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Increasing Response with 1:1 Campaigns

                                       Executive Summary
                                       The essence of one to one marketing campaigns is
                                       relationship marketing. One to one marketing campaigns
                                       are a potent tool to enhance lead generation, increase
                                       product usage and promote brand awareness.The only
                                       significant obstacle for most marketing professionals is the
                                       time and expense needed to implement the campaigns
                                       and manage the upswing in responses.


                                       The Challenge
                                       It used to be enough if you sent out a direct mail or email
                                       that splashed a prospect’s name on the cover.Those times
                                       have passed and if marketers want to continue creating
                                       successful campaigns, they have to think about:


                                            Testing their assumptions on what generates responses
                                            Treating every customer differently (through variable
                                            offers, follow-ups and messaging)
                                            Interactive elements to connect with customers


                                       This white paper will address these issues through L2’s
                                       execution of a personalized 1:1 marketing campaign and
  L2: The Campaign Technology People




                                       the lessons learned from that process.


                                       The Campaign:




                                       Pictured above left: Mad Marketing Quiz, Pictured above right: static version
                                       of Mad Mad Marketing Poster
The Mad Mad Marketing application was launched as a way to continually build
    a relationship with prospects while it singled out those that are likely to be
    more interested in using its 1:1 personalization software.


    The original idea involved a ‘Which type of marketer are you?’ quiz, where
    each user would:

        Be asked three questions that would determine their marketing
        archetype (brains, implementer or seller)
        Be presented with a personalized PDF poster generated real-time
        Be presented with an offer to take a demo of the product


    Multi-channel Marketing:
    Most marketers make the mistake of only thinking about one channel when
    they design their campaign. Below is a list of multi-channel risks vs. rewards:




       Perceived risks:                                  Multi-channel rewards:


       No time to think about a multi-                   A 30% increase in response rates
       channel approach                                  and over 3x increase in ROI*


       Process is too complex to                         Prospects respond to you
       execute effectively                               through their preferred channel


       The expense of multi-channel                      Stronger customer relationships are
       marketing is too high                             built through brand awareness


     * Results taken from an average of L2’s client’s campaigns




      Personalized Direct-mail               Personalized Email         Personalized Web Page


     Pictured above: Example of channels corresponding to each prospects preference
2
Campaign Workflow: Mad Marketing campaign workflow pictured below



                                                                    Application included:

                                                                    1. A personal URL for
                                                                    existing contacts
   Website
                                                                    2. Static landing pages
                                                                    for visitors from L2’s
                                                                    corporate website
                                                    Fuse Demo
                                                                    3. Email invitation to
                       L2 used its personalized                     take the Marketing quiz
                       landing page to market
     Email             its Fuse product to                          4. A personalized poster
                       existing prospects and                       generated on-demand
                       new leads.
                                                                    5. An option to refer
                       Prospects were sent an                       friends to the quiz
                       email which led them to
                       their own personal URL.
 Refer a Friend                                   Variable Poster




Campaign Infrastructure:
L2 designed its mad marketing campaign to demonstrate to prospects L2’s
capabilities with personal URLs.While the application was designed primarily
for distribution via email, it also allowed for lead generation from static chan-
nels; visits from its corporate website, Google searches and media sources
through a static URL (http://madmarketing.L2soft.com).


This helped L2 use the same application to both strengthen existing
relationships while initiating new ones.


Through the campaign, L2 was able to test how prospects responded to vari-
ous elements in the campaign, quickly make changes to the campaign and
increase overall response rates.


Gather Customer Intelligence Based on Responses to Test Campaigns
Patience is a virtue marketers must develop as they begin to launch 1:1
marketing campaigns. L2 intentionally designed its Mad Marketing application
as an add-on to a previous poster campaign and wanted to test how
receptive prospects would be of the new layout.



                                                                                               3
Jane Doe                                                            Check out
                                                                                  this exclusive
                                                                                  offer from L2

               Find out your Mad Marketing Personality at:
               MadMarketing.L2soft.com/Jane.Doe



               Jane Doe,

               You’ve received and responded to one of our campaigns before;
               we wanted to show you another way L2’s Fuse can be used to
               create multi-channel campaigns using variable creative.

               Visit the URL designed just for you, find out which Mad Marketer
               you are and get a special campaign offer when you launch your
               marketing campaign with Fuse.

