Not Just Your Average OnsertBetter Marketing with Transpromo

LKCS

Transpromo Statement Marketing

• What is Transpromo?

– Transpromo is a compound expression formed from the words "transaction" and "promotional".

– By adding relevant messages, you can piggyback targeted promotions and advertising onto existing transaction-related documents, such as statements.

– Transpromotional documents combine and data mining and business intelligence technology with variable data printing.

• TAKE ADVANTAGE OF “FREE” POSTAGE!

– Include targeted advertising with your statements

Transpromo Options

• Statement Ads/Onserts– LKCS print ads directly on your statements for pennies.

– Ads sent to all members OR we can target specific groups of members to receive one or more of these messages.

– You are no longer limited to short, text-only messages. Include graphics, logos, fonts, photos, etc. Even personalize the ads.

– Same technology enables loan payment coupons, rate grids, regulatory notices, etc. to be delivered on your statements.

– Design the ads yourself, select concepts from our online catalog, or have LKCS custom-design ads just for you.

Statement Onserts

Statement Onserts

More Transpromo

• Statement Letters– Include personalized direct mail

letters as the first page of your account statements. NO EXTRA POSTAGE!

– According to the DMA, personalized letters remain as the most effective direct mail method.

– Use for pre-approvals, referral campaigns, skip-a-pay, investment relationships, welcome new members, etc.

E-Statements

• Clearly the future for majority of account statements

• Including statement marketing is just as important

All transpromo techniques can be incorporated into

LKCS’ e-statements

Additional E-Statement Marketing Options

• E-Mail Notification– Customize this e-mail to be your e-newsletter, informing

members of your latest campaigns instead of solely confirming their e-statement availability.

• Banner Ads– Display web banner ads with your e-statements. Use these

banner ads to link to your web site, online applications, calculators or PDFs.

• Landing Pages, Overlays and Hover Ads– Present your latest promotion, news, or interactive content to

members/customers before they access their e-statements.

A Few Transpromo Statistics

• Numerous studies demonstrate that personalized statement-based onsert campaigns, generate higher response rates than traditional inserts.

– On average, these higher response rates create a Return on Investment of 280%. (Source: Transpromo Made Simplewhitepaper; Ricoh)

– Response rates on statement onserts are 80% higher than direct mail. (Source: Future of Mail; InfoTrends)

– Timing statement-based advertising to coincide with other marketing media can increase awareness and response rates by an additional 125%. (Source: Research Study, Pitney Bowes Software)

Transpromo works

• Will people look at ads on their statements?– 64% of respondents to a recent survey by Zoomerang

and InfoPrint said they would use personalized coupons if printed onto monthly bills and statements (with nearly half responding that these would encourage brand loyalty).

– Compare this to the DMA Response Rate Trend Report that says nearly 60 percent of direct mail campaigns in financial services aimed to produce a direct sale. The average response rate was a comparatively low 1.01%.

Onserts (ads) printed on your statements will get read.

Add Some Color

• Where is your eye drawn on this statement?

• Color is 20-30% more expensive than black variable data printing.

• However, color TransPromo pieces have a 50% higher response than black Transpromo. (Source: Graphic Arts Magazine, October 2010)

• Idea: Consider printing a portion of your statements in color.

– Most profitable accounts

– Targeted transpromo campaigns

Marketing Automation

• All of the above examples were intended to support one promotion for one month.

• How else could you utilize transpromo statement marketing?

• Consider developing ongoing statement-based marketing campaigns

• The advantages:– “Set it and forget it” (at least for a few months)– Take advantage of special opportunities– True one-to-one marketing

Transpromo Statement Campaigns

• Some ideas:

– New Account Holders

– CD Renewals

– Loan Payoffs

– Auto Loan Recapture

– Birthday Messages

– Loan Payment Coupons

– Kids Club/Teen Club/Senior Club

– New Mergers/Branch Acquisitions

– New SEGs

– Cross-Sell Opportunities

Ongoing Campaign Examples

• True or False?– Credit bureau data is very expensive.

• Actual cost: 25 cents per record

– Pre-screen marketing is very effective.• Typically at least 2-3x higher response

– Direct mail postage cost is now $.30-$.41.• If only postage was FREE…

REMEMBER THOSE STATEMENT LETTERS?

Pre-Screen Statement Marketing

Pre-Screen Statement Letters

Matrix Statement Campaigns

• Series of statement onserts sent out over a period of months/quarters to cross-sell additional products and services to specific groups of account holders.

– Same concept as Matrix Mailings.

– Terrific solution for new account holders, mergers, new branch locations, new SEGs, expanded field of membership, etc.

– Ability to run multiple matrices at same time.

Matrix Ad Examples

Thank You!

Sid HaasVice President of Business Development

LKCSDirect: 815-220-3904

E-Mail: sid.haas@lk-cs.com