SAN FRANCISCO--(BUSINESS WIRE)--KXEN, the leading provider of predictive analytics for business users, announced that E.ON UK, part of the E.ON group, one of the world’s largest investor-owned power and gas companies, realized a powerful uplift in sales to consumers and small to midsize enterprises by rapidly creating dozens of new predictive models with InfiniteInsight™ for use in propensity campaigns.
“InfiniteInsight™ lets us target the right prospects with the right products, increasing the effectiveness of our sales and marketing initiatives,” said Ryan Cotton, Head of CRM at E.ON UK.
E.ON UK wanted to help customers improve their energy savings by offering them the most appropriate package for their needs. The company decided to standardize on InfiniteInsight™ for data mining and predictive analytics as a way to deepen its relationships across the customer lifecycle – from acquisition through cross-sell, up-sell and retention.
Unlike traditional modeling, which can take weeks to deliver results and relies on painstaking, manual work by highly trained analysts, InfiniteInsight™ offered an automated, industrialized approach to model building that produced exceedingly reliable results of equal or greater accuracy in a fraction of the time.
Another benefit realized by E.ON was the ability of InfiniteInsight™ to support wide analytical datasets made up of more than a thousand variables in some instances. While traditional solutions can be difficult to scale because each new variable must be tested by hand, InfiniteInsight™ automatically analyzes all available customer data and derived attributes that may be predictive, significantly increasing the power of resulting models. Predictive scores can also be deployed directly in-database, another huge time savings.
In many of E.ON UK’s marketing campaigns, using propensity model built with InfiniteInsight™, marketers have been able to exclude 70% of their initial prospect list and focus only on the top three deciles of prospects with a high propensity to buy. In an initial campaign, this led to 20% uplift in sales and a direct savings of £150,000.
“We continue to see a powerful uplift in sales as a result of using predictive models built with InfiniteInsight™,” Cotton said. The models have been used to optimize multiple customer channels, including email, direct mail, outbound telemarketing and face-to-face sales. Data for data mining and predictive modeling resides in an Oracle data warehouse, as well as a marketing database and CRM solution. Models are deployed in customer-facing applications, including Teradata’s Aprimo solution for campaign management.
In an effort to reduce churn, E.ON has been able to boost the accuracy of its predictive models by using KXEN’s integrated text analytic capabilities. Using InfiniteInsight’s™ Text Coding feature, additional derived inputs can be introduced to the analytical data set by identifying commonly used words and acronyms in conversations between customers and call center agents. For example, the frequency of acronyms like CED, which stands for contract end date, can be highly indicative of a customer’s intent to switch providers.
Thanks to InfiniteInsight’s™ ease of use and industrialized approach, a small team of four analysts rebuild more than 50 models a year, while having the capacity to create new models to meet business needs as they arise and to ask more what if questions as strategic initiatives are being considered.
“InfiniteInsight™ gives us the agility to create lots of models in a short period of time,” said Lee Thomas, Decision Analytics Manager at E.ON. “We’re able to build quality models in less than a week, and, if necessary, in as little as a day or even hours.”
Cotton goes on to say, “This powerful, industrialized approach to predictive analytics has allowed us to align with our strategic marketing needs, satisfying lots of internal stakeholders that are analytically hungry and eliminating the gap for insight within E.ON.”
In coming months, E.ON plans to implement next best activity recommendations in the company’s inbound call center using predictive models built with InfiniteInsight™.
“We are delighted by the sales uplift E.ON has achieved by using InfiniteInsight™ to optimize marketing campaigns,” said John Ball, CEO of KXEN. “We remain committed to helping make predictive analytics and data mining techniques usable, accessible and productive so that companies like E.ON UK can realize exceptional business results.”
Supporting Resources
- For more information, please visit http://www.kxen.com.
About E.ON
E.ON is one of the UK's leading power and gas companies—generating electricity, and retailing power and gas—and is part of the E.ON group, one of the world's largest investor-owned power and gas companies with 79,000 employees worldwide. E.ON supplies power and gas to over five million domestic, small and medium-sized enterprise and industrial customers in the UK and employs around 12,000 people.
About KXEN
KXEN is revolutionizing the way companies use predictive analytics and data mining to make better decisions. Based on patented innovations, the company's flagship product, InfiniteInsight™, delivers orders of magnitude improvements in speed and agility to optimize every step in the customer lifecycle – including acquisition, cross-sell, up-sell, retention and next best activity. Proven with over 400 deployments at companies such as Bank of America, Barclays, Wells Fargo, Lowe’s, Meredith Corporation, Rogers, and Vodafone, KXEN solutions deliver predictive power and infinite insight™. KXEN is headquartered in San Francisco, California with field offices in the U.S., Paris and London.