Target group selection with recency/frequency/monetary (RFM) analysis: An application in the airline sector

The marketing world has now moved away from product-oriented work, has understood the importance of the customer and put the customer in the center and shifted the work in this direction. Nowadays, due to the technological process and increasing competition in the market, the importance attached by companies to Customer Relations Management has increased. Accordingly, in order to test whether there is a difference between campaign participation behaviors between the departments that emerged as a result of clustering analysis, the Recency/ Frequency/Monetary (RFM) analysis was applied to the target groups of two campaigns carried out within the scope of customer relationship management campaigns in an airline operating in Turkey. This analysis was performed via SPSS Modeler (17) program. As a result of the study, as it is expected it is observed that the RFM scores of the campaign target group that has wider participation were higher. As a result of the two-stage clustering method and chi-square test, it was observed that the more participating campaign clusters did not have the highest GSP score, but the least participating campaign subsets had the lowest GSP score. This shows that the easily applicable, interpretable, reportable RFM analysis will provide revenue to the enterprise by adding value to the campaing communication with the right target group, and accordingly decreasing the campaign communication costs and increasing the campaign interactions.