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MI Newsletter - 25th June 2009
According to new research 69% of consumers are willing to provide their e-mail address if asked, say E-Dialog. But only 10% of consumers said that a retailer had asked them for their e-mail address on a catalogue order form, and only 6% had ever been asked via direct mail. MI's own survey of major brand websites suggests that nine out ten sites that take orders DO ask for the email address - but very few seek any form of marketing permission, with a little over 30% offering a newsletter or offers by email.
However, if you want your customers to give up their email addresses to you AND consent to use them then you have to offer something in return. For example the survey found that 76% were worried about getting spam and 37% said they would be reluctant to share their e-mail address with brands if they can't see what they stand to gain. So what do you have to offer? Interestingly the one thing the Internet is full to overflowing with - information.
Information or money off
Half the people who are prepared to give their email address will do so in return for information of specific interest to them, while 45% would do so in return for money off future purchases or if it increased their loyalty points. So half the people can be bought with something that costs you nothing and the other half can be bought via self-liquidating offers against future purchases. In other words people's worries about spam are easily bought off! But don't be too fooled by this - web consumers are very savvy consumers and they know that a) they can unsubscribe at any time and b) just by dropping your lovingly crafted email into their spam folder they can effectively destroy their side of the bargain and you will never know!
So don't offer too much to get email addresses or you may end up fooling yourself that you have a huge email database, but in reality no-one is seeing the emails. Make sure you offer something that is genuinely useful and then don't abuse the permission you have gained. To find out more about what does and doesn't work, download Tim Beadle's E-book on Email marketing.
In the IPA's report - Price promotion during the downturn: shrewd or crude? - Dunnhumby, the marketing firm, assessed purchase data from 14 million members of the Clubcard loyalty scheme run by supermarket giant Tesco. The company found that the number of promotions run in the UK soft drinks category rose to 380 in the fourth quarter of last year compared with 209 over the same period in 2007. Similarly, the number of discount initiatives in the household sector increased from 188 to 472 in this timeframe, and also grew from 472 to 734 in the "snacks" sector, and from 1081 to 1791 among beers, wines and spirits brands.
The IPA argues that brand loyalty has declined in each of the areas that have witnessed high levels of promotional activity, and thus that focusing on a short-term increase in sales may undermine previous efforts to add value.
In support of this, Dunnhumby states that the number of consumers that could said to be "brand loyal" - that is, shoppers where 70% of their purchases in a particular category are of a specific brand - has declined in all of these sectors.
Blindingly Obvious
But hang on a second, of COURSE loyalty has declined. Consumers have been deluged with promotions and have switched. DunnHumby and the IPA have confused cause and effect. A brand running a promotion does NOT damage loyalty to its own brand, it damages loyalty to the competition. In other words, promotion works! Dunnhumby's Lawrence James's assertion that "brand owners are losing out" can thus be seen to be at the very best questionable and at worst completely misleading. But whether the £8Bn that consumer packaged goods companies spend each year on promotion delivers a better ROI than other alternatives is a very different and far more interesting question!
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MI Newsletter - 24th May 2009
With the recent uproar over MPs expenses
and missing RAF disks, data privacy is once
again in the news. And in its latest
newsletter the ICO highlighted over 140 data
breaches in the last three months alone. So
there's no better time than now to update
yourself on the latest trends and the 6th
Annual Data Privacy Conference is a great
place to do just that!
Hosted by London Law firm Spechley Bircham
LLP the conference represents amazing value
at just £85 + VAT per delegate. Speakers
include Dave Evans from the Information
Commissioner's office, Kamini Bharvada, EMEA
Data Privacy Counsel, Accenture, UK
and James Leaton Gray, Head of Information
Policy & Compliance, BBC UK.
Take a look at the conference details below
and follow the link to book your place today.
James Pearson - Editor
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MI Newsletter - 3rd April 2009
Yesterday saw the announcement that
house prices rose by nearly 1% in February
and for the first time in months the stock
market crossed the 4000 barrier. Then we had
the surprising unity at the G20 AND a
beautiful sunny day! Suddenly the world looks
a more hopeful place.
But we think there are deeper-seated reasons
for optimism, we see many of our clients now
starting to invest again after months of
restraint. They know that being first to spot
the bottom and react presents a significant
market advantage.
In this issue we take a look at how to
choose how much data you hold on customers -
we ask, can you have too much, we take a look
at e-marketing in the recession and we report
on a new study comparing new media to old.
Have an insightful week.
James Pearson - Editor
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MI Newsletter - 26th January 2009
23rd January 2009
* No recession in Retail
* E-Retail Workshop - a complimentary invitation
* Over 60% of Adspend is wasted says new study
According to the statistics we are most
definitely in a recession as GDP has now
declined for two consecutive quarters and
unemployment is rising. But if you look at
the results from retail you'd be forgiven for
thinking that the recession is a media myth.
We take a look at what's going on.
We have a very special offer from IMRG &
VeriSign who are organising an E-retail
workshop on 28th January 2009 in London.
Attendance is free and the full details are
below.
Finally, a new study suggests
that over 60% of adspend is wasted globally -
but that business-to-business marketers are
doing a better job at limiting this wastage
than their business-to-consumer peers.
James Pearson - Editor
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MI Newsletter - 8th January 2009
8th January 2009
* Strategies for 2009
* Unplanned purchasing levels "an urban myth" says new study
* Marketing in a Downturn - A vital seminar for 2009
* Privacy & Data Protection 2009, Dublin, 18/2/2009
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MI Newsletter - 11th December
12th December 2008
* On-line media "in despair"
* Beat the Recession - boost your budget by 40%
* Marketing in a Downturn 22/01/2009
* Privacy & Data Protection 2009, Dublin, 18/2/2009
Press and TV advertising may be in trouble
and now it looks like the on-line industry
could be in difficulty too! But this time its
self-inflicted, rather than a result of the
economic woes. And on the subject of the
recession, we take a look at what you can do
immediately to ensure you aren't wasting up
to 40%
of your marketing budget.
Don't forget to register for the Marketing
in a Downturn seminar on 22nd January.
Sponsored by Database Marketing magazine this
will provide you with the tools you need to
stay ahead of the game in 2009!
James Pearson - Editor
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