               MadMarketing.L2soft.com/Jane.Doe




                    | 1023 Corporation Way | Palo Alto | CA | 94303
               650-944-8571

    Pictured above: sample email from the Mad Marketing campaign

    a) Test the Design:
    The design was intentionallly cartoony to evoke warm feelings of humor in
    its prospective customer database.While that helped it stand out from the
    clutter of emails that L2’s prospects were exposed to, L2 knew the design
    would not appeal as effectively to all prospects. Initial test lists were used to
    judge the acceptability of the general design.


    b) Test the Message:
    In its tests, L2 found that while people were visiting their personalized web-
    page, they were abandoning the page before they viewed their personalized
    poster. L2’s prospects were not seeing what L2 felt was the most important
    selling point in the application!


    In subsequent messages out to their prospects, L2 then changed the focus of
    the application from a ‘find out which mad marketer you are’ quiz to the ‘build
    your own personalized poster’ concept that they eventually adopted.


    This small change increased the number of completions from 38% to 48% and
    helped ensure that prospects saw the highlight of the marketing campaign.


    c) Test Email Subjects and Taglines:
    1:1 campaign marketers also need to realize the importance of simple ele-


4
ments like an email subject or a tagline in a poster/ postcard.These sentences
are the primary determinants of whether a prospect responds to the campaign.


L2 tested subject lines, email body content and use of imagery. Through this
process, they could then use whichever generated the most desired response
and adopt it in the rest of the campaign.


For example, L2 tested responses to a text email and one with HTML (with
images). They found, that while the text email increased the number of click-
throughs to the personal URL, the HTML email tended to produce more
quality responses (more people completed the quiz and viewed their poster.)




Pictured above: percentage of people who completed and abandoned their application


Send Different Follow-up Campaigns
Many mass marketers continually send prospects the same offer, in an enve-
lope with the same design, whether the prospect responds or not.This kind
of in-your-face marketing is both expensive and ineffective because the same
offer and design won’t be relevant to all campaign prospects. As a result,
the probability of reaching the target market is low.


Marketers that need to keep to a tight budget and meet an ROI requirement
cannot afford the expense of mass marketing.


For the 1:1 marketer, anticipating how to follow-up with prospects based on
their responses is intrinsic in the planning of marketing campaigns. Metrics
that help you decide whether to send a follow-up poster, postcard, offer or
reminder email should be determined early for seamless execution.


                                                                                     5
Interact with Your Prospects
    If you have a good product, offer and message, your prospects will want to
    interact with you. But they won’t go out of their way to do so, it has to be a
    simple and easy process. In this campaign, L2 included a comments box for
    people to let them know what they thought of the application.


    Initially, the comments box was placed as a link at the bottom of the personal
    URL. No one used it! After L2 moved the comments box to be more promi-
    nent on the personal URL and placed it on the welcome back page when the
    prospect went back to their webpage, they started making comments about
    the application.


    The questions and comments L2 received from the application were also
    great conversation starters for follow-up sales calls. Coupled with a real-time
    notification sent to its sales team when someone completes the application,
    L2 was able to follow-up almost immediately with these prospects.


    Let Prospects Generate the Leads
    Often when you market your company, brand or product to a list of people
    you have not contacted previously, you will find that many of them may not be
    the right decision-makers or might have changed departments.


    However, chances are they know who you should be talking to and wouldn’t
    mind referring you to the right people if they like your message.




                                    Original       Referred
                                    Data List      Friends


    Pictured above: comparison of original data list responses vs. referred friend responses


6
L2 included a simple refer-a-friend function and while the percentage of
people who used the function was small, those that used it referred people in
their company that were the right ones to consider L2, or who would have an
interest in the application.


Having someone they know refer an application to them also increases the
likelihood of the referred prospects responding to your message.


L2 saw a 40% response rate to its Mad Marketing application from people who
were referred to the campaign – almost 3x the response from the original data list.


Conclusion:
1:1 marketing campaigns are a good way for marketers to increase campaign
response rates and enhance the customer experience through multiple chan-
nels (direct mail, email, personal URLs, corporate website and web search. )




Direct Marketing Association Average:Taken from 2006 response rate trends
report released by the DMA



To get campaign responses above the DMA average, marketers need to do
more than designing campaigns and sending them out without any feedback
process. As outlined in this whitepaper, 1:1 marketers should involve testing,
planning effective follow-up (based on responses) and including interactive ele-
ments in their campaigns.


The prize for executing 1:1 campaigns effectively – better leads, stronger mes-
saging and faster conversions.


                                                                                      7
About L2:
L2 is the provider of Fuse, an on-demand web-based platform designed to
create customized marketing campaigns through direct mail, email and the
web. Founded in May of 2001, L2 has teams that support both customer
and channel engagements which range from quick campaign deployment, to
building multi-touch campaigns that nurture leads throughout the sales cycle.


