Systems and methods for customer value optimization involving relationship optimization

• US 8,688,557 B2
• Filed: 09/29/2010
• Issued: 04/01/2014
• Est. Priority Date: 09/29/2010
• Status: Active Grant

• Current Assignee: Fiserv Incorporated
• Original Assignee: Fiserv Incorporated
• Inventors: Rose, David T., Hopper, Donald Henry Jr., Huang, Hong
• Primary Examiner(s): MADAMBA, CLIFFORD B
• Application Number:
  US12/893,841
• Publication Number:
  US 20120078813A1
• Time in Patent Office: 1,280 Days
• Field of Search: 705/36
• US Class Current: 705/36
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

Systems and methods can provide for customer value optimization. The customer value optimization can include analyzing certain transaction and/or non-transaction data of customers with one or more predictive models to determine predictive modeling scores, values, or indicators. These one or more predictive modeling scores, values, or indicators can be used with other transaction or non-transaction data of customers, either alone or with other derived values/calculations, to provide certain optimizations relating to relationship optimization.

Claims

1. A system, comprising:

at least one network interface configured to receive customer data associated with a customer of a financial institution, the customer data comprising at least one of (i) financial transaction data associated with the customer, or (ii) financial account data associated with the customer;

at least one memory storing computer-executable instructions; and

at least one processor communicatively coupled to the at least one network interface and the at least one memory, wherein the at least one processor is configured to access the at least one memory and execute the computer-executable instructions to;

determine, based at least in part on at least a portion of the customer data, a customer segment to associate with the customer;

determine an attrition risk associated with the customer;

determine a respective probability of purchase associated with the customer for each product or service included in a set of one or more products or services, wherein the set of one or more products or services comprises at least one product or service not currently held by the customer;

determine (i) a respective projected balance amount, (ii) a respective measure of profitability, and (iii) a respective projected cost associated with each of at least one product or service included in the set of one or more products or services, wherein at least one of the (i) respective projected balance amount, (ii) the respective measure of profitability, or (iii) the respective projected cost associated with a product or service included in the set of one or more products or services is determined based at least in part on information associated with the customer segment;

determine a respective product or service future value associated with each of the at least one product or service included in the set of one or more products or services based at least in part on a respective value of P*PB*MP*(1−

AR)−

PC, wherein P represents the respective probability of purchase, PB represents the respective projected balance amount, MP represents the respective measure of profitability, AR represents the attrition risk associated with the customer, and PC represents the respective projected cost;

determine a customer future value associated with the customer, wherein the customer future value comprises a combination of each respective product or service future value;

determine, based at least in part on the customer future value and one or more selection criteria, a recommended next action; and

direct the at least one network interface to transmit information relating to the recommended next action.

2. The system of claim 1, wherein the at least one processor is further configured to execute the computer-executable instructions to:

determine that the respective probability of purchase associated with a product or service not currently held by the customer of the at least one product or service not currently held by the customer meets or exceeds a threshold value, and

wherein the at least one processor is configured to execute the computer-executable instructions to determine the recommended next action responsive, at least in part, to the determination that the respective probability of purchase associated with the product or service not currently held by the customer of the at least one product or service not currently held by the customer meets or exceeds a threshold value.

3. The system of claim 1, wherein the at least one processor is further configured to execute the computer-executable instructions to determine that the customer future value meets or exceeds a threshold value, and wherein the at least one processor is configured to execute the computer-executable instructions to determine the recommended next action responsive, at least in part, to the determination that the customer future value meets or exceeds the threshold value.

4. The system of claim 1, wherein the at least one processor is further configured to execute the computer-executable instructions to determine that the customer future value meets or exceeds a threshold value, and wherein, to determine the recommended next action, the at least one processor is further configured to execute the computer-executable instructions to:

identify, responsive to the determination that the customer future value meets or exceeds the threshold value, a subset of one or more products or services from the set of one or more products or services, wherein the respective product or service future value associated with each product or service included in the subset is greater than the respective product or service future value associated with each product or service included in the set of one or more products or services and not included in the subset.

5. The system of claim 4, wherein the subset comprises a plurality of products or services, and wherein, to determine the recommended next action, the at least one processor is further configured to execute the computer-executable instructions to:

identify a first product or service included in the subset, wherein the respective product or service future value associated with the first product or service is greater than each respective product or service future value associated with each other product or service included in the subset, and

wherein the recommended next action corresponds to an offering of the first product or service to the customer.

6. The system of claim 1, wherein the at least one processor is further configured to execute the computer-executable instructions to:

determine a respective product or service current value for each of at least one product or service currently held by the customer among the set of one or more products or services; and

determine a customer current value associated with the customer based at least in part on each respective product or service current value for each of the at least one product or service currently held by the customer.

