7. 7
Who are we?
Precision Dialogue is a leading online direct
marketing company in the region.
We develop and help manage our client’s
e-channels
- Build community
- Cross sell product
- Retain client base
- Attract profitable new customers or members
9. 9
What is Direct Marketing?
Direct Marketing Strategy
- Any marketing communication intended to drive a
response and/or behavior on the part of the
intended, and specifically targeted individual
Database Marketing
- The organization of data that can be analyzed,
sorted and used to drive relevant messages to
specific targets
10. 10
Why Direct Marketing?
Communication clutter is at an all time high
Breaking through the clutter is job 1
Impact and relevancy are the two proven methods
to break through and drive behavior
Target marketing is the primary method used to
deliver impactful and relevant messages that
achieve these twin goals
It costs less per sale than advertising and PR plus is
measurable and controllable by you
11. 11
Mass Targeted
Competitive Attention Selective Attention
Breadth Depth
Remember Respond
Impression Decision
Pay for Everyone Pay for Targets
General Advertising and Direct Marketing
A Simple Comparison
Advertising Direct Marketing
12. 12
Emarketing done right
Campaigns that results in dialogue between
two parties.
Both parties have granted permission to each
other and thus the content is precisely focused
and of value to both.
User behavior is tracked and future
communication is refined.
Yesterday: Today:
Marketer Customer
Customer Marketer
14. 14
Direct Marketing – What has the
biggest impact on lift?
1. Targeting, Segmentation and List – “who”
- 50-75%
2. Offer or “the deal?”
- 20-40%
3. Sequence & Frequency of Contact – “how”
- 20-40%
4. Creative – “what and how you say it”
- 10-20%
15. 15
List/Target Selection Factors
Consumer Lists
- Age
- Income
- Gender
- Marital Status
- Homeowner
- Dwelling Type (home or
apartment)
- Mail order buying (by
product type)
- Interests
- Presence of children
- Geographical (zip, SCF,
county, state, carrier
route)
Business Lists
- SIC (Standard
Industrial Classification)
- Employee Size
- Annual Sales/Revenue
- Title
- Any other information
captured on
subscription form
(publications)
- Corporate linkage
information
- # of years in business
- Geographical (zip, SCF,
county, state)
- Credit information
16. 16
Behind the Scenes of E-Direct Marketing
Intelligence/
Research
Marketing
Database/
Analytical
Marketing
Strategic/
Creative
Marketing
Response/
Relationship
Marketing
Campaign
Objectives
17. 17
Market Competitive Analysis - ‘the right benefits”Market Competitive Analysis - ‘the right benefits”
True Capabilities Analysis - ‘the right context”True Capabilities Analysis - ‘the right context”
Customer Analysis - ‘the right behavior”Customer Analysis - ‘the right behavior”
Positioning & Differentiating - ‘the right strategy”Positioning & Differentiating - ‘the right strategy”
Unique Selling Proposition - ‘the right offer”Unique Selling Proposition - ‘the right offer”
Creative Marketing Communications -‘the right message”Creative Marketing Communications -‘the right message”
Direct Marketing Channels –The Key LinkDirect Marketing Channels –The Key Link
Fulfillment & Service - ‘the right satisfaction”Fulfillment & Service - ‘the right satisfaction”
Measurement & Assessment - ‘the right performance”Measurement & Assessment - ‘the right performance”
Adaptation and Innovation - ‘the right change”Adaptation and Innovation - ‘the right change”
Segmenting & Targeting - ‘the right market”Segmenting & Targeting - ‘the right market”
Datamining & Profiling - ‘the right information”Datamining & Profiling - ‘the right information”
Intelligence/
Research
Marketing
Database/
Analytical
Marketing
Strategic/
Creative
Marketing
Response/
Relationship
Marketing
DirectMarketingProcess
18. 18
Do we know what our intended customer wants or
needs?
What benefits do they seek? What is their pain?
There are no average customers
The best way to find out? ASK!
Implicit vs. Explicit information
Customer Analysis - “the right behavior”Customer Analysis - “the right behavior”
19. 19
Internal vs. external analysis
- What is the market doing
- What are you good at doing yourself?
Reactive vs. Proactive
- From Good to Great/Fox and Hedgehog
Ask and audit…what do you truly do best? And,
what are you most profitable doing?
What you think you do best vs. what your
customer/prospect thinks may be two different
things entirely.
True Capabilities Analysis - ‘the right
context”
True Capabilities Analysis - ‘the right
context”
20. 20
Traditional SWOT? Yes…as a place to start
Ask the questions:
- Who are our competitors? Beyond the obvious?
- What are they doing and can we do it better than
them? Or, less expensively than them?
Most of us will never recognize an opportunity until
it goes to work in our competitor’s business
Competitors are harder to recognize now…in part,
because of direct marketing.
