KDD Analytics provides expertise in marketing predictive analytics and insightful dashboards for management striving for better data driven solutions. KDD is pioneering the use of ai-one's Analyst Toolbox for conversion of unstructured text documents into exciting BI visualizations.
KDD Analytics 2014 - Experts in Marketing Analytics
1. An introduction to subtitle style
Click to edit Masterour capabilities…
v1.2
www.kddanalytics.com
2. Who are we?
A team of statisticians, economists, business and
industry subject matter experts;
Specialists in database marketing analytics (market
sizing; market simulation; segmentation; predictive
prospect, campaign and churn scoring; etc), with
extensive experience in the B2B space;
Data junkies who love to get their hands dirty
integrating, cleaning, modeling and visualizing client
and 3rd party databases;
Experienced professionals with particularly deep
experience in the telecom, IT and energy industries.
www.kddanalytics.com
3. Who do we serve?
Our clients range from large providers of B2B
marketing data to small consulting groups;
We typically wholesale our services but can
and have worked directly with end users.
www.kddanalytics.com
4. What do we do?
Simply put, we help you help your clients make more
informed decisions via data analytics:
Statistical Modeling
Data Modeling
•Market Sizing
•Prospect/Campaign Scoring
•Market Simulation
•Customer Churn Scoring
•Forecasting
Cross pollination
•Market Opportunity Mapping
•Segmentation
•Data Integration
•Survey Sample Design
•Customer Profiling
•Data Visualization
•Demand/Price Elasticity
Estimation
What do
we know?
www.kddanalytics.com
How can we
organize it?
Can we predict
what will happen?
5. Statistical Modeling
Predictive modeling is
all about finding more of
those you wish to find.
Scoring…
Best
customers
What you
want to
find
Churners
Modeling
Buyers
Responders
Competitors
Attributes
Using model
identifies more
prospects than using
no model = “lift”
www.kddanalytics.com
Target
Target
Population
Population
Target list
scored from
most likely
prospect to
least.
ID
105343236
138021163
147116482
201002390
101047263
202075210
123136008
105639354
106080974
111180060
134079517
144439822
207068360
114185643
124073515
143104099
138019692
134110988
144390826
132020465
134107700
120017332
141080328
133209000
136196993
144430916
118052109
110296359
207093595
207057547
PERCENTILE
6
8
16
17
19
19
19
21
24
24
28
29
36
37
37
40
40
46
49
57
62
71
73
74
75
77
81
84
86
97
6. Statistical Modeling
Churn Likelihood
Customer Churn…
0.60
Median Tenure
Churn Probability
Internal Validation - Lift Analysis
3.50
Cum Lift
Lift
Baseline
3.00
Top decile 2.3
times average
predicted churn
potential
Lift
2.50
2.00
FULL
0.50
CARE
BDM
PAM
Mean Tenure
0.40
0.30
0.20
0.10
0.00
0
1.50
1000
2000
3000
4000
5000
Tenure (days)
1.00
External Validation - Lift Analysis
0.50
0.00 3.00
1
2
3
4
2.50
5
Cum Lift
6
7
Decile
9
Baseline
10
Top decile 1.6
times average
predicted churn
potential
2.00
Lift
Lift
8
1.50
1.00
0.50
0.00
1
2
3
www.kddanalytics.com
4
5
6
Decile
7
8
9
10
Models should be validated on
data external to the modeling
sample; such as the ~1,400
additional accounts which
churned in the month
following the model build.
6000
9. Statistical Modeling
Survey sample design…
www.kddanalytics.com
280 cell design to yield
representative sample of US
business sites with overall
1.3% sampling error.
10. Data Modeling
Data Integration…
…to eliminate database
whitespace or append a
new field, such as sales
revenue or IT spend, to a
particular business site or
customer.
Industry
Analyst
Reports
Private 3rd
Party Data
Commerce
Dept.
Gov’t
Agency
Budget
Reports
Census
Dept.
Bureau
Labor
Stats
10K Reports
Factors
(e.g. $/employee)
Client
Customer or
Marketing
Database
www.kddanalytics.com
11. Data Modeling
Market Sizing…
2008
Market size + Customer
Sales => Market Gap (how
many $ left on the table)
Market Potential
Total Spend (m)
Accounts
Spend per Account
Agriculture
Education
Education Other
F-I-RE
$
9,744
703,477
$
$
9,993
135,989
$
73,485
$
21,469
175,066
$
122,636
$
68,695
1,527,733
$
Health Services
$
21,173
932,780
$
Health Services Other
Manufacturing
Manufacturing Other
Mining/Construction
Public Administration
Retail
Services Other
Services-Personal
Transportation/Telecom
Wholesale
$
7,429
26,686
$
278,398
$
31,836
803,147
$
39,639
$
3,391
$
23,622
$
24,263
Total
$
$
58,709
$
129,777
$
78,797
$
25,721
$
32,207
546,828
13,852
44,966
2008
34,903 $
Agriculture
1,509,277 $
Education
293,066 $
Education Other
2,965,485 $
F-I-RE
1,480,184 Services
Health $
22,698
Client Bookings
(m)
Client Share
97,154
$
9,744
$
75
15,651
$
9,993
$
250
2.5%
82,790
$
21,469
$
200
0.9%
19,797
$
68,695
$
6,800
9.9%
87,676
$
21,173
$
3,000
14.2%
Other 18,045
$
7,429
$
575
7.7%
737,019 $
34,899
Manufacturing
866,932 $
Manufacturing Other 37,151
16,558,534 $
Mining/Construction 33,024
$
31,836
$
$
3,391
$
$
23,622
$
$
24,263
$
$
58,709
$
$
129,777
$
$
78,797
$
$
25,721
$
$
32,207
$
4,366,790 Services
Health $
Public Administration
Retail
Services Other
Services-Personal
Transportation/Telecom
Wholesale
Total
www.kddanalytics.com
Market Size (m)
$
546,828
$
1,200 F-I-RE
0.8%
Accounts
Gap
Value (m)
Value per Account
3,636 $
23,503
$
2,360 $
10,375
$
4,395,409
12.3%
2,679 $
3,435
$
1,282,042
49.5%
5,605 $
6,388
$
1,139,616
6,042 $
6,500
$
1,075,787
10,000 Manufacturing Other
7.7%
2,173 $
1,746
$
803,341
8,000 Public Administration
10.2%
5,956 $
3,879
$
651,282
44.7%
36,961 $
13,051
$
353,097
8.5%
10,735 $
2,742
$
255,387
64,500 Wholesale
11.8%
Mining/Construction
Education Other
Services-Personal
Agriculture
Retail
Total
6,654 $
1,546
$
232,377
6,714 $
1,362
$
202,822
16,407 $
2,713
$
165,362
19,466 $
2,569
$
131,958
1,571 $
153
$
97,141
33,408 $
627
$
18,758
3.8%
250 Transportation/Telecom
7.4%
2,900 Services Other
12,000 Education
5,000 Health Services Other
8.5%
11,500 Manufacturing
2,750 Health Services
160,369 $
80,588
$
6,464,684
502,515