IBM predictive analytics software helps Avis transform client campaigns and cut marketing costs in half
IBM predictive analytics software helps Avis transform client campaigns and cut marketing costs in half
Avis Europe has significantly improved its email marketing campaigns and customer interactions, and has been able to cut marketing costs by 50% using IBM SPSS predictive analytics software.
By gaining intelligence from analysis of its customer data, Avis is able to gain deeper insight into client preferences and deliver personalised content to more than 18 million email marketing offers it delivers each year.
By tailoring its content based on history of clicks and customers’ transactional behaviour and preferences, Avis Europe is now able to better predict interests, improve customer retention and ultimately increase car rental opportunities.
Customer profiling and segmentation
Avis Europe selected IBM SPSS predictive analytics to develop customer profiles and segment its data more accurately. The software enables the company to create targeted and cost effective email marketing campaigns and build customer retention through timely and relevant contact with customers and prospects across UK, France, Germany, Italy and Spain to approximately 880,000 customers.
By improving insight into customer activity by looking at history of ‘clicks’ on an email and transactional behaviour, Avis Europe can customise every email each customer receives according to the customer segment a particular customer falls into, For example, in the summer months, a male between 25 and 35 might get more offers to rent a convertible. Another example would be that Avis have a loyalty database of what they term their ‘Avis Preferred customers,’ who they offer a three-minute promise to (where within three minutes of arrival at the Avis desk, Avis promise the customer will have their car rental keys in their hands), as speed of service is key to customer loyalty and retention.
By looking at transactional behaviour and clicks, Avis is now making offers to non Avis ‘Preferred’ customers about the benefits of being an Avis ‘Preferred’ customer to try and convert them.
Being able to respond quickly to demand
“The ability to identify and stay ahead of customers’ ever-changing activities and needs is key to Avis’ competitiveness in the market, and one of the biggest benefits provided by IBM SPSS predictive analytics software,” said Chris Parker, direct analytics specialist at Avis Europe.
“The customer segmentation we now do allows us to keep in touch via email with our large database, but with all the benefits of a one-to-one relationship. We now have a much more clearly defined picture of every individual customer,” he added.
“All too often companies take a one size fits all approach to email marketing,” said Colin Shearer, predictive analytics strategist at SPSS, an IBM Company. “Avis’ focus on customer analysis, clearly shows the significant financial benefits of adapting activities to different customer groups using predictive analytics in an age when every penny counts.”
Colin Shearer will further explain the benefits of using predictive analytics in his presentation “Enabling smarter CRM: Building customer value with insight and foresight” to take place on Wednesday, 17 March from 11.00 – 11.30 a.m. during the Gartner CRM Summit.
