Invitation-to-Apply
Challenge
Clients are always looking for the ability to reach consumers that are not only direct marketing responsive but are also profitable, customers that are most likely to pass stringent credit approvals. Those customers that translate or have “good” customer status ar have a proven payment history or have approved credit are ideal candidates for offers.
Solution Set
Equifax ITA Made Easy, is a service approach developed to provide our customers with marketing solutions that enable the identification of consumers suitable for an invitation to apply. These solutions range from simple to complex and can be implemented alone or in combination with each other depending on the business need .
With growing concern regarding government regulation of permissible use of credit information business entities are in need of alternative methods of identifying profitable consumers when marketing their products and services. The following solutions will help ease the transition to an alternative marketing approach:
Profitable Consumer Profile Service
Many of our clients utilize pre-screen services to target consumers for a particular product, service and offer. When considering use of invitation to apply campaign methods, clients may be leery of potentially upsetting traditional performance rates by testing a new methodology. A simple and inexpensive way to assist our clients during the testing phase of ITA is to provide them with a mechanism to better understand profitable customer segments via Equifax profiling services.
Analytic profiling is a method of comparing important customer segments (those vital to the business) with the general population to identify key demographic, lifestyle and behavior insights. Knowledge gained from the results of the analysis is the successful measure of this service. Learnings can be used to refine marketing campaigns, for example generate ideas for creative, messaging and which offer to extend. Resulting data added to a house file can help optimize or enhance existing customer segmentation and can also be used to determine list rental selection.
Equifax ValueScore™ Service
ValueScore is a model that assists marketers in identifying the highest quality prospects for marketing purposes. Equifax created the Equifax ValueScore by looking at the demographic profiles of good and poor credit risk consumers. This model's performance is driven by household level demographic and lifestyle information and does not incorporate any individual credit data, as a result, ValueScores cannot be used for determining a
consumer's eligibility for any credit or insurance, or for making firm offers of credit. It can, however, be used to identify the highest quality prospects for ITA marketing purposes. There are twelve ValueScores ranging from high to low profit potential - defined as "the ability to pay bills as agreed". The scores can be applied to any database in order to identify key customer segments or used to select a marketing list.
Matrix Model Service
For clients that are interested in a more sophisticated modeling approach, Equifax provides the ability to identify profitable prospects utilizing a matrix model. The matrix model results will optimize both front-end response and back-end pay-out (or any desired profit criteria such as low risk, low claim, etc.). The outcome is a list of prospects rank-ordered from high response and high profitability to… low response and low profitability. Requirements for modeling include: full mail campaign history (e.g. last 12 months) including indicators for both responders and non-responders, as well as complete payment history.
Note: It is possible to utilize the Equifax ValueScores to project back-end pay-out in the absence of payment history.
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About Equifax
For more than 107 years, Equifax has been a market leader in providing value-added information solutions to businesses and consumers. With a constant focus on product development, technology, innovation and customer satisfaction, Equifax has grown its business to over $1.44 billion in annual revenue and 4,600 employees in 13 countries. Throughout its business, Equifax maintains an unwavering commitment to the highest standards of corporate ethics, data security and information privacy.
The worldwide leader in enabling and securing global commerce, Equifax is respected for bringing buyers and sellers together through:
- Collection & interpretation of consumer data
- Management of consumer credit information
- Marketing services
- Business information
- ID authentication
- e-Commerce
Using marketing business intelligence to acquire new prospects, improve customer response rates, and increase annual revenue, Equifax serves customers across a wide range of industries including financial services, retail, healthcare, telecommunications/utilities, brokerage, insurance, government and direct marketing.
