| There are three key elements to every
| |
| | or families with household incomes of
|
| direct marketing campaign: the list, the
| |
| | $50,000 who live within 10 miles of your
|
| offer, and the creative. Experts seem to
| |
| | store. All of these examples are likely
|
| agree that the single most important
| |
| | to do better with a compiled list than a
|
| element is the list. In fact, many
| |
| | response list. This is good news if you
|
| direct marketing professionals claim that
| |
| | understand the demographic profile of
|
| the relative ratio of importance is: 70%
| |
| | your customers since compiled lists are
|
| list, 20% offer, and 10% creative. It is
| |
| | generally less expensive than response
|
| ironic, because this is also the element
| |
| | lists - costing between $40 and $70 per
|
| that is least well understood by small
| |
| | thousand versus $90 to $125 per thousand
|
| business owners and most often
| |
| | for response lists.Response lists are the
|
| over-looked.Before you start it is
| |
| | best choice if you need to cover an
|
| important to understand the intent of
| |
| | entire market of prospects with similar
|
| your campaign and develop a direct mail
| |
| | characteristics. For example, if you are
|
| marketing campaign. Two common goals for
| |
| | selling a specialized software
|
| small businesses are to either (a)
| |
| | engineering tool, or to every Certified
|
| convince existing customers to buy more
| |
| | Public Accountant in the State, there are
|
| (loyalty programs), or (b) convince new
| |
| | lists available from publications that
|
| customers to purchase for the first time
| |
| | serve these markets. Often information
|
| (sales prospecting).Loyalty Programs:The
| |
| | is even available on how frequently these
|
| value to your business of any particular
| |
| | prospects typically respond to offers
|
| customer is known as Lifetime Customer
| |
| | they receive. Response lists, especially
|
| Value - this represents the sum of all
| |
| | among those who are shown to respond, can
|
| purchases that customer will make from
| |
| | produce higher response rates - thus
|
| your business over the lifetime of the
| |
| | justifying the higher price.Both types of
|
| customer. It almost always easier to
| |
| | lists are not always available for all
|
| convince an existing customer to buy more
| |
| | audiences. So a little research may be
|
| of your products or services, assuming
| |
| | required to determine what is available
|
| satisfied customers, then to sell to new
| |
| | for your target market.Once the correct
|
| customers. In fact, repeat sales are
| |
| | type of list is determined the next step
|
| essential ingredient for realizing
| |
| | is to decide how many names are required.
|
| lifetime customer value (LCV).Loyalty
| |
| | This comes back to your direct mail
|
| programs seek to maximize LCV by building
| |
| | marketing plan. First, decide how many
|
| an ongoing rapport with existing
| |
| | customers you are trying to acquire.The
|
| customers. Imagine the local realtor who
| |
| | answer is not as simple as "as many as
|
| sends a monthly newsletter, the
| |
| | possible". Consider how many responses
|
| neighborhood garage that sends out a note
| |
| | you can handle. If the goal is to have
|
| when it's time for a regularly scheduled
| |
| | customers call you, and you only have one
|
| oil change, or a local retailer who sends
| |
| | person to answer the phones, then you
|
| out invitations several times a year for
| |
| | probably don't want 10,000 prospects
|
| private sales events for "preferred"
| |
| | calling you at once. It is a simple rule
|
| customers only. These are all examples
| |
| | of marketing that the further you get
|
| of loyalty programs.To do a successful
| |
| | from the initial point of contact with
|
| program of this nature it is essential to
| |
| | your prospects the less likely they are
|
| know who your customers are. Most
| |
| | to buy. Thus, you only want as many
|
| businesses keep a list of current
| |
| | prospects as you can service at any given
|
| customers - this is called a house list.
| |
| | moment in time.Similarly, if you have a
|
| The most basic list will include a name
| |
| | restaurant that only has seats for 100;
|
| and contact information (e.g. address,
| |
| | it doesn't make sense to attract 1,000
|
| phone number, email address, etc.).
