Why Use Modeled Cooperative Databases for Mail?

Today's modeled cooperative databases offer big advantages for B2C and B2B direct marketers, which is why AccuList now represents 18 private modeled cooperative databases that clients can use to optimize direct mail results. These databases include millions of merged, deduped, and "modeled and scored" hotline names from thousands of commercial and nonprofit participants. At no charge, each can match the client's database, model client postal addresses, and deliver optimized “look-alike” names. The database will prioritize those modeled names by decile or quintile to help clients further identify targets most likely to respond to an offer or fundraising appeal. Marketers sometimes hesitate to participate because of unfounded fears of sharing exclusive/unique customers, catalog buyers, subscribers or donors with membership-based database participants. Note that these databases generally match a marketer's names against the cooperative database files and share transactional data. If there are matches, only transactional information is added to the cooperative database records; and if there are no matches, the unique names are not added to the pool. Why do cooperative databases opt to incorporate only multi-occurring or duplicate records? Because that is data that tends to be far more predictive, with proven response. Plus, the reality is that very few names are unique to a firm, publication or fundraiser. About 80% to 90% of consumer prospects are multi-buyers, and 90% of nonprofit donors give to two or more organizations, so these names are already included in cooperative data. On the other hand, by participating to access a huge pool of names rich with demographic and transactional information, marketers reap many gains. Acquisition campaigns clearly can benefit from netting look-alike prospects from the large cooperative database pool, a real boon for regional or niche mailers who struggle to find acquisition volume. The large universe also allows for more segmentation to target not only higher response groups but more valuable response segments. In the case of nonprofits, that could be high-dollar donors, for example. Profiling and modeling can create better results from house names, too. Instead of mailing the whole house file, current customers, subscribers or donors can be flagged for likelihood of response and upsell, for channel and messaging preference, for risk of lapse/attrition, and more. Plus, modeled databases offer cost efficiency via an attractive list CPM; recent, clean, deduped records that lower mailing costs; and optimization selects (or deselects) that also boost mailing efficiency and ROI. For more, see https://www.acculist.com/why-participate-in-modeled-cooperative-databases/

'Doggie Daycare' Fetches Millennial Demand

Millennials are driving growth for pet owner marketing, especially sales in the pet boarding and grooming arena, where spending hit an annual $6.16 billion in 2017 per the American Pet Products Association. For example, this summer the New York Post reported that growing demand from pet owners inspired the American Kennel Club to jump into the high-priced Manhattan real estate market: Its AKC Canine Retreat venture purchased five locations from Spot Canine Club as well as the Running Paws dog-jogging (not walking) service to re-brand under the AKC umbrella. Similarly, "doggie daycare" service Camp Bow Wow, founded in 2000, is busy adding franchises to its existing 144. The Millennial generation's disposable income coupled with pet-centric attitudes are behind the trend, Camp Bow Wow's Chief Barketer (also VP of marketing) Julie Turner recently explained to Direct Marketing News. As the Millennial age cohort marries and has children later in life than their parents, "they're filling the gap with a dog," she said, treating their dogs as "really a part of the family." Millennials are not only frequent travelers who need pet boarding, they are working "pet parents" who choose daycare services so their canine companions can go to camp rather than stay home alone. They like to collect a "happy and tired dog" at the end of the day, she noted. Millennials are definitely mobile device addicts, so Camp Bow Wow upped its mobile strategy in 2014 when Turner came aboard, starting with a more mobile-responsive website "in line with other brands millennials support." Camp Bow Wow introduced a mobile app that allows owners to find locations and make reservations, but its top use is watching live feeds of pets at play. "Pet parents want to talk about [the service] and show pictures of their dog at camp," Turner explained, something Camp Bow Wow enables by texting photos of dogs having fun to their owners. The digital engagement and sense of community are not only key to retaining customers, digital strategies dominate acquisition via local search engine optimization, e-mail and texting programs, and social media advertising. Camp Bow Wow actively works with social influencers to drive referrals, for example: "We have a very high net promoter score," claimed Turner. Camp Bow Wow reps also attend community events to promote the brand and acquire new customers. At events, the #GiveAFetch is a popular draw, dispensing tennis balls to happy pups from a what looks like a giant bubblegum machine. Plus, Camp Bow Wow ups its brand reputation by partnering with shelters and providing a temporary "foster home" environment for abandoned dogs to help with socialization. For more on pet owner marketing, see http://www.acculistusa.com/doggie-daycare-market-fetches-millennial-demand/

Targeted CTAs Drive Arts Marketers' Digital Wins

While direct mail continues to be a sturdy workhorse for performing arts marketing, digital campaigns--via online display ads, e-mail and social media--are required in a multi-channel world. Digital subscription drives offer cost-effectiveness, off-season branding, audience segment targeting, and synergy with direct mail. But with more competition for attention in the crowded digital space and with less room for persuasion than "snail mail," digital promotion success is especially dependent on a well-designed and targeted call-to-action (CTA), as pointed out in a recent blog post by strategists at MogoARTS, a digital marketing agency for arts and cultural organizations. An effective call-to-action will differ by targeting, the post points out. With renewals, the targets are lists of current season subscribers, so the CTA messaging can be direct and should highlight an incentive like a discount or savings for renewing early or by a deadline. For acquiring new members or reactivating lapsed subscribers, targeting includes lists of previous season ticket buyers and e-mail opt-in prospects, who need to be shown the benefits of subscription (or reminded). The CTA messaging for lapsed subscribers and multi-ticket buyers should give a reason to come back or upgrade to a subscription by promoting package savings or special benefits, such as free parking or early access to add-ons. CTAs to entice new members will need to spell out subscriber benefits, either across ad units or on a landing page. The blog post makes CTA creative suggestions and cites three best practices for any CTA: 1) customization for the different audience types, meaning renewing, lapsed or new members; 2) emphasis on the benefits of a subscription package over a single ticket purchase; and 3) highlighting of the savings/special rewards available for subscribing now. For more and CTA examples, see our complete blog post at http://www.acculistusa.com/arts-marketers-need-digital-ctas-that-drive-subscriptions/

