H2O.ai Case Studies AIMIA Transforms Customer Loyalty with AI

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	AIMIA Transforms Customer Loyalty with AI H2O.ai

AIMIA Transforms Customer Loyalty with AI

H2O.ai

Technology Category	Analytics & Modeling - Machine Learning Analytics & Modeling - Predictive Analytics
Applicable Industries	Consumer Goods Retail
Applicable Functions	Business Operation Sales & Marketing
Use Cases	Fraud Detection Predictive Maintenance
Services	Data Science Services Software Design & Engineering Services
Challenge	AIMIA, a global leader in customer engagement and loyalty solutions, faced challenges in predicting customer churn and detecting fraud due to the lack of relevant datasets and the steady evolution of fraudulent behavior. The development of machine learning techniques in the face of these challenges was difficult. There was a need to increase the agility of model development, build newer use-cases quickly, iterate on them faster, improve overall trust in AI by making the results of machine learning algorithms transparent to business stakeholders, as well as benchmark the performance of the models already in production. Read More
About Customer	AIMIA is a company based in Quebec, Canada, that specializes in customer engagement and loyalty solutions. They work with leading retail, CPG, travel & hospitality, financial services, and entertainment brands. AIMIA's solutions help brands identify where their customers fall in key milestones along the customer journey, influencing touch points along that journey. They have developed a new methodology called SmartJourney® that helps predict gaps in this journey, identify at-risk revenue or new growth opportunities. Building such complex loyalty solutions can be a very daunting effort involving business, data science, engineering, and IT teams. It requires building sophisticated machine learning models, iterating them with the right datasets, deploying them in their customer environments, and eventually monitoring them in production. Read More
Solution	AIMIA implemented H2O Driverless AI to reduce the model development time in half, delivering a 700% increase in cost savings for their customers’ campaigns. AIMIA’s SmartJourney® methodology analyzes customer behavior and engagement across a variety of stages. Using Driverless AI, they developed a classification model that predicts whether a certain customer will churn or not. Automating the complex feature engineering process to derive new features from existing variables significantly contributed to overall time-savings. In addition, visualizing the datasets before starting model building, understanding the results in different formats and the confusion matrix made it convenient to derive meaningful insights from the data in a few hours, as opposed to days or months. Read More Log in to view content
Contents

Technology Category

Analytics & Modeling - Machine Learning

Analytics & Modeling - Predictive Analytics

Applicable Industries

Consumer Goods

Retail

Applicable Functions

Business Operation

Sales & Marketing

Use Cases

Fraud Detection

Predictive Maintenance

Services

Data Science Services

Software Design & Engineering Services

Challenge

AIMIA, a global leader in customer engagement and loyalty solutions, faced challenges in predicting customer churn and detecting fraud due to the lack of relevant datasets and the steady evolution of fraudulent behavior. The development of machine learning techniques in the face of these challenges was difficult. There was a need to increase the agility of model development, build newer use-cases quickly, iterate on them faster, improve overall trust in AI by making the results of machine learning algorithms transparent to business stakeholders, as well as benchmark the performance of the models already in production.

About Customer

AIMIA is a company based in Quebec, Canada, that specializes in customer engagement and loyalty solutions. They work with leading retail, CPG, travel & hospitality, financial services, and entertainment brands. AIMIA's solutions help brands identify where their customers fall in key milestones along the customer journey, influencing touch points along that journey. They have developed a new methodology called SmartJourney® that helps predict gaps in this journey, identify at-risk revenue or new growth opportunities. Building such complex loyalty solutions can be a very daunting effort involving business, data science, engineering, and IT teams. It requires building sophisticated machine learning models, iterating them with the right datasets, deploying them in their customer environments, and eventually monitoring them in production.

Solution

AIMIA implemented H2O Driverless AI to reduce the model development time in half, delivering a 700% increase in cost savings for their customers’ campaigns. AIMIA’s SmartJourney® methodology analyzes customer behavior and engagement across a variety of stages. Using Driverless AI, they developed a classification model that predicts whether a certain customer will churn or not. Automating the complex feature engineering process to derive new features from existing variables significantly contributed to overall time-savings. In addition, visualizing the datasets before starting model building, understanding the results in different formats and the confusion matrix made it convenient to derive meaningful insights from the data in a few hours, as opposed to days or months.

Impact #1	The predictive churn model allowed AIMIA’s customers to intervene early, re-engage and prevent the churn from happening. This has become an integral capability offered as part of their SmartJourney® methodology.
Impact #2	AIMIA is able to make their predictive marketing capabilities an agile team-wide effort with the following additional benefits: Ability to turn-around new loyalty solutions much faster than before, Benchmark the accuracy of the existing models with the ones developed using H2O Driverless AI, Communicate the results with the rest of the business and operational teams using the unique Machine Learning Interpretability (MLI) capability in H2O Driverless AI, establishing much-needed trust in AI as a result.

Impact #1

The predictive churn model allowed AIMIA’s customers to intervene early, re-engage and prevent the churn from happening. This has become an integral capability offered as part of their SmartJourney® methodology.

Impact #2

AIMIA is able to make their predictive marketing capabilities an agile team-wide effort with the following additional benefits: Ability to turn-around new loyalty solutions much faster than before, Benchmark the accuracy of the existing models with the ones developed using H2O Driverless AI, Communicate the results with the rest of the business and operational teams using the unique Machine Learning Interpretability (MLI) capability in H2O Driverless AI, establishing much-needed trust in AI as a result.

Benefit #1	700% increase in campaign cost savings
Benefit #2	11% increase in return on investment
Benefit #3	Cut ML model developing time in half

Benefit #1

700% increase in campaign cost savings

Benefit #2

11% increase in return on investment

Benefit #3

Cut ML model developing time in half

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Overview

AIMIA Transforms Customer Loyalty with AI

Operational Impact

Quantitative Benefit