Propensity Model to Inform Marketing Strategy

Issue:

A financial services company had limited budget and resources to market to potential customers for an underperforming product. There was a need to increase ROI on marketing efforts and limit spend on marketing collateral.


Solution:

Built propensity model using logistic regression to calculate a propensity score for each current customer. Then, rank ordered and calculated the expected conversion rate of potential new users.


Impact:

5x increased likelihood to convert targeted population with an expected proportional increase in ROI.