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Miami Herald Publishing Company

Situation

The Miami Herald Publishing Company wanted to improve the profitability of its subscriptions, and increase the value it provides to its advertisers.

Challenge

The company used PASW Statistics to find and target new subscribers likely to be stable, profitable customers.

Solution

The company mined its customer database to determine who—and where—these households were, using segmentation and customer profiling techniques.

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Results

"When you marry a good database with PASW Statistics as the analytical package, there isn't much you can't do," said Lewis Clemmens, marketing database architect at the Miami Herald Publishing Company.

The Herald's marketing database is unique because it enables the Herald to reach every household in its home delivery market. By providing this extensive amount of customer data, the database is an excellent resource for the Herald's marketing efforts, as well as for advertisers.

"We work with new data that aren't preprocessed, so we need a flexible tool like PASW Statistics that lets us do basic analysis, as well as market segmentation and modeling analysis," said Clemmens.

I know PASW Statistics will help us be more competitive.

Lewis Clemmens
Marketing Database Architect
Miami Herald Publishing Company

Narrowed the marketing focus to the most profitable customers

The database marketing group contacted all of the households in its market area several times per year, offering incentives for short-term subscriptions, resulting in a high cost per new subscriber. To increase profitability, the group used techniques such as segmentation and customer profiling to find households more likely to be stable, profitable customers. Then, the group focused its marketing efforts in that direction.

"The biggest value of PASW Statistics is its completeness," said Clemmens. PASW Statistics lets the database marketers delve deeper into their data so they really understand their entire market area. With PASW Statistics, they can look at individual households rather than at simply clusters of households.

Added value for advertisers, offering the ability to target individual households

By targeting individual households, the Herald offers advertisers both traditional and more creative marketing avenues, from targeted inserts to joint direct mail campaigns.

"I know PASW Statistics will help us be more competitive," said Clemmens. "We can capture the data our advertisers want, offer them more services, and demonstrate the value we provide—exactly what we need to succeed."