Vendors
日本語
search
  2. //
  3. Reports & insights
  4. //
  5. Ranking the Vendors of Customer Profitability Analytics

Ranking the Vendors of Customer Profitability Analytics

Create a vendor selection project
Click to express your interest in this report
Indication of coverage against your requirements
A subscription is required to activate this feature. Contact us for more info.
Celent have reviewed this profile and believe it to be accurate.
We are waiting for the vendor to publish their solution profile. Contact us or request the RFX.
Projects allow you to export Registered Vendor details and survey responses for analysis outside of Marsh CND. Please refer to the Marsh CND User Guide for detailed instructions.
Download Registered Vendor Survey responses as PDF
Contact vendor directly with specific questions (ie. pricing, capacity, etc)
14 January 2002

Abstract

New York, NY, USA January 15, 2002

Celent predicts financial institutions will spend US$840 million by 2004 on Customer Profitability Analytics (CPAs). Celent expects marketing professionals will be increasingly compelled to align their CRM strategies with customer profitability considerations.

In a new report, " ," Celent Communications examines the adoption of Customer Profitability Analytics in the North American financial industry and provides a ranking of leading vendors in this arena.

While North American financial institutions have recently made dramatic efforts to analyze their profitability at the customer level, many institutions still lag behind when it comes to use the metrics in an operational manner. So far, marketing departments have expressed little interest in dealing with metrics, which have typically been the financial department's bailiwick. Celent estimates that, of the CPAs in use at North American financial institutions, 98% are run in financial department, with only 40% of financial institutions passing the information to the marketing department. Because of the need to align CRM strategies to profitability considerations, marketers will have to pay more attention to customer profitability data beyond typical marketing metrics such as cross-selling, customer acquisition cost, and attrition rate, comments Gwenn Bézard, author of the report.

Among the forces driving the popularization of Customer Profitability Analytics, Celent identifies the shift from product to customer-centricity and one-to-one marketing, the quest for channel management, the need to better manage scarce resources in a recession context, and the war on customer attrition. Customer profitability analytics will have an significant effect on the banking industry in the next decade, just as it has in the credit card industry in the 1990s, adds Bézard.

The report ranks the solutions provided by 8 vendors, including CoreProfit, EarningsInsights, HNC Software, IPS-Sendero, Metavante, NCR Teradata, PeopleSoft and SunGard BancWare.

The Best Customer Profitability Analytics Software Providers

Rank Large Financial Institutions Midsize Financial Institutions Small Financial Institutions
1 NCR Teradata Value Analyzer NCR Teradata Value Analyzer CoreProfit Profitwise
2 PeopleSoft EPM Profitability Insight CoreProfit Profitwise HNC Profitability Manager IPS-Sendero CPS
3 CoreProfit Profitwise HNC Profitability Manager SunGard BancWare Perspective
4 HNC Profitability Manager SunGard BancWare Perspective EarningsInsights EMiS

A Table of Contents is available online.

of Celent Communication's research services can download the report electronically by clicking on the icon to the left.

Client Access