Saga Selects Gets Results From SPSS Predictive Analytics Software

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SPSS Inc., Chicago-based makers of analytic software, said yesterday that the Saga Group, an international travel and financial services provider, achieved cost savings and a $1.7 million revenue increase from using SPSS' PredictiveMarketing software.

Saga, Kent, England, is recognized as the United Kingdom's leader in providing travel and financial services products to people who are 50 and older. It is also one of the largest direct mail organizations in the UK. Saga has 2 million customers nationwide and generates annual revenue of $523 million.

The savings were achieved because the PredictiveMarketing software enabled the Saga Holidays' marketing department to significantly reduce mail costs by predicting the best customers for specific campaigns. In addition, the company generated additional revenue by marketing to new and prospective customers that had not been previously targeted.

Saga will now use SPSS' campaign optimization software, a component of PredictiveMarketing, to further increase profitability. The company is looking to it to improve profits on direct mailings, SPSS said.

For example, Saga will use SPSS for cross-campaign optimization, allowing the company to define the best offer for each individual customer rather than mailing them every available offer. As a result of better allocation of customers across different offers, campaigns can generate up to a third more profit at the same cost of previous campaigns.

Melissa Campanelli covers postal news, CRM and database marketing for DM News and To keep up with the latest developments in these areas, subscribe to our daily and weekly e-mail newsletters by visiting
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