Market Competitive Analysis - ‘the right
benefits”
Market Competitive Analysis - ‘the right
benefits”
21. 21
Market Competitive Analysis - ‘the right benefits”Market Competitive Analysis - ‘the right benefits”
True Capabilities Analysis - ‘the right context”True Capabilities Analysis - ‘the right context”
Customer Analysis - ‘the right behavior”Customer Analysis - ‘the right behavior”
Positioning & Differentiating - ‘the right strategy”Positioning & Differentiating - ‘the right strategy”
Unique Selling Proposition - ‘the right offer”Unique Selling Proposition - ‘the right offer”
Creative Marketing Communications -‘the right message”Creative Marketing Communications -‘the right message”
Direct Marketing Channels –The Key LinkDirect Marketing Channels –The Key Link
Fulfillment & Service - ‘the right satisfaction”Fulfillment & Service - ‘the right satisfaction”
Measurement & Assessment - ‘the right performance”Measurement & Assessment - ‘the right performance”
Adaptation and Innovation - ‘the right change”Adaptation and Innovation - ‘the right change”
Segmenting & Targeting - ‘the right market”Segmenting & Targeting - ‘the right market”
Datamining & Profiling - ‘the right information”Datamining & Profiling - ‘the right information”
Intelligence/
Research
Marketing
Database/
Analytical
Marketing
Strategic/
Creative
Marketing
Response/
Relationship
Marketing
DirectMarketingProcess
22. 22
Know your audience takes on a new meaning
Buying 3rd
party data to overlay
Mounds of data…are just mounds of data. Convert
it to useful information
Analyze and interpret to make is actionable and
useful to you
Datamining & Profiling - ‘the right
information”
Datamining & Profiling - ‘the right
information”
24. 24
Mom was right…not everybody will like you no
matter what you do
Ideal of 1:1 is not fully realized just
yet....Segmentation is the place to start
Continue sub segments until you have clear and
distinguishable differences in your audience.
Segments allow you to make different offers,
provide different content, test, etc
Segmenting & Targeting - ‘the right
market”
Segmenting & Targeting - ‘the right
market”
25. 25
Segmentation > Relevant Content
Dependant
Customer
segment
Age? Household
breadwinner?
Employed? Children at
home?
Independent
adult
New family
Established
family
Mature
family
No
Yes
<34
>35
No
Yes
No
Yes
No
Yes
No
Yes
No
Yes
No
Yes
No
Yes
26. 26
Wikipedia: “A product's position is how potential
buyers see the product relative to the market“
Niche thyself. Everyone here can narrow their
focus. Specialize and reduce your competition
Employ the ABC’s of positioning.
- Attributes
- Benefits
- Claims
Positioning & Differentiating - ‘the right
strategy”
Positioning & Differentiating - ‘the right
strategy”
27. 27
Market Competitive Analysis - ‘the right benefits”Market Competitive Analysis - ‘the right benefits”
True Capabilities Analysis - ‘the right context”True Capabilities Analysis - ‘the right context”
Customer Analysis - ‘the right behavior”Customer Analysis - ‘the right behavior”
Positioning & Differentiating - ‘the right strategy”Positioning & Differentiating - ‘the right strategy”
Unique Selling Proposition - ‘the right offer”Unique Selling Proposition - ‘the right offer”
Creative Marketing Communications -‘the right message”Creative Marketing Communications -‘the right message”
Direct Marketing Channels –The Key LinkDirect Marketing Channels –The Key Link
Fulfillment & Service - ‘the right satisfaction”Fulfillment & Service - ‘the right satisfaction”
Measurement & Assessment - ‘the right performance”Measurement & Assessment - ‘the right performance”
Adaptation and Innovation - ‘the right change”Adaptation and Innovation - ‘the right change”
Segmenting & Targeting - ‘the right market”Segmenting & Targeting - ‘the right market”
Datamining & Profiling - ‘the right information”Datamining & Profiling - ‘the right information”
Intelligence/
Research
Marketing
Database/
Analytical
Marketing
Strategic/
Creative
Marketing
Response/
Relationship
Marketing
DirectMarketingProcess
28. 28
What is your value equation?
- The unique delivery of a particular value
that the targeted audience in fact needs.
- Value is always defined by the customer or
recipient of the message.
Take the position of your customer or
prospect and ask the question: “What’s in
it for me?” and “Why do I care?”
Unique Selling Proposition - ‘the right
offer”
Unique Selling Proposition - ‘the right
offer”
29. 29
Segmentation and targeting strategies mean we have
more than “one” right message.
Consider the single salient benefit or selling point and
lead with this concise point to each segment.
Because you can, doesn’t mean you should. Beware of
too much “flash” in using technology or a channel.
Specific tactical suggestions available on our website.
