FICO Marketing Offer Optimization

Overview

Confidently optimize across millions of possible marketing offers.

With FICO Marketing Offer Optimization capabilities, organizations can maximize the expected cumulative value (short-term or long-term profit, ROI or any other objective) while satisfying critical business constraints (marketing budget, channel capacities, offer inventory levels) across multiple marketing channels. By adding optimization to your current investments you’re able to go from simply predicting who is likely to respond to the next level of digital decisioning with highly granular segmentation capabilities – where significant gains are realized. Optimization determines which action/offer to provide to each customer at a particular point in time, which channel to use and the number of interactions per individual. Deliver these personalized offers effectively with seamless execution from existing campaign management systems.

We have improved our marketing efﬁciency, response rate and customer satisfaction, by changing from universal marketing campaigns to personalized marketing campaigns, with FICO’s world-class decisioning technology.

Jinqiao Yu, Director of Technology

China Minsheng Bank Credit Card Center

Technical Details

Balance all three priorities—meeting business objectives, factoring in constraints, and providing the most valuable offer to customers each time—using these key capabilities.

Such ultra-large marketing problems can be optimized within realistic timeframes (weeks instead of months, days instead of weeks, minutes instead of hours) using capabilities such as; A complete set of state-of-the-art optimization engines and solvers (which can be chosen depending on the nature of the problem's goal and constraints); Leading algorithms and heuristics to deal with the massive volume of decision variables; Support for 64-bit and multi-thread architectures; Distributed modeling and optimization methods

The FICO Marketing Offer Optimization solution can be integrated to work with existing FICO or 3rd party marketing databases and campaign management systems such as FICO Marketing Solutions Suite. This provides the scale and flexibility required to help marketers achieve the next level of truly optimized digital and direct campaigns. It seamlessly connects with offer eligibility and customer dialogue elements of campaign management systems, enabling the marketer to apply exclusion and qualification criteria to create the eligible customer population. Output decisions from the solution are fed back to the campaign management tool for fulfillment. The FICO solution is available on all common computer platforms. FICO also provides predictive modeling solutions to create and deploy necessary models such as response, revenue and uplift models. Consequently, it is easy to integrate the FICO Marketing Optimization solution with other campaign solutions including databases, business process management or decision management tools.

The FICO Marketing Offer Optimization solution user interface presents the contents of an optimization model in business terms, ready for data explorations and what-if analysis. It allows marketers to deploy, manage and understand optimization models to immediately enhance the decision-making process, but with no development effort required. Enables users developing large-scale campaigns to plan precisely before going to market by providing easy-to-use simulation and optimization capabilities by allowing them to; Carry out in-depth what-if analysis – Enables creation of optimization models in business terms, easily use data and parameters to create new scenarios and understand trade-offs and sensitivities; Perform flexible scenario planning and management capabilities – Allows users to manage the input, configuration and results data for the optimization models and compare the outcome of different scenarios; Enhanced Visualization – Provides results with aggregated, filtered data and KPIs through configurable tabular and charting views for data exploration.

Offers the critical requirement to enable the marketer to effectively use the solution for creating and modifying scenarios within an easy-to-use interface by providing; Graphical and parameterized scenario management interfaces, for setting required objectives, inputs, constraints and outputs; Graphical and tabular report output on scenario results and comparisons; Sample level, segment level and drill down analysis to allow the marketer to assess output at the individual account/offer level; Easily configurable and publishable dashboards of key performance indicators, objectives, and constraints.