Briefs

AnswerTree 3.0 data mining software from SPSS Inc. uncovers hidden segments AnswerTree 3.0 features improved scalability, evaluation graphs that enable users to target the right people more effectively

CHICAGO, Nov. 9, 2001 - The latest version of AnswerTree, the data mining software that enables users to identify and target desirable groups of customers or constituents, is now available from SPSS Inc. (Nasdaq: SPSS). AnswerTree 3.0 is the first release of the software to offer a client/server version for greater scalability and faster analysis of large data sets. AnswerTree also features evaluation graphs that provide at-a-glance summaries of segments for faster, smarter decision making. The software is currently shipping worldwide.

"The scalability now available in AnswerTree elevates the software to an enterprise-strength data mining tool," said Peter Caron, SPSS senior marketing manager. "This means that companies and government agencies that have been using AnswerTree as a desktop application can now bring its segmenting and analytical power to bear across the entire organization. Add to this the new evaluation charts that quickly provide a clear picture of results, and organizations will find that AnswerTree is an indispensable tool for accurately identifying important target groups.

"One application where AnswerTree can be most effective is direct marketing," said Caron. "Targeted at the right people, direct marketing campaigns are an efficient and effective way to reach potential customers. Aimed at the wrong people, they are a waste of both time and money. With AnswerTree, direct marketers can achieve higher response rates and a greater return on investment by targeting only those people most likely to respond."

In addition to direct marketing campaigns, AnswerTree can be used for market research, credit scoring, institutional research, government programs-any instance where identifying distinct groups, patterns or relationships and predicting behavior is important. Examples of AnswerTree applications include:

� Discovering which customer groups buy specific products to increase sales. � Predicting which potential borrowers are most likely to repay loans on time to decrease default rates. � Profiling program participants to more effectively deliver government services.

Chris Bowman, technology manager for the Lafourche (LA) Parish School Board, uses AnswerTree to analyze student performance on a state-administered standardized test. With AnswerTree, Bowman found some interesting and previously undiscovered relationships among scores in various sections of the exam.

For example, Bowman discovered that, for fourth graders at a particular school, low scores in the reading comprehension and conventions parts of the exam were an indicator of poor overall test performance-a relationship that did not exist among fourth graders in other parts of the school system. Because of this revelation, teachers at the school developed lesson plans designed to strengthen those specific reading skills, which in turn should improve the students' overall scores.

"AnswerTree helps me identify particular factors that influence district, school and individual student performance without having to be a world-class statistical genius," said Bowman. "This analysis, in turn, enables us to use our ever-shrinking dollars where they will do the most good."

New features in version 3.0 include: � Increased scalability - A client/server version is available for organizations with multiple users and/or massive data sets. With this version, data resides on the server, minimizing network traffic and eliminating bottlenecks. Additionally, the algorithms in the desktop version have been redesigned to work better with large amounts of data. � Interactive evaluation graphs - Evaluation graphs visually display gains, risk, lift, profit and ROI for better understanding of model performance. � Enhanced usability - Individual nodes can be expanded and collapsed without deleting them, enabling users to see more (or less) of the tree without changing or deleting the model itself. Additionally, enhancements have been added to the zoom, view and navigation tools which improve AnswerTree's usability. � Improved production mode - AnswerTree now automatically generates programming scripts that make it easier to set up repeating analysis like generating weekly updates.

More information about AnswerTree can be found at www.spss.com/answertree.

For more information, see www.spss.com/press/template_view.cfm?PR_ID=464.