
Yet every marketer looks for ways to increase response rates to their e-mail programs. Increased response can be measured in terms of higher open rates, click-through rates and conversion rates. Depending on the size of your list and the nature of your offer, a slight increase in any of these metrics can have a noticeable positive impact on your bottom line.
First and Foremost: Match Message to Audience
The number-one factor in determining response rates is matching
message to audience. The better you understand the needs and
wants of your audience and can target your message to meet
those ideals, the higher your response rates will be.
Once you have a good match between message and audience, here are five other ideas to try to increase response rates to your marketing e-mails.
1. Write Compelling Subject Lines
Like writing headlines for newspapers, subject line writing is
an art in itself. Good subject lines hint at what the e-mail
is about and are relevant to your audience. Better ones also
include an element of urgency and uniqueness.
2. Personalize the "From" Line
If your marketing e-mails are always sent from your company name,
try using a person's name in the "from" field instead.
It can be your Applications Engineer, Sales or Customer Service,
or an individual salesperson. Remember, people do business
with people build relationships with people, and buy from people.
Having an e-mail come from a person also opens up opportunities to use a more conversational and personal tone in the communication, rather than the impersonal, businesslike tone so many e-mails have.
3. Clarify Your Call to Action
It's surprising how many marketing e-mails lack a clear or obvious
call to action. Whether your intention is to have recipients
download a technical specification sheet, make a purchase or
register for a Webcast, your call to action should appear near
the top of the e-mail and be visually apparent.
If your e-mail is HTML, use graphic buttons or other images to attract the reader's attention to your call to action. Asking users to register for an event? Use a bold button saying, "Register Now." Promoting a new product? Show a photograph of the product with a link to more information.
4. Make Links Speak to Benefits and Action
Your marketing e-mail likely contains one or more links back
to your Web site. But the old standards of "more info" and "click
here" are weak. Links should work harder for you, promising
benefits and results. Here are two examples of strong link
text: "Request Your Copy of DC Motors Digest" or "Read
about new developments in laser technology." They're a
bit longer than "click here" — and much more
compelling. Which one would you click on?
5. Pay Attention to Landing Pages
Marketing e-mails often link to landing pages on your Web site,
a single page focused on a specific idea and a clear action
you want the visitor to take. Its purpose is to convert a visitor
into a lead or sale. While not part of the e-mail itself, a
well-designed landing page will help increase conversion rates
on your e-mail campaigns.
The appearance of the landing page should be related to the look and feel of the e-mail, if you are using HTML e-mail with graphics and layout. This lets readers know they are in the right place and creates a sense of familiarity. Landing pages should also be rich in specific content related to the call to action, allowing visitors to get what they came for.
Keep Track of Your Tactics
When you try the above ideas, be sure to keep track of changes
in response rates to find out what is working and what isn't.
With each marketing e-mail you can continue to gain intelligence
that will help you continually improve response rates.
Custom Modular Exhibits: Worth (27 times) their weight in (Carbon Emissions Reduction) gold
It may surprise you just how much an effect lightweight modular exhibits can have. Consider this: By shipping a 20’ x 30’ custom modular exhibit (rather than a 20’ x 30’ traditional custom exhibit) to just one show reduces by nearly 2 times its own weight the amount of CO2 going into the atmosphere. That one-show carbon emission reduction is more than a car owner switching to a hybrid car for a year.
What about over the exhibit’s lifetime? If that exhibitor uses a 20’ x 30’ custom modular exhibit at 3 shows a year for 5 years, that reduces 62,299 pounds, or 27 times the exhibit's weight, which is the amount of carbon emissions from going into the atmosphere! Your own potential carbon emission reduction will vary according to your number of shows, show locations, and booth sizes.
Based on these calculations, you can make a profound difference in reducing carbon emissions simply by choosing a custom modular exhibit over a traditional custom exhibit.
All efforts at a trade show ultimately impact sales. A relationship can begin or be enhanced, an image reinforced or adjusted, personnel trained or recruited, products demonstrated and feedback obtained about new products introduced. They all support acceleration of the sales cycle.
So how can sales and marketing become allies in this most powerful marketing communications tool?
Prepare an integrated pre-show communication program
What will marketing do?
What will sales do?
Evaluate the current booth layout to determine if it will work for the next event. If not, why, and what can be done about it? Together, sales and marketing have to evaluate what activities will be planned for the exhibit and determine if they are workable. In most organizations, the first time that sales sees the exhibit is at the show during the walk-through, just hours before the show opens – too late to make any changes that might be necessary or advantageous to accommodate the sales function.
Trade shows work. They work for organizations that understand how exhibiting fits in to their marketing mix, and understand that both the Sales and the Marketing functions have to work in sync to achieve a positive return on their exhibiting investment. Trade shows work if Sales and Marketing plan completely, execute aggressively, and follow-up thoroughly, together.
If you plan to use giveaways in your booth, what's your strategy? An effective promotional premium should reinforce your company's image and message in addition to supporting your communications goals at the show. With budgets tight, no one can afford to waste money on a premium that doesn't fulfill objectives. So before you order those pens and key chains, a quick review of the desired results might be in order.
Is your market highly targeted? Choose high-end premiums for qualified prospects and a lesser giveaway for everyone else.
Do you have a new product or service and you want everyone in attendance to know about it? Choose a premium you can give to visitors you come in contact with.
Want to pull your primary prospects to your booth? Try sending a premium pre-show that has a second half or related item that's obtainable at your booth.
Want prospects to order on site? Provide a special premium for on-site orders with upgraded premiums the more they buy.
How about lead cards? Offer a premium for those visitors who fill them out or sit through a presentation or demonstration.
Developing a cost-effective email list poses a challenge.
As you browse the list below please keep these helpful tips in mind:
1. Feature a Sign-Up Form on Each Page of Your Site – Be sure to remember this basic concept. Sign-up opportunities should be ubiquitous throughout your site.
2. Promote Benefits on the Sign-Up Page – Enhance subscription value with sample emails, testimonials and strong call to action copy.
3. Offer Opt-In Incentives – Incentives like white papers, and special reports significantly increase conversion rates.
4. Optimize Your Site for Search Engine Placement – Optimize current and archived newsletters for search engines to increase traffic and subscriptions.
5. Pay for Search Engine Services and Promote Your Email on the Landing Page – If you pay for search services like Google AdWords be sure to include email subscription information on the landing page.
6. Add Opt-in Check Boxes on Demo Requests, White Papers and Registration Forms – Well-executed forms and pages may improve conversion rates by 50 percent or more.
7. Include “Send to a Friend” Options – Generate new subscribers with minimal effort if bundled with promotional campaigns.
8. Use Direct Mail and Catalogs – Encourage email subscriptions on all print ads.
9. Direct Employees to Include Messages and Links in Email Signature Lines – Add “Subscribe to the Company X Email Newsletter” to employee email signatures.
10. Direct Call Center and Sales Employees to Obtain Permission and Capture Email Addresses Over the Phone – Instruct call center and sales staff to ask customers and prospects if they’d like to receive newsletters or promotional email.
11. Send Post Cards to Customers Encouraging Them to Subscribe to Email – If you have postal contact information for customers but not email addresses, send a post card with opt-in sign-up offer and URL.
