Identifying the Potentially Most Profitable Customers

Identifying the Potentially Most Profitable Customers

Red Hat has accumulated a large amount of data on its solution selling methods, effective ways of customer communication, and customer profiles. Based on these data, we have developed an algorithm for customer segmentation to single out the potentially most profitable customers and effective ways to interact with them.
Information Technologies
<= 1 man-year


Despite the huge number of potential customers paying interest to its services, Red Hat’s profits were mainly generated by a relatively small number of regular ones. The company had to find a way of quickly identifying customers that had the potential of becoming very profitable ones so that it could pay special attention to them from the very first contact.


The only way to achieve the goal appeared to be analyzing a large amount of information, which would allow them to form criteria for identifying VIP customers and the most effective ways to communicate with them.

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