Multi-Channel List MediaMulti-Channel List Media

Presented by:Presented by:

Cyndi LeeCyndi LeeVP of Business DevelopmentVP of Business Development

RMI Direct MarketingRMI Direct Marketingclee@rmidirect.comclee@rmidirect.com

4/28/094/28/09

Overview:

List buying has gone above and beyond traditional list

marketing. Today lists are considered a form of “media”.

See how marketers are utilizing lists through all channels

from postal, email, telemarketing and mobile.

The Roots of Direct MarketingThe Roots of Direct Marketing

In 1872 the first modern mail-order catalog was produced by Aaron Montgomery Ward. One fact that holds true today as it was back in 1872:

The implementation of sound strategy and marketing program that offers products and services that satisfy changing needs, wants and interests of the consumer

By the 1860’s number of firms used direct mail in the form of informational circulars and handbills to advertise their wares. Direct Mail as we know it today was made possible by the typewriter, which was invented in 1867 and began appearing in many offices thereafter.

1860’s 1872

In the 1880’s lettershops started to open such as the Business Address Company of NY, RL Polk and NCR.

1880’s

1886 marked the beginning of Sears, Roebuck.

1886

In 1961 it was Lester Wunderman, founder of Wunderman in 1958, who first used the term “direct marketing”.

1917

1917, the Direct Marketing Mail Advertising Association was established, today known as the Direct Marketing Association (DMA).

Third class bulk mail postage rates were established in 1928.

In 1938 Irma Dunhill created the first mailing list for rental. Irma went door to door in the Empire State Building gathering list of names for her employer.

In the 40’s businesses started to develop telephone sales. The breakthrough in technology by 1960’s the telemarketing industry advanced and from there telephone numbers were made available for rental.

1928 1938 1940’s 1961

Lists in the Early StagesLists in the Early Stages

As mailing lists started to develop list companies started to be

established to manage and sell mailing lists to other marketers.

The first type of lists on the market were compiled lists,

consumer/business mail order, and a few publishers released

expire names only.

Very little segmentation.

Compiled lists had the most segments with company size

and title. Response lists were limited:

Active Buyers Magazine Expires Geographic

In the 70’s and 80’s technology was advancing

fast. Marketers started to capture and flag more

transactional data.

Lists had more selections: Hotline mail order buyer Average purchase dollar Product category New subscribers Renewals Source (DM Agent vs. Direct to Publisher)

Merge/purge technology was created.

SRDS was the only book that listed “lists of lists”.

By the late 80’s into 90’s technology boomed and

we started to see a huge transition within the list

business.

Lists and Databases were getting more savvy,

new programs came to market to help marketers

maximize the value of their databases both for

internal and external purposes.

3rd party demographic and lifestyle data was

being appended.

Internal data card systems were being created to

track all new lists coming on the market.

In the mid-80’s MIN was established, the first

integrated data card system.

Current Landscape withCurrent Landscape withOffline/Online AssetsOffline/Online Assets

Having access to a lot more data, marketers can maximize the value of their own database for internal and external use.

If the manager and owner utilize this data and market it appropriately, mailers are able to slice and dice a file to reach the most targeted audience.

Data being appended: Lifestyle and Demographic data Ethnic & Religion Data Political Data Co-op data (purchasing data at the SKU levels)

With this data you can have over 100’s of variables to market. The key is positioning the list to the fullest potential.

More Data to Maximize Value of a List

More Data to Maximize Value of a List

Marketers are capturing email addresses from all sources, ranging from online

registration or when making a transaction from a subscription, purchase, inquiry

etc…

Marketers are also utilizing email append. You can increase the number of

emails on housefile by 20-30% by doing an append.

There are approximately 13,465 email lists on the market today. 51% consumer 60% business.

Email list pricing varies depending on the type of list. Consumer Databases are priced lower around $125/M to $150/M. Business lists are priced higher ranging from $300/M to $425/M. Consumer response files are priced from $200/M to $250/M.

Keep in mind these are market rates. Marketers can rent these lists as low as

$50/M to $125/M. Research your pricing and negotiate before going to contract.

Email List Marketing

Email List Marketing

Marketers are utilizing email lists in various ways,

such as:

Direct mail and email Combo’s Solo email

They utilize these media channels to help:

Drive consumers to website Generate leads to transition into a customer Generate a new customer Reactivate a customer

Email List Marketing

16Direct Mail & Email Combo Campaign

17

Sample of direct mail and

email in tandem.

This is a pre-announcement:

catalog coming

18Email to pre-announce magazine delivery

CURE is a solo DM campaign being deployed to acquire new donors.

