May I take your order?

It’s a question we all must answer, either a few times a week or a few times a month. (For some maybe a few times a day!) You scan the menu and pick something that might satisfy you, without much of a process or logic behind your choice. It will probably fill you up, and taste pretty good. But did you pick the best, most satisfying item on the menu? You’ll never know.

When it comes to many banks and credit unions, too often product teams and marketing departments come up with their next marketing campaign in a similar way. After deciding which product they need to promote, they offer it to every member that doesn’t have the product. Or they take things one step further and use simple demographic targeting to reduce their audience to a size they can reach within their budget. Then off they go, producing a campaign that might produce some results, but did the campaign achieve the best results possible? Could they have been more selective and produce superior results?

Whether or not you rely on extensive third party data for your members and customers, there are some basic database tools that can help you decide who you should be targeting within your institution for cross sell programs. You can even use the same exercises to determine which products will sell best when combined with a cross sell offer. PERMUTATION ANALYSIS is an example of one such tool. It can simplify the process of selecting the “next best product” offer to your members or customers.

By definition, a permutation is “an ordered combination.” Permutation analysis helps you understand what combination of products each of your members has today. It can then reference others with the same product selections, which will help you predict which product each customer may add next. Permutation analysis is a valuable tool because it predicts the best customers to target for a campaign while eliminating customers less likely to respond. This way you reduce spending while increasing response rates!

Regardless of which tool you use for lead selection, be sure your approach includes these three criteria for maximum results:

· Consistent

· Repeatable

· Measureable

Using a systematic approach for lead selection lays a foundation for testing and measurement that will lead to more effective campaigns over time.

When you “Order Up” your next cross-sell marketing campaign, consider a permutation analysis or other data driven tool to assist with lead selection. This will ensure you achieve results that are satisfying to you and your institution.