Tag Archive - direct marketing

E-mail the Direct-Marketing Rock Star in Recession

Looks like the current recession is helping push email into full maturity as a full fledged, reliable and valuable direct marketing channel.  Email has been proven to help increase brand loyalty and retention, and increase the value of a customer over the long term. That, of course, is on top of its cost effectiveness  and its traceability (when executed correctly). AdAge reports on this story.

“The economy has energized this channel,” said Ryan Deutsch, VP-strategic services and market development at StrongMail. “It’s become the rock star of direct marketing in a lot of these retail organizations because it’s the most cost-effective and most trackable.”

Thanks to its cost-effectiveness and retailers’ recession-era emphasis on retention — Shop.org says that the number of companies focused on retention has nearly doubled in the past year — experts say few cuts are being made to e-mail budgets, while areas including paid search, affiliate marketing and social marketing are coming under scrutiny.

And I thought being an email marketer made me “sexier”…but I guess not.

“It’s not sexy, but it delivers results, and it’s focusing on existing customers,” said Scott Silverman, executive director of Shop.org. “E-mail technology continues to advance and allows retailers to be smarter. It’s not about sending more e-mail; it’s about more-targeted and more-relevant e-mail.”

I’m glad to see someone is saying, “It’s not about sending more e-mail…”. I hope more marketers get that message, “…it’s about more-targeted and more-relevant e-mail.”

It’s all about the results.

Integrated Marketing: Aligning offline and online efforts

Lack of marketing strategy and execution integration seems to be a common challenge to many companies face when there are “silos” within the marketing channels. Inevitably, your customers will end up seeing different creative, different offers, and different price points.

Your integration efforts would probably needs to start at your “List” level. For best integration, you’ll want to make sure all channels are working of a shared List/customer database. Depending on who your customer is, you would then build an integrated segmentation strategy (who gets what channel as well as what offer/incentive, etc.). You will also want to make sure to pay attention to touch points and marketing calendar — you don’t want customers getting a flood of communication from different channels, so keep things on the same marketing calendar and decide how much is appropriate for each segment/channel.

To determine the best strategy, you could run some tests — select a control group and then do some split or A/B testing (DM vs Email, or DM & Email, etc.).

Most experts agree that the evidence supports sending mail first and following with email a week after a timed in-home mail date. You can find some case studies with more information on this at the DMA (Direct Marketing Assocation) website: www.the-dma.org.

I would certainly advice on a cohesive messaging and offer value. We tend to do DM first (strong branding effect, as its in-hand and tangible) followed by a reminder email that reinforces the offer (one week later). I have also seen it to be effective to send “reminder” emails on regular intervals during the promotion period (this will depend on how long your promotion is to last).

Finally, all channels are usually tied to a custom-built micro site that pulls the promo together. Usually, the micro site should be created to match your corporate or product brand. I also like to use tracking links and unique URLs on DM vs Email to be able to measure which creative caused the customer to take action or respond, as well as to test various email creative.

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