12. Hand Out Sign-Up Forms at Public Speaking Engagements and Seminars – Promote your newsletter in presentations and handouts.
13. Implement Rented List Campaigns and Subscriptions – Promote your company in email campaigns and landing pages when you rent email lists.
14. Promote Sign-Ups in Confirmation/Transaction Emails – Add messages and links to opt-in pages of all confirmation and transaction emails.
15. Include Opt-in Line on Credit Card Receipts – Not an obvious method, but may be quite effective.
16. Add Opt-in Message to Warranty and Product Registration Cards.
17. Add Sign-Up Message to Invoices.
18. Promote Your Email/Newsletter in Articles and Article Attribution – Include a reference and link to your newsletter after the byline on articles in trade and consumer publications.
19. Promote Your Email/Newsletter in Other Company Publications – Promote online newsletters in print newsletters, magazines and brochures. Add “Sign up for our monthly newsletter at www.companyX.com/subscribe.html” after “Visit www.companyX.com for more information.”
20. Include Newsletter Subscriptions in Trade Show Lead Generation Forms – Obtain permission to send your monthly newsletter to booth visitors.
21. Promote Your Newsletter/Promotional Emails in Industry Directories and Sites.
22. Distribute Press Releases Based on Newsletter Articles – Newsletters with topical articles may warrant a press release. Make sure the press release includes links and information on how to subscribe.
23. Include Information and a Link to Your Newsletter in Press Releases – A good option for smaller companies. Include your company newsletter and other resources in press release copy.
24. Include Opt-in Information on Customer Satisfaction Surveys – Ask permission to communicate valuable information via email newsletters and promotions.
25. Include Opt-in Forms in Product Shipping Boxes – Advertise email promotions on packing slips and direct mail cards with links to your site. Many retailers and catalogers also include promotional offers from non-competing companies.
The following research conducted by Trade Show Week revealed the following:
1. Send Duration (SD)
Are you sending out 400 emails or 40,000? Depending on the technology solution or provider you use and volume being sent, it might take anywhere from a few minutes to many hours for your software or ASP solution provider to actually send the emails out to ISPs for delivery to the end recipient. ACTION: Monitor and understand this duration period and make sure you factor it into your calculations.
2. Queue Factor (QF)
Are you are using an ASP solution or sharing a mail server with others in your company? If so, keep in mind that when you've pressed the send button your emails will go "in the queue" to be sent. If you schedule them on a day and time such as Tuesday morning (when a large percentage of emails are sent), your emails may be in the queue behind many other companies or departments of your company, and may take longer than you anticipated before they are actually sent. ACTION: Understand if the "queue factor" applies to you and add this estimated time into your calculations.
3. ISP Factor (IF)
Not all ISPs are created equal. Some ISPs deliver emails they receive immediately, while others may take an hour or in some cases 12 or more hours to process emails. Secondly, some ISPs utilize volume-based filters, so sending too many emails to a single ISP within a short time may cause your emails to be blocked - and sent to the ISP blackhole.
4. Schedule Time (ST)
If you've followed this far, you now have a good understanding of all the factors that may affect email delivery and open times. So let's put the formula to work with an example:
Formula: DOT - (IF + SD + QF) = ST
Example: 1 p.m. - (1 Hour + 1 Hour +.5 Hour) = 10:30 a.m.
In this example, through exhaustive research and analysis you've determined that the ideal time for your emails to reach customers & prospects - 10:30 a.m.
Even if you don't take the time to undertake the analysis outlined above, at minimum you should do the following:
Put a stake in the ground as the ideal time you want your recipients to open their email.
If you are sending a high volume of emails, schedule your emails well in advance of the desired open time. If your volume is fairly low, then perhaps an hour or so in advance might suffice.
From a marketing communications perspective, conventional wisdom used to be “throw some money at advertising and marketing to create awareness and sales will follow.” Marketers were more interested in building awareness and brand recognition, and there was no linkage between sales and marketing. Lots of assumptions were made and there was little accountability.
All that has changed, especially within the past few years. Now, sales and marketing are inextricably linked, and it’s all about return on investment. Marketing budgets are now scrutinized to squeeze the most value out of media plans and PR activities.
Return on investment (ROI) … what is it and how do you get it when you’re trying to reach a target market with sales information about your product or service?
Getting a better ROI from marketing communications is all about taking the time to really understand who you are trying to reach and what it is that they really want. It also requires finding the most cost-effective way to reach that very specific target audience.
So what do you do? You practice something called targeted marketing. You find multiple, more focused ways to reach a highly qualified, targeted audience. And you start by doing your homework on whom you really want to reach. For example, don’t say that your target audience is engineers. Go that extra mile to confirm that the person you really want to talk to is the senior design engineer who’s driving specifications for board-level components. Target, target, target.
Now you can concentrate on how to most effectively reach your highly qualified target. Because you’ve selectively reduced the audience to a critical few, perhaps they can receive a hand-addressed postcard or letter, or a personalized email with helpful links and a relevant white paper or case study. And everything you do should drive them to your website for more information and an interactive contact vehicle that enables them to query you and provides some details on what they really need. Send abstracts of white papers to relevant trade journals for use as articles to further reinforce your credibility. Tweak your website to include a wide range of links to relevant trade publications and industry or trade association websites, and try to get these sites to post links to yours. All these things cost very little money, yet they can go a long way toward creating visibility for your company and product or service.
Five tips for achieving a higher marketing communications ROI:
Know your target customer. Do your homework and research to determine who REALLY would buy your product or service.
Hone your message. Focus on customer pain—the thing or things that really present a challenge to your potential customer—that your product or service will “cure.” Communicate with clarity.
Be creative in disseminating your message. Don’t blindly rely on traditional methods that may or may not work for your specific circumstances. Seek alternative methods, such as Internet-based initiatives.
Find ways to “get found.” Generate case studies, abstracts and articles for trade publications. Make sure your website is updated regularly to include new and better content and links for increased visibility. Foster online relationships with industry marketplaces, trade journal sites and professional organizations. Position yourself as an industry expert—line up speaking engagements and conduct seminars when possible.
Repeat. Once you find the right mix of message and media, repeat as often as possible. If you have a limited budget (and who doesn’t?), don’t mail a fancy, full-color brochure once; produce several less expensive direct mail flyers instead so that you can hit your target several times for increased awareness.
Good ROI for your marketing communications efforts comes from doing your homework, understanding what you’re trying to accomplish and setting goals. Do this and you can sleep easy, knowing your program is working as hard as it possibly can.
One great way to interact with customers and prospects is a seminar. However, busy schedules and tight budgets often limit the number of people who can attend. But recent technology has made seminars on the web, called "webinars", a cost-effective alternative. Here's how to plan and promote a successful webinar.
Determine your goals
Do you want to educate your customers and prospects? Generate qualified sales leads? Launch a new product? Develop and maintain loyalty? You should know exactly what you hope to gain before you start planning your event. Don't simply host a webinar because it's the trendy thing to do.
