A Winner!
Since 2003, Desktop Marketing Solutions (DMSI) has created database marketing success stories with our clients using our WiseGuys Marketing Software. In Dec, 2006, these efforts gained national attention. At the NCDM (National Center for Database Marketing) conference in Orlando, WiseGuys was recognized for a Database Excellence award in the category of Analytics and Modeling Applications. We are proud that the success of WiseGuys with our clients has been given this recognition - and as a prospective client, you can look forward to achieving even greater success from WiseGuys in the future.

Product Overview
As a marketing professional, you may have asked the following: Why can't Marketing staff have dedicated software tools -on your own PC- just as Accounting and other disciplines do? WiseGuysTMis designed to be used by Direct Marketers. It provides a set of software tools for you to analyze your customer base inside and out. For retention of existing customers, WiseGuys uses RFM analysis (Recency, Frequency, & Monetary Value) to select a highly targeted audience for your mailings. If acquisition of new customers is your priority, WiseGuys calculates the Lifetime Value (LTV) of your customer base - to establish how much you should be spending on your acquisition promotions. Additionally, WiseGuys provides Response Analysis - so you can measure the effectiveness of each promotional campaign.

Best of all, WiseGuys is designed to be inexpensive, easy to use, and targeted. Inexpensive because it is written in MS Access, a low cost but powerful relational database program. Access provides a mainstream solution that can be used on a Direct Marketer's desktop. Easy to use because WiseGuys requires a bare minimum of data entry: instead, it links directly to your existing order entry database. No need to export, import, or re-key data continuously. Finally, WiseGuys provides a targeted solution through the use of data filters. These filters eliminate the "noise level" of unwanted or outlying data found in most databases. You won't be averaging apples and oranges together any longer.

How WiseGuys uniquely enables RFM
WiseGuys takes the theory of RFM and extends it with point and click efficiency, to provide the only practical solution available for Direct Marketers anywhere! Here are some of the unique RFM features built into WiseGuys TM:

Precise Calculations
WiseGuys uses dependent variables, whereby scoring for frequency is based on the Recency Score (and scoring for monetary value is dependent on both Recency Score and Frequency Score). This is the area where most of the misunderstanding with RFM originates. Think of the sorting process as a major sort on Recency, then a minor sort on Frequency within Recency score, and finally another minor sort on Monetary Value within Recency Score and Frequency score. The result is a matrix of 100 "cells" (5 x 5 x 4) that have roughly the same number of customers in each cell. This is a more precise approach than simply sorting values independently. It is preferred by statisticians for doing response testing, and other analysis.

Selection Filters - WiseGuys uses as "Control Panel" to filter the raw data for each customer in your database to reduce the noise level. In this way your analysis and promotions are targeted at precisely the audience you intend. The Control Panel shows 5 tabs representing 5 selection filters; you can click the parameters of your customer data on or off in each filter. These tabs are described below:

• Customer Type tab: A list of your primary customer types is shown. Click only the customer types that you want included in your selections (such as wholesale versus retail).
• Product Class tab: Click only the product classes that you want included in your RFM selections (e.g. ignore orders for a catalog, or free promotional items).
• Source Code tab: Click only the source codes for orders that you want included in your selections (e.g. ignore point of sale customers).
• Sales Territory tab: Click only the sales territories for customers that you want included in your selections (e.g. geographical areas).
• Division Code tab: Click only the division codes for customers or orders that you want included in selections (e.g. include retail division but not wholesale).

How WiseGuys uniquely enables Lifetime Value Analysis

Filtering - as described in the RFM section above, you can apply the Selection filters to include in, or screen out, customer records from LTV analysis. The same 5 filters apply: by customer type, by product classification, by source code, by division, and by sales territory, with a check box in each for "Include in LTV". This is extremely helpful, for example, when you are targeting either retail or wholesale customers, but you don't want their values averaged together.

"Selection Filters prevent averaging apples and oranges together"

• Actual customer spending (by year)
• Less cost of goods sold (from your order table)
• Less Customer acquisition cost. You can key an acquisition $ value for each customer original source code, or customer type (but not both). See section D.2. below for more details.
• Less annual marketing cost (e.g. retention expense). Again, you can key a $ value for each customer type.