KPMG - Virtual Experience Program

Introduction

Sprocket Central Pty Ltd , a medium size bikes & cycling accessories organisation,needs help with its customer and transactions data. The organisation has a large dataset relating to its customers, but their team is unsure how to effectively analyse it to help optimise its marketing strategy.

The client provided KPMG with 3 datasets:

• Customer Demographic
• Customer Addresses
• Transactions data

You can check the Dataset Here

Problem Statement

Sprocket Central Pty Ltd has given us a new list of 1000 potential customers with their demographics and attributes. However, these customers do not have prior transaction history with the organisation.

We have to reveal useful customer insights which could help optimise resource allocation for targeted marketing. Hence, improve performance by focusing on high value customers.

The Program has divided the solution into three tasks.

1. Data Quality Assessment
2. Data Insights
3. Data Insights and Presentation

Data Quality Assessment

“the importance of optimising the quality of customer datasets cannot be underestimated. The better the quality of the dataset, the better chance we will be able to use it drive company growth.”

Task - Draft an email to the client identifying the data quality issues and strategies to mitigate these issues.

Solution

Data Insights

Using the existing 3 datasets (Customer demographic, customer address and transactions) as a labelled dataset, I have to recommend which of these 1000 new customers should be targeted to drive the most value for the organisation.

In building this recommendation, I need to start with a PowerPoint presentation which outlines the approach which we will be taking. The client has agreed on a 3 week scope with the following 3 phases as follows - Data Exploration, Model Development and Interpretation.

Task - Prepare a detailed approach for completing the analysis including activities – i.e. understanding the data distributions, feature engineering, data transformations, modelling, results interpretation and reporting. This detailed plan needs to be presented to the client to get a sign-off.

Solution

Data Insights and Presentation

Task - Develop a dashboard that we can present to the client at our next meeting. Display your data summary and results of the analysis in a dashboard.

Important questions to keep in mind the business context when presenting your findings:

• What are the trends in the underlying data?
• Which customer segment has the highest customer value?
• What do you propose should be Sprocket Central Pty Ltd ’s marketing and growth strategy?
• Specifically, your presentation should specify who Sprocket Central Pty Ltd’s marketing team should be targeting out of the new 1000 customer list as well as the broader market segment to reach out to.

Solution

Conclusion

Marketing team should deploy the targeted model based on -

• Customer between age 30 to 49.
• Male customers in the mid-year between April - July and in midweek around Thursday.
• Female customers around October and in the start of the weekend, Saturday.
• Customers in the Mass Consumer Segment.
• Customers related to Financial Services and Manufacturing Industries.
• Solex brand and Standard product as the top priority.
• Customers living in New South Wales.