Select a valuable topic
It should have value for your audience, not just for you. It can be about industry trends, legislation, management issues, manufacturing strategies, marketing tactics, or any topic that would be helpful and relevant. It can also be about new products or services your company offers, however, it should be educational, not a blatant sales pitch. The more valuable your topic, the more attendees will get out of it and the easier it will be to promote.
Choose an experienced speaker
Speakers can be company executives, managers, product specialists, and others who are knowledgeable about the topic and have good presentation skills. Your speaker should have all materials and activities prepared well ahead of time, including PowerPoint slides, interactive polls, Q&A, demonstrations, etc...
Work out your technical issues
If you choose to host the webinar yourself, make sure you have people on staff who have the appropriate experience, especially technical staff. If you choose to hire an outside provider to host your webinar, be sure you know well in advance exactly how it will work and what services are included in their fee. You should also be able to tell attendees how to participate.
Promote your webinar widely
Treat it like a major event and get the word out with a mix of media, including direct mail, email, newsletters, news releases, website announcements, space ads in industry publications, etc... Seeing your message in a variety of places increases the excitement and boosts enrollment.
Get the word out early
Since webinars do not require travel arrangements or time away from the office, you don't have to provide as much advance notice as traditional seminars. However, it helps to get people thinking about it and anticipating the event. It's a good idea to announce your webinar and start the enrollment process about six to eight weeks in advance with reminders every week or so until the event.
Use direct mail and email
These are the media that are most likely to reach each of the people in your target audience. Ads,
news releases, newsletter blurbs, and other outlets can easily be missed. However, mail is delivered to particular people. Direct mail in particular is ideal for putting your announcement in front of every member of your audience.
Make registration fast and easy
The best way to do this is to create a special registration page on your web site. All of your promotional announcements should direct people to this page where they can enter information in a form. However, you should also offer other options, such as a reply form in your direct mail, toll-free phone number, and fax number.
Use good direct marketing techniques
If you plan to charge a fee for attending your webinar, be sure to charge enough to make the event seem valuable but not so much that you exclude a large portion of your audience. And use incentives, an early-bird discount, guarantee, and other persuaders to boost enrollment. If you prefer to make the webinar free, emphasize the potential value and exclusivity of the event.
Maximize your investment
After your webinar is over, you can offer transcripts of the presentation, provide results from polls, issue news releases based on information presented by speakers or attendees, make offers for additional information, announce upcoming webinars and so on. You can also post a streaming video of the event on your web site or offer it for sale.
1. Engineers look down on advertising and advertising people, for the most part.
Engineers have a low opinion of advertising. The lesson for the B-2-B marketer? Make your advertising and direct mail informational and professional, not gimmicky or promotional. Avoid writing that sounds like "ad copy." Don't use slick graphics that immediately identify a brochure or spec sheet as "advertising." Engineers want to believe they are not influenced by ad copy - and that they make their decisions based on technical facts that are beyond a copywriter's understanding.
2. Engineers do not like a "consumer approach."
There is a raging debate about whether engineers respond better to a straight technical approach, clever consumer-style ads or something in between. Those who prefer the creative approach argue, "The engineer is a human being first and an engineer second. He will respond to creativity and cleverness just like everyone else." Unfortunately, there is much evidence to the contrary. In many tests of ads and direct mailings, I have seen straightforward, low-key, professional approaches equal or outpull "glitzy" ads and mailings repeatedly. Engineers respond well to communications that address them as knowledgeable technical professionals in search of solutions to engineering problems.
3. The engineer's purchase decision is more logical than emotional.
Most books and articles on advertising stress that successful copy appeal to emotions first, reason second. But with the engineering audience, it is often the opposite. The buyer carefully weighs the facts, makes comparisons and buys based on what product best fulfills his requirement. Certainly, there are emotional components to the engineer's buying decision. For instance, preference for one vendor over another is often based more on gut feeling. But for the most part, an engineer buying a new piece of equipment will analyze the features and technical specifications in much greater depth than a consumer buying a stereo, VCR, CD player or other sophisticated electronic device. Copy aimed at engineers cannot be superficial. Clarity is essential. Make it immediately clear what you are offering and how it meets the engineer's needs.
4. Engineers want to know the features and specifications, not just the benefits.
In consumer advertising it is known that benefits are everything, and that features are unimportant. But engineers need to know the features of your product - performance characteristics, efficiency ratings, power requirements and technical specifications. Features should especially be emphasized when selling to OEMs, VARs, systems integrators and others who purchase your product with an intention to incorporate it into their own product.
5. Engineers are not turned off by jargon - in fact, they like it.
Jargon can actually enhance communication when appealing to engineer and other technical audiences. Why is jargon effective? Because it shows the reader that you speak his language. When you write direct response copy, you want the reader to get the impression you're like him. Speaking his language will accomplish that. Actually, engineers are not unique in having their "secret language" for professional communication. People in all fields publicly denounce jargon but privately love it.
6. Engineers have their own visual language.
What are the visual devices through which engineers communicate? Charts, graphs, tables, diagrams, blueprints, engineering drawings, and mathematical symbols and equations.You should use these visual devices when writing to engineers for two reasons. First, engineers are comfortable with them and understand them. Second, these visuals immediately say to the engineer, "This is solid technical information, not sales talk". The best visuals are those specific to the engineer's specialty. Electrical engineers like circuit diagrams. Computer programmers feel comfortable looking at flow charts. Systems analysts use structured diagrams. Learn the visual language of your target audience and use these symbols and artwork throughout your communication
Promotions are the hidden weapon for attracting foot traffic when you have committed your company to trade shows.
Done correctly, they work!
Consider these statistics: 1. The average trade show has over 400 exhibitors, where the average attendee will visit about 21 exhibits. That attendee walks the show with a list of 75% of the exhibitors he/she wants to see. 2. You can boost your trade show lead counts by 33% with promotions, even though they require only a small percentage of your trade show budget.
Pre-show promotions could consist of direct marketing(both direct mail and email) programs to attendee list sorted by job function,customer/prospect contacts, advertising in show magazines, in-room promotions or publicity announcing new product/service capabilities. At-show promotions could consist of on-site demonstrations, promotional giveaways, white papers, or press relations.
Your web presence should be part of your business plan, regardless of your business goals.
Sure, it comes with all sorts of problems, but no other tool is as adept at task-accomplishment. And no channel provides anywhere near the wealth of analytic data. But since the Web is still a relatively new medium, there is no shortage of models and postulates for how to run a site. Spend any time on the Web and you'll find that many of them are dead wrong.
Like most companies with a Website, you probably could be doing a better job with yours, but perhaps aren't sure where to start.
Before you start tweaking and troubleshooting, you need to make sure you have a clear idea of what it is you want your Website to do.
Is your goal simply to sell? build an online community of your products' users? or are you simply promoting your company's core capabilities?
Only once you know what you're trying to do can you go about measuring how well you're doing it.
Design of the Times
One of the most basic areas to look at is how your site is designed. The graphical interface is important here, but so is architecture.
We've learned from IBM ads that your logo in flames looks "really cool" but does next to nothing for sales.
What you should be looking for in terms of a graphical interface is something reflective of your company's brand image and marketing campaigns, and above all else, intuitive and easy to use.