Heifer Project is using an email listto acquire new donors

From: Hudson Valley Magazine [mailto:lcarpenito@westchestermagazine.com] Sent: Wednesday, January 28, 2009 4:58 PMTo: skimoore@optonline.netSubject: Special Welcome Back Offer!

Special Welcome Back Offer!

TERM COVER PRICE YOU PAY YOU SAVE

12 issues $47.88 $9.00 $38.88

Come back to Hudson Valley Magazine and save! Click here to reinstate your subscription to

Hudson Valley Magazine at the special low price of just $9.00. That’s an 81% savings off the

cover price!

Respond by:

2/6/09

This email was sent by: Spotlight Publications, LLC100 Clearbrook Road, Suite 170 Elmsford, NY, 10523-1135, USA

This is a reactivation effort

22

Example: Newsweek renewal effort

SMS = Short Message Service has the highest deliverability of any marketing medium.

Texting complements other types of campaigns and can be used effectively in conjunction with direct mail, telemarketing email or event marketing.

SMS users run campaigns that will drive consumers to their store, website or a call to number or to respond to an offer.

SMS is successful when using a financial aspect to the offer and an emotional appeal.

Over 60% of text messages will be seen with response rates averaging 10%.

Mobile Media

List owners are utilizing large databases of text numbers where they can do a match and create a Mobile List for rental. The good lists are double opted in.

The list owner or provider will deploy the text message.

Mobile files are priced at $225/M to $300/M.

The Mobile text lists coming to market have two forms of messaging

SMTP = Simple Mail Transfer Protocol is a process where software is used instead of a mobile aggregator.  Messages are not pushed through an aggregator dealing with the cell carriers. Phone is in essence receiving an email, it’s a one way system/no way to respond.  These lists are generally not double opted in which is not in keeping with MMA guidelines.  Because this pushes from server to server there is no way to track deliverability, stats show that 12 – 20% of the data deployed can be dropped or fail.

  SMPP = Short Message Peer to Peer is a process where a mobile aggregator is used, messages are cleared though the cell co’s  and the message is pushed directly with the cell carriers.  Lists are required to be double opt in, this is a two way method of communication so a response mechanism can be implemented.  Carriers can report on deliverability and is standard within the reporting.  Well over 99% of the messages pushed are delivered.  This is the pure form of SMS.

Mobile List Marketing

Mobile List Marketing

Marketers are adding a texting

component to DM or Print ads to

motivate the audience to get personally

involved.

They can reach potential customers

wherever they are with a mobile call to

action.

They use a unique keyword and code

to traditional advertisements. The

consumer then texts in the unique

keyword and code and within seconds

receives a reply text message with links

to pictures and offer information.

Marketing SamplesCourtesy of PK List Marketing

Marketing SamplesCourtesy of PK List Marketing

Marketers come together and craft the best

exchange scenario that will benefit both parties.

Partnerships will trade media assets including:

Postal addresses Email addresses Banners E-Newsletters Telemarketing

Partnership Marketing

29

Current was unable to use the list traditionally so a partnership deal was introduced. Woman’s Day advertised on Current’s website, Current had access to one of Woman’s Day media channels (website, email address, e-newsletter).

Magazine:

The publisher puts an offer on the non profit’s website offering a 1 year free subscription for every $25 donated.

The publisher is also riding on the non profit’s lapse donor telemarketing campaign. The non profit organization calls on all lapsed donors to try and reactivate them… During the call the telemarketer will offer a 1 year free subscription to a specific magazine if they return with a $25 or more donation.

Partnerships Utilizing Online/Offline/Telemarketing

Magazine Offer and Non Profit Partnership Sample:

Non Profit:

The non profit organization will utilize the publishers email addresses to generate new donors.

The non profit organization will run an ad on the publishers e-newsletter to acquire new donors.

The non profit organization can also get editorial space on the e-newsletter.

Marketers have found that endorsing a direct mail piece can lift response significantly. This sample is IMP looking for a lift in response so Doubleday/Crossings mailed their piece endorsing it.

Partnerships Utilizing Offline Endorsements

Partnerships Utilizing Offline

This sample is showing Oreck Vacuum using the Guideposts list.

They were so successful that they only mail the GP list with an endorsement.

Takeaway PointsTakeaway Points

Put traditional “list” thinking behind you.

Lists are categorized as another media channel.

Be creative, innovative and make the best of what you have.

There are multiple forms of list marketing as demonstrated today

Postal Email Telephone Mobile

Think partnership when discussing lists/media channels; utilize them all.

Always create new types of lists so every marketer can target their audience through any channel.

Takeaway Points