The aim of the implementation project was to improve the effectiveness of marketing communications and to better tailor the offer by introducing the segmentation of over 5.5 mln Oriflame consultants.
In this case study, prepared jointly with IDC, we present the practical application of machine learning tools which can be employed in order to find and use relationships between data to prepare effective algorithms supporting long-term business management. One of the mechanisms applied by machine learning is segmentation, owing to which marketing departments can follow more accurate marketing campaign methods, while HR departments and C-level executives may easily check which employees or clients bring the most benefits, which directly increases company performance, especially in such industries as retail, fashion and finance - says Paulina Ziarek, BI Expert and Product Manager at Comarch.
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Segmentation is normally used for the accurate identification of the most profitable or the most loss-making customers. .
The case study presents the entire implementation process from the perspectives of both Comarch and Oriflame, and is divided into the most important stages: from challenges to results.
Monthly updates to the segmentation are a source of new insights for C-level executives at Oriflame. The company uses self-adjusting segmentation results to forecast and plan new product categories.