There are several ways to go about discovering whether or not your customers are having an easy time navigating your site.
First off, you can ask them:
Conduct a usability study wherein you set people down in front of computers with your site and then ask questions about the experience.
Another option is to employ a pop-up survey that asks, between pages, why certain choices were made and what is expected of the next page.
Other sites simply analyze server logs to see what paths customers take through the site, where bottlenecks occur and where they exit.
Make It Personal
The great thing about the Web is that it can be hardwired to your database. From there, you can do all sorts of personalizing based on what you know about your customers. But because you can do something doesn't necessarily mean you should.
Are You Interacting?
While the spam deluge means that e-mail prospecting will remain problematic, the Internet still is magic when it comes to dealing with your house file.
Where your web site factors into your customer service and CRM programs is through cost avoidance. Think of your Website as a 24-7 customer service rep.
Example:
Add a FAQ page that answers customers' and prospects' questions.
Put a series of case studies/white papers on a page(and update it regularly) that provides solutions to users in different industries.
Remember, the key to a strong Web presence is a sense of purpose
The question: "What kind of response can I expect from my lead-generating mailing, and what percentage is considered good for business-to-business (B-to-B) direct mail?"
Percentage Response
The number of inquiries produced per thousand pieces mailed varies dramatically depending on a number of factors. However, we can make the following generalizations.
If your mailing has a hard offer, you can expect a response rate in the range of 1 percent to 1.5 percent. A hard offer is any response choice that forces the prospect to try the product or have direct contact with a salesperson. These include meetings, demonstrations, presentations, so-called "free consultations" (sales meetings in disguise), demo diskettes selling for nominal fees, and 30-day trial offers.
On the other hand, if you have a soft offer–such as the offer of a booklet, gift or special report, you can expect a response of 1 percent to 4 percent; some mailers with good offers and highly targeted lists can get 5 percent or more.
Sales
Some practitioners object, stating that percentages are irrelevant and that sales results are the only true measure of direct mail success.
The problem is, sales are more difficult to tally in lead-generating programs than in mail order. One reason is that the direct mail piece does not do the whole job of selling; many other factors contribute. What's more, many companies don't have an adequate system for tracking leads through to sales and reporting on the results.
Still, if you're able to track sales, then percentage response may not be as important to you. Some companies, for example, sell a product so highly specialized that their percent response is miniscule–a small fraction of 1 percent. Yet the large dollar amount of each sale more than pays for the cost of mailing large quantities to get those few hot leads.
Establishing a Baseline
The first mailing gives a "baseline" against which future efforts can be measured. If you're pleased with the level of response generated by mailing No. 1, then consider that a good response for your product in the marketplace. If mailing No. 2 equals or a exceeds that level of response, consider it a winner.
Products
The nature of the product itself has a dramatic effect on response rates. If it is used by a large number of the prospects you mail to, response will be higher (an example might be selling bandages to hospital purchasing agents). On the other hand, if your product is highly special- ized and of interest to only a small portion of the market, the response will be significantly lower (an example might be a specialized type of heart monitor of interest to only one hospital in 100).
Format
Format can make a big difference in how well your mailing pulls. As a rule, sales letters mailed in business envelopes pull better than self-mailers. But sometimes this is not the case. Letters can make an appeal to the prospects' rational or emotional sides in order to build their interest in the product.
But, if they are already predisposed to buy the product–e.g., if it's something they're familiar with and don't have to be sold on its merits then a self-mailer, featuring a photograph that readily identifies the product being sold, may do as well or better.
Offer
As stated earlier, the specific offer being made in the mailing can make a big difference in response rates.
One area of indecision among mailers is whether to use the popular "free booklet strategy." In this type of mailing, the reader is offered an incentives free booklet, report or other helpful information he will receive for responding.
Usually the booklet or report offers how-to or technical information the reader can use on the job. For example: "How to Improve Direct Mail Results"–from a firm offering direct mail services.
These offers can boost response and are especially effective in markets where prospects are flooded with direct mail offers or are not excited about services and products and need an extra incentive to take action.
The key is to know how to introduce the booklet offer without overstressing it. If the whole mailing is based around the booklet offer, you will get a high volume of low quality leads–people who just want a free booklet but don't want to hear about your product.
A better approach is to talk about the reader's problems and how your company, service or product can solve these problems. Then bring in the booklet offer as an extra sales incentive, without putting complete emphasis on it. Experiment with copy approaches until you achieve the right balance between quality and quantity in your response.
B-to-B marketers continue to shift considerable
resources toward direct marketing, both on-line and off-line.
The rationale is a nearly universal mantra:
The good news about direct marketing is that it's measurable.
But measurability is a two-edge sword, and there's
a dangerous flip side to the direct marketing promise:
The bad news about direct marketing is that it's measurable.
When programs work, everybody takes the victory
lap. When programs fail, the program manager takes the fall,
no matter how much "help" he or she receives from other
team members. Much of the help others give is personal opinion,
rather than professional judgement. You constantly hear things
like, "that doesn't send me", or "I wouldn't respond
to that" - all from people who don't even qualify to purchase
the product.
You can defend yourself from the well-meaning interference of
others and reduce your chances of error dramatically by avoiding
the mistakes other have made. Just follow these 10 b-to-b direct
marketing commandments-professional, not personal, judgements
proven in head-to-head testing.
1. Lists are not an inventory item.
Too often, lists are treated like an inventory item, not
a key strategic component of the campaign. The first and perhaps
the most important thing to do is to research the available list
universes and put together the best list targeting possible.Then
do the best job you can of defining the key emotional drivers
within each segment. For example, a CEO may have very different
concerns than a CFO or a design/engineer. You can't start the
creative process until you know what makes these people tick.
2. Avoid objective pile on.
The kiss of death for a direct marketing campaign often
starts with the seemingly innocent statement, "As long as we're
already talking to them, why don't we..."Just say no! If
the goal of a campaign is to generate a lead, that should be
the
sole objecitve. When you add additional objectives-increased
company or product knowledge are good examples-response rates
go down.
Add even more objectives, response rates go down again.
3. Sell salvation, not products.
Too many b-to-b direct marketers create "product sheets
in drag" programs-feeds, speeds and technobabble only a
product manager could ever care about. People don't want your
products;
they want what your products do for them. You have to appeal
to their self-interest, not yours, to be successful.
4. Make an emotional connection.
You have 12 to 20 seconds to grab them and avoid the trash
can or the delete button. The best way is to make an emotional
connection, not a rational one. For example, here are two ways
to brand the same white paper:
12 ways you can avoid the coming technology downturn
or
12 reasons you should consider Acme's version 2.0
Testing proves the emotional position beats the more rational
position hands down.
5. It's the offer, stupid.
Offers are the best and fastest way to make an emotional
connection. A good offer will not only generate an initial response,
but it will also generate higher readership of the rest of the
communication. Quite simply, an offer is the fastest way to communicate "what's in it for me?" and
get consideration.
6. Don't give them a choice.
When you make an offer, don't give them a choice. Confronted
with a choice, prospects are afraid of making the wrong one and
protect themselves by making none.