Creative Marketing Communications -‘the
right message”
Creative Marketing Communications -‘the
right message”
30. 30
The premise: Remove all barriers between the customer
and the provider….control moving from provider to
customer.
The Traditional:
- Direct Mail
- Telephone
- Direct Sales
The New
- Email
- Targeted Web/blogging/podcasts/etc.
- SEM
- Mobile
Direct Marketing Channels –The Key LinkDirect Marketing Channels –The Key Link
31. 31
Market Competitive Analysis - ‘the right benefits”Market Competitive Analysis - ‘the right benefits”
True Capabilities Analysis - ‘the right context”True Capabilities Analysis - ‘the right context”
Customer Analysis - ‘the right behavior”Customer Analysis - ‘the right behavior”
Positioning & Differentiating - ‘the right strategy”Positioning & Differentiating - ‘the right strategy”
Unique Selling Proposition - ‘the right offer”Unique Selling Proposition - ‘the right offer”
Creative Marketing Communications -‘the right message”Creative Marketing Communications -‘the right message”
Direct Marketing Channels –The Key LinkDirect Marketing Channels –The Key Link
Fulfillment & Service - ‘the right satisfaction”Fulfillment & Service - ‘the right satisfaction”
Measurement & Assessment - ‘the right performance”Measurement & Assessment - ‘the right performance”
Adaptation and Innovation - ‘the right change”Adaptation and Innovation - ‘the right change”
Segmenting & Targeting - ‘the right market”Segmenting & Targeting - ‘the right market”
Datamining & Profiling - ‘the right information”Datamining & Profiling - ‘the right information”
Intelligence/
Research
Marketing
Database/
Analytical
Marketing
Strategic/
Creative
Marketing
Response/
Relationship
Marketing
DirectMarketingProcess
32. 32
Fulfillment and service models built to follow your
segmentation and customer targeting strategies
Converting valued customers into loyal/repeat
customers
Building brand loyalty and reducing defection
Cross selling and up-selling
Referral programs and incenting both parties
This is a relentless ongoing process
Fulfillment & Service - ‘the right
satisfaction”
Fulfillment & Service - ‘the right
satisfaction”
33. 33
“Half of my
advertising is
wasted; I just
don’t know
which half.”
-- John Wanamaker,
retail pioneer in the late
1800’s
34. 34
A key value in online direct marketing…immediate and
ongoing feedback
What are you measuring? Why?
Timely review of data and a tracking process
Update metrics of measurement
A/B testing and optimize
Periodic surveying of your customer and prospect base
is relatively easy and affordable
Measurement & Assessment - ‘the right
performance”
Measurement & Assessment - ‘the right
performance”
35. 35
Launch a campaign
Monitor in
real-time
React to results
in real-time
Real-time Reporting and Adaptation
37. 37
Emarketing allows us to see results quickly and
adjust future campaigns easily
Act upon the ongoing results
Change offers, content, graphics, headers,
signatures, etc to continually optimize the ongoing
campaigns
Challenge your staff and yourself to “fix” declining
results by tweaking the efforts before overhauling
the entire campaign
Adaptation and Innovation - ‘the right
change”
Adaptation and Innovation - ‘the right
change”
38. 38
Bonus Slides – Tactical Suggestions
Available for download at
Precisiondialogue.com
40. 40
Interact and Customize: Walk
B: Non Health
A: 1-9 employee
C: Renewal up
Sample Customer Segments Sample Content Categories
Non Health :B
1-9 employee :A
Renewal up :C
Custom Communication
•Best guess reasoning
•Limited variations
•Pre-defined matching
42. 42
Interact and Customize: Run
Single Customer
Mass Customization
•Fact based reasoning
•Unlimited variations
•Smart matching
Content Categories
Predictive Interest
Customer Profile
Dynamic Assembly
43. 43
Interact and Customize: Run
One-to-one
Mass Personalization
•Fact based reasoning
•Unlimited variations
•Smart matching
…by the thousands
52. 52
A Fail Safe Campaign
“Take a brownie break”
Call first to confirm the contact and title
Send a “package” with 4 brownies
The enclosed letter starts with
“Take a brownie break on us, and while
you’re doing so, you might like to read my
letter”
Call within 3 days of receipt
Cash the check
Editor's Notes
Interruption Marketing: How many of you rush home to open all of the direct mail pieces sent to you? Do you even open them? Or just throw them in the trash? Do you take time to read the ads in the magazine your read? More and more traditional marketing techniques are becoming wallpaper and not noticed by the consumer. Each traditional tactic is asking the consumers to “interrupt” what they are doing and take another course of action. Permission-based marketing: Consumers give permission to have a dialogue with a company. The consumer will grant permission if he or she sees real value in having a dialogue. If there is real value, then the consumer will anticipate your email and expect it to be relevant and personalized.