Joint optimization of customer segmentation and marketing policy to maximize long-term profitability

Expert Systems with Applications

Volumn 27, Issue 2, 2004, Pages 159-168

  Jonker, Jedid Jah ^a   Piersma, Nanda ^b   Van Den Poel, Dirk ^c  

^a Social and Cultural Planning Office   (Netherlands)

^b ERASMUS UNIVERSITY ROTTERDAM   (Netherlands)

^c GHENT UNIVERSITY   (Belgium)

Author keywords

Direct marketing; Econometric models; Endogeneity; Sample selection; Target selection

Indexed keywords

DYNAMIC PROGRAMMING; INDUSTRIAL ECONOMICS; INTERNET; MARKETING; OPTIMIZATION; PUBLIC POLICY; REAL TIME SYSTEMS; SOCIETIES AND INSTITUTIONS;

DIRECT MARKETING; ECONOMETRIC MODELS; ENDOGENEITY; SAMPLE SELECTION; TARGET SELECTION;

EXPERT SYSTEMS;

EID: 2942587224     PISSN: 09574174     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.eswa.2004.01.010     Document Type: Article

References (29)

1. Baesens B., Verstraeten G., Van den Poel D., Egmont-Petersen M., Van Kenhove P., Vanthienen J. Bayesian network classifiers for identifying the slope of the customer-lifecycle of long-life customers. European Journal of Operational Research. 156:(2):2004;508-523.
2. Baesens B., Viaene S., Van den Poel D., Vanthienen J., Dedene G. Using bayesian neural networks for repeat purchase modelling in direct marketin. European Journal of Operational Research. 138:(1):2002;191-211.
3. Balakrishnan P.V., Jacob V.S. Genetic algorithms for product design. Management Science. 42:(8):1996;1105-1117.
4. Bass F.M., Wind J. Introduction to the special issue: empirical generalizations marketing. Marketing Science. 14:(3):1995;GI-G6.
5. Berger P.D., Nasr N.I. Customer lifetime value: marketing models and applications. Journal of Interactive Marketing. 12:(1):1998;17-30.
6. Bitran G.R., Mondschein S.V. Mailing decisions in the catalog sales industry. Management Science. 42:(9):1996;1364-1381.
7. Blattberg R.C., Deighton J. Manage marketing by the customer equity test. Harvard Business Review. 1996;136-144.
8. Breiman L., Friedman J.H., 01shen R.A., Stone C.J. Classification and regression trees. 1984;Chapman and Hall, New York.
9. Bult J.R., Wittink D.R. Estimating and validating asymmetric heterogeneous loss functions applied to health care fund raising. International Journal of Research in Marketing. 13:1996;215-226.
10. Buckinx W., Van den Poel D. Customer base analysis: partial defection of behaviorally-loyal clients in a non-contractual FMCG retail setting. European Journal of Operational Research. 2004;. in press.
11. Davis L. Handbook of genetic algorithms. 1991;Van Nostrand Reinhold, New York.
12. DeSarbo W.S., Ramaswamy V. Crisp: customer response based iterative segmentation procedures for response modeling in direct marketing. Journal of Direct Marketing. 8:(3):1994;720.
13. Donkers, B., Jonker, J. J., Paap, R., & Franses, P. H. B. F (2001). Deriving target selection rules from endogenously selected samples. ERIM Report ERS200168MKT, Erasmus University Rotterdam.
14. Efron B. The bootstrap and modern statistics. Journal of the American Statistical Association. 95:(452):2000;1293-1296.
15. Efron B., Tibshirani R.J. Introduction to the bootstrap. 1993;Chapman and Hall, New York.
16. Frank R.E., Massy W.F., Wind Y. Market segmentation. 1972;Prentice Hall, Englewood Cliffs, NJ.
17. Friedman J.H., Fisher N.I. Bump hunting in high-dimensional data. Statistics and Computing. 9:(2):1999;123-143.
18. Glover F., Laguna M. Tabu search. 1997;Kluwer Academic, Boston, MA.
19. Goldberg D.E. Genetic algorithms in search, Optimization and machine learning. 1989;Addison-Wesley, Reading, MA.
20. Gönül F., Shi M.Z. Optimal mailing of catalogs: a new methodology using estimable structural dynamic programming models. Management Science. 44:(9):1998;1249-1262.
21. Holland J.H. Adaption in natural and artificial systems. 1975;University of Michigan Press, Ann Arbor, MI.
22. Hruschka H. Market share analysis using semiparametric attraction models. European Journal of Operational Research. 138:(2):2002;212-225.
23. Laarhoven P.J.M., Aarts E.H.L. Simulated annealing: Theory and applications. 1987;Reidel, Dordrecht.
24. Ross S.M. Introduction to stochastic dynamic programming, probability and mathematical statistics, a series of monographs and textbooks. 1983;Academic Press, San Diego, CA.
25. Sasieni M.W. Optimal advertising strategies. Marketing Science. 8:(4):1989;358-370.
26. Van den Poel D. Predicting Mail-Order Repeat Buying: Which Variables Matter? Tijdschrift voor Economie en Management. 48:(3):2003;371-403.
27. Van den Poel D., Larivière B. Customer attrition analysis for financial services using proportional hazard models. European Journal of Operational Research. 2004;. in press.
28. Viaene S., Baesens B., Van Gestel T., Suykens J.A.K., Van den Poel D., Vanthienen J., De Moor B., Dedene G. Knowledge discovery in a direct marketing case using least squares support vector machines. International Journal of Intelligent Systems. 16:(9):2001;1023-1036.
29. Wedel M., Kamakura W.A. Market segmentation: Conceptual and methodological foundations. 2000;Kluwer Academic, Dordrecht.