7. Work backwards from point-of-sale.
Start with the customer and then work backwards to define
how the selling system works. Then build your program around the
way the selling system works in the real world. You won't change
customer behavior. So don't try. You can't change tele-sales or
field-sales behavior either, so understand what they do and how
they do it and then support the selling systems that are already
in place to maximize sell-through.
8.Avoid thundershower marketing.
Too often b-to-b marketers key off of product launches or
arbitrary campaign plans and ignore field capacity issues. If,
for example, the field organization can handle 100 leads per week,
give them 100 and no more. If you give them 2,000, they can still
only work 100, and the rest go down the drain.
9. Avoid panic marketing.
Panic marketing almost never works. If the customer needs
nine months to make a decision, direct marketing can't affect
sales this quarter. If the customer needs 18 months to make a
decision, direct marketing can't affect sales this year. Panic
marketing almost always leads to thundershower marketing, which
makes things even worse. The proper way to use direct marketing
is to generate qualified leads on an ongoing basis. Then, if the
quarter needs help, the sales force can use incentives to convert
the qualified prospects on file into buyers.
10. Simplify the approval process.
Research shows that the more complicated the approval process,
the lower the response rate. To improve program performance, get
as many people out of the approval loop as possible. Next, change
the approval rules to limit people's input to those areas where
they can apply professional judgement. Personal opinion is an
unqualified marketing survey of one, and we all know what that's
worth.
Following these 10 simple rules should help you create and manage more successful b-to-b direct marketing programs.
From: Target Marketing, September 2000
Test, measure and track results.
It's the only way to know for sure what's right for your audience
and offer. It's also an excellent way to stay informed about changes
in your customers' behavior.
Stay sharp.
Because the Internet is an impulse medium, the response cycle
to offers made on your web site or in e-mail promotions is faster
than with direct mail. What works and is appropriate for another
company and its customers isn't necessarily appropriate for you
and yours. Visit other web sites. Read your own e-mail carefully.
The more relevant, the more effective.
Critical to the success of every customer communication vehicle
is how successful you are at making the message as personally
relevant to the individual as your data, budget and know-how will
allow.
Direct mail has more staying power and is portable.
When your customers or prospects turn off their computers, your
e-mail messages to them and your web site disappear. However,
because of its physical presence, your direct mail piece or catalog
has staying power. This also explains why direct mail has a longer
response cycle than e-mail.
Direct mail is perceived as more personal than e-mail. Indeed,
because of direct mail's portable physical presence, it can be
taken on business trips or passed along to a colleague. Plus,
when you add your URL to the piece, you've produced a portable
billboard for building web site traffic.
Give your customer or prospect a specific reason to visit
your web site.
For example, the National Arbor Day Foundation (www.arborday.org)
recently produced an integrated direct mail and space advertising
campaign inviting people to cast their votes online for a national
tree. Their goal was two-fold: increase Americans' awareness of
the value of trees, and generate web site traffic.
Testimonials remain a useful marketing tool for all three
communication channels.
Solicit testimonials and use them on direct mail components, as
well as on your web site's home page, your all-testimonial web
page, or as a compelling opening or closing for a push e-mail.
Current studies show that direct mail is more effective than e-mail for driving people to a web site. Test this to see if it holds true for your audience as well.
Test sending an e-mail follow-up to a direct mail piece.
Or try sending an e-mail announcement of an important customer
mailing that will follow. One of the marketing advantages of e-mail
is that it's fast, easy and inexpensive to produce compared to
traditional direct mail. Test how you can use this to help increase
direct mail response rates.
Make it easy to contact you however they choose.
Put your URL on all your offline communications - space ads, order
forms, letters, brochures, catalogs, Yellow Page ads and package
inserts.
As with traditional direct mail, e-mail overload is increasing.
There's more in people's "in" boxes to sift through
and less getting opened and read. Here's another case when sound
direct marketing techniques apply. Use your subject line to entice
readership, much like your teaser copy gets people to open the
outer envelope. Make your opening sentence as compelling as the
opening benefit statement of your direct mail letter. And give
your reader a strong incentive (that is, offer) to take action.
Be as creative with your web site and e-mail offers as you are with those used in your direct mail.
Make it as easy as possible for customers to communicate through whichever channels catch their fancy at any given moment. It should be simple, seamless and more than just satisfactory. The result will be stronger customer relationships and an impressive return on your investment of time and money.
Calling Customers.
It costs practically nothing to get on the phone to interview
your customers and prospects, but the information you get from
these conversations can make-your company millions of dollars.
If you know how customers buy and how they want you to sell to
them, you can avoid marketing sin numero uno: guessing. No need
to conduct a fancy focus group. You just have to get on the phone
and have a conversation with your customers. Don't "survey"
them-it's rude, boring and nonproductive. Call a customer a week,
and you will be miles ahead of your competitors whenever the market
shifts.
Testing concepts.
Again, a cheap but critical action. After you've got a mockup
of an ad, brochure or web site, show it to a couple of the more
helpful customers you've talked to. Use their input to make it
better. Call first, then, while you're on the phone, email a PDF
of the ad or printed piece (or fax it), or email a link to a web
site and have them tell you what they think as they see it for
the first time. This act will ensure that the piece will actually
work.
Tracking.
Your company is probably still trying to get up and working
a CRM system that will track every lead through to the eventual
sale. But you're not there yet. Instead, use individual URLs that
aren't difficult to type, as in www.mycompany.com/free1.
Specific web site pages.
Don't just send your prospects to your homepage. Send them
to a page that is a perfect, seamless follow-on to your ad, including
the same graphics and message. If your managers want you to send
them to your homepage "so they can see everything we offer,"
tell them that it is much better to put a big, obvious "HOME"
button on a more campaign-specific site. Otherwise, you end up
making prospects hunt for the specific product(s) you advertised,
which wastes your advertising and web site dollars-and irritates
potential customers.
Include an offer and a call to action.
These days, all marketing should be considered "direct"
marketing. You send them to a specific web page, then to register
to receive the white paper or other free-but-useful information.
Give salespeople hot leads.
Salespeople do respond to urgent, hot sales opportunities.
How about an email that says, "At 10:52 today, this person
downloaded the white paper on network solutions. Please call this
person within the next 24 hours and let me know, by replying to
this email what happened. Such "they just downloaded"
emails can be set up to go out automatically to the right rep.
For example, when you capture the prospect's email address, have
them identify their region (Northeast, South, etc.) from a pull-down
menu of your sales rep territories. Or, you can have the leads
go to your pre-qualification group.
Map out the entire buying process.
Spend a few hours with your top salespeople breaking the
typical sale into its specific stages - i.e., "awareness,"
"exchange of information," "presentation,"
"justification," "close" and "ongoing
satisfaction." The idea is to identify all of the players
involved in the buying process, the questions they ask, the answers
that satisfy them, and the best way for marketing to deliver the
information needed to complete the sale.
Going through the above process often reveals holes in your selling process. Your salespeople will admit, "We have no problem getting their attention, and the presentation goes fine, but we often lose the sale in the "justification" phase. Fix it and your sales will go up.
Educate your executives.
Most top managers don't come from marketing, yet their decisions
affect everything you do. Your best defense is a good offense:
devote at least 5 percent of your time educating your top execs.
