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The Definitive Guide to Marketing Analytics and Metrics (Collection) by David Reibstein, Phillip E. Pfeifer, Neil Bendle, Ronald T. Wilcox, Paul Farris, Rajkumar Venkatesan, Cesar Brea

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1. A Resource-Allocation Perspective for Marketing Analytics

Introduction

Dunia Finance LLC, the midsize financial services firm in the United Arab Emirates (UAE), gains most of its customers through door-to-door sales. This makes the cost of obtaining new customers high. So the company needed to look at new ways of allocating its resources to improve its results. It decided to focus on cross-selling to existing customers to increase their customer lifetime value (CLV).

It was up to Dunia to apply a resource-allocation framework to pinpoint the best groups of customers for cross-selling. Any customer who had opted out of promotional offers was excluded. Customers close to reaching their credit card limit would be targeted for a loan. For those ...

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