1. Funnel model
In 1898, the concept of an American funnel model is put forward, and then be summed up as AIDA model, from the attention to attract customers, to the interest of the customer, with the desire to create, eventually forming the purchase action, every link have customer churn, the link between the number of customers the less often, drawn graphics, like a funnel.
Taking a common sales process as an example, we can divide customers into target customers, intended customers and ordering customers:
From the shape of the sales funnel chart, we can see the transformation of each link more intuitively. Through horizontal or vertical comparison, find possible problems in the business and further analyze the causes, so as to put forward specific suggestions to solve the problems.
Sales funnel model, is a scientific reflection of sales efficiency of a model, in essence is the sales process of detailed management, can help us standardize the process and precipitation down.
2. RFM model
A study in the US found three magic ingredients in a customer database:
- Recency’s most recent purchase time, the closer it is, the more valuable it is.
- Frequency Indicates the number of purchases. The more times the purchase is made, the greater the value is.
- Monetary The cumulative amount of money purchased, the higher the amount, the greater the value.
These three factors are grouped according to the high and low value respectively, so as to obtain 8 different types of customers, and adopt different marketing strategies respectively.
The matrix analysis model introduced before is used to divide the 8 types into two matrices according to the rank of M. One matrix is the marketing strategy for important customers:
- Important value customers: R high F high M high, can provide personalized VIP service, enhance the value of the brand.
- Important customers: R is high, F is low and M is high. We can make customer loyalty training plan to help them become important and valuable customers.
- Important to keep customers: R is low, F is high, and M is high. Personalized incentive activities can be pushed to re-establish connections and improve the repurchase rate.
- Important retention customers: if R is low, F is low and M is high, recall strategy can be adopted to investigate the problem and find ways to retain customers.
Another matrix is the marketing strategy for the general customer:
- General value customers: R high F high M low, can provide preferential activities to attract them to increase the customer unit price.
- General development customers: R high F low M low, can provide trial activities to increase customer interest in buying.
- Generally keep customers: R low F high M low, can change the publicity strategy, to stimulate customers to continue to buy.
- General retention of customers: low R, low F, low M, budget can be appropriately reduced to reduce marketing costs.
3. Shapley value model
Lloyd Shapley, a famous American mathematician and economist, proposed the concept of Shapley’s value, which made the distribution of benefits more scientific and reasonable.
The goal of Shapley’s value is to construct a distribution scheme that comprehensively considers the interests of all parties, so that the income and contribution are equal, so as to ensure the fairness and rationality of distribution.
Suppose there is a data analysis team, which must use analytical thinking and analytical tools to complete its work. At least one person who can use analytical thinking and one person who is familiar with using analytical tools is needed.
Now suppose you have three people, using the letters A, B and C for easy comprehension. A can only use analytical thinking, B can only use analytical tools, and C can use both analytical thinking and analytical tools.
If the company allocates a bonus of 120,000 yuan to the data analysis team, this amount is equal to the total value of the team as long as the work can be completed properly. If any two of them show up, then the third person is not required, which means that the last one is worth nothing to the team.
We consider all six orders in which these three people come to work and determine whether each person adds value in each case, with the √ after the letter representing added value and the X representing no added value.
- A x B square root of C x
- A x, C square root of B x
- B x A square root of C x
- B x C square root of A x
- C square root of A x B x
- C square root of B x A x
A can only add value in case (3), so the value of A is equal to 1/6 of $120,000, or $20,000. Similarly, B can only add value in case (1), so B is also worth $20,000.
In the other four cases, C adds value, so C is worth 4/6 of $120,000, which is $80,000. In this case, C, who can use both analytical thinking and analytical tools, is worth twice as much as (A + B).
4. Matrix analysis model
Bruce Henderson, the founder of Boston Consulting Company, created a matrix analysis model in 1970. He selected two important indicators as the horizontal and vertical axes of two-dimensional coordinates respectively to form a matrix with four quadrants, so it is usually called Boston matrix, also known as four-quadrant analysis.
Boston matrix is usually used to analyze the product structure, which includes two important indicators, respectively: sales growth rate and market share. Products are divided into four categories, and different development strategies are suggested to achieve a virtuous cycle of product structure.
- Star products: increase investment
- Problem products: selection strategy
- Taurus products: Keep the status quo
- Thin dog products: Phasing out
Steps for applying the matrix analysis model:
(1) Extract two important indicators;
(2) Draw four-quadrant analysis chart;
(3) Analyze and summarize and put forward suggestions.
5. Fogg behavior model
This model comes from a professor of Stanford University and is mainly used to analyze the causes and basic psychology of user behavior. The core of this model is the behavior formula:
Behavior = motivation x ability x trigger
That is to say, there are three main elements to produce an action: one is the motivation to do it, two is the ability to complete the action, and three is the trigger signal to take action, all three elements are indispensable.
To do data analysis, it is necessary to understand the business, and the core of many businesses is users. To improve business indicators, it is often necessary to make users do certain behaviors.
For example, in order to increase sales, it is essential to make users buy products. Using Fogg’s behavior model, the following three questions should be answered:
(1) Motivation: Why do users buy the product? Why
(2) Ability: how can users easily buy? How
(3) Trigger: What triggers users to buy? What
If the user doesn’t buy the product, he or she is either less motivated, less able, or less triggered.
If the data shows that the purchase conversion rate of female users is low, analyze it using Fogg behavior model:
(1) Motivation: What kind of products are more attractive to female users?
(2) Power: What price can make female users feel that they are able to buy?
(3) Trigger: What promotions and channels make female users convert best?
If you can use data analysis to gain insight into the nature of the business, identify the main causes of problems, make sound recommendations, and drive the implementation of those solutions, then you have successfully created value.