A global telecommunications company created a business unit to pursue a high-value customer segment, those who work from small offices, home offices, and telecommuters. The segment was attractive because customers are heavy users of long-distance service and often have multiple phone lines. The unit needed a systematic approach for generating its annual marketing plan.

SDG conducted an assessment of the competition and the environment to identify the risks associated with the available decision options. Critical success factors in this highly competitive segment included the ability to identify and reach people who work from home, the choice of appropriate services and offers to appeal to them, and retention. SDG identified alternative products and services and evaluated their profit contribution and potential appeal to the target customer. Areas with high-value customers were identified through geographic and spending data.

The resulting plan gave the marketing team and the supporting organizations a clear focus on customer retention, the single biggest competitive threat and opportunity to create the most value from the segment.