Initial Installation Of Cyber Dialogue's Telescope Marketing Data Mining Software Shows One-To-One Marketing A Reality On The Net

Business Wire, May 29, 1997

NEW YORK--(BUSINESS WIRE)--May 29, 1997--One-to-one marketing on the Internet moved a step closer to reality with completion of the initial installation of Cyber Dialogue Inc.'s Telescope(TM) on the 1-800-Batteries(TM) web site. Results of the initial three-month phase are contained in a case study released today jointly by Cyber Dialogue and 1-800-Batteries.

Cyber Dialogue is the pioneer online database marketing and market research firm, while 1-800-Batteries is a Silicon Valley catalogue and direct marketing firm that offers the largest selection of high quality material and external rechargeable batteries for laptop and notebook computers, cellular phones and camcorders.

"While many businesses struggle to identify a sustainable business model, 1-800-Batteries has applied basic marketing philosophy to drive increased sales, profits and customer acquisition over the World Wide Web," said Jennifer Lyle, VP Sales at Cyber Dialogue. "That theory, so often expounded and so rarely executed, is: Understand Your Customer."

Telescope, a database mining and marketing software, classifies and analyzes web site visitors. The software contains a complex algorithm developed with Yankelovich Partners through the detailed analysis of the proprietary consumer database of the Yankelovich Monitor.

"Our customers demand a simple service: the laptop isn't working more than 1.5 hours; they're on the road; work needs to be done; they need a new battery and the Internet provides a great channel," said Brian Shane, Vice President of Marketing at 1-800-Batteries. "1-800-Batteries already had the call center channel for its customers and could recognize value immediately via that medium. Cyber Dialogue has provided the same ease of use and insight for the Web channel. The 1-800-Batteries Web site is now well on the way to being as helpful as its fantastic telephone mobile sales specialists."

"While many firms are fumbling in the dark when it comes to Web marketing, we have used innovative tools to better understand our site visitors, thus enabling us to acquire high value customers in a very easily implemented fashion," Shane added.

Using an on-site promotional survey, the Telescope algorithm classified visitors into one of four marketing segments, revealing spending patterns and browsing and media preferences. The results allow 1-800-Batteries to understand its customers better and to take appropriate action.

It was found that one segment of customers was 400 percent more valuable to the firm as any other web site visitors and allowed the company to identify the appropriate online and offline acquisition media for this group.

"Cyber Dialogue's tools for building customer relationships through digital media allowed 1-800-Batteries to seamlessly integrate its online and offline marketing initiatives," added Lyle.

1-800-Batteries and Cyber Dialogue are now working on more sophisticated solutions to model web site "clickstream" and further refine 1-800- Batteries' ability to understand its customers through web site visitor segmentation.

Additional cases are being developed with other Cyber Dialogue Telescope and Data Mining customers including: The Times of London, MTV Europe, Tripod Interactive and Marketing One.

CONTACT: David King/Langdon Cook

G.S. Schwartz & Co.

212/725-4500

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