| |
| | new customers to your doorstep on any
|
| However, the more detailed information
| |
| | given day. If you have the chance to
|
| that is available the more useful the
| |
| | acquire a new customer you may only have
|
| list will be. For example, it is simple
| |
| | one chance. Another simple rule of
|
| to see how purchase history, income
| |
| | marketing is that it is ten times easier
|
| level, gender, and personal data can all
| |
| | to get a new customer to try your
|
| lead to more targeted marketing. The
| |
| | business the first time, then it is to
|
| more targeted a program the better the
| |
| | get them to try it again if they have a
|
| chance of success.Given the importance of
| |
| | bad experience; plan to acquire only as
|
| repeat purchases, and the role that
| |
| | many customers as you can service - and
|
| loyalty programs can play in driving
| |
| | serve them well. In the long-run this is
|
| those sales, it is important to gather
| |
| | a far more powerful plan.With your target
|
| information on your existing customers.
| |
| | in mind just work backwards. For
|
| Some businesses routinely gather this
| |
| | example, if you are trying to attract 100
|
| information (e.g. auto mechanics,
| |
| | new customers, and you believe that 2%
|
| plumbers, and appliance repair people
| |
| | will respond to the promotion, of those
|
| require a completed work-order for every
| |
| | 50% will buy, then you will need 10,000
|
| customer). For other types of
| |
| | names (10,000 * 2% * 50% = 100).
|
| businesses, a little more creativity may
| |
| | Response rates will vary depending upon
|
| be required (e.g. the "club card" that
| |
| | the accuracy of the list and
|
| Safeway offers, or a weekly lunch
| |
| | attractiveness of the offer. Direct mail
|
| give-away by a local restaurant for those
| |
| | professionals often use a 2% response
|
| customers willing to put their card in a
| |
| | rate as the benchmark for a successful
|
| fishbowl).When building this type of list
| |
| | campaign. However, much higher response
|
| be sure that it is "opt-in". This means
| |
| | rates are possible with a targeted and
|
| to tell your customers that you will be
| |
| | attractive offer.When using a response
|
| sending them information periodically and
| |
| | list the vendor can often provide you
|
| get their permission. Most customers
| |
| | with target counts. These may or may not
|
| will give you permission willingly if
| |
| | be enough to meet your goals. You may
|
| they know you will periodically send them
| |
| | need to combine several response lists to
|
| offers or information that are valuable
| |
| | get the list counts that are
|
| to them (e.g. coupons, special offers,
| |
| | required.With compiled lists the trick is
|
| the weekly menu, etc.).No matter what
| |
| | to configure the demographic selects
|
| type of business you are in, building an
| |
| | appropriately to produce the size list
|
| accurate and detailed house list is
| |
| | required. For example, if you need
|
| essential for maximizing lifetime
| |
| | 10,000 names, and you request all females
|
| customer value. As we will see, it is
| |
| | within ten miles of your business, and
|
| also an important first step in driving
| |
| | the initial list count is 100,000 names,
|
| new sales.Sales Prospecting:Even with the
| |
| | then you may have to tighten your search
|
| most loyal customers there is a natural
| |
| | criteria - possibly by adding another
|
| attrition among existing customers. In
| |
| | select (e.g. income level). In a similar
|
| fact, this attrition may not be the fault
| |
| | fashion, the demographic criteria can be
|
| of your product or service - customers
| |
| | relaxed slightly if the name count is not
|
| move, customers die, lifestyles change,
| |
| | high enough.In addition, this is not a
|
| and so do personal preferences. The
| |
| | strictly compiled or response list
|
| bottom line is that sales' prospecting is
| |
| | decision. If both are available, and the
|
| an essential part of maintaining business
| |
| | counts are sufficient, then it may be
|
| growth.One of the most effective tools
| |
| | appropriate to do some small test
|
| available for sales prospecting is direct
| |
| | mailings to determine which produces the
|
| mail. According to the Direct Marketing
| |
| | best results for your business, whatever
|
| Association, on average, direct mail
| |
| | type of list you choose. It is always
|
| returns ten dollars for every dollar
| |
| | best to do test mailings to a particular
|
| invested. However, as noted earlier,
| |
| | list, hone your message, and then mail to
|
| the most pivotal element to direct
| |
| | the larger list.Summary:There are two
|
| marketing success is having the right
| |
| | types of mailings that should be used to
|
| list. What does it look like? Where
| |
| | drive any successful marketing effort:
|
| does it come from? Where do you start?If
| |
| | loyalty programs and prospect mailing.