7. The system of claim 6, wherein the at least one processor is further configured to execute the computer-executable instructions to:

determine an overall value associated with the customer based at least in part on a combination of the customer current value and the customer future value; and

determine a value level associated with the customer based at least in part on at least one of;

(i) a comparison of the overall value associated with the customer to one or more overall value thresholds or (ii) a comparison of the customer future value to a first threshold and a comparison of the customer current value to a second threshold,

wherein the recommended next action is determined based at least in part on the value level associated with the customer.

8. The system of claim 7, wherein the at least one processor is further configured to execute the computer-executable instructions to:

identify, based at least in part on the value level associated with the customer, the one or more selection criteria, wherein the one or more selection criteria comprise a respective set of one or more eligibility rules associated with each of a plurality of candidate recommended next actions;

analyze the respective set of one or more eligibility rules associated with each of at least one of the plurality of candidate recommended next actions;

determine, based at least in part on the analyzing, that each eligibility rule in the respective set of one or more eligibility rules associated with a particular candidate recommended next action is satisfied; and

select the particular candidate recommended next action as the recommended next action.

9. The system of claim 8, wherein the respective set of one or more eligibility rules associated with each of the plurality of candidate recommended next actions is identified based at least in part on at least one of:

(i) the customer segment associated with the customer, (ii) the customer current value, (iii) the customer future value, or (iv) one or more optimization objectives associated with the financial institution.

10. The system of claim 8, wherein, to determine the recommended next action, the at least one processor is configured to execute the computer-executable instructions to:

determine, based at least in part on the value level associated with the customer, that the customer is eligible for a plurality of candidate recommended next actions;

prioritize the plurality of candidate recommended next actions based at least in part on at least one of;

(i) an optimization objective specified by the financial institution or (ii) a constraint specified by the financial institution; and

select a candidate recommended next action of the plurality of candidate recommended next actions as the recommended next action based at least in part on the prioritizing.

11. The system of claim 1, wherein, to determine the recommended next action, the at least one processor is configured to execute the computer-executable instructions to:

determine, based at least in part on the customer future value, that the customer is eligible for a plurality of candidate recommended next actions;

prioritize the plurality of candidate recommended next actions based at least in part on at least one of;

(i) an optimization objective specified by the financial institution or (ii) a constraint specified by the financial institution; and

select a candidate recommended next action of the plurality of candidate recommended next actions as the recommended next action based at least in part on the prioritizing.

12. The system of claim 1, wherein the at least one processor is further configured to execute the computer-executable instructions to:

identify the set of one or more products or services based at least in part on at least one of;

(i) an optimization objective specified by the financial institution or (ii) a constraint specified by the financial institution.

13. The system of claim 1, wherein the recommended next action comprises one of:

(i) an offering of one or more of the at least one product or service not currently held by the customer, or

(ii) one or more modifications to at least one product or service currently held by the customer and included in the set of one or more products or services.

14. The system of claim 1, wherein the at least one processor is further configured to execute the computer-executable instructions to:

determine one or more communication channels for presenting the customer with the information relating to the recommended next action, wherein the one or more communication channels are (i) determined based at least in part on one or more preferences specified by the customer, or (ii) determined by analyzing historical data relating to communications between the financial institution and the customer,

wherein the at least one processor is configured to execute the computer-executable instructions to direct the at least one network interface to transmit the information via at least one of the one or more communication channels for presentation to the customer.

15. The system of claim 1, wherein information associated with the customer segment comprises one of:

(i) a benchmark value or (ii) historical information associated with a population of one or more customers associated with the customer segment.

16. A method, comprising:

receiving, by a financial system comprising one or more computers, customer data associated with a customer of a financial institution, the customer data comprising at least one of (i) financial transaction data associated with the customer, or (ii) financial account data associated with the customer;

determining, by the financial system and based at least in part on at least a portion of the customer data, a customer segment to associate with the customer;

determining, by the financial system, an attrition risk associated with the customer;

determining, by the financial system, a respective probability of purchase associated with the customer for each product or service included in a set of one or more products or services, wherein the set of one or more products or services comprises at least one product or service not currently held by the customer;

determining, by the financial system, (i) a respective projected balance amount, (ii) a respective measure of profitability, and (iii) a respective projected cost associated with each of the at least one product or service included in the set of one or more products or services, wherein at least one of the (i) respective projected balance amount, (ii) the respective measure of profitability, or (iii) the respective projected cost associated with a product or service included in the set of one or more products or services is determined based at least in part on information associated with the customer segment;

determining, by the financial system, a respective product or service future value associated with each of the at least one product or service included in the set of one or more products or services based at least in part on a respective value of P*PB*MP*(1−

AR)−

PC, wherein P represents the respective probability of purchase, PB represents the respective projected balance amount, MP represents the respective measure of profitability, AR represents the attrition risk associated with the customer, and PC represents the respective projected cost;

determining, by the financial system, a customer future value associated with the customer, wherein the customer future value comprises a combination of each respective product or service future value;

determining, by the financial system and based at least in part on the customer future value and one or more selection criteria, a recommended next action; and

transmitting, by the financial system, information relating to the recommended next action.

