Looking for Trigger-Event Shoppers? Try New Credit-Card Owners

Recency/frequency/monetary value (RFM) models, a building block of direct marketing, work because shoppers who have bought recently or frequently are more likely than others to buy again in the near future. According to Mark Traverso, vice president of Lighthouse List Co., and Michelle M. Volpe, vice president of Media Source Solutions, you can use data about newly issued credit cards for the same reason.

Traverso and Volpe believe that multichannel mailers could use newly issued credit-card data to:

  • reactivate customers in your house file
  • boost the value of customers who have recently purchased
  • find new customers.

“Newly issued credit cards usually indicate a name or an address change as well as a need for a consumer to increase their buying ability,” Traverso says. “Credit-card marketers know that trigger-event data works the best.”

Volpe suggests licensing information about newly issued credit cards so that the most recent updates are sent to your service bureau. “One of the things we know about catalogers is that the multibuyer is their friend,” she says. Consumers who have recently received and used new credit cards “are the same people as the multiusers, so who better for the catalogers to be targeting?”

Partner Content

Hincapie Sportswear Finds Omnichannel Success in the Cloud - Netsuite
For more and more companies, a cloud-based unified data solution is the way to make this happen. Custom cycling apparel maker Hincapie Sportswear has leveraged this capability to gain greater visibility into revenue streams, turning opportunities into sales more quickly while gaining overall operating efficiency. Download this ecommerce special report from Multichannel Merchant to more.
The Gift of Wow: Preparing your store for the holiday season - Netsuite
Being prepared for the holiday rush used to mean stocking shelves and making sure your associates were ready for the long hours. But the digital revolution has changed everything, most importantly, customer expectations. Retailers with a physical store presence should be asking themselves—what am I doing to wow the customer?
3 Critical Components to Achieving the Perfect Order - NetSuite
Explore the 3 critical components to delivering the perfect order.
Streamlining Unified Commerce Complexity - NetSuite
Explore how consolidating multiple systems through a cloud-based commerce platform provides a seamless experience for both you, and your customer.