Twenty-Ten Segmentation Provides Excellent Results
for Telecommunications

We at Twenty-Ten are delighted to report on another targeting success story, this time in the world of telecommunications. Over the last eight months, Twenty-Ten has been working with a leading regional cable operator, helping them find exactly the right consumers to cross-sell and up-sell. The results to date have been quite impressive.

Our client is in the midst of evolving from being a simple cable provider into delivering a full suite of at-home digital services including TV, phone and high-speed Internet. To date, they have been frustrated at their limited ability to migrate TV-only users to their newer services, especially high-speed Internet.

Twenty-Ten has hired to understand the client's TV-only subscriber base and select those households with a higher propensity to add high-speed Internet to their subscriptions. Through the analysis of a custom customer survey, Twenty-Ten identified two key target groups with a higher-than-average propensity to add high-speed Internet. The first was a set of consumers who feel that technology is leaving them behind, but who lack the confidence or technological ability to do anything about it. We call those consumers the "Lower Technology Savvy" group. The second group, conversely, were "High Tech Enthusiasts"... consumers who were always pushing the technology envelope. Obviously, these two groups needed to be spoken to in very different ways.

We tested a specific offer mailed to TV-only subscribers within the "Lower Technological Savvy" group and compared the results to a sample of randomly selected TV-only subscribers. We offered the two groups the same offer – high-speed Internet service for only $19.99/month, with the price guaranteed for one year. In addition, the mailing sent to the "Lower Technological Savvy" group used "versioned" creative dealing with specific technology concerns and worries, while the control group received more widely-used copy – copy which had been effective for the client in the past.

The results of the test were excellent, with the test delivering almost 30% more sign-ups than the control group. Specifically, the test cell had a .92% response rate and an 81% conversion rate among the responders, for a net sign-up rate of .742%. This was 28.5% higher than the control group which responded at a .75% rate (22% lower) and converted at a 77% rate (5% lower).

The net results for our client are very positive, as they are able to leverage a modest investment in Twenty Ten's patented, proprietary targeting system into a 28.5% improvement in their sign-up rate. Needless to say, the test is just the beginning of our work for the client. We are looking forward to both expanding our efforts against the "Lower Technological Savvy" group and developing a specific targeted campaign for the "High Technology Enthusiasts" group.