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Past Analytics Excellence Awards

Excellence Awards 2017: Allen Long - Best Value Driven with Alteryx

DIG-logo.pngAuthor: Allen Long (@datawizard) - Chief Data Strategist

Team Members: Jack Pitts, Itzela Vasquez de Mundis

Company: Data Intelligence Group

 

Awards Category: Best Value Driven with Alteryx

 

Leveraged the breadth of the Alteryx platform to create a full end-to-end campaign management system for the world’s largest appliance manufacturer. The resulting solution drives a very aggressive $40M revenue growth goal combining industry-first marketing concepts developed at DIG with the industry-leading ETL/BI/Analytics toolsets found in Alteryx. This solution is unique in its application and scale of the Alteryx toolset to manage a complete marketing campaign management system from ETL to Analytics to Sales fulfillment.

 

Describe the problem you needed to solve

40M dollars in potential revenue was not being realized.

 

The largest appliance manufacturer in the world (OEM) fell short of their revenue targets for aftermarket warranty sales and suspected that the inefficient processes used to take their customer data from product sale to solicitation of sales for aftermarket warranties was the probable culprit.

 

The problem stemmed from complexity and a lack of visibility into the data.

 

Previously, the Third Party Administrator (TPA) in charge of marketing the OEM’s warranties relied on multiple vendors who each operated in a silo to handle their piece of the marketing campaigns.

 

The process looked something like this:

 

DIG1.png

 

The results didn't meet expectations, and the lack of transparency meant each vendor operated in a black box, making observation, performance analysis, and campaign improvement impossible for the OEM.

 

This disjointed effort and the amount of unrealized revenue prompted a search for a new solution.

 

Some of the challenges presented to DIG included:

 

  • Managing marketing campaign data for 18 million customer product leads (potential of 250 million+ consumer touchpoints)
  • Receiving 500K new or updated consumer leads each week
  • The need to increase speed to process - Multi-variate campaign changes had taken too long to implement
  • Pairing the right message with the right customer - Customization of individual mail pieces at scale
  • A desire to take intelligent, strategic action based on the data

 

Describe the working solution

Using Alteryx, disparate data sources are aggregated, unified and processed to allow greater visibility and auditing of results to drive revenue growth through optimized marketing messages.

 

Specifically, the solution is driven by the following processes:

 

Data Hygiene by allowing more efficient automation in file transfers with messaging and daily reporting for leads and their statuses.

 

Customer Lead Management improved by creating variable product bundling.  This added the ability to assemble multiple products into a single offer.  Also, we initiated a process using Alteryx to rescue bad leads which resulted in a larger, more accurate universe of marketable prospects.

 

Campaign Management analytical overview of customer data elements combined with specific behavior triggers to craft an individual message for each contact event.  In addition to dynamic messaging from over 20 thousand variants, Alteryx allows dynamic event assignment which allow customized event timing.

 

Creative Library is integrated with Alteryx which allows dynamic personalized messaging because we can now monitor numerous data fields (and changes within those fields) to immediately drive relevant messaging changes.  We added a table-driven process in Alteryx to add creative parts that are both virtual and physical inventory.  This allows complete customization to define their inclusion and placement within the message.

 

Implemented Automated Test Management to allow a new process to fully manage the planning, data selection, implementation, forecasting and results of the creative tests.

 

Price Elasticity incorporated into the Alteryx process, we can continually modify and measure price elasticity within a multivariate pricing model as part of the ongoing marketing strategy.

 

Visibility due to new reports available because all applications are executed inside of Alteryx rather than in multiple, isolated vendor systems.

 

Loyalty Management Processes are planned to lay the foundation for lifetime customer value analytics that will allow the client to see beyond the immediate campaign and provide a holistic view of the entire customer household value over a longer term.

 

DIG takes advantage of the breadth of Alteryx tools, using 15 of the available Alteryx tool groups including 2371 tools across 23 workflows in the solution.DIG2.pngDIG leverages the power of Alteryx to enhance the revenue streams through an improved campaign management system. The new streamlined process provides 100% visibility, 30% faster throughput, and customized, data-driven marketing materials.

 

DIG3.png

 

Describe the benefits you have achieved

Alteryx has powered process improvements and efficiencies to drive progress in realizing the challenge goal of generating $40Million in revenue due to incremental lifts in various process applications and rates.

 

The previous solution was slow, cumbersome and static.

 

The Alteryx solution is responsive, fast and optimized.

 

The business value of Alteryx is realized in four distinct areas:

 

Speed of Processing allows more dynamic, efficient and greater volume of marketing touch points.

  • Data acquisition to prospect messaging is 30% faster using Alteryx over the previous solution. This opens the ability for time-sensitive marketing messaging. Formerly, without Alteryx, the entire universe was sent a static message.  With Alteryx, the speed of processing allows DIG to process and adjust information to send a dynamic message to a test audience first, and then an optimized message can be deployed based on the results.
  • Specifically, over 9.125 million product leads were processed in January and February 2017 alone.

Increased Visibility

  • The Alteryx solution has increased visibility into the customer lead journey, meaning that the historic data for every lead, and each change made to that same lead over time, can be tracked and measured.
  • The client has 100% visibility due to weekly waterfall reports with summary and detail on 30+ disposition codes. DIG interprets the data which enables the client to make data driven marketing decisions.
  • These performance analytics mean the TPA and OEM can be more efficient with their marketing dollars and time.

Revenue

  • The attach rate of each customer contact is increased by 20% using Alteryx integrated with the Creative Library. Dynamic messaging coupled with dynamic timing result in a highly customized message that is presented to the prospect to increase the likelihood of conversion.  This revenue optimization is made possible because of the customization powered by Alteryx.
  • In addition to the increased attach rate, the number of contacts that are valid prospects are increased because Alteryx efficiencies allow us to recover approximately 100K previous lost leads monthly due to its ability to complete records. These previously unmarketable records become valid prospects and increase the base numbers of contacts to message.

Advanced future analytic opportunities by housing the solution inside of one system

  • Alteryx enables the development of a Lifetime Customer Value analytics.
  • Ability to develop a customer rewards program to deepen brand loyalty.

DIG has built and sustained a business model for over 10 years powered by Alteryx.  This application showcases the business value of Alteryx and how the system can maximize efficiencies and generate new income for best in class results.  The revenue benefit is such that the world’s largest appliance manufacturer trusts DIG, a collective of data strategists in Franklin, TN, to harness the powerful tools in Alteryx, to realize a 40-million-dollar potential gain.

2 Comments
Community Manager
Community Manager
Status changed to: Inspire 2017 Las Vegas Award Entry
 
Alteryx Partner

Great work on this guys!