|
| you are prospecting for new customers you
| |
| | The best results are achieved for loyalty
|
| will probably not have their names. But,
| |
| | programs when a detailed house list is
|
| names of qualified prospects are
| |
| | available. For prospect mailings, lists
|
| available through list brokers - or
| |
| | must usually be purchased - a detailed
|
| directly from Zairmail. However, to buy
| |
| | house list can also be incredibly
|
| mailing lists it is essential to know
| |
| | valuable for purchasing the correct
|
| what your best prospective customers look
| |
| | list.There are two primary types of lists
|
| like. That's where your house list comes
| |
| | available for prospect mailings: compiled
|
| in handy. Scanning through your house
| |
| | lists and response lists. The correct
|
| list you can identify the traits that are
| |
| | choice revolves around the type of
|
| common among your best customers. For
| |
| | customer you are targeting, geographic
|
| example, you may find that your best
| |
| | and market reach, and total list counts
|
| customers live within five miles of your
| |
| | that are available. The best choice is
|
| business and have incomes less than
| |
| | based on a well thought out direct mail
|
| $50,000. This demographic information
| |
| | marketing plan and realistic
|
| will help you purchase a list of
| |
| | targets.Direct mail is the most powerful
|
| customers that will buy.There are two
| |
| | advertising medium available - bar none.
|
| main types of lists that can be
| |
| | Put the right offer in front of the right
|
| purchased: compiled lists and response
| |
| | customer and they will buy. If you need
|
| lists.Compiled mailing lists are
| |
| | assistance we are here to help. Zairmail
|
| comprised of information from public
| |
| | can help you purchase the right list for
|
| records and sources such as the phone
| |
| | your needs. It is our mission to put all
|
| book, courthouse records, bankruptcy
| |
| | the tools in your hands to leverage
|
| filings, mortgage deed records and more.
| |
| | direct mail and make your business an
|
| On the other hand, response mailing lists
| |
| | overwhelming success.Wilson Zehr is a
|
| consist of individuals who have responded
| |
| | Partner in Cube Management ( a Portland,
|
| to an offer either through the mail,
| |
| | Oregon based company that helps
|
| phone, television, or through other means
| |
| | organizations accelerate their sales.
|
| of mass communication (e.g. a magazine
| |
| | Mr. Zehr is also the founder of Cendix (
|
| subscription list, a catalog mailing
| |
| | the leading provider of channel marketing
|
| list, etc.).These types of lists must be
| |
| | tools distributed enterprises. Mr. Zehr
|
| understood - each has a set of unique
| |
| | has over two decades of experience
|
| characteristics that enables it to
| |
| | designing and delivering marketing and
|
| achieve specific and distinct objectives.
| |
| | software solutions for business. He also
|
| The key to success is to understand when
| |
| | has extensive experience driving sales,
|
| it is most appropriate to use each
| |
| | marketing, and strategic alliances with
|
| kind.Compiled list are ideal for those
| |
| | many of the largest technology companies
|
| businesses that need special demographic
| |
| | in the world including: Oracle, Intel,
|
| selectivity to target a well-defined
| |
| | Microsoft, Sun, HP, IBM, Xerox, and many
|
| market, for instance targeting auditing
| |
| | others. Wilson Zehr can be reached at
|
| companies specializing in bookkeeping,
| |
| | Cube Management, , 503.789.2676.
|
| manufacturers with 50 or more employees,
| |
| |
|
