Grow customer relationships
Enhancing customer relationships is a top priority for executives. In financial services, for example, increasing share of wallet through cross-sell is a vital strategy for growth.
Cross-selling creates higher levels of customer engagement and lowers attrition, leading to more profitable relationships.
Many customers continue to hold key financial products, such as insurance, mortgages, auto loans and credit cards, outside of their primary bank. These and other products and services provide a significant financial incentive for banks to master cross-selling.
Traditional cross-selling approaches using basic segmentation and ad hoc campaigns are most effective within the first few months of acquiring a new customer, when the customer is establishing new usage patterns. In later months, event-driven analytic models are shown to perform best at identifying customer cross-sell needs.
Event-driven approaches produce higher conversion rates because they are more responsive to customer needs and more precisely identify moments of receptivity.