Big Data or Smart Data

Consumer Credit & Data Science Session of the Eurofinas

Annual Convention

October 2015

DSG
Group Development Strategy
 Contents

- Big Data & Advanced Analytics 3

- Societal evolution and singular behaviours
tend big data to smart data 4
- Attention point for Financial Institutions 5
- Concrete example within CA-CF:
Data Management Platform. How to be smart 6
- Data Management Platform provides numerous
opportunities to improve customer’s experience 7
- Key Success Factors 8

2
 Big Data & Advanced Analytics

Mix of structured data (traditional CRM) and

unstructured data (social networks, external
datas, etc.)
Constant changing in the meaning of
data (different signification of a tweet
according to the context)
Variety
From terabytes Enablers
to zettabytes Variability
Digitalization of the
Volume consumer
Value Social networks
M-commerce
Veracity
Need to minimize the
uncertainty of data Technological advances
Visualization Data storage
Velocity Computational power
Machine learning
Making complex data algorithms
easily understandable
Real time access and
Human Resources
processing of data
New skills to be acquired
New jobs to develop

3
 Societal evolution and singular behaviours
tend big data to smart data

Societal evolutions intensify the need for a proper segmentation

50 years old executive - 50 years old executive - - There is a need of redefining

single in couple with children customer profiles and the
equation that relates them to
consumption behaviours.
- Need to establish a model for
specific eco system and
The socio-professional category is not identification of weak signals.
sufficient to explain the purchasing behaviour
Business applications
Optimization of pricing
(with customized offers)
Exceptional financial
With a newborn kid, Better return on
needs due to support
the executive wants to marketing investment
extra house’s work
expand his home (thanks to targeted
expenses
approaches)
Improved client scoring
(with data enrichment)
Same socio professional but projects are radically different better fraud detection
for the two clients and decision process is not aligned. Improved customer
satisfaction

4
 Attention point for Financial Institutions (FI)

Observations Elements of response

81% of the population are

cautious about data privacy. A particular attention must be paid to both data protection
and data exploitation.

19%
On the one hand, positive reputation must be preserved…
Concerned FI already enjoy a trusted third party status: 88% of
Not concerned the population place confidence in their FI to protect
81% personal data
FI must capitalize on this trust and maintain their
positive image concerning data protection
Perception of the population
regarding main beneficiaries of … on the other hand, Big Data & Smart Data is an
data exploitation irresistible game-changing innovation:
FI should demonstrate an exemplary attitude regarding
the security of data
FI should be concerned by personal data use mainly to
increase their customer’s benefits

5
 Concrete example within CA-CF:
Data Management Platform. How to be smart.

Owned Site(s)
Browsing data
CRM/PRM1: email
Data acquisition

Paid Media
TAG
Display
Affiliation Connected data with Customers
Behavioural data
Click SEM2 CRM/PRM and prospects
databases
Earned Social/Viral
Viral
Social networks
Natural traffic
Calculated Data
Segmentation, scorecards, algorithms, etc.

Display Campaign / RTB3 Personalised website Customers and prospects knowledge

Personalised offers and
arguments

Analysis of individual
behaviours on your website
1 PRM = Prospect Relationship Management
2 SEM = Search Engine Marketing PRM/CRM database
3 RTB = Real-Time Bidding enrichment

6
 Data Management Platform
provides numerous opportunities
to improve customer’s experience

Crossed analysis of online traffic for partners

Better knowledge of customers’ behaviours, non nominative

Cross-selling
Information from partners could generate cross-selling actions
later (car loans, insurance, …) Transition
from
Targeted marketing descriptive
A cold prospect for credit could be a hot one for insurance
data to
explicative
Geolocation data
Invite a prospect to come in when they consult their
smartphone around a branch

Fraud detection & recovery

Enlarge the possibilities to detect fraud and to improve
recovery

7
 Key Success Factors

1 Big Data mindset Develop a Big Data mindset with constant

competitive and regulatory intelligence

2 Test & Learn Give priority to a “Test & Learn” approach to

detect initiatives that fit for industrial use

3 Cutting-edge innovations Be part of a Big Data ecosystem in order to

capture cutting-edge innovations

4 Core competencies Define the indispensable elements of the

value chain for building core competencies

5 Customer vision Define an indispensable vision to be

aligned with customer’s needs