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One of the main reasons for choosing ARC is for its superior ability at handling imbalanced class distributions. It utilizes the association rule mining, making sampling unnecessary in many cases otherwise requiring sampling. In [WZYY05], ARC has been shown to produce the best result among many algorithms on the data set used for KDD- 98 [Kdd98], which has a skewed class distribution. In addition, ARC can handle high dimensionality (the data set has more than 400 variables) without a considerably long running time. Yet another significant advantage of ARC lies in the expressiveness of the model constructed. Each. | Previewing the Concepts Part 3 Designing a Customer-Driven Marketing Strategy and Integrated Marketing Mix Customer-Driven Marketing Strategy Creating Value for Target Customers So far you ve learned what marketing is and about the importance of understanding consumers and the marketplace environment. With that as background you re now ready to delve deeper into marketing strategy and tactics. This chapter looks further into key customer-driven marketing strategy decisions how to divide up markets into meaningful customer groups segmentation choose which customer groups to serve targeting create market offerings that best serve target customers differentiation and position the offerings in the minds of consumers positioning . Then the chapters that follow explore the tactical marketing tools the Four Ps by which marketers bring these strategies to life. As an opening example of segmentation targeting differentiation and positioning at work let s look at Dunkin Donuts. Dunkin a largely Eastern U.S. coffee chain has ambitious plans to expand into a national powerhouse on a par with Starbucks. But Dunkin is no Starbucks. In fact it doesn t want to be. It targets a very different kind of customer with a very different value proposition. Grab yourself some coffee and read on. Last year Dunkin Donuts paid dozens of faithful customers in Phoenix Chicago and Charlotte North Carolina 100 a week to buy coffee at Starbucks instead. At the same time the no-frills coffee chain paid Starbucks customers to make the opposite switch. When it later debriefed the two groups Dunkin says it found them so polarized that company researchers dubbed them tribes each of whom loathed the very things that made the other tribe loyal to their coffee shop. Dunkin fans viewed Starbucks as pretentious and trendy whereas Starbucks loyalists saw Dunkin as plain and unoriginal. I don t get it one Dunkin regular told researchers after visiting Starbucks. If I want to sit on a couch I stay at home. .
