Neural network model for database marketing in the new global economy

The discipline of marketing is going through significant changes. Such changes are necessitated by the globalization of markets aided by the facilitating communications and information processing technologies. In recent years, the discipline has also witnessed significant paradigm shifts such as relationship marketing and micromarketing. Information technology enabled marketers to accumulate large quantities of detailed information about their current and potential customers. However, to convert such vast databases effectively into useful management information, the traditional marketing research tools primarily based on parametric statistical methods are proving to be inadequate. In this context, in this paper it is argued that neural network models (NNMs) will prove to be robust methodological alternatives for marketers to practice database marketing effectively.