Case Study: Top-15 Regional Bank achieves >25% first-year ROI and $1M+ five-year NPV with Merkle's value-based targeting

Top-15 Regional Bank - Customer Case Study

A top-15 regional bank faced declining fee revenue from regulatory pressure and needed to move its direct-mail acquisition away from mass-market checking households toward higher-quality deposit and lending customers. The bank engaged Merkle, using Merkle DataSource and a value-based segmentation approach (lifecycle, affluence, financial need and behavior data) to prioritize prospects with higher propensity for deposits and loan products.

Merkle built predictive targeting models, appended demographic, lifestyle and wealth indicators and used continuous offer and creative testing to hone direct-mail responders. The campaign increased gross and incremental response rates, delivered greater than 25% first-year ROI with payback in under 10 months, produced a five-year incremental NPV of over $1 million, and saw more than 10% of responders open non-checking products such as deposits, cards and loans.