Entrepreneurship Education Experience - Bob Caspe (Aula 3)
Contact Strategy Presentation 2012
1. CONTACT STRATEGY
One Method of
Trigger Based
Direct Marketing
Bruce Reznik
Director, Database Marketing
Boardroom Inc.
203-635-4090
Brucerez@gmail.com
1
2. Objective
Drive incremental sales by reaching out to
recent paid customers.
Personalized “Thank You” with a special
message and offer.
2
3. Evolution
Phase 1: Increase circulation by offering free
trial subscription to all paid Book Buyers.
Phase 2: Segment buyers and offer them
targeted products.
Phase 3: Dynamically personalize offer with
name and product purchased.
3
4. Evolution (continued)
Phase 4: Build models to screen out low scoring
customers.
Phase 5: Use models to re-target top scoring
buyer groups.
Phase 6: Add new buyers to the groups being
promoted.
4
5. Evolution (continued)
Phase 7: Test creative and products to different
segments (such as genre, gender etc.).
Phase 8: Add scoring to better target re-mail
segments.
Phase 9: Test formats.
5
6. Evolution (continued)
Phase 10: Test offers.
Phase 11: Test media.
Phase 12: Test continuity products
Phase 13: Test subject lines and envelope
designs to get more customers into the
email / envelope.
6
7. Quantity Promoted
800,000
700,000
600,000
500,000
400,000
300,000
200,000
100,000
0
2007 2007 2007 2007 2008 2008
Q1 Q2 Q3 Q4 Q1 Q2
Q1 2008 is more than triple Q1 2007
Q2 2008 is more than double Q2 2007
7
8. Net Subscriptions
14,000
12,000
10,000
8,000
6,000
4,000
2,000
-
2007 2007 2007 2007 2008 2008
Q1 Q2 Q3 Q4 Q1 Q2
Q1 2008 is 2.5 times Q1 2007
Q2 2008 is 1/3 higher than Q2 2007
8
9. Sample Contact Strategy Grid
Choice #1 Choice #1
List Name List Select (Female) (OT Female) Choice #2 Choice #3 Choice #4
100% Female BNH old env BNH old env
Health Book
Top 85% otw
HCF BLP BWH
BNH new env BNH new env
BLP old env BLP old env
NONH Book Full 100% HCF BNH BWH
BLP new env BLP new env
HBB & prior PB Rml 40% BLP BLP HCF BNH
NHBB & prior PB Rml 40% BNH BNH BLP HCF
BB All & prior PB 3rd Wave 25% HCF BNH BLP
Health Pub BWH BNH BNH HCF BLP
Health Pub HCF BWH BNH BLP
Health Pub BNH BWH BLP HCF
NONH Pub BLP BWH BNH HCF
NONH Pub TMW BWH BNH BLP HCF
NONH Pub WTH BWH BNH BLP HCF
Health Pub Rml 60% BLP BLP BNH HCF
NONH Pub Rml 60% HCF HCF BNH BLP
PB All 3rd Wave 30% HCF HCF BNH BLP
Depending on what you’ve bought and who you are there are
58 possible cell assignments above
Samples available to review… 9
10. Campaign Proximity Analysis
Determine quantitative impact of test
campaigns.
Set strategy to minimize cost and
maximize profits.
10
11. Campaign Proximity Analysis
Net $ Per Order - House Names Net $ Per Order - Best (Multi) Names
$10.00 $10.00
$9.00 $9.00
$8.00 $8.00
$7.00 $7.00
$6.00 $6.00
$5.00
$5.00
$4.00
$4.00
$3.00
$3.00
<7 <=7 =7 =6 >7 >10 >12 =14 >14 >16
<7 <=7 =7 =6 >7 >10 >12 =14 >14 >16
The greater the time between campaigns,
the higher the net profit per order - But keep in
mind the total profit dollars.
NOTE: Data contains 5 years of campaign history
11
12. Mail Overlap Analysis
Overlap Name Net Response Index
200
150
100
50
0
0 2 5 7 7 12 14
Days Since Last Mailing
The actual net response rate for overlap names (i.e.
best/recent multi-buyers) are typically 30-50% better
than non-overlap names. But mailