A technical guide to leveraging advanced analytics capabilities from SAP

A Technical Guide to Leveraging Advanced

Analytics Capabilities from SAP

Charles Gadalla

SAP

© 2015 SAP SE or an SAP affiliate company. All rights reserved. 1

Agenda

• Intro to Big Data and Analytics

• Big Data and Advanced Analytics – Lifecycle

• SAP Vision and Strategy – Advanced Analytics

• Advanced Analytics Solutions from SAP

• Use Cases and Customer Case Studies

• Wrap-up

Intro to Big Data and

Analytics


Big Data — The Four Vs

Customer

Data

Automobiles

Machine

Data

Smart Meter

Big Data

Point of

Sale

Mobile

Structured

Data

Click Stream

Social

Network

Location-

based Data

Text Data

IMHO, it’s great!

RFID

Volume

Variety

Velocity

Veracity


Most

Established

KPIs too

10%

75%

Use Analytics

Today

Need

Analytics

by 2020

$2.01B Annual revenue increase possibility if the

median Fortune 1,000 business increased

the usability of its data by just 10%

1,000% Return on investment for every $1 spent

on analytics

Nucleus Research, Gartner, Fortune Magazine

Companies Are Missing New Signals

4


Social

In-memory

Cloud

Mobile

Real-Time

Empowerment

Explosive Demand

For Predictive

Big Data

Sensing and

Responding

Sentiment

Intelligence

Predictive Analytics

Personalized

Insights

Real-Time Analysis

Internet of Things

?

Shift in Mindset Competing in Today’s Marketplace Means Leveraging All Types of Data


Harnessing the Power of Big Data

Descriptive,

Predictive

and

Prescriptive

analytics

Resources

Decisions –

Tactical and

Strategic

Moving towards: Analytics-Driven

Decision Making Culture

Customer

Data Automobiles

Machine

Data

Smart

Meter

Point

of

Sale

Mobile Structured

Data Click

Stream

Social

Network

Location

-

based

Data

Text

Data

IMHO, it’s

great!

RFID

Imagine the Business Potential …

:-) Brand

Sentiment

360O Customer View

Product

Recommendation

Propensity to

Churn

Real-time

Demand/

Supply Forecast

Predictive

Maintenance

Fraud

Detection

Network

Optimization

Insider

Threats

Risk Mitigation,

Real-time

Asset Tracking Personalized

Care

MANU-

FACTUR-

ING

RETAIL CPG HEALTH

CARE BANKING UTILITIES TELCO

PUBLIC

SECTOR

25+

Industries

MARKET-

ING

SALES

FINANCE

HR

OPERA-

TIONS

SERVICE

IT

SUPPLY

CHAIN

FRAUD /

RISK

11+ LoB

Big Data and Advanced

Analytics — Lifecycle


Big Data and Analytics — Value Chain

Data Origins /

Producers

Data Sources

Classification

Data Storage

Data Integration

Analytics Consumers


Big Data — Component Architecture

Data sources / Classification

Meta data

Master data

Transaction-al data

Weblog

Social networks

Data storage and

Processing

RDBMS

NoSQL

Distributed File Systems

Files - semi-structured,

unstructured

Images, Audio/Video

Data Integration/

Quality

Connectors

ETL

Messaging

CDC

Analytics

Advanced Analytics

Map Reduce

Consumers

BI Business Processes

LoB/ Industry Applica-

tion

Data Discovery

Big Data and Analytics Governance

Warehouse

Data Producers

Enterprise IT Systems

Machines

Devices

Sensors

Media

Internet

Sensors

Big Data – Smart

Applica-tion In Memory


Big Data and Analytics — Cross Section

Customer

Data Automobiles Machine

Data

Smart

Meter

Point

of

Sale

Mobile Click

Stream

Social

Network

Location

-

based

Data

Text

Data

IMHO, it’s

great!

RFID

Structured Unstructured Semi-

Structured

Data Sources

Format

Advanced

Analytics

Data

Discovery

Query &

Reporting

Frequency

Processing

Continuous Real Time On Demand

Analysis Type Real Time Near Real

Time Batch


Big Data and Analytics — Core Patterns

Real-Time Analytics

Near Real- Time or

Interactive Analytics

Pure Batch

High Low


Advanced Analytics — Lifecycle

Prepare

Explore

Discover

Predict Model

Operationalize

Optimize

Validate


Data Prepa-ration

Data Exploration

and Discovery

Predict, Model and

Validate

Extend – App Dev., Partner,

Developer Community

Operationalize -Deploy, Manage,

Monitor and Optimize

Evaluate and

Decide

Personas in Advanced Analytics Lifecycle

Business

Analyst

(Horizontal)

Business

Analyst

(Vertical)

Data Scientist

Data Miner/

Statistician

Application

Developer

IT System

Admins

Business

Manager

SAP Vision and Strategy —

Advanced Analytics


How Analytics Need to Evolve to Deliver Collective

Insights

Raw

Data

Cleaned

Data

Standard

Reports

Ad Hoc

Reports

& OLAP

Agile

Visualization

Predictive

Modeling

Optimization

What

happened?

Why did it

happen?

What will

happen?

What is

the best that

could happen?

Use

r E

ng

ag

em

en

t

Maturity of Analytics Capabilities

Self Service BI

Generic

Predictive

Analysis

End-to-end

Easy adoption

Fast

implementation

Business focused

Enable

storytelling

Co

lle

cti

ve

In

sig

ht


Challenges and Inefficiencies

Analysts: Talent

Shortage

Fragmented Point

Solutions

Usability

Shortcomings Lack of

Visualization Model

Proliferation

High

Latency

Operational

Datastore Sensors Mobile Archives

Social &

Text

Order

Processing

Operational

Reporting

RT Risk &

Fraud

Trend

Analysis

Sentiment

Analytics

Predictive

Analytics

Pattern

Recognition

Spatial

Processing

Analyze

Data Stores

Integrate/Load

Staging

Collect

Clean-Data Quality

Transact

Report

Explore

Communicate

Monitor

Predict

Planning

0

1

Data

Warehouse

Geo-

Spatial

Cache Cache Cache Cache Cache Cache

Business & IT: Segregated

Organization Structure Lack of Decision

Support

Lack of Data

Governance


Analytics Solutions from SAP

Agile

Visualizatio

n

Advanced

Analytics

Big

Data

Mobile

Collaboration

Cloud

Enterprise

Business

Intelligence


Advanced Analytics Confidently Anticipate What Comes Next to Drive Better Business Outcomes

Universally apply advanced

analytics to information,

processes and applications

to optimize actions

Make sophisticated

advanced analytics easy to

use for a broad spectrum of

users

Predict and act in real time

on Big Data

PREDICT


Three Types of Personas

• Create complex

predictive models

and simulations

• Validate predictive

business

requirements

• Publish results back

to source

Data Scientist

0.1%

Representative

User Base

• Transform and

enrich data source(s)

• Create simple

predictive models

and simulations

• Visualize results and

publish to BI

Platform

Data Analysts

~3% 97%

Executives/

Business Users • Interact with

published predictive

analysis

• Visualize results in

context of use case

• Collaborate with

colleagues toward

closure/action


Solutions for the Entire Spectrum of Users

Business Users & LOB Data

Scientist

Business

Analysts

Level of Skill Set – Analytics

Low High No

97% 3% >0.1%


Solutions for the Entire Spectrum of Users (cont.)

Business Users & LOB Data

Scientist

Business

Analysts

Level of Skill Set – Analytics

Low High No

97% 3% >0.1% Embedded Analytics

Industry & Business

Process Analytics

Custom

Analytics

SAP

Lumira SAP InfiniteInsight (KXEN) SAP Predictive Analysis

SAP

PAL

R

Integration

SAP ADVANCED ANALYTICS


Advanced Analytics — SAP Vision

Operationalize

predictive and

optimization

models across the

enterprise

Reduce Decision

Latency with

Advanced Analytics

Bringing Predictive

Analytics to a broad

spectrum of users

Embed Smart Agile Analytics into Decision Processes

to Deliver Business Impact

Easy Fast Efficient

Advanced Analytics

Solutions from SAP


Advanced Analytics Solutions from SAP

R

Integration

SAP HANA

Search Rules Engine Text Mining Predictive

Analysis Library

Business

Function Library Spatial

SAP

Lumira

SAP InfiniteInsight

(KXEN) SAP Predictive

Analysis

SAP Predictive Analytics

+


Analytics Lifecycle — Tools and Personas

SAP HANA (Platform)

Data Preparation

Data Exploration & Discovery

Predict, Model & Validate

Extend App Dev., Partner,

Developer Community

Operationalize Deploy, Manage,

Monitor & Optimize

Evaluate & Decide

SAP HANA

Studio

SAP Lumira

SAP Predictive Analysis and SAP InfiniteInsight

SAP HANA

Studio AFM

SAP HANA

Studio

Personas in

Analytics Lifecycle (Illustrative) Business Analyst (Vertical)

Data Scientist

Business Analyst (Horizontal)

Data Miner/Statistician Application Developer

IT Systems Admin

Business Manager


SAP Lumira: Visualizing Big Data Unleash Analyst Creativity

Provides the freedom to understand

your data, personalize it, and create

beautiful content

Download and install on your desktop in

less than five minutes

Insight from many data sources

Combine, manipulate, and enrich data to

apply it to your business scenarios

Self-service visualizations and analytics to

tell your story

Optimized for SAP HANA for real time on

detailed data

Self-Service for

Analysts

27


Self-Service for Data Scientists and Business Analysts

Provide Data Scientist and Business Analysts with sophisticated algorithms to take the

next step in understanding their business and modeling outcomes

Perform statistical analysis on your

data to understand trends and

detect outliers in your business

Build models and apply to

scenarios to forecast potential

future outcomes

Breadth of connectivity to access

almost any data

Optimized for SAP HANA to support

huge data volumes and in-memory

processing


SAP InfiniteInsight

Modeler

Build your models

Social

Find your influencers

Scorer

Deploy your scores

Factory

Improve your models

Explorer

Prepare your data

Recommendation

Personalized recommendations


Reusable Reduces Human Error Self-Service Prepare

Create 1,000s of derived

attributes

Define metadata once

Select time-stamped

population

Builds analytic dataset

automatically

Analytical Data Sets with Clicks Not Code


Easy to Use Time to Market More Models Build

Fully automated modeling

process

• Regression

• Classification

• Segmentation

• Time series forecasting

• Association rules

Identify key variables

Executive and operational

reports

Predictive Power in Days Not Months


Put Scores into Action

One-click deployment of scores

into production

In-database scoring (SQL)

Interface with business apps via

scoring equations in:

• Java

• PMML

• SAP HANA

• Many more

Non-Intrusive Time to Value Repeatable Deploy


Refresh analytic data sets

and models automatically

Deploy scores to production

Alert on data and model

deviations

No Programming Scale Manage By Exception Improve

Every Model at Peak Performance


Improve Insight Extend Reach Boost ROI

Social

Use social variables for

enhanced prediction

Identify communities

amongst your customers

Find influencers to make

your campaigns viral

Improve Insight with Social Networks


Adaptive Big Data Plug and Play

Recommend

Addresses any type of

business questions

Make product

recommendations,

targeting digital content

Social recommendations

(e.g., friends) and targeted

ads

Personalize the Recommendations


Improve, Unlock, Govern, and Predict

SAP

InfiniteInsight

SAP Business

Suite,

Success Factors,

RDBMS,

3rd party Apps

Text and Binary

Files, XML,

Excel, JMS, Web

Sources

Hadoop/Hive

SAP

Data Services

Native support

for 40+ sources

& interfaces

SAP HANA (SAP In-memory

computing)

SAP Sybase IQ

• Connectivity

• Transformations

• Quality

SAP

Predictive

Analysis


In-Memory Predictive and Machine Learning

C4.5

decision tree

Weighted

score tables

Regression

ABC

classification

Spatial, Machine,

Real-time data

Hadoop/Sybase IQ,

Sybase ASE, Teradata

Unstructured

PAL

R-scripts

SQL Script Optimized

Query Plan

Main Memory

Virtual

Tables

Spatial Data

R-Engine

KNN

classification

K-

means

Associate

analysis:

market

basket Text

Analysis

SAP HANA

HANA Studio/AFM,

Apps & Tools


SAP HANA: Text Analytics for Big Data

File Filtering

Unlock text from binary documents

Ability to extract and process

unstructured text data from various file

formats (txt, html, xml, pdf, doc, ppt, xls,

rtf, msg)

Load binary, flat, and other documents

directly into HANA for native text search

and analysis

Native Text Analysis

Give structure to unstructured textual

content

Expose linguistic markup for text mining

uses

Classify entities (people, companies,

things, etc.)

Identify domain facts (sentiments, topics,

requests, etc.)

Supports up to 31 languages for

linguistic mark-up and extraction

dictionary and 11 languages for

predefined core extractions

SAP

HANA Text &

Sentiment

Analysis

Search Analyze Predict


SAP HANA: Spatial Analytics for Big Data

SAP HANA

Spatial

Processing

Real-time Spatial Processing

High-performance algorithms

analyze massive amounts of

spatial data in real time

Mobility Visualization Analytics HTML 5 GIS Applications

Spatial Analytics Optimization

Columnar storage

architecture eliminates need

to create spatial indexes,

tessellation, or other

optimization techniques

Geo-content & services

Maps, geo-content, and

geospatial services for

seamless application

development and

deployment

Spatial Data Types &

Functions

Store, process, manipulate,

share and retrieve spatial

data directly in the

database

Business

Data + Spatial Data + Real-time

Data

Geo – Services

- Geocoding - Base maps

Geo – Content - Political

Boundaries - POIs

- Roads

Columnar Spatial

Processing

Calc Model / Views - Joins - Views

Spatial Functions

- Area - Distance - Within

Spatial Data Types

- Points - Lines

- Polygons

Transact-

ion Data Unstructur

ed Data

Location

Data

Machine

Data


Big Data Open and Flexible Architecture

SAP

HANA

Log

files

Unstructured

files

Data loading

for Pre-process

Load results

into SAP HANA

SAP Sybase IQ

(Data Services)

Query

Federation

Smart Query Access (Data

Virtualization)

SAP Sybase IQ

Integration at ETL layer

Data Services provides

bi-directional SAP

Hadoop connectivity:

HIVE, HDFS, Push

down entity extraction to

Hadoop as MapReduce

jobs

ETL data into SAP

Sybase IQ

Direct SAP HANA-Hadoop connectivity

Virtual Table (SAP HANA smart data access)

– Virtual HANA table to federate a Hive table at

query time

HCatalog integration

– Leverage Hadoop metadata to improve query

performance, e.g. partition pruning in Hadoop before

executing query

Query federation with SAP Sybase IQ

SAP BI connectivity

SAP BOBJ multi-

source Universe can

access

Hadoop HIVE

SAP

Predictive

Analysis

and

SAP

InfiniteInsight


R Integration

Adoption by the market

R Integration with SAP Predictive

Analysis

Drag and Drop – No Coding

Custom R Algorithms –

Programming

Access to over 5,000+ algorithms and

packages

More algorithms and packages than

SAS + SPSS + Statsoft

Embedding R scripts within the SAP

HANA database execution

Use Cases and Customer

Case Studies


Predictive Use Cases — Industry and LoB

•Customer

Churn/

Retention

•Cross-

Sell/Upsell

•Campaign

Management

•Lifetime Value

•Pricing Optimization

•Product Launch

Success

•Brand Sentiment and

Sales Analytics

•Cross/Up Sell

•Product Launch

Success

•Brand Sentiment

and Sales Analytics

•Regional

Forecasting

•Brand

Sentiment and

Sales Analytics

•Next Best Activity

•Cross Sell/Upsell

•Churn Reduction

•Customer

Segmentation

•Brand Sentiment

and Sales

Analytics

•Brand Sentiment and

Sales Analytics

•Credit Risk

•Fraud

Management

and

Prevention

•Credit Scoring

•Fraud Management

and Prevention

•Optimizing Product

Quality

•Credit Scoring

•Compliance

•Retail Outlier

•Fraud Management

and Prevention


Quality

•Credit Scoring

•Compliance

•Fraud

Management

and Prevention

•Optimizing

Product Quality

•Credit Scoring

•Underwriting

•Default/bankruptcy

Risk

•Tax Fraud

•Credit Card Fraud

•Insurance Fraud

•Predictive Asset

Maintenance

•Fraud Management and

Prevention


Quality

•Anomaly

Detection

•Usage

Forecasting

•Customer

Segmentation

•KPI Forecasting

•Anomaly Detection

•Usage Forecasting

•Store Segmentation

•In-Store Workforce

Optimization

•Size and Zone

Optimization

•Market Share

Prediction

•KPI Forecasting



•KPI

Forecasting

•Anomaly

Detection

•Usage

Forecasting

•KPI Forecasting



•KPI Forecasting



•Variable Margin Analysis

•Yield Management

•Equipment Effectiveness

•Labor Utilization

•Out of Stock Prediction

•Demand Forecasting

•Inventory and Logistics

Planning

•Out of Stock

Prediction

•Inventory and

Logistics Planning

•Out of Stock

Prediction

•Inventory and

Logistics

Planning

•Predictive Commodity

Management

•Improving Demand

Planning and Inventory

Management

Retail CPG Financial Services Manufacturing Telecom E-Business

Customer/

Marketing

Fraud/

Risk

Operations

Supply

Chain


eBay – Professional Service (Internet) American Multinational Internet Consumer-to-Consumer Corporation

Product: Early Signal Detection System Powered by Predictive Analytics on SAP® HANA

Business Challenges/ Objectives

Increase ability to separate signal from noise to identify key changes to the health of eBay’s marketplace

Improve predictability and forecast confidence of eBay’s virtual economy

Increase insights into deviations and their causes

Technical Challenges

Detect critical signals from 100 PBs of data in eBay EDW

Highly manual process because one model does not fit all the metrics hence requires analyst intervention

Benefits

Automated signal detection system powered by predictive analytics on SAP HANA selects best model for metrics automatically; increases accuracy of forecasts

Reliable and scalable system provides real-time insights allowing data analysts to focus on strategic tasks

Decision tree logic and flexibility to adjust scenarios allows eBay to adapt best model for their data

“HANA is valuable in the sense that it accelerates that speed to insight. HANA, with in-memory capability, with multicore, fast, lots of data,

all of that coming together is how I think analytics is going to work broadly in the future.” - David Schwarzbach, VP&CFO eBay North

America at eBay Inc.

“HANA system will free up all the bandwidth right now involved in figuring out what is going. The user just has to feed in their metric,

doesn’t have to really worry about which algorithm is the best and be able to use the system because it is inherently intelligent and

configurable.” - Gagandeep Bawa, Manager, North America FP&A at eBay Inc.

“ ”

Determine

with 100%

Accuracy that a signal is positive at 97% confidence

Automated

Early Signal

Detection system powered by

SAP HANA


Mitsui Knowledge Industry Healthcare – Speed Research and Improve Patient Support

Business Challenges

Reduce delays and minimize the costs associated with new drug discovery

by optimizing the process for genome analysis

Improve and speed decision making for hospitals which conduct cancer

detection based on DNA sequence matching

Technical Implementation

Leveraged the combination of SAP HANA, R, and Hadoop to store, pre-

process, compute, and analyze huge amounts of data

Provide access to breadth of predictive analytics libraries

Benefits

For pharmaceutical companies, provide required new drugs on time and aid

identification of “driver mutation” for new drug targets

Able to provide a one stop service including genomic data analysis of cancer

patients to support personalized patient therapeutics

Our solution is to incorporate SAP HANA along with Hadoop and R to create a single real-time big data platform. With this we

have found a way to shorten the genome analysis time from several days down to only 20 minutes.

Yukihisa Kato, CTO and Director of MITSUI KNOWLEDGE INDUSTRY

408,000x

faster than

traditional disk-

based systems in

a technical PoC

216x faster by

reducing genome

analysis from

several days to

only 20 minutes

making real-time

cancer/drug

screening

possible

“ ”


Eldorado — Boosting Sales Forecast Accuracy

Business Challenges/Objectives

Analyze data stored in the SAP® 360 Customer solution from over 1.5 million point-

of-sale transactions for more than 420 product groups and sales of over 8,000

products each month

Improve forecast precision to boost sales and reduce inventory costs

Benefits

Building approximately 500 predictive models a month, a task impossible with

traditional modeling techniques that required weeks or months to build a single

model

Creating forecasts for assortment planning, shelf replenishment, pricing and

promotion analysis, store clustering, store location selection, and sales and

purchasing planning

Achieving up to 82% accuracy in sales forecasts, a 10% improvement over prior

forecasting techniques

“SAP InfiniteInsight has given us a scalable approach to create accurate forecasts across our

business”

Elena Zhukova, Head of Analytics, Eldorado LLC

“ ”

82%

Accuracy in

Sales

Forecast

500+

predictive

models per

Month


Belgacom — Reduces Churn and Increases

Customer Satisfaction


Leverage previously unseen customer insights to reduce customer churn and identify

new revenue opportunities

Enhance churn detection, speed up deployment for predictive models, and identify

revenue potential across the customer lifecycle

Benefits

Enables next-best-action marketing across all channels, from call centers to the Web

to retail stores

Optimizes interactions throughout the complete customer relationship, revealing

previously unseen customer insights

Identifies market gaps, turning them into revenue

Increases customer satisfaction and reduces customer churn

Raises return on marketing investments

Accelerates modeling time from months to days

“ ”

Modeling

time reduced

from months

to days

4x increase

in campaign

response

rates

“With SAP InfiniteInsight, we can deliver the right offer to the right customer at the right time.

It’s a real competitive advantage. We’re getting the most out of our marketing dollars and a

higher return on our marketing investments.”

Filip Deroover, Business Intelligence Specialist, Belgacom Group


Banglalink — Boosts Customer Retention

Objectives

• Improve retention campaign results to combat customer churn

• Analyze Big Data coming from sources such as call detail records, product subscriptions, voucher transactions, package conversions, and cell site locations

Why SAP

• Supports intuitive building of predictive models, even for users with no or little experience in data science or statistics

• Includes prepackaged predictive models and a predefined analytical data architecture to accelerate the time required to prepare analytical data, build predictive models, and deploy resulting scores into production

Benefits

Enabled a model to detect more than a quarter of all future churners with only a 10% sample of the highest scores

Deployed SAP® InfiniteInsight® solution within five months

Gained the tools to build and deploy predictive models in hours, as opposed to weeks or months

“Using SAP InfiniteInsight, we are able to build customer loyalty through targeted retention

programs which drive hard-line results to our business.”

Nizar El-Assaad, CIO, Banglalink Digital Communications Ltd.

“ ”

55% of future

churners

within 5% of all

subscribers

Predictive

models in

hours as

opposed to

weeks or

Month


Groupe SAMSE — Improving Marketing,

Risk Prevention, and Inventory Forecasting


Boost marketing campaign performance, risk prevention, and inventory forecasting across 25 brands and 290 sales outlets

Analyze terabytes of data on over 300,000 loyalty cardholders and 30,000 enterprise customers each day

Build and analyze a 360-degree view of both business-to-business and business-to-customer relationships

Update predictive models weekly, rather than monthly, to ensure timely predictions

Benefits

Response rate to direct marketing campaigns up by 220% • Predictive models that require just a week, rather

than months, to update

Balance between systematic and flexible exploration of daily data across group brands using predictive models

Early-warning system for individual customer construction projects, enabling personalized product recommendations in near-real time across multiple customer-facing channels, including retail outlets, call centers, and sales

“SAP InfiniteInsight has helped uncover dependable patterns and insight that were previously

unattainable.”

Corentin Jouan, Head of Business Intelligence, Groupe SAMSE

“ ”

220%

increase in

marketing

campaign

responses

Predictive

models that

require just a

week, rather

than months


Aviva: Building Predictive Models with Ease

Using SAP® InfiniteInsight®

Objectives

Leverage predictive analytics to build propensity models for individual customer groups rather than build generic models for all customers

Avoid contacting customers too frequently, while also improving campaign response rates

Increase return on marketing and campaign response rates by identifying customers most likely to respond

Why the SAP® InfiniteInsight® solution

Charts that help marketing experts visualize the anticipated business impact of models Significantly better modeling automation that allows many models to be built with ease Automatic analysis of the individual contributions of hundreds of variables to a model,

rather than manual inspection of a limited number of variables

Future plans

Further improve return on marketing with uplift modeling that predicts the impact of marketing activities on specific target groups

Build predictive models to analyze customer acquisition and win-back

"Modeling made easy – thanks to SAP InfiniteInsight.”

Dr. Margaret Robins, Statistical Analyst, Data Analytics and Insight,

Aviva plc

Personalized Further improve return on marketing with uplift modeling that predicts the impact of marketing activities on specific target groups

Efficient Significant increase in the number of propensity models used within the company, with more than 30 models in production

Current Ability to use the freshest data to keep models up-to-date and capture the latest trends

30599 (14/05) This content is approved by the customer and may not be altered under any circumstances.


AAA: Boosting Marketing Insight Across the

Customer Lifecycle with SAP® InfiniteInsight®

Objectives Optimize marketing insight across all stages of the customer lifecycle Provide a more powerful and centralized means of analyzing customer information and

optimizing marketing across motor clubs Establish a cost-effective, easy-to-access approach to predictive analytics Why SAP Standard reporting features of the SAP® InfiniteInsight® solution, including modeling

results, variable contributions, and gain charts, that club marketing teams can easily understand

Ability to provide collective insight to clubs about members most likely to benefit from the association’s wide range of offerings

Scalability of predictive models that can be managed by just two business analysts across multiple motor clubs

Benefits Optimized marketing across channels for nearly 70% of members Enabled custom offers to fit individual member interests and needs Cut attrition and increased overall customer lifetime value by extending targeted offers to

members with low usage Earned millions of dollars in sales, thanks to optimized marketing campaigns for some

clubs

"SAP InfiniteInsight helps us put the right products and services

in front of members at the right time.“

Daniel Mathieux, Member Insights and E-Business, American

Automobile Association (AAA)

Optimized Marketing campaigns across channels for nearly 70% of members

Customized Enabled custom offers to fit individual member interests and needs

Loyal Cut attrition and increased overall customer lifetime value by extending targeted offers to members with low usage

Valuable Earned millions of dollars in sales, thanks to optimized marketing campaigns for some clubs



Tipp24: Quadrupling Marketing Campaign

Performance with SAP® InfiniteInsight®

Top objectives Better understand the customer lifecycle to nurture high-value customers, increase up-

sell and cross-sell opportunities, and reduce churn Gather detailed customer behavior data to optimize marketing campaigns Enable efficient predictive modeling across all marketing activities and customer channels Why the SAP® InfiniteInsight® solution Better performance and scalability when compared to SAS software and SPSS software

from IBM Ability to identify customer behavior patterns to improve satisfaction Ability to predict which customers are at risk of becoming inactive and which inactive

customers are likely to become active again Key benefits Optimizes campaigns and the customer lifecycle across multiple channels, including

telephone, direct mail, and e-mail Enables proactive relationship management with existing and potential high-value

customers Reduces churn and increases overall customer lifetime value

“In our first year using SAP InfiniteInsight, we realized a 300%

uplift in targeting accuracy.”