17. The method of claim 16, further comprising:

determining, by the financial system, that the respective probability of purchase associated with a product or service not currently held by the customer of the at least one product or service not currently held by the customer meets or exceeds a threshold value,

wherein the recommended next action is determined responsive, at least in part, to determining that the respective probability of purchase associated with the product or service not currently held by the customer of the at least one product or service not currently held by the customer meets or exceeds a threshold value.

18. The method of claim 16, wherein the least one product or service comprises a plurality of products or services, further comprising:

determining, by the financial system, that the customer future value meets or exceeds a threshold value,

wherein determining the recommended next action comprises identifying, by the financial system and responsive to determining that the customer future value meets or exceeds the threshold value, a first product or service from the plurality of products or services, wherein the respective product or service future value associated with the first product or service is greater than the respective future value associated with each other product or service included in the plurality of products or services, and

wherein the recommended next action corresponds to an offering of the first product or service to the customer.

19. The method of claim 16, further comprising:

determining, by the financial system, a respective product or service current value for each of at least one product or service currently held by the customer among the set of one or more products or services; and

determining, by the financial system, a customer current value associated with the customer based at least in part on each respective product or service current value for each of the at least one product or service currently held by the customer.

20. The method of claim 19, further comprising:

determining, by the financial system, an overall value associated with the customer based at least in part on a combination of the customer current value and the customer future value; and

determining, by the financial system, a value level associated with the customer based at least in part on at least one of;

(i) a comparison of the overall value associated with the customer to one or more overall value thresholds or (ii) a comparison of the future value to a first threshold and a comparison of the current value to a second threshold,

wherein the recommended next action is determined based at least in part on the value level associated with the customer.

21. The method of claim 20, further comprising:

identifying, by the financial system and based at least in part on the value level associated with the customer, the one or more selection criteria, wherein the one or more selection criteria comprise a respective set of one or more eligibility rules associated with each of a plurality of candidate recommended next actions;

analyzing, by the financial system, the respective set of one or more eligibility rules associated with each of at least one of the plurality of candidate recommended next actions;

determine, by the financial system and based at least in part on the analyzing, that each eligibility rule in the respective set of one or more eligibility rules associated with a particular candidate recommended next action is satisfied; and

selecting, by the financial system, the particular candidate recommended next action as the recommended next action.

22. The method of claim 21, wherein the respective set of one or more eligibility rules associated with each of the plurality of candidate recommended next actions is identified based at least in part on at least one of:

(i) the customer segment associated with the customer, (ii) the customer current value, (iii) the customer future value, or (iv) one or more optimization objectives associated with the financial institution.

23. The method of claim 16, wherein determining the recommended next action comprises:

determining, by the financial system and based at least in part on the customer future value, that the customer is eligible for a plurality of candidate recommended next actions;

prioritizing, by the financial system, the plurality of candidate recommended next actions based at least in part on at least one of;

(i) an optimization objective specified by the financial institution or (ii) a constraint specified by the financial institution; and

selecting, by the financial system, a candidate recommended next action of the plurality of candidate recommended next actions as the recommended next action based at least in part on the prioritizing.

24. A system, comprising:

at least one network interface configured to receive customer data associated with a customer of a financial institution, the customer data comprising at least one of (i) financial transaction data associated with the customer, or (ii) financial account data associated with the customer;

at least one memory storing computer-executable instructions; and

at least one processor communicatively coupled to the at least one network interface and the at least one memory, wherein the at least one processor is configured to access the at least one memory and execute the computer-executable instructions to;

determine, based at least in part on at least a portion of the customer data, a customer segment to associate with the customer;

identify a candidate product or service under consideration for offering to the customer;

determine, based at least in part on at least a portion of the customer data, that the customer does not currently hold the candidate product or service;

determine an attrition risk associated with the customer;

determine that a probability of purchase associated with the customer for the candidate product or service meets or exceeds a first threshold value;

determine, responsive to a determination that the probability of purchase associated with the customer for the candidate product or service meets or exceeds the first threshold value, a future value associated with the candidate product or service based at least in part on a value of P*PB*MP*(1−

AR)−

PC, wherein P represents the probability of purchase, AR represents the attrition risk associated with the customer, and PB, MP, and PC represent a projected balance amount, a measure of profitability, and a projected cost associated with the candidate product or service, respectively, and wherein at least one of PB, MP, or PC are determined based at least in part on information associated with the customer segment;

determine that the future value meets or exceeds a second threshold value;

determine, responsive to the determination that the future value meets or exceeds the second threshold value, that the customer is eligible for an offering associated with the candidate product or service; and

store, in one or more datastores, information indicative of the determination that the customer is eligible for the offering in association with an identifier associated with the customer.

25. The system of claim 24, wherein the at least one processor is configured to determine at least one of the first threshold value or the second threshold value based at least in part on a respective set of one or more preferences or constraints.

26. The system of claim 24, wherein the at least one processor is further configured to execute the computer-executable instructions to direct the at least one network interface to transmit information relating to the offering for presentation to the customer via one or more communication channels.