Analysis Objectives and Sample Charts

Cross-Sell and Up-Sell performance improvement projects enable ACG to detect product/service purchase patterns, linkages, and cross-sell opportunities important to increasing a client’s revenues. Results from developing key performance metrics and predictive models enables us to identify, with a high degree of accuracy, those customers most interested in specific products, services and product/service groupings.

The following map illustrates how product pairings and linkages based on current sales information can be portrayed in a typical analysis:

Based on the customer pairings from above, the predictive model produced the following sample table showing the cross-sell opportunities (labeled Recommend) for the customers who had purchased the listed products (labeled Product Purchased).

Data Analyzed, Models Used and End Results Achieved

The following details the types of historic data, analyses/models and steps used to perform cross-sell opportunity projects:
• 12 months of past customer purchase data are used to identify which products/services are acquired by which customer groups.
• Predictive analytics is applied to this data to discover profiles of customers most likely to buy the products in each group.
• Profiles are used to develop a target list of customers most likely to respond favorably to specific cross-sell campaigns.
• Pair-wise product associations are also determined to enable the construction of offers featuring the purchase of these paired products.
• Customer product dislikes are also identified so that company does not promote unwanted products.

Benefits Realized and Reference Case Study

The benefits that can be realized include:
• Improve customer knowledge allowing company to better understand what their customers are likely to buy and not buy.
• Increase revenue and decrease costs by identifying those customers most likely to respond to cross-sell campaigns.
• Avoid unnecessary costs associated with designing and building models from scratch.

ACG pre-build models designed for this cross-sell and up-sell application gives our clients a head start in getting to the results.

Click on the link for the case study entitled Improving Customer Cross-Sell and Upsell Marketing Results found in the Resource Center.