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Fingerhut uses SAS to optimise catalogue operations

Fingerhut Companies Inc., the US' second-largest mail order retailer, is saving millions of dollars in direct marketing costs using software from SAS Institute, the leading provider of analytical CRM software, to streamline catalogue operations.

With more than seven million active customers in its database, Fingerhut's challenge was to target the right customer with the right catalogue at the right time. But without a way to identify the appropriate customer for each catalogue, some customers could potentially receive up to 80 catalogues in a single year. So SAS helped Fingerhut build a system that matches customers with appropriate catalogues, increasing the potential for sales and saving customers the irritation of receiving unwanted offers.

"We use SAS to build unique models for each of our catalogue marketing campaigns to predict which customers are likely to respond to different offers," said Randy Erdahl, director of business intelligence at Fingerhut. "By using SAS to eliminate wasteful catalogue mailings we realised a six-to-seven percent reduction in direct marketing costs, a significant savings."

Recently, this success has been extended to include Fingerhut's email campaigns, outbound telemarketing campaigns and Web site activity. "We've started to capture Web behaviour so we can identify which products customers select but abandon before completing their purchases and how often customers have been hitting certain product categories. We'll combine this data with the purchase data we already have to obtain a cross-channel view of our customers," added Erdahl. "Fingerhut is a data-driven company and it's our heritage to be analytical and driven from a customer data viewpoint. You need a good foundation to do this analysis and SAS is that foundation. For general overall power we look to SAS."

About Fingerhut

Fingerhut Companies, Inc. is a leading database marketing company selling a broad range of products and services direct-to-the-consumer through catalogues, direct marketing and the Internet. The company is a wholly owned subsidiary of Federated Department Stores, Inc. (NYSE: FD). Based in Minnetonka, Minn., Fingerhut is the second largest consumer Catalogue Company in the US. In addition to the Fingerhut catalogue, the company publishes Figi's, Old Pueblo Traders, Bedford Fair, Willow Ridge, Brownstone Studio, Lew Magram and Popular Club.

Fingerhut can also be found on the Internet at

About SAS

SAS provides software and services that enable customers to transform data from all areas of their business into intelligence. SAS solutions help organisations make better, more informed decisions and maximise customer, supplier, and organisational relationships. Solutions from SAS, the world's largest privately held software company, are used at more than
37,000 business, government and university sites around the world. Customers include 98 of the Fortune 100 and 90 percent of Fortune 500 companies. For 25 years, SAS has been giving our customers The Power to Know(tm).

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This press release was distributed by ResponseSource Press Release Wire on behalf of Golin in the following categories: Consumer Technology, Personal Finance, Business & Finance, Computing & Telecoms, for more information visit