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The following diagram shows a typical direct marketing process.
SET MARKETING OBJECTIVES
In order to have a successful Permission Marketing Campaign you must set predetermined benchmarks. In most cases, response rates will be your benchmark. Traditional direct mail marketers recognize a response rate of 2% as considered great. The advantage for Permission Marketers is that opt-in email responses are generally much higher. Industry averages incorporates results from between 4-8% response rates. In general 5% is considered good, and even 2% is not a disaster.
IDENTIFY TARGET MARKETS
Permission Marketers need to find a solid list of opt-in names that are willing and ready to buy. Need to further identify your target audience through testing many lists and categories as needed.
- Merge Customer Lead Sources
- Web based generation of leads – opt-in /opt-out marketing
- Contacts from trade shows, expos, seminars
- In-house list of contacts e.g., contact list in CRM database
- Create Market Segmentation
- Create target group of contacts for each marketing campaign
- Filter out the leads however you like, based on geographical, demographical, behavioral and attitudinal data
- Identify accurate need and want of each market segment based on selling and cross selling opportunities
- Set measurable goals for each segment
MARKETING CAMPAIGN DESIGN
Streamline campaign design with multi-channel integration and multi-step one-on-one dialogue capabilities.
- Content development and management
- Define campaign audience, message, channel and timing
- Campaign testing
- Reusable and quickly adjustable
COMMUNICATE THE OFFER
Effective Permission Marketers have to identify an effective offer strategy to meet the target needs. In the initial transmission you should create a strong call to action. Following your initial contact you must nurture the relationship and interact with the prospect via ongoing email. One goal might be to build community around your site. This may be done through a free newsletter. The newsletter gives you a vehicle to develop an ongoing dialogue, reinforce your product or services value and develop an even stronger brand.
- Create a multi-stage direct mail campaign (different direct mail pieces on different dates)
- Associate multiple stages to the campaign for example, a stage I might be an initial post card offer and stage II a follow up letter depending on the response
- Produce creative for association with each DM stage
- Personalization of the creative
- Response tracking and data capture
TEST RESPONSE
One of the unique advantages of Permission Marketing is the ability to test under real market place conditions your various offers. Permission Marketers can test product features, copy, prices, various email list categories, and with solid results. Conducting very specific tests to hone your message, the offering and your audience is critical.
- Execute or schedule the reviewed campaign
- Generate merged DM pieces and labels
- Notify employees responsible to perform mailing
- Receive confirmation of physical execution of the mailing
- Update customer info
- Tracked responses from the first stage help profiling and segmenting the contacts for the next campaign stage
- Personalized campaign messages depending on the contact’s response are associated to the campaign stages
- The stages can be executed/scheduled as and when required
MEASURE SUCCESS AND EVALUATE
By calculating the campaign’s planned costs, you can calculate the needed break-even response rate. By carefully analyzing past campaigns, Permission Marketers can steadily improve their performance.
The ultimate value of a client is not revealed just by the client’s purchase during a particular opt-in emailing. It is the profit made on all the client’s purchases over the time, less the client acquisition and maintenance costs.
- Measure campaign performance
- Refine the next campaign performance based on figures from the earlier campaigns
- Measure the amount of sales generated by the customer over time
- Measure increase in sales and efforts
- Achieve greater operational efficiency by having all processes under one roof and minimizing administrative costs
Direct Marketing Benefits
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