P&C Insurance Continues to Embrace Direct Mail

Direct mail by property and casualty insurance clients continues as a staple of our list brokerage and data services business, and so we were pleased to see a Valentine's Day love note to P&C direct mail from the marketing consultants at IWCO Direct. The IWCO post notes that nearly 400 insurance companies mailed more than 5.7 billion pieces of mail in 2017, according to Comperemedia. The property and casualty insurance category accounted for 53% of that volume, with more than 3 billion pieces of direct mail mailed by 110 companies. Of those direct mail packages, 95% were Marketing Mail (formerly called Standard Mail), mainly for acquisition (89%). Comperemedia and Competiscan data highlighted trends revealed by those direct mail packages, too.  With 55% of policyholders likely to shop around for insurance as a policy comes up for renewal, smart insurance providers are taking a proactive approach and contacting policyholders in advance to remind them why they should remain with their current P&C insurance provider. Also to woo shoppers, both in acquisition and renewal, insurance promotions are direct about savings messages and competitor pricing comparisons. Finally, the industry's continued embrace of direct mail does not ignore the digital revolution; in fact, direct mail packages are highlighting the industry's growing self-service digital functionality for policyholders. Leveraging industry trends and success stories, IWCO lists three basic tactics proven to boost response for P&C acquisition and cross-sell mailings: 1) Comparison charts touting coverage benefits over those of top competitors; 2) Promotional cards with a clear call-to-action via website, mobile app, and/or toll-free phone; and 3) An eye-catching personalized tagline. See http://www.acculistusa.com/pc-insurance-embraces-direct-mail-response/

How Performing Arts Marketers Find Best Targets

Since AccuList USA has successfully worked with performing arts and cultural organizations in audience development, supplying data and data services to help them acquire new patrons, ticket buyers and supporters, we were happy to see a recent npENGAGE.com post underscoring the key role of quality data targeting in performing arts marketing success. Basically, performing arts marketers must acquire prospects with the potential to become long-term, high-value patrons; retain them; and maximize their dollar contributions. That challenge is not easy when studies show 72% of single-ticket buyers do not return, points out npENGAGE article author Chuck Turner, a senior analytics specialist at the Target Analytics agency for arts and cultural clients. So a cost-effective marketing strategy will rely on data analytics both to target those with the highest relationship potential and to personalize messaging and offers for boosted ROI and loyalty. For revenue generation, analysis should look at the value of patrons in terms of the average of all revenue earned, including things such as gift shop and concession sales and tuition for classes offered, as well as ticket sales and subscriptions, Turner urges. That means targeting likely high-revenue prospects, plus targeting the right members of the audience pool for offers of add-ons and upgrades. For both groups, Turner suggests selecting those with higher average income, and thus higher capacity to spend. When it comes to increasing donations, external list data on both discretionary spending ability and nonprofit donation history can be used to target significant nonprofit donor prospects for acquisition, and that data can be appended to the existing audience database to better target for add-ons and upgrades. Turner points to Target Analytics findings that, on average, up to 40% of nonprofit audiences can be top prospects for significant contributory giving--if you communicate to prospects with a message that resonates with their mission-based interest. With limited resources, performing arts marketers need to be more strategic and proactive in focusing on the most valuable segments. This means tracking lifetime value, defined as the net profit attributed to the entire future relationship discounted to its current value. Again, quality data can help target the right people--those with high lifetime value--with the right message. For both audience database and prospecting mailing lists, Turner stresses selecting targets based on charitable giving and income/discretionary spending ability. Conversely, knowing those unlikely to donate or spend helps minimize investment in unprofitable segments. For more, see http://www.acculistusa.com/how-can-performing-arts-marketing-find-the-best-targets/

Always Be Testing: Even the Best Mail Control Tires

Successful direct mail marketers seek to optimize response by constantly testing creative (as well as lists), because they know that even the best control package can lose its punch and need refurbishing or replacing. Since direct mail testing can be expensive, especially multivariate testing, it is important to think through why response to a proven control can flag and what changes are worth testing. A recent Target Marketing magazine article, by direct marketing consultant Gary Hennerberg, addresses the issue by reminding marketers of basics: The control has succeeded better than other mailing packages because, using the right list, the marketer has matched the offer's emotional hot buttons and unique selling proposition to the prospects' awareness of both their problem and the marketer's solution at the time. But that alignment between prospect and promotion is not static. After mailing the same direct mail control package over and over (or using the same digital message), the majority of targeted prospects have either seen your pitch or been educated by other media, so your message may no longer fit with their knowledge and needs. "If you don’t stay on top of this changing awareness and understanding, your direct mail control package, or messaging in other channels, fatigues, and you’ll wonder why," Hennerberg warns. He suggests marketers commit to a program 1) assessing prospect awareness of the problem solved by the marketed product or service; 2) creating multiple creative approaches that align with different prospect awareness levels; and 3) testing creatives (headlines, leads, formats, etc.) against each other and the control to find the sweet spot. For more, see http://www.acculistusa.com/always-be-testing-even-the-best-mail-control-gets-tired/