Skip to Main Content

Verizon Executive, Alumnus on Data-Driven Decision Making


Date Published: March 8, 2016

Advertisements—we see them everywhere. Whether it's television commercials, pop-up ads, billboards or direct mailers, we are surrounded by marketers determined to grab our attention and spur us to action in some way. And while some of these tactics may seem scattershot, much of this advertising is targeted to you specifically. Steve Springer (MBA, '04), Regional Director for Sales and Marketing at Verizon, spoke to Dr. Laura Munoz's class about how the multi-billion dollar company determines exactly how and to whom their marketing messages will be delivered.

Student on laptopUsing Data to Drive Targeting

Springer began by explaining that his division is responsible for marketing Fios, Verizon's fiber optic cable network that provides internet, television, and voice services to homes and businesses in areas of Texas. But because the service is not available to every household in the DFW area (only in those areas where the actual fiber optic cable has been installed), Springer and his team must make marketing decisions based on detailed reports in order to most efficiently target their current and potential customers.

"Television and radio ads don't work for us," Springer told the group. "Not only are they expensive, but they generate calls to my call center from areas where I can't provide service. So that kind of marketing is not an efficient use of our resources." Instead of blanketing the entire Dallas-Fort Worth Metroplex with mass-marketing advertising, Springer and his team analyze various data points to determine where their greatest potential for growth lies. "We focus on three specific areas," he said. "Acquisition, retention, and upsell."

Customer-Driven Marketing

Because Fios enjoys a hefty market share and good customer satisfaction ratings in areas where their service is available, Springer explained that the company puts a greater emphasis on retention in communities where their market share is already high. "There will always be some customers who shop on price. And everyone below you wants a piece of your business, so we focus on retaining customers in areas where we have high market penetration," he said. "We want to show our customers that we care about them and will not always be trying to sell them something."

To retain customers, Springer and his marketing team craft messages specific to their target market. For instance, he spends a good portion of his marketing budget to sponsor community events. "High school football is huge in Texas," he said. "And it's something that communities rally around, so we want to be a part of that." In addition, Verizon has sponsored other events such as video game tournaments and robotics competitions to reach IT-savvy customers.

Springer further discussed how Verizon's marketing messages change depending on the demographics of a community. Denton, Texas--home to two universities--has a very large rental community in proportion to other real estate, which affects the types of products his team promotes. "Renters are usually more interested in data alone and less in cable and voice," he said. "So we don't usually offer higher-priced bundles to those customers."

The Importance of Data Analysis

Springer underscored the importance of making marketing decisions based on hard data. Verizon's data comes from a variety of sources, including in-house customer information and from third party research firms that report on market share relative to competitors. "The bottom line," Springer said, "Is that you have a limited marketing budget, so you must have the data to support any marketing decision you make."

News

University Announces New Director of Civil Rights

The University of Dallas has announced a new director of civil rights, Luciana Milano. Milano, who has a Bachelor of Arts in government from Harvard College and a J.D. from Southern Methodist University’s Dedman School of Law, began her new role on Oct. 12.

+ Read More

Donors Endow Philosophy Scholarship in St. John Henry Newman’s Name

“This is the first time we’ve had a scholarship in honor of a great Catholic intellectual — and now, within the last year, saint,” said President Thomas S. Hibbs, Ph.D., BA ’82 MA ’83, by way of introducing the St. John Henry Newman Scholarship in Philosophy recently endowed by alumnus Matthew Hejduk, MA '98 PhD '06, and his wife, Julia Hejduk, Ph.D. Julia was a colleague of Hibbs during his time at Baylor University, where she teaches in the Classics Department.

+ Read More

Former Teacher, MFA Alumna Explores Memory, Pursues Art Full Time

Michelle Cortez-Gonzales, MFA ’20, was a Fort Worth ISD high school teacher with a Bachelor of Fine Arts in painting from the University of Texas at Arlington when she decided to go back to school to get her master’s. At the recommendation of a friend, she visited UD, and knew immediately from the wooded area around the Art Village, the architecture of the buildings, and the faculty members she met that UD was the place for her.

+ Read More