Case Studies
Adding Real-Time Stream Processing to Promote Offers at the Right Time
Overview
Analytics & Modeling - Real Time Analytics Application Infrastructure & Middleware - Data Exchange & Integration Application Infrastructure & Middleware - Middleware, SDKs & Libraries | |
Finance & Insurance | |
Business Operation Sales & Marketing | |
Predictive Replenishment Real-Time Location System (RTLS) | |
Data Science Services Software Design & Engineering Services System Integration | |
Operational Impact
The main outcome of the marketing initiative was that offer conversions increased four-fold. As a result of pitching the customer at the right time, which was soon after an interaction versus two days later, the offer came across as timely and relevant. And by using SMS, the offers seem personalized for the customer’s needs at the moment, and not like a broadly distributed spam email. After only six months, the initiative became profitable, as the bank is earning money from these proactive campaigns. The efficiency of the system ensures that future campaigns will be inexpensive to launch. And since the new infrastructure was built with extensibility in mind, the opportunity for future profit continues to grow. | |
This new initiative was also a big win because it was easy to implement. The IT team estimated that the cost of starting the pilot for Hazelcast in this initiative was one-tenth the cost of using a data warehouse as the core technology. It was easy to get started at low scale to see how the deployment would work, and then scaling from there to a production-ready level was straightforward. The effort took only six months from the start of the first proof-of-concept to the production deployment of the first marketing offer. They have since grown to supporting almost 70 campaigns, which process about 10 million events per day. | |
Processing completes in less than 120 milliseconds, which gives the marketing team more than enough responsiveness to react quickly to customer needs. In most cases, promotions had business logic to intentionally delay the customer-facing communications by a few seconds to ensure delivery at the “right” time. The fast responsiveness of the system was useful in creating the performance headroom necessary to support further growth. This was especially important for setting up a pathway for implementing more real-time processing in the bank’s infrastructure. | |
Quantitative Benefit
Offer conversions increased four-fold. | |
The initiative became profitable after only six months. | |
The cost of starting the pilot for Hazelcast was one-tenth the cost of using a data warehouse. | |