Case Study: Epsilon lifts marketing ROI with H2O.ai H2O-3

Epsilon boosts direct mail response 3-5% with H2O.ai

Epsilon, a global advertising and marketing technology company, faced challenges with its legacy SAS-based system for building audience models. The system could not scale to process terabyte-sized datasets, and new privacy regulations required a new level of model interpretability to prove list selection logic and prevent bias. To address this, Epsilon partnered with vendor H2O.ai to build its new "Accelerate" machine learning system using the H2O-3 platform.

The H2O.ai solution used H2O-3's algorithms to handle large datasets while providing deep model interpretability. This new system improved direct mail response rates by 3 to 5%, adding approximately 15,000 highly relevant customers per campaign. For one retailer campaign, this resulted in a 1.10% response rate increase that generated $9.0 million in incremental revenue. The H2O.ai platform now supports 8,000 campaigns annually for Epsilon.

Epsilon