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NEW YORK, January 18, 2006 - Fulcrum, a provider of integrated database marketing solutions, announced the release of its proprietary Customer Equity Models, a ground-breaking methodology for segmenting customers by their propensity to increase, maintain, or decrease spending in the future.

Customer Equity Modeling employs a number of powerful statistical techniques, such as latent class analysis and stochastic models, to predict future spending patterns and lifetime value at a customer level. Moreover, external variables, such as demographic characteristics, can be included to produce distinct segments of customers and prospects. It supports a variety of marketing applications, including identifying and reducing "soft" attrition, improved targeting of customers for up-selling and cross-selling offers, and forecasts of customer lifetime value. It also enables more accurate sales forecasting at the product, category, and geographic level.

Hongjie Wang, Vice President of Advanced Analytics at Fulcrum and the product's lead researcher, said: "Our aim was to create a whole new approach that provides a highly accurate predictive tool that is both flexible and very stable. We have validated the technique against a number of real-world data sets and it reliably provides highly accurate predictions."

Fulcrum's CEO, David King, said, "Customer Equity Models provide an extraordinary tool for companies to understand customer behavior in entirely new ways and to make the right decisions that build greater customer equity. Any marketer looking to improve their program performance should strongly consider adding Customer Equity Models to their analytical arsenal."

About Fulcrum Analytics

Fulcrum is a leading provider of sophisticated database marketing solutions, including data management, advanced analytical services, and turnkey program management to companies in retail, manufacturing, financial services, healthcare and telecommunications. Fulcrum helps executives bring new and sustainable profit streams to their businesses and increase the incremental profit generated from all customer interactions.

Fulcrum has won numerous awards in Marketing Optimization including the NCDM Database Marketing Gold Excellence Award, presented annually by the Direct Marketing Association.

Fulcrum is headquartered in New York City with regional offices in Fairfield, CT, Chicago and Richmond, VA.