Freeserve is turning to analysis software to boost its advertising and ecommerce revenue and target services more effectively at subscribers.
The Dixons subsidiary says the software will analyse 1.9 million account holders, as well as the non-members who make up 20 per cent of visitors to its homepage.
Last quarter, the internet service provider saw a 54 per cent increase in ecommerce and advertising revenue, which now make up more than half of its total turnover.
"In terms of advertising, we can increase revenue streams through sophisticated analysis," said the company's marketing data manager, Helen Litvak. "If a premium can be justified, we can charge it."
Litvak declined to put a figure on expected returns. It is using software from Business Objects and a Whitecross data warehouse hosted in Leeds by application service provider Planet Online.
The phased project began last November, with a 12-week analysis of what information Freeserve marketing staff needed. Some basic one-off reports were also developed.
Phase two started in January, and is due to finish by the end of May. It allows continuous analysis of registration details such as demographics, user dial-in, and subscribers' web-browsing habits.
Freeserve plans to analyse its partners' web sites, and their ecommerce and search logs.
"Customer relationship management is all about knowing your customers," said Wolfgang Martin, vice president of analyst Meta Group. "If you don't, you can't service them correctly. Analysis software is the basic requirement for businesses to act correctly."
This story has been republished from the 20 April issue of Computing
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