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The Buck Starts Here: Direct Marketing in the 21st Century
Presented by:Sue Collins
CollinsConsultsFebruary 21, 2008
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What the Heck is Direct Marketing?
• Type of Marketing
• Two key characteristics: • Sends messages directly to purchasers
without intervening media• Focused on driving purchases, e.g., have a
strong “call-to-action”
• Trackable, measurable results if you do it right (response)
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And Another Thing . .
• Much more accurate and in-depth way to track and measure ROI
• Offers the ability to track multiple campaigns and multiple offers
• Also feeds into larger sales and marketing intelligence with tracked results
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Why Does Direct Marketing Work?
• 1: 1 conversation with your customers• You are reaching your customers directly• Personal • Carries a message• Answers questions• Gets orders/turns customers into insiders
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The Value
Source: Responsys
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Primary Forms of Direct Marketing
• Direct mail/Catalog
• Telemarketing
• Email marketing
• (Conference Marketing)
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Direct Mail
• Catalogs – very important in our market
• Direct Mailers
• Poly-bag packages
• Postcards
• Envelope Mailers
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Advantages of Direct Mail
• Targeted
• Personalized
• Optimized by testing
• Analyzed
• Accumulation of responses
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Telemarketing
• Salesperson (that’s key)
• Telephone calls to solicit prospective customers to buy products or services
• Over the phone or through a subsequence face to face or Web conferencing appointment scheduled during the call
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Value of Telemarketing
• Lead Generation
• Sales
• Outbound Marketing
• Inbound Calls -- the best of all worlds!
• Added value: market intelligence from customers and prospects
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• Enhance relationships
• Acquisition of new customers
• Announcements
• Offers
• Customized
• Tracking by landing pages
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Value of Email Marketing
• Broad distribution to a specific targeted group
• Low cost
• Immediate
• Response can trigger additional messages
• Response can be specifically tracked
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Direct Marketing Methods Companies Use
Source: QED’s Direct Marketing Study, September 2007
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Top Three Direct Marketing Methods Used
Source: QED’s Direct Marketing Study, September 2007
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Successful Direct Marketing
Remember 60 - 30 - 10
• 60% of your effort should be directed at the target (list quality)
• 30% against the offer
• 10% is creative
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How Do You Know That You Have Been Successful?
• Cost per acquisition
• Cost per piece
• Response rate
• If your average dollar order size has increased
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The Keys!!!!
1. Get Attention! 2. Arouse interest and emotion3. Tell an interesting story in a believable way4. Offer an incentive to take action…NOW5. Ask for action, and make it easy for people to do it6. Test, Test, Test!!
Do everything you can to hold people’s attention for as along as possible– that means lots of small pieces and parts, compelling covers or intriguing envelopes.
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7 (Deadly) Mistakes
• Wrong list, wrong result• Only one contact/customer• Offer that doesn’t answer a customer need• Dull headline • Unbelievability • Not reaching the right people with the right
promise• Not asking for the order in a simple, easy way
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When Should You Use Direct Marketing?
• When you know who your buyer is and can “get” to them
• You have a clear, compelling offer that meets a customer need
• You have a call to action• A time window for sales (buying cycle)• Product, seasonal news, anything
temporal
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What Has Changed????
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Our Customer Are:
• Getting their information in different ways• Searching the Web• Through Blogs and Podcasts• Participating in Social Networks• Registering and showing up at Webinars• Reading daily alerts (role of PR)
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Go To Where Your Customers Are: Web 2.0 Marketing
• Web – How easy is it for customers to find you?
• Blogs – Who can speak for you? What are people saying about you?
• Social Networks –Should you participate?• Online media room – What should you have
on your website?• Podcasting – What should you broadcast?
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Marketing Framework
Foundational ActivitiesConference / PR / Collateral / Sales & Channel Tools / Ads /
Online Media Room
Training/UsageDrivers
Website
Word of Mouth/New MediaCommunity / Blogging / Camtasia / Podcasting /
Content / Influencers / Contests
Offers
Lead Generation/
Direct MarketingeMail andDirect Mail
Existing Customers New Customers
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Handout
Marketing Toolkit
• Audience
• Key Drivers
• Images
• Messages
• Vehicles
Source: CollinsConsults/Winter Group
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Handout
QED’s Direct Marketing Study: A Snapshot of the Educational
Marketplace
September 2007