If you do these things, and your competition doesn't, you will gain marketshare. And gaining marketshare is the best way to move up in a down market.
When your customer is an engineer, brand is irrelevant and positioning is key. Positioning is informing your customers on how to use your product and why that product best serves their purposes. The goal is to elevate the stance of the company with important and significant customers. Today, the strategic fundamental is demonstrating value. Marketers need to focus on fashioning a position, not a brand. Focus on a defensible position by accurately and continuously reevaluating customers and competitors. Why brand when positioning will do?
According to research conducted by sales and marketing advisory firm IMT Strategies, based in Stamford, CT., more than 80 percent of e-mail users have given marketers permission to send them e-mail promotions, and 70 percent of customers respond to these offers more than once.
If marketers refrain from saturating customers with e-mail, response rates to permission-based marketing will remain high for the next two to three years.
Attention without alienation
The most effective permission-based e-mail implementation
will offer:
Analyze this
The success of e-mail marketing is not just about getting
permission; it's also about learning from the dialogue-or lack
of it. Timely analysis of campaign performance enables firms to
adjust messages and volumes.
Privacy and preparation
When properly executed, a permission-based e-mail campaign
is very cost-effective, resulting in a significantly greater return
on investment and stronger, more personal customer relationships.
A survey conducted by Knowledge Systems and Research Inc. found that web surfers are easily frustrated: Users average only four clicks on a site without finding what they seek before they abandon it and 83 percent then move on to another site instead of using a search function or calling customer service. Nearly 80 percent of users rate ease of use the most important feature in web site design.
The following, in order of importance, are web site design features that customers/prospects regard as important criteria when visiting web sites.
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This quarterly column's purpose is clear: to help direct marketers avoid mistakes that can crash program performance and threaten their career trajectory. Following are 9 tips that can help.
1. Keep program objectives simple and focused. Working toward a single objective typically will generate
the highest response. If the objective is to generate a lead,
for example, concentrate on that singular objective. If it's to
get people to register on your Web site, focus on that, and move
all subsequent requests and sell-through offers to later communications.
If you ask recipients to do too many things, they'll do none of
them. When you give them too many options, they get confused and
become afraid of making mistakes, so they do nothing.
Rule of thumb: Every time you pile on one more objective,
your response rates will fall by 50 percent or more.
2. All copy platforms and offers should support
your single, clearly defined objective. In direct marketing,
good copy and offer structures essentially are arguments to convince
your prospects to do what you want. If your objective is to generate
leads, your offer should reward prospects for responding. If it's
to get them to register on your Web site, reward them for registering,
not for doing something else.
Rule of thumb:There always should be a 100 percent connection
between what you want them to do and what you're going to give
them when they do it.
3. Sell-through offers can be dangerous. Is "save 20 percent" a
good offer? Not always. If you've been selling software for $100,
for example, and now you're willing
to sell it for $80, offering a 20 percent discount might be worth
testing. In the mind of the buyer, saving 20 percent by spending
$80 on an impulse sale is a smart, justifiable decision.
Now let's look at "save 20 percent" in another context.
Assume you're selling an integrated solution into the enterprise:
total budget $10 million. Buy now, save $2 million? In this case,
the purchase is consultative and considered, not an impulse buy,
and a large team will make the decision. That team will work
at
its own pace and make the decision based on the company's internal
policies. Discounting signals desperation on your part. And desperation
tells prospects that you'll push them to go faster than they
want
to go. So they protect themselves by not responding.
Rule of thumb: Be careful with sell-through offers; you
might scare your best prospects away.
4. You've got 12 to 20 seconds to win their
hearts. Every program you do - direct mail, print, e-mail
or Web - has only 12 to 20 seconds from initial appearance in
front of your target to the trash can or delete key. You don't
have time for a long wind up or to build to a great finish. Hit
prospects hard with the offer and tell them what to do to get
it. The offer and how to get it must be the first and last thing
they see.
Rule of thumb:: If you're not going to make a hard-hitting
offer, save your money.
5. Direct marketing is not a communications
branding opportunity. Strong offers are what makes direct
marketing work. If your programs aren't working as well as they
should be, improve your offers and strip away as much brand messaging
as you can. Your response rates will improve dramatically.
Rule of thumb: Brand messaging often gets in the way.
6. Make your copy easy to understand and relevant to the recipient. Talk to them in their language, not yours. Talk about what
they care about. Don't use jargon and techno-babble unless you
know that your gibberish is exactly the same as theirs. If you
can't explain your product or service in two or three crisp sentences,
don't even try. When your product or service is hard to understand,
prospects won't work at comprehending; they just stop reading.
(Some of the most successful programs for complicated products
never even mention the product; talk just about what the product
will do for them. Try it, it works.)
A camel is a horse designed by a committee. What has this got
to do with direct marketing? Frankly, a good deal, as the next
two items will demonstrate.
7. Reduce the size of program development teams. And if you can't, change team members' roles and responsibilities.
When everyone has input and veto power, it's impossible to create
a racehorse; you'll always get a camel.
Rule of thumb: One person must take responsibility for
program performance; the rest should support that person with
resources and information.
8. Simplify the approval process. This
is a second surefire way to turn racehorses into camels. Quite
simply, the more people in the loop, the worse program performance
gets. Why? Great programs are created by writers and designers
who have unique insights into how to convince strangers from a
distance. They know, for example, that changing a word or two
or making a specific emotional appeal can lift response rates
by two or three times or more. The greater the number of people
who review and approve a program, the greater the chance edits
will take away that advantage. If you can't reduce the number
of people in the approval process, change their responsibilities.
Let the product manager, for example comment on product descriptions,
but not on offer structure.
Rule of thumb:Try to keep team members focused only on
their areas of competence.
9. Keep detailed program performance records. I've talked to 32 prospective clients in the past eight months.
Of those, 30 had done direct marketing before, two hadn't. Of
the 30, only four could show me historical performance of past
programs in detail. All the money and time their companies invested
was wasted. And 26 out of those 30, or 87 percent, are doomed
to repeat the failures of the past. There's an 87 percent chance
you and your company are not keeping detailed records. Do it for
your company. Do it for yourself.
Rule of thumb: The information you collect can make you
truly an expert in direct marketing.
From: Target Marketing February 2001
Brochures are a mixed bag. They come in different shapes and sizes. Some are splashy, four-color jobs printed on glossy paper; some consist of a single sheet folded in thirds. A brochure can stand alone or it can be part of a multi-component package.
The tone of a brochure is distinctly different from a letter or a specification sheet. While a sales letter should have an intimate me-to-you familiarity, a brochure can be less personal.
The brochure can be used:
Before writing and designing the brochure, consider the following questions:
1. Use a strong cover headline.
The front cover is the first thing the reader sees. You have
a few precious seconds to make a powerful impact. Don't squander
it.
Headlines like "The XYZ Company Makes A World of Difference"
or "We're Up To Big Things At Acme Industries" are
fluff. They tell readers nothing; worse, they don't entice them
to look
inside the brochure. Instead, follow classic attention-grabbing
starters. For instance, a headline can:
2. Use a reasonable amount of text in each
page.