Our clients include Sybase,Acxiom, Optos, Intel, Delta Dental, Kaiser Permanente,
The Mahoney Company, HP, Virgin Mobile and The United States Postal Service.




                            © Copyright L2, Inc.
       L2 is headquartered in San Jose, California. For more information,
              please visit www.L2soft.com or call (408) 457 9300.

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Increasing Marketing Campaign Responses with 1:1 campaigns

  • 1. Increasing Response with 1:1 Campaigns Executive Summary The essence of one to one marketing campaigns is relationship marketing. One to one marketing campaigns are a potent tool to enhance lead generation, increase product usage and promote brand awareness.The only significant obstacle for most marketing professionals is the time and expense needed to implement the campaigns and manage the upswing in responses. The Challenge It used to be enough if you sent out a direct mail or email that splashed a prospect’s name on the cover.Those times have passed and if marketers want to continue creating successful campaigns, they have to think about: Testing their assumptions on what generates responses Treating every customer differently (through variable offers, follow-ups and messaging) Interactive elements to connect with customers This white paper will address these issues through L2’s execution of a personalized 1:1 marketing campaign and L2: The Campaign Technology People the lessons learned from that process. The Campaign: Pictured above left: Mad Marketing Quiz, Pictured above right: static version of Mad Mad Marketing Poster
  • 2. The Mad Mad Marketing application was launched as a way to continually build a relationship with prospects while it singled out those that are likely to be more interested in using its 1:1 personalization software. The original idea involved a ‘Which type of marketer are you?’ quiz, where each user would: Be asked three questions that would determine their marketing archetype (brains, implementer or seller) Be presented with a personalized PDF poster generated real-time Be presented with an offer to take a demo of the product Multi-channel Marketing: Most marketers make the mistake of only thinking about one channel when they design their campaign. Below is a list of multi-channel risks vs. rewards: Perceived risks: Multi-channel rewards: No time to think about a multi- A 30% increase in response rates channel approach and over 3x increase in ROI* Process is too complex to Prospects respond to you execute effectively through their preferred channel The expense of multi-channel Stronger customer relationships are marketing is too high built through brand awareness * Results taken from an average of L2’s client’s campaigns Personalized Direct-mail Personalized Email Personalized Web Page Pictured above: Example of channels corresponding to each prospects preference 2
  • 3. Campaign Workflow: Mad Marketing campaign workflow pictured below Application included: 1. A personal URL for existing contacts Website 2. Static landing pages for visitors from L2’s corporate website Fuse Demo 3. Email invitation to L2 used its personalized take the Marketing quiz landing page to market Email its Fuse product to 4. A personalized poster existing prospects and generated on-demand new leads. 5. An option to refer Prospects were sent an friends to the quiz email which led them to their own personal URL. Refer a Friend Variable Poster Campaign Infrastructure: L2 designed its mad marketing campaign to demonstrate to prospects L2’s capabilities with personal URLs.While the application was designed primarily for distribution via email, it also allowed for lead generation from static chan- nels; visits from its corporate website, Google searches and media sources through a static URL (http://madmarketing.L2soft.com). This helped L2 use the same application to both strengthen existing relationships while initiating new ones. Through the campaign, L2 was able to test how prospects responded to vari- ous elements in the campaign, quickly make changes to the campaign and increase overall response rates. Gather Customer Intelligence Based on Responses to Test Campaigns Patience is a virtue marketers must develop as they begin to launch 1:1 marketing campaigns. L2 intentionally designed its Mad Marketing application as an add-on to a previous poster campaign and wanted to test how receptive prospects would be of the new layout. 3
  • 4. Jane Doe Check out this exclusive offer from L2 Find out your Mad Marketing Personality at: MadMarketing.L2soft.com/Jane.Doe Jane Doe, You’ve received and responded to one of our campaigns before; we wanted to show you another way L2’s Fuse can be used to create multi-channel campaigns using variable creative. Visit the URL designed just for you, find out which Mad Marketer you are and get a special campaign offer when you launch your marketing campaign with Fuse. MadMarketing.L2soft.com/Jane.Doe | 1023 Corporation Way | Palo Alto | CA | 94303 650-944-8571 Pictured above: sample email from the Mad Marketing campaign a) Test the Design: The design was intentionallly cartoony to evoke warm feelings of humor in its prospective customer database.While that helped it stand out from the clutter of emails that L2’s prospects were exposed to, L2 knew the design would not appeal as effectively to all prospects. Initial test lists were used to judge the acceptability of the general design. b) Test the Message: In its tests, L2 found that while people were visiting their personalized web- page, they were abandoning the page before they viewed their personalized poster. L2’s prospects were not seeing what L2 felt was the most important selling point in the application! In subsequent messages out to their prospects, L2 then changed the focus of the application from a ‘find out which mad marketer you are’ quiz to the ‘build your own personalized poster’ concept that they eventually adopted. This small change increased the number of completions from 38% to 48% and helped ensure that prospects saw the highlight of the marketing campaign. c) Test Email Subjects and Taglines: 1:1 campaign marketers also need to realize the importance of simple ele- 4
