The Importance of Customer Data & its Application

The Importance of Customer Data & its Application
Introduction
In today¡¦s competitive environment, companies begin to highly rely on customer data to build up their brand recognition and customer loyalty. Organisations such as banks, insurance companies and telecommunication companies, have many customers and record their buying behaviour in routine transactions. Such organisations may store integrated summarised and documented data about their customers in a data warehouse.
Warren Macfarlane has pointed out that ¡¥in five years time there will be two types of company. Those who use the computer as a marketing tool, and those who face bankruptcy.¡¦ (A.Tapp, p27) More and more companies start to realise that ¡§the new direct marketing is based on the premise that not all customers are alike and that by gathering, maintaining, and analysing detailed information about customers and prospects, marketers can identify key market segments and optimise the process of planning, p...