Transcript 3.19 Class 5 — Direct Response

B2B Marketing
Class Five
Direct Marketing
Kent Lewis
[email protected]
http://www.anvil-media.com/b2b
Agenda
Class Project Due
Guest Speakers
Direct Marketing
Print
Hybrid
Online
CRM
News
Guest Speakers
Kimberly Wuepper
Six Degrees Consulting
[email protected]
Leif Youngberg
CoolerEmail
[email protected]
Direct Response Marketing
Place/Distribution: Direct marketing
Catalog – multiple SKUs
Direct response – print, hybrid, online
Telemarketing – old standby
Internet – the new 800 number
Key success factors:
List
Creative
Offer
Call to action
Testing
Direct Response
In-house database marketing
Collect email addresses
Get permission for updates
Send regular updates; email newsletter
List rental
Traditional print is well established
Be careful of email list integrity
Spend .20 to .40 a name for opt-in emails
Usually requires third party bonded house
Print Direct Response
Typical print response rate: .5% to 3%
Typical conversion rate: 1%
10,000 mailers = 100 responses = 1 sale
Costly production and distribution costs
Typical costs: $2.50 to $5.00
Follow-up mailers lift by half original rate
Little cost savings by volume
Vendors:
Eisenberg & Associates
Rosen Brown Direct
Hybrid Direct Response
Increase response by combining methods:
Print, telemarketing
Print, Internet
Expect 1% to 6% response rate
Integrate with CRM system for optimal value
Requires unique URL or tracking code
Personalization realistic option
Vendors:
Babcock & Jenkins
Hacker Group
Electronic Direct Response
Increase response to 5% to 8%
Reduce costs and timeframe by 80%
$100 per customer via banners
$50 per customer via print DM
$20 per customer via email
Instant fulfillment opportunities
Requires opt-in or double opt-in permission
Always leave an opt-out option
Viral component optional
HTML = sent, opened/read, clicks
Electronic Direct Response
Current focus on return on investment (ROI)
Marketing is moving to direct response model
Email marketing offers many benefits:
Rapid development and easy modification
Affordable production and testing
Thorough tracking and real-time reporting
Easy maintenance and automation
Email marketing will be $1.7B industry in 02
Electronic Direct Response
Automate processes and reporting
Integrates nicely with CRM systems
Track behavior as well as preferences
Vendors:
@once
Digital Impact
DoubleClick (FloNetwork)
MessageMedia
NewWorldIQ
Responsys
Campaign Components
Strategic planning
List development
Copy & creative
Tracking & reporting
Strategic Planning
Map objectives to audience
Determine optimal strategy
Special promotions
Event registrations
Downloads
Trial registrations
Email newsletter
Web-survey
Landing pages
Integration
List Management
List type
Spam
Opt-out
Opt-in
Double opt-in
House lists
Customers
Prospects
Other constituents
Co-op
E-pend
Rentals
Copy and Creative
Email components
Subject
Sender
Introduction
HTML vs. text
Hyperlinks
Offer
Call to action
Landing page
Testing is critical
Tracking and Reporting
Sent
Bounces
Unsubscribes
Profile updates
Open/Reads/Views
Clicks
Send-to-a-friend
On-site tracking
Conversion
Sample: InFocus
Sample: Anvil
Case Study: Learning.com
Objective:
Generate qualified leads to fill sales channel
Decrease cost per lead and sales cycle
Challenge:
Technology decision makers at target schools
difficult to reach
Strategy:
Create introduction email based on testing matrix
Increase number of trial subscriptions
Build qualified list for email newsletter
Results:
8.5% click-through rate
9.7% opt-in rate response rate
Customer Relationship Management
Where sales meets customer service
More affordable to grow than acquire
Moving customers up the pyramid
Technology has revolutionized CRM
What is 1:1 communication?
An opportunity to listen
Exploring new ways to communicate
Segmentation offers improved relevance
Extranets and email are primary vehicles
Customer Relationship Management
Manage relationship from suspect to
mature customer
Many CRM systems offer DM capabilities
Features include auto-responder emails,
profiling and filtering
Vendors:
Clientele
FrontRange (GoldMine)
Onyx
Pivotal
Salesforce.com
Resources
www.1to1.com
www.accutips.com
www.adweek.com
www.brandweek.com
www.cooleremail.com
www.crmguru.com
www.dmnews.com
www.spamlaws.com
www.permission.com
B2B Marketing
Presentations next week
Bring in news, questions and comments
See you next week
Kent Lewis
[email protected]
http://www.anvil-media.com/b2b