E-Customization

Customized communications have the potential to reduce information overload and aid customer decisions, and the highly relevant products that result from customization can form the cornerstone of enduring customer relationships. In spite of such potential benefits, few models exist in the marketing...

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Bibliographic Details
Published in:Journal of marketing research 2003-05, Vol.40 (2), p.131-145
Main Authors: Ansari, Asim, Mela, Carl F.
Format: Article
Language:English
Subjects:
Advertising
Brand loyalty
Building customization
Collaboration
College professors
Consumers
Costs
Customers
Customization
Datasets
Design optimization
E-mail marketing
Email
Estimates
Filtering systems
Hyperlinks
Information overload
Internet
Marketing
Mathematical models
Modeling
Normal distribution
Onsite
Optimization
Parametric models
Population distributions
Predictive modeling
Preferences
Software
Statistical analysis
Studies
Websites
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Description
Summary:Customized communications have the potential to reduce information overload and aid customer decisions, and the highly relevant products that result from customization can form the cornerstone of enduring customer relationships. In spite of such potential benefits, few models exist in the marketing literature to exploit the Internet's unique ability to design communications or marketing programs at the individual level. The authors develop a statistical and optimization approach for customization of information on the Internet. The authors use click stream data from users at one of the top ten most trafficked Web sites to estimate the model and optimize the design and content of such communications for each user. The authors apply the model to the context of permission-based e-mail marketing, in which the objective is to customize the design and content of the e-mail to increase Web site traffic. The analysis suggests that the content-targeting approach can potentially increase the expected number of click-throughs by 62%.
ISSN:0022-2437
1547-7193
DOI:10.1509/jmkr.40.2.131.19224