  • 5. ments like an email subject or a tagline in a poster/ postcard.These sentences are the primary determinants of whether a prospect responds to the campaign. L2 tested subject lines, email body content and use of imagery. Through this process, they could then use whichever generated the most desired response and adopt it in the rest of the campaign. For example, L2 tested responses to a text email and one with HTML (with images). They found, that while the text email increased the number of click- throughs to the personal URL, the HTML email tended to produce more quality responses (more people completed the quiz and viewed their poster.) Pictured above: percentage of people who completed and abandoned their application Send Different Follow-up Campaigns Many mass marketers continually send prospects the same offer, in an enve- lope with the same design, whether the prospect responds or not.This kind of in-your-face marketing is both expensive and ineffective because the same offer and design won’t be relevant to all campaign prospects. As a result, the probability of reaching the target market is low. Marketers that need to keep to a tight budget and meet an ROI requirement cannot afford the expense of mass marketing. For the 1:1 marketer, anticipating how to follow-up with prospects based on their responses is intrinsic in the planning of marketing campaigns. Metrics that help you decide whether to send a follow-up poster, postcard, offer or reminder email should be determined early for seamless execution. 5
  • 6. Interact with Your Prospects If you have a good product, offer and message, your prospects will want to interact with you. But they won’t go out of their way to do so, it has to be a simple and easy process. In this campaign, L2 included a comments box for people to let them know what they thought of the application. Initially, the comments box was placed as a link at the bottom of the personal URL. No one used it! After L2 moved the comments box to be more promi- nent on the personal URL and placed it on the welcome back page when the prospect went back to their webpage, they started making comments about the application. The questions and comments L2 received from the application were also great conversation starters for follow-up sales calls. Coupled with a real-time notification sent to its sales team when someone completes the application, L2 was able to follow-up almost immediately with these prospects. Let Prospects Generate the Leads Often when you market your company, brand or product to a list of people you have not contacted previously, you will find that many of them may not be the right decision-makers or might have changed departments. However, chances are they know who you should be talking to and wouldn’t mind referring you to the right people if they like your message. Original Referred Data List Friends Pictured above: comparison of original data list responses vs. referred friend responses 6
  • 7. L2 included a simple refer-a-friend function and while the percentage of people who used the function was small, those that used it referred people in their company that were the right ones to consider L2, or who would have an interest in the application. Having someone they know refer an application to them also increases the likelihood of the referred prospects responding to your message. L2 saw a 40% response rate to its Mad Marketing application from people who were referred to the campaign – almost 3x the response from the original data list. Conclusion: 1:1 marketing campaigns are a good way for marketers to increase campaign response rates and enhance the customer experience through multiple chan- nels (direct mail, email, personal URLs, corporate website and web search. ) Direct Marketing Association Average:Taken from 2006 response rate trends report released by the DMA To get campaign responses above the DMA average, marketers need to do more than designing campaigns and sending them out without any feedback process. As outlined in this whitepaper, 1:1 marketers should involve testing, planning effective follow-up (based on responses) and including interactive ele- ments in their campaigns. The prize for executing 1:1 campaigns effectively – better leads, stronger mes- saging and faster conversions. 7
  • 8. About L2: L2 is the provider of Fuse, an on-demand web-based platform designed to create customized marketing campaigns through direct mail, email and the web. Founded in May of 2001, L2 has teams that support both customer and channel engagements which range from quick campaign deployment, to building multi-touch campaigns that nurture leads throughout the sales cycle. Our clients include Sybase,Acxiom, Optos, Intel, Delta Dental, Kaiser Permanente, The Mahoney Company, HP, Virgin Mobile and The United States Postal Service. © Copyright L2, Inc. L2 is headquartered in San Jose, California. For more information, please visit www.L2soft.com or call (408) 457 9300.