PGM Holdings K.K.

Business analytics employed to improve customer satisfaction and increase sales

Published on 11-Nov-2013

"The solution enabled PGM sales professionals to design precisely targeted marketing initiatives to reach the company’s 1.6 million member customer base, increasing sales and profits." - PGM Holdings K.K.

Customer:
PGM Holdings K.K.

Industry:
Media & Entertainment

Deployment country:
Japan

Solution:
BA - Business Analytics, BA - Business Intelligence, BA - Performance Management, BA - Predictive Analytics, Big Data & Analytics, Big Data & Analytics: Customers, Smarter Planet

Overview

Headquartered in Tokyo, PGM Holdings K.K. (Pacific Golf Management, or PGM) owns and manages more than 127 golf course facilities throughout Japan, serving more than 2.8 million customers, of whom 1.6 million are paid members. A subsidiary of the Heiwa Corporation, PGM employs more than 4,000 people and earned revenues of JPY75.7 billion in 2012. The company is listed on the Tokyo Stock Exchange.

Business need:
PGM lacked a comprehensive understanding of its diverse customer base, preventing a the development of effective, personalized marketing campaigns to reach its entire customer base.

Solution:
PGM implemented a sophisticated business analytics solution

Benefits:
In its first year of using business analytics and predictive modeling solutions, PGM saw a 10.3 percent increase in reservations over the prior year, leading to a 7 percent boost in sales.

Case Study

Headquartered in Tokyo, PGM Holdings K.K. (Pacific Golf Management, or PGM) owns and manages more than 127 golf course facilities throughout Japan, serving more than 2.8 million customers, of whom 1.6 million are paid members. A subsidiary of the Heiwa Corporation, PGM employs more than 4,000 people and earned revenues of JPY75.7 billion in 2012. The company is listed on the Tokyo Stock Exchange.

The Opportunity
Formed through multiple mergers and acquisitions of diverse golf course properties with dissimilar customer information systems, PGM lacked a comprehensive understanding of its diverse customer base, preventing a the development of effective, personalized marketing campaigns to reach its entire customer base.

What Makes It Smarter
PGM implemented a sophisticated business analytics solution that captures customer information from dozens of heterogeneous systems to perform data mining, entity analytics and predictive modeling to deliver deep insight about customer needs, preferences and behavior.

Real Business Results
In its first year of using business analytics and predictive modeling solutions, PGM saw a 10.3 percent increase in reservations over the prior year, leading to a 7 percent boost in sales. With higher sales the company’s operating and ordinary incomes increased by 41.4 and 58.3 percent respectively, resulting in a net income gain of 50.3 percent. Greater efficiencies supported by automated business analytics enabled sales personnel to redirect their focus from labor-intensive tasks to developing more effective sales promotions.

For More Information
Please contact your IBM representative or IBM Business Partner.
Visit us at ibm.com/spss.

To learn more about PGM Holdings K.K., visit www.pacificgolf.co.jp.

Products and services used

IBM products and services that were used in this case study.

Software:
Cognos TM1, SPSS Text Analytics for Surveys, SPSS Modeler

Service:
GTS Integrated Technology Services

Legal Information

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