% 134 15 5,356 162 3.0% 32 1.6% 95.5% 11.9% 127 16 5,356 137 2.6% 27 1.4% 96.9% 11.3% 121 17 5,356 110 2.1% 22 1.1% 98.0% 10.8% 115 18 5,356 89 1.7% 18 0.9% 98.8% 10.3% 110 19 5,356 71 1.3% 14 0.7% 99.6% 9.8% 105 20 5,356 44 0.8% 9 0.4% 100.0% 9.3% 100 Total 107,122 9,998 9.3% - 13
  • 14. Results • Targeted messaging to the most likely sustainers yielded larger gifts. • Targeting only the most likely sustainers will decrease campaign cost and allow for expense re-investment. 14
  • 15. Takeaways • Understanding the donor base creates a more personalized approach to communications • This understanding enables anticipation and influence, which helps accelerate the conversion to a Sustainer • Donor insight development is an iterative process. These efforts create a path to a closer connection between donors and the cause 15
  • 16. Questions? How to get involved. 1. Choose Heifer holiday gifts this year. Chicks, a llama or even a Heifer will make an unexpected gift, and your friends and family will be honored you’ve given a gift of hope and self-reliance in their honor. 2. Become a monthly donor and give animals throughout the year to help families build a brighter future. Find out more at www.heifer.org. 16
  • 17. Thank You! www.heifer.org www.acxiom.com Stop by our Booth #513 17

Editor's Notes

  1. Make your welcoming remarks here, before beginning the slideshow.
  2. The “MC” should read this with flavor added by Misty…”Heifer’s mission is to work with communities to end hunger and poverty and care for the Earth”.
  3. The “MC” should read this with flavor added by Rob…
  4. The “MC” should read this
  5. The “MC” should intro Ashley and Rob and then exit stage left…
  6. Misty – I think it would be great if you could go over the DPA and your takeaways,how you know use them (you’ve had how many done now?), how you use them for other projects. This slide would be yours.
  7. Misty – I think it would be great if you could go over the DPA and your takeaways,how you know use them (you’ve had how many done now?), how you use them for other projects. This slide would be yours.
  8. Misty
  9. Misty
  10. Misty…
  11. Rob – Can you add some graphs/pictures of how you guys create and implement…
  12. Misty…I will need your input here…
  13. Misty…I will need your input here…
  14. Heifer’s goal is to help impoverished people achieve a life with enough to eat, and the dignity to be able to help their fellow citizens.
  15. Use the Information Sheet as a resource for answering questions your group might have.