Make your brochure easy to read. Nothing is more of a turn-off
than plowing through acres of text. A brochure should be an engaging
reading experience. Map out appropriate blocks of copy that communicate
your message in manageable pieces.
3. Use easy-to-read type faces.
A dizzying array of fonts may be exciting for you, but will
it increase readability? Mix and match typefaces sparingly.
4. Indent your body copy.
Studies have shown that copy is easier to read when it's
indented five or six spaces.
5. Use subheads to break up copy.
Subheads make a natural break in your copy flow, just as
chapters let readers pause and think in a book. Subheads are hooks
that can lead the reader from one selling section to another.
6. Use "text helpers" sensibly.
Call outs, bullets, sidebars, check marks and similar design
elements have been known to assist readability and comprehension.
But don't go overboard. An overabundance of boldface, italics
or all caps can disrupt the reading experience and defeat the
purpose.
7. Use action photos.
People respond to other people. You can make more of an impact
with a picture of your product in use than with a lifeless shot.
8. Use photo captions.
Captions should run below the photograph.
9. Prove your claims.
The adage in direct mail is, ""The letter sells,
the brochure tells." If your brochure is part of a package,
it can help you prove the claims you make in your letter. Talk
about the features of your product-then translate those features
into powerful reader-centered benefits. Tell the whole selling
story.
10. Include contact information.
Every piece of sales literature that leaves your office must
have this. Include your company name and address, telephone number,
fax number, e-mail and/or Web site address-anything that allows
the reader to get in touch with you. If you can attach a contact
person's name, all the better.
11. Tell the reader the next step.
The reader has read your brochure. Now what? Do you want
her to call for an appointment? Request additional information?
Visit your Web site? Place and order? You should clearly and vigorously
indicate the action you want her to take.
12. Include an extra order device.
You can raise your response rate by including an additional
order device in the brochure. You can't be certain which piece
in the package the reader will look at or lose. A second order
device that restates your offer overcomes this handicap-and may
help capture additional orders.
Adopt these suggestions and you'll increase your chances of turning out a more successful sales piece.
Business-to-Business advertisers need to create tactical messages to attract new customers, but they also need to build brand. Unlike business-to-consumer, business-to-business advertising focuses 20 percent of their messages on brand-building and 60 to 80 percent of the efforts on customer acquisition. In other words, a consumer layer of advertising is secondary to the tactical marketing work that generates leads.
Campaign Tactics: Questions B-to-B companies should consider when crafting an ad strategy.
Television has Nielsen ratings, Radio has Arbitron. The Web-well, the web has served up an endless parade of yardsticks that always fall short of describing what advertisers need to know. Back when MicroSoft was rolling out its first edition of Windows 95, "hits" were still a popular measure of Website activity. Since then, "page views" and "click-throughs" have passed in and out of popularity. Now, it's buzzwords like "unique visitor" and "return on investment" that entice the sophisticated web buyer. Unfortunately, all these measures share one common flaw; None neatly measure audience activity, or the revenue generating potential of a website, in an easy-to-digest figure. What does this mean in the long run? There is no one standard for online audience measurement, which is bad news for ad buyers looking for the simple answer online. Each web advertiser will use its own yardstick to measure web advertising effectiveness. Retailers selling books will require a different response level than a website selling content. Evaluating audience data for online marketers is more like taking a Rorschach test: You're likely to see only what you are looking for. Bottom line: All a client wants to know is if their advertising helped them make money.
From "GartnerGroup's
Laws of Technology-Enabled Marketing"
(Strategic Advice Research Note)
* FREE! GartnerGroup's Datapro Says Server Synchronization to Increase Productivity for Enterprises Using Handheld Devices
As more workers try to have real-time, online access to their business applications when using portable devices, such as handhelds and smartphones, server synchronization software will be the technology that makes this happen more efficiently, according to Datapro, a unit of Gartner Group, Inc. (Press release: http://www.gartnerweb.com/dq/static/about/press/pr-b9971.html)
* FREE! GartnerGroup's Dataquest Says Mobile Satellite Services Market to Reach 8 Million Terminals by 2004
With several operators expected to become operational during the next two to three years, the market for satellite voice services is forecast to grow from an estimated installed base of 211,212 terminals at the end of 1999 to 8.32 million terminals by 2004, according to Dataquest Inc., a unit of Gartner Group, Inc. (Press release: http://www.gartnerweb.com/dq/static/about/press/pr-b9970.html)
* FREE! Demonstrating IT's Contribution to Business Success
For senior managers, communicating key performance metrics and the contribution of the IS organization to business success is essential. An annual IT report is an excellent way to achieve this goal. (Commentary: http://www.gartnerweb.com/public/static/hotc/hc00085200.html)
* FREE Trial of Gartner Letter - Internet Business Strategies
Receive a free 60 day trial of Gartner Letter. Gartner Letter is designed to help you make informed decisions about how to use the Internet to deploy e-commerce and interactive marketing initiatives. https://gartner11.gartnerweb.com/secure/gletter_form.html
* Gartner Clarity - February 3, 2000, New York
City, New York
E-business strategy...Got one? On February 3, GartnerGroup presents
an all-day event to answer the question: "What should I be doing
now to make sure my company can play to win in a world forever
changed by e-business?" Visit http://www.gartnerclarity.com to
find out more about how to experience the e-business event of
the year, either on-site or via the Web!
* GartnerGroup and Advanstar Communications
present iEC: Internet & Electronic Commerce Conference & Exposition:
Business to e-business at the Jacob K. Javits Center, New York,
New York, February 29 - March 2, 2000.
The world of electronic commerce moves at warp speed. Don't be
left behind grappling with traditional business models. This iEC
conference sorts it all out and takes you to the next level of
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Note: Audioconference participation is open to clients of the sponsoring service. If you would like more information on audioconferences, please call 1-800-780-0857.
* Evaluating CRM Solution Vendors
January 28, 2000 * 9:00 a.m. & 1:00 p.m. EDT
Given the immaturity of the Customer Relationship Management (CRM) marketplace, it is difficult to differentiate which products constitute a viable Front Office Application Suite. Customer Service and Service and Support, Sales Force/Marketing Automation, and Field Service software packages offer varied, and often confusing, solutions and strategies from different types of vendors, but none is a complete panacea for end-users. http://www.gartnerweb.com/public/static/events/atc/jan00atc/ddi_nit.html
* Networking E-Business Imperatives
January 31, 2000 * 10:00 a.m. & 2:00 p.m. EDT
The demands that will be placed on network executives for network planning and implementation will no longer be confined to one's own enterprise. With the imminent arrival of e-business, clients must not only determine which networking issues will become important components of their e-business development strategies, but also which networking issues will become networking e-business imperatives. http://www.gartnerweb.com/public/static/events/atc/jan00atc/nbm.html
No doubt consumers believe advertising has many fine qualities. Truthfulness, alas, is not one of them. In a survey conducted for Adweek by research firm Alden & Associates of Hermosa Beach, California, people were asked, "Do you think advertising generally tells the truth?" A huge majority (80.8 percent) of respondents said "no"-and not, we fear, because they believe advertising invariably tells the truth. Women were more likely than men to be naysayers, by 82.7 percent to 78.4 percent. In the face of such skepticism, some advertisers will redouble their efforts to seem truthful. Others may decide believability is such a lost cause that they should focus their messages in more promising directions. Indeed, more and more advertising features an off-the-wall brashness that makes any question of truth or falsehood seem quite beside the point.
