Target the right people more effectively

How do you determine which customer, or citizen group, best matches your offerings or programs? What if you had a way to avoid spending a lot of money and time targeting people -- and could reach results that could increase your return on investment? Imagine if you could accurately target people and eliminate the guesswork that leads you to send offers to arbitrary groups of people on your mailing list.

AnswerTree empowers you to more efficiently target the right groups of people. Use scalable decision trees that reveal segments and predict how groups will respond to your promotions and programs. AnswerTree gives you four powerful algorithms -- the widest choice of decision trees available -- so you can choose the best fit for your data. AnswerTree displays models visually -- so you can easily see the groups that matter. Unique, at-a-glance evaluation graphs enable you to act on results quickly.

AnswerTree's unrivalled analytical power, scalability and impressive presentation features give you a smarter, more productive way to discover significant groups and create profiles.

How effective is my new promotion?
What are the most profitable target markets?
How can I improve response rate?
What characteristics define my best customers?

As a marketer, these are the tough questions you face every day. With the right marketing programs, you can generate significant revenue and leads for you business. However, developing the best marketing programs and promotions is challenging. Getting your job done effectively requires thorough testing and careful analysis of your campaign results. Bad decisions based on incorrect assumptions result in less effective programs, wasted money, missed opportunities and business lost to the competition.

Today, you need every edge - every angle - to get a jump on your competition. Realise the potential of you customer and marketing data and reap the profits. AnswerTree helps you identify the best offers, repeat successes and eliminate failures.

Invest your money where it's proven to work

AnswerTree is powerful decision-tree software that automatically identifies the unique characteristics of prospects who are most likely to respond to a promotion. Designed to be easy to use for both statisticians and non-statisticians alike, AnswerTree thoroughly analyzes your marketing data, discovers segments, builds models and predicts responses.

AnswerTree identifies your best customers using powerful segmentation techniques. By determining the natural groupings with similar characteristics, AnswerTree identifies the unique purchase patterns, demographics, attitudes, and behaviours of your customers. Simply specify the target variable, such as response/non-response, and which variables to consider as predictors, such as age, location, gender, etc. AnswerTree automatically sifts through your data finding statistically significant groups. With the knowledge of which groups are significant, you can then take action on what's most important.

Simply specify the target and predictor variables and AnswerTree automatically sifts through your data and finds statistically significant groups. In this marketing example, the target variable is "Response to promotion" with valid reponses of Yes or No"; predictors are gender, preferred cooking style, times per week, number of guests, marital status and order value for January. The objective of the analysis is to determine the best prospects for repeating the promotion.

Your results appear in an intuitive tree diagram, colour-coded charts and tables, so it's easy to spot important relationships at a glance. Easily identify segments to evaluate your marketing results with precision and ease. You also get a quick value summary of each segment on the Gains chart. By viewing the incremental costs and benefits of each node, you can carefully choose the best segment, which means you won't waste time or money.

It's easy to spot the best segment at a glance, which means you won't waste time or money on less effective promotions. The results from the marketing example above reveals that the best segment for this promotion consists of Males who prefer French, Italian, Chinese and other cooking styles. This segment had a 63% response rate, where as the entire test sample resulted in only a 49.9% response rate.

In addition, AnswerTree produces a model that you can easily apply to a database, or new prospect list. Score the list, create a subset with the matching records, and generate a mailing list with the highest potential for response.

Number crunching doesn't have to be a burden. AnswerTree is an easy-to-use, easy-to-learn tool that makes data analysis fast, fun and profitable. And, only AnswerTree offers four powerful algorithms for better segments and bigger profits. Discover which marketing campaigns produce the best results. Find the optimal combination of price, promotion and placement - or list, offer and creative. Identify the most cost-effective media.

With AnswerTree money does grow on trees.

Spot important segments and patterns easily

AnswerTree's intuitive diagrams ensure you can see the outcomes you care about. Because the diagrams display a snapshot of the segments, patterns and relationships in your data, they enable you to confidently make decisions.

You don't need to be a specialist to get results in AnswerTree. You can automatically generate trees all at once. Or, interactively create trees by identifying the factors yourself to work with groups as they are formed.

As you look from the top of your tree to the bottom, each branch represents the next-best predictor. Each node represents a unique segment -- enabling you to see the groups in your data.

AnswerTree's model-building features help you quickly reach results:

• Get the best fit for your models -- choose simple defaults or fine-tune results with expert model-building options

• Clearly see results -- collapse and expand branches without having to delete branches in your tree

• Zoom to specific nodes of interest to better manage large trees

• Uncover more details for deeper understanding of each node using summary statistics, gains charts and evaluation graphs

• Present results using a variety of formats -- see everything you need to know about your nodes using dynamically linked bar charts, summary statistics and a data viewer

A financial services company uses AnswerTree to determine the best loan candidates. The information highlighted in gray shows the target variable, "payback," the percentage of people who repaid a previous loan. AnswerTree determined 75 percent of the people in this segment will repay loans. By focusing on the segment that includes the highest percentage of people who pay back loans, the company can decrease exposure to debt.

Act on results quickly

See the information that enables you to act on results quickly -- using AnswerTree's unique evaluation graphs, including gains, response, lift, profit and ROI charts. These at-a-glance charts provide summaries of selected segments -- giving you a clear picture of your results. For example, looking at a gains chart, a telecommunications company could determine what percentage of likely churners to target when creating a customer retention campaign.

Lift charts and other types of evaluation graphs empower you to identify ideal cutoff points - such as the segment most likely to have good credit. Lift charts, in particular, enable you to see the gains summary table graphically and interpret results. In this example, credit ranking is the target variable, and the lift chart shows the "good" responses (Y-axis) relative to the entire population (X-axis). We see that the top 20 percent of the total population is twice as likely to belong in the "good" credit-ranking group.