Stochastic Solutions specializes in optimization and targeting.

One particular focus is optimization of B2C direct marketing spend to achieve a focused objective, such as maximizing return on investment or the incremental impact of a campaign. We help clients with design of marketing programmes, the measurement and analysis of marketing activity and the targeting of new marketing initiatives using predictive modelling and uplift modelling. We pay special attention to the crucial importance of rigorous control groups, as the key both to understanding the net impact of direct marketing and to optimizing future net impact. This approach has many applications, most notably in the areas of customer retention and of cross-selling, but also in credit risk and other areas of customer decisioning.

More generally, Stochastic Solutions specializes in tackling hard search and optimization problems, particularly those not amenable to traditional methods. We tend to use modern randomized methods, such as evolutionary search ("genetic algorithms"), hill-climbing and simulated annealing, allowing us to deal with hard problems exhibiting characteristics such as discontinuous objectives, multimodal solutions and noisy evaluation.