Article from the July 2010 eNewsletter

Use Your Marketing Database to Derive Valuable Elements
from Your Raw Data
More than ever, direct marketers have a multitude of data at their disposal for their direct marketing programs and campaigns. Often, the question for direct marketers is not do you have access to your data, but rather do you have access to your most relevant data?

In your marketing database, you have many raw data elements. Examples include geographical data, purchase data, and demographic data. Often, marketers want to use data that is derived from existing data elements to optimally market to their audience.

Your marketing database is the perfect place to derive and maintain this data. For instance, maybe you want to market to certain regions of the country, but regional data does not exist as a raw data element in your marketing database. You can use your marketing database to group certain states or certain zip codes into the regions that are the most important and relevant to your business.

Another example of using derived data elements is grouping your
customers into various Recency, Frequency, and Monetary (RFM) tiers. Click
here for more information.

Properly applied and managed, your marketing database provides the ideal foundation to derive and use your data for effective database marketing.

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