From Catalog Age Weekly, on marketingclick.com
In search of ways to boost your response rates this year? Look no further. Here are a host of test ideas for you to consider.
In search of ways to boost your response rates this year? Look no further. Here are a host of test ideas for you to consider.
Direct Marketing Facts You Should Know
Japanese are avid collectors of facts and statistics
and there is a wealth of information available for any marketer
doing business in Japan. The breadth and depth of data the Japanese
government and other Japanese organizations collect allows easy
access to statisticians, market researchers and anyone who needs
accurate information fast. Unfortunately, many U.S. companies
marketing in Japan do not utilize a lot of the information that
is available, and probably for the simple reason that it often
isn't available in English (or they do not seek it out).
Surprisingly, even the most basic information-such as how orders
by mail are placed, phone rates and payment methods-can help U.S.
direct marketers modify their tactics to succeed in the world's
second largest economy. For example, one U.S. company marketing
its seminars by mail noticed a 25 percent increase in response
when it offered payment by postal remittance to its Japanese customers.
Although the logistics of setting up an account from the United
States took time and patience, it succeeded in lifting its response
significantly.
Apart from boosting response, knowing the market and its customers
can also help save money. Knowing that Japanese prefer to place
orders in writing, one catalog company adapted its order form
to encourage its customers to order by fax or mail. This strategy
succeeded in lowering its average order cost for Japan.
Placing orders in Japan
Compared to the U.S. direct mail market where
some 98 percent of orders are placed by phone, the number of Japanese
phone orders is relatively small.
The high cost of calls is the main reason that orders by phone
are fewer in Japan than in the United States. Customers are reluctant
to pay such costs, and many marketers are also reluctant to pay
and do not offer toll-free dial services. A three minute phone
call can cost as much as 78 cents in many locations.
Japanese telephone rates are based on increments of 10 yen (8.6
cents). Ten yen will buy three minutes for a local call, but the
farther away, the less time it will buy. Although privatization
and new competition are predicted to lower costs, no significant
changes have yet occurred.
When you consider that 100 kilometers is only 62.5 miles, a three-minute
call to outside your immediate environment can easily cost up
to 78.3 cents. All local calls up to three minutes will cost 8.6
cents.
In addition to the high cost of telephone calls, Japanese tend
to prefer written orders since they are more accurate than verbal
orders. A written order also can serve as a record in case any
disputes arise. Another reason many Japanese prefer written orders
is that some Japanese names are difficult to spell, and it is
sometimes hard to explain the correct kanji over the phone.
Another way of placing orders that is gaining popularity is through
the Internet. Significant growth in online orders is expected
this year due to the current Internet boom in Japan. Japanese
analysts predict that the number of Internet orders will exceed
fax orders in the next 18 months.
From an article by James Dempster in Target Marketing
Predictions for the 21st Century
From an article by Jim Griffin in Business 2.0
The Internet may turn out to be a direct marketer's best friend. Rather than viewing cyberspace as a threat to traditional mailing, savvy innovators are using the Web as an enabling force for customization.
There's a new movement afoot to take advantage
of digital technology and create real-time, turn-key direct mail
programs.
Companies with two- or three-level distribution have struggled
for years to find ways to support re-sellers and dealers with
customized direct mail programs. The challenge has been finding
ways to support highly personalized, customized four-color printing
for small quantities.
Where the Web Comes In
Enter the Internet. The beauty of the Internet process is that those end-users can enter information directly into a database at the front end. For business-to business marketers, this small insight can pay big returns in a direct mail program.
Imagine for a minute that you have a distributed sales force of 5,000 independent reps; each wants a customized mailer for 200 customers. And each has Internet access. The solution is to establish a promotional extranet, where reps can come online to a password-protected Web site and customize their own direct mail programs. The customization database is built in real time, with each rep selecting the components of the mailer.
Reps then view prepress proofs through the Internet and a compiled printing file goes straight to a digital press or prepress.
From an article by Jeffrey Morris in Target Marketing
A mailing study by Pitney Bowes, the postage meter company, reveals that 59% of all companies who market on the Internet increased their mail volume as a result of their e-commerce efforts. Direct mail is used by nearly 70% of survey respondents, and direct mail was cited also as the most effective tool for getting customers to go to a Web site.
Direct marketing databases are what separate efficient and successful direct marketers from the lucky and less successful ones who try to rely on creative skills and instinct alone.
One of a business' most valuable assets is the customer file, the list of customer contacts with whom a relationship has been established. By extending these valuable contacts to the electronic channel, direct marketers can leverage e-mail to generate profitable relationships and increase returns through cross-selling and upselling opportunities. Thus, using e-mail as a two-way response mechanism, businesses can develop highly relevant and personalized outbound campaigns, and extend offers that are not economically feasible through other channels, such as fax and postal mail.
attributed to B-to-B Special Report
Direct marketers work hard to acquire customers which requires both monetary and human resource investment, observes Gerald Reisberg, vice president, Dun & Bradstreet. "Managing them is key to growth," he says.
Why is customer relationship management paramount? "It costs at least five times as much to acquire revenue from new customers than existing customers," says Reisberg.
One tool that can help direct marketers better manage customer relationships is computer telephony integration (CTI). Through the use of pop-up screens, this technology allows customer service representatives to:
According to Reisberg, the key to successful customer relationship management is empowering your associates to facilitate customer relationships. Remember, your customer service representatives are the front line of your business.
Empowering your reps will also allow you to turn a negative into a positive. You should "hope to encounter problems so you can turn problems into opportunity and create customer loyalty." You can ensure the loyalty of your customers by seeking out any area of dissatisfaction and remedying the situation, turning a dissatisfied customer into a satisfied customer.
attributed to Target Marketing
The biggest issue in business-to-business is that the users you target often are not the people placing the orders. It's usually the purchasing agents who place the orders.
So how do you measure the effectiveness of your campaign? If you are marketing a high-tech product, one way is to track warranty registration cards and match them against your audience. Even this isn't foolproof because in a large company the product might first go to the IT department and the card may never reach the user.
Another way to measure effectiveness is to match by company or site. For instance, if you send five direct mail pieces to a business, and you receive an order from anyone at that same site or business you can infer that you get a 20% response rate. This is less precise than in the consumer world. You have to make some statistical assumptions.
A third option is to add a special character to your basic stock number to identify the promotion.
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Believe Information Technology Will Be Cheaper Next Year
New computers may cost less next summer, but it will never be less expensive to build an online presence than it is right now. Top Internet marketers and many university professors predict that brands are the key to online success because they help people sift through a glut of choices.
Have No Champion
The absence of an Internet zealot to lead the way is guaranteed to make your Web site mediocre. Without an in-house champion to research the newest and most exciting possibilities for your site, it will quickly dissolve and your once golden opportunity will quickly turn into a dead-zone.
attributed to Target Marketing