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KXEN, An SAP Company
Michael McGinn

We believe that KXEN can allow us to take customer engagement to a whole new level. 

Michael McGinn
VP, Customer Experience

Rhapsody Boosts Member Engagement of America’s Largest Premium Music Service

Challenges

  • With more than one million paying subscribers listening to in excess of 16 million songs, Rhapsody is collecting massive amounts of “big data”, including website and mobile clickstreams, listening activity, music preferences and purchase history.
  • The company’s focus on customer experience led management to look into new ways to improve the music service, identifying a huge opportunity to leverage its wealth of customer information.
  • Prior to KXEN, Rhapsody relied on historical reporting techniques to understand such metrics as the number of days of recent activity and average number of songs played to understand customer engagement trends; however the company found that these indicators only told part of the story.

Solutions

  • After evaluating several predictive solutions, Rhapsody selected KXEN’s InfiniteInsight®, based on its easy-to-use, automated learning approach for rapid modeling.
  • Purchased KXEN’s flagship product, InfiniteInsight®, to boost member engagement and optimize each stage of the customer lifecycle.
  • Rhapsody will integrate InfiniteInsight® with its Aprimo campaign management system to deliver targeted messages across customer-facing channels such as sending out weekly emails or notifications to a mobile device.
  • Using InfiniteInsight®, Rhapsody will be able to analyze a full spectrum of customer data from their Teradata data warehouse and Hadoop system to determine in stack-rank order the predictive importance of each attribute.
  • Plans to use KXEN’s automated segmentation and clustering capabilities to analyze the makeup of its membership. This insight will be used to further personalize customer communications and to tailor marketing messages.
  • Rhapsody’s big data analytics approach includes building predictive models from the following:
 - Over 16 million songs
 - 10 years of listening history
 - More than one million customers
 - Big data sources like application clickstreams, listening history, and Omniture Weblogs

 

Results

    • Using predictive scores calculated from models built with InfiniteInsight® that describe a subscriber’s unique propensity to do things like click on a recommended song or album, Rhapsody will match individuals to its huge inventory of content, including custom playlists, radio stations and blog posts created by its staff of music experts.
    • By driving higher open and click-through rates through personalization, Rhapsody expects to significantly increase key performance metrics (KPIs) – like customer activity rates (total usage days and number of soundtrack plays), customer lifetime duration (number of months they use the service) and lifetime revenue.
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Industry: e-Business
Size: Large
Region: AMER