Pankaj Arora, Senior Analytics Consultant, Tipp24.com

300% Improvement in targeting accuracy, including identifying likely players for weekly, monthly, or permanent tickets for specific lotteries

25% Reduction in target audience size for any individual campaign, thanks to more-precise analytics

90% Less time to build and deploy predictive models (from weeks to days), increasing the productivity of the analytics team



Pirelli: Improving Safety and Cutting the Cost of

Every Customer’s Commute with SAP HANA®

Business Challenges Allow Pirelli to deliver new services to fleet managers to monitor tire usage and

predict maintenance needs Provide timely information on monthly costs, profitability, sales and distribution,

and supply chain management Process and analyze large volumes of tire data in real time to predict diagnostic

and maintenance work requirements Technical Implementation Installed tire sensors to collect pressure and temperature data that can be

transmitted to the driver, fleet manager, or dealer Centralized data from sensors, GPS devices, and customer records Enabled processing and analysis of data from 600 fleets with 1,000 assets (trucks

and trailers) each with the SAP HANA platform, providing real-time data updates every 1–2 minutes for 16 hours per day, 6 days per week and resulting in 40 billion data events per year

Key benefits Increased competitiveness and innovation using cutting-edge technology Increased customer satisfaction, thanks to proactive tire maintenance, improved

safety, and lower costs associated with greater fuel efficiency and longer tire lifespan

“With SAP HANA, Pirelli can capture, store, and analyze data from multiple fleets to

discover new insights. For example, we can correlate street conditions, climate, and

local practices, then use that insight to improve product quality and performance.”

Daniele Benedetti, Applicative Architectures – Integration and Innovation, Pirelli & C. SpA

>40

billion Events analyzed

per year

Up to 3%

Up to

20%

Lower fuel and tire

costs

Extended tire

lifespan

Wrap-Up


Unleash Your Collective Insight

sapbusinessobjectsbi.com sap.com/predictive saplumira.com

ENGAGE PREDICT VISUALIZE

Real-Time Platform saphana.com


Where to Find More Information

• SAP Predictive Analytics

• www.sap.com/pc/analytics/predictive-analytics.html

• www.sap.com/pc/analytics/predictive-analytics/software/infiniteinsight/lob-

industry/overview.html

• https://help.sap.com/ii_re

• https://help.sap.com/pa10

• http://marketplace.saphana.com/Industries/Industrial-Machinery-%26-Components/SAP-

Predictive-Analysis/p/3527

• SAP HANA

• www.saphana.com/community/about-hana/advanced-analytics

• www.saphana.com/community/hana-academy

• https://help.sap.com/hana_platform/

• SAP Big Data

• www.sapbigdata.com/

http://www.sap.com/pc/analytics/predictive-analytics.html



http://www.sap.com/pc/analytics/predictive-analytics/software/infiniteinsight/lob-industry/overview.html





https://help.sap.com/ii_re

https://help.sap.com/ii_re

https://help.sap.com/pa10

https://help.sap.com/pa10

http://marketplace.saphana.com/Industries/Industrial-Machinery-%26-Components/SAP-Predictive-Analysis/p/3527












http://www.saphana.com/community/about-hana/advanced-analytics





http://www.saphana.com/community/hana-academy



https://help.sap.com/hana_platform/

http://www.sapbigdata.com/

http://www.sapbigdata.com/


7 Key Points to Take Home

• Identify the entry “V”

• Assess current capabilities against what’s required

• Get the initial project, move iteratively

• Find the compelling use case where Advanced Analytics can help

• Leverage advanced analytics from SAP to drive value out of Big Data

• Download the SAP Predictive Analytics 30-day trial

• Predict and act in real time on Big Data

© 2014 SAP SE or an SAP affiliate company. All rights reserved.

Thank you

Charles Gadalla

[email protected]

@cgadalla

© 2015 SAP SE or an SAP affiliate company. All rights reserved.

mailto:[email protected]

mailto:[email protected]


© 2015 SAP SE or an SAP affiliate company. All rights

reserved.

No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate

company.

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company products and

services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be

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In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation,

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A technical guide to leveraging advanced analytics capabilities from SAP

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