Cequity’s Analytical Approach Gain out of a quantitativ e Model Gains Chart Segmentation Outcome Population Illustration of Target the drivers of cross sell A B C D E F G H Dimension Class 7 To download visit: blog.cequitysolutions.com and www.cequitysolutions.com

2. Summary

3. Business Objective

4. Cequity’s Analytical Approach

5. Cequity’s Analytical Approach
The Current Situation (Judgmental)
A Sales
B
Profit
C
Cost
D
Campaigns
Customer Base
• Random Targeting
• Mismatch between customer profile and campaigns
Proposed Strategy (Analytics-driven)
Increase In Profit
A Sales
B
C Cost
Profit
D
Campaigns Reduction in cost
Customer Base
• Matching Right Customer with Right Campaign type
• More Efficient– Cost Responses
• Better conversions and Increased returns on investment
5

6. Cequity’s Analytical Approach
Target Population (Asset + Checking Account) Non Target Population (Only Checking Account)
Customer Base Customer Base
Model Design and Training Model Implementation
Transaction behavior history Transaction behavior history
of this base would be used to train of this base would be used to
the model as target population. identify the target base using the
modeling outcome.
 Target variables selected
 Checking Account customers who had taken Auto loan, Mortgage, Personal Loan
were considered as the Target population for respective cross sell models.
 Rest of the Checking account customers were considered as Non-Target
population
6

7. Cequity’s Analytical Approach
Gain out of
a
quantitativ
e Model
Gains Chart
Segmentation Outcome
Population
Illustration of
Target
the drivers of
cross sell
A B C D E F G H
Dimension Class
7

8. Results
• Cequity’s analytics approach helped the bank identify customers with a high
propensity to buy other products of the bank.
• The bank then used the model output to score current customers in checking
account & asset portfolio to extract customers for their acquisition campaigns
month after month.
• Cequity’s partnership with the bank now also includes managing & running
campaigns across multiple channels like email, sms and telemarketing.
• The bank was able to increase their acquisition revenue from their existing
customer base, using Cequity’s cross-sell model by $ 2 million every month
at significantly lower acquisition costs and higher conversion rates.

9. Cequity’s financial services suite of solutions
Cequity’s
Financial Services
Analytical offerings
Assets Liabilities
Risk Reporting M arketing Customer Reporting
Profitability
 Scorecards  Policy Reports  Target  Customer
 Application  Origination M arketing  Segmentation I ntelligence
Scorecard Report  Asset-to-  X-Sell Pack
 Behavioral  Portfolio Asset  Up-sell
 Payroll Pack
Scorecard Performance  Asset-to-  X-Sell M atrix
 Channel
 Collection Report Liability M igration
Scorecard  Vintage Reports  Campaign
 Debit Scorecard  Attrition
 Collection Optimization M anagement
 Risk Based Pricing Reports  Segmentation  Debit Card Spend
 Loss Forecasting  Forecasting  Credit Card Usage
 Basel II Credit Losses  Acquisition  CLTV
 Activation
 Account
M gmt

10. Thank you