Abstract
Many companies and institutions, such as banks, usually have a wide range of products which must be marketed to their customers. Multiple contact channels such as phone calls (the most common but also most costly), emails, postal mail and Social Media are used for marketing these products to specific customers. The more contacts (and hence cost to the company) made to a customer the higher the chance that the customer will subscribe but beyond a certain limit this customer may in fact become irritated by such calls if they are not really interested in the product (which is another potential cost to the company if they lose the customer). Previous work has shown that one can use historical data on customer contacts together with demographic information of those customers to significantly increase the average number of subscriptions achieved, or products bought, per phone call (or contact) made when considering new customers. We demonstrate an improved approach to this problem and illustrate with data obtained from a bank.
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Ramoudith, S., Hosein, P., Rahaman, I. (2022). The Optimal Stopping Criteria for a Customer Contact Strategy in Targeted Marketing. In: Parlier, G.H., Liberatore, F., Demange, M. (eds) Operations Research and Enterprise Systems. ICORES ICORES 2020 2021. Communications in Computer and Information Science, vol 1623. Springer, Cham. https://doi.org/10.1007/978-3-031-10725-2_10
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DOI: https://doi.org/10.1007/978-3-031-10725-2_10
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