The application of data mining and RFM model in market segmentation of a veterinary hospital

Wei, Jo Ting; Lin, Shu‐Yi; Yang, You-Zhen; Wu, Hsin‐Hung

doi:10.1080/09720510.2019.1565445

Cited by 15 publications

(20 citation statements)

References 25 publications

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“…Segmentation has at least five benefits for hospitals. Besides enabling hospitals to be more responsive to market needs, it also helps hospitals to analyze markets, find opportunities, improve advantages and competitive positions, and determine effective and efficient communication strategies [9].…”

Section: Discussionmentioning

confidence: 99%

Marketing Strategy Analysis Based on Segmenting, Targeting, and Positioning in Hospital

Ningsih

Marwati²

2023

Dis.Prev.Public Heal J.

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Background: There is a fluctuating trend related to the number of patient visits at Nur Hidayah Hospital, Bantul, so it is necessary to formulate the right Segmentation, Targeting, and Positioning (STP) in order to increase inpatient and outpatient visits and achieve standard inpatient service indicators. The purpose of this study is to analyze the marketing strategy of Nur Hidayah Hospital based on STP. Method: This study follows a descriptive qualitative design. The key informants in this study were the general director and the marketing manager of the hospital, and the triangulation informants in this study were medical officers and patients. Results: The results revealed that the segmenting was based on demographics with females or housewives with secondary education levels or lower as the highest number of service users. Based on the geographical characteristics, a significant number of service users were those living in Ring 1, an area within a radius of 0-10 km from the hospital. Targeting has been conducted well as seen by the number of patients that reached 6,500 service users within a year. Positioning was related to the availability of surgeons, a relatively short surgery duration, and services that are good, friendly, and neat that make patients feel like they are treated by their own families. Conclusion: The market segment, targeting, and positioning was good, but not fulfilled enough. Nur Hidayah Hospital should evaluate community responses regarding what is needed to fulfill target community.

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Section: Discussionmentioning

confidence: 99%

Marketing Strategy Analysis Based on Segmenting, Targeting, and Positioning in Hospital

Ningsih

Marwati²

2023

Dis.Prev.Public Heal J.

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“…The scores are calculated for each of the three dimensions. Subsequently, it constructs segments according to threedimensional classes [15], [16], [17], [18].…”

Section: Literature Researchmentioning

confidence: 99%

Improving Shopping Mall Revenue by Real-Time Customized Digital Coupon Issuance

Seo

Yoo²

2023

IEEE Access

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With the development of big data and deep learning technology, big data and deep learning technology have also been applied to the marketing field, which was a part of business administration. Customer churn management is one of the most important areas of marketing. In this paper, we proposed a method to prevent customer churn and increase purchase conversion rate by issuing customized discount coupons to customers with high churn rate based on big data in real time. After segmenting customer segments with two-dimensional segment analysis, a real-time churn rate estimation model based on clickstream data was generated for each segment. After that, we issued customized coupons to our customers. Finally, we tested the conversion rate and sales growth. A two-dimensional cluster analysis-based churn rate estimation combined with a recommendation system was found to be significantly more useful than the respective simple models. Using this proposed model, it is possible to increase sales by automatically estimating the customer's churn probability and shopping propensity without the burden of marketing costs in the online shopping mall.

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“…Also, Aggelis and Christodoulakis [21] noted that customer segmentation with the RFM technique identifies customers that are more likely to respond to offers, and helps to estimate the profitability of customers according to their segments. Besides, Wei et al [22] argued that noted that marketing strategies for businesses might involve customization of products and services according to the RFM segments, and applied the RFM technique for customer segmentation in a veterinary hospital for such purpose.…”

Section: Dimension Description Recencymentioning

confidence: 99%

Customer Segmentation Based On Recency Frequency Monetary Model: A Case Study in E-Retailing

Kabasakal

2020

Bilişim Teknolojileri Dergisi

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Marketing studies have often drawn attention to the importance of customers for businesses that aim to endure in a harsh competitive environment. Customer Relationship Management (CRM) has been a prominent approach in marketing management that aims to improve relationships with customers. A practical implication of the CRM approach is the analysis of customer data to extract value for businesses, as well as customers. In this context, customer segmentation has been a useful task that helps to group customers with similar attributes and designate better-tailored marketing strategies for customer groups. Among a variety of approaches for customer segmentation, Recency Frequency Monetary (RFM) Model stands out as an easy-to-adopt and effective technique. Based on three dimensions regarding the sales data, the RFM Model depends on scoring customers with different approaches. In this study, a prototype software is introduced that helps to apply the RFM technique with two scoring approaches. Moreover, the sales data obtained from an e-retailer has been analyzed for clustering using the prototype software, and clusters discovered with RFM variants were compared using cluster evaluation metrics. Finally, the segments were presented along with relevant offers for marketing strategies.

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The application of data mining and RFM model in market segmentation of a veterinary hospital

Cited by 15 publications

References 25 publications

Marketing Strategy Analysis Based on Segmenting, Targeting, and Positioning in Hospital

Marketing Strategy Analysis Based on Segmenting, Targeting, and Positioning in Hospital

Improving Shopping Mall Revenue by Real-Time Customized Digital Coupon Issuance

Customer Segmentation Based On Recency Frequency Monetary Model: A Case Study in E-Retailing

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