Building detailed multi-scenario financial models, including AI simulations
For every important strategic decision, there’s a solid business case behind it. But we go beyond the traditional Excel-based financial model to build multi-year transaction-level simulations, giving our clients a highly detailed forecast of changes in customer spend, incremental cost, and ROI.
Accurate and actionable forecasts of customer behaviour
Segmentation can be highly valuable for profiling customers, but for truly 1 to 1 marketing a modelled approach is needed, to identify opportunities at the customer level. Custom-built propensity models will tell you which individual customers have the highest potential future value, enabling highly targeted campaigns with maximum ROI.
Optimise networks by using consumer/market data to identify headroom
Thinking about where to position new stores, or how to optimise your current network. Traditional network planning tools focus on demographic profiling. We take this a step further, using both internal and external data to forecast market share, and revenue headroom at a local level, to give you all the insights needed to optimally manage the network.
Our multi-brand skin care and beauty client had many retail loyalty programs running globally, but they were generally local, stand-alone initiatives, often a competitive response. Responding quickly to market dynamics did not always allow methodical program design nor a set of rigorous metrics that measured the sales and loyalty impact of their investment.
Over several years 20 programs were reviewed using a Loyalty ROI scorecard developed by Ellipsis with the client's CRM analytic teams in Asia, Europe and North America. This scorecard allows the program performance to be measured, with the assurance that the improvements are caused by the program, not coincidental or the result of self-selection by valuable customers.
This approach is the heart of our Return on Loyalty product.
Insights from the operational 'drill downs' (that all use several years of transactional data) have also allowed Ellipsis to restructure rewards catalogues and thresholds to further optimise the programs, using our reward threshold setting methodology. In some markets, innovative 'open' reward catalogues have offered members exciting, unrivalled reward choices that have vitalised a category not always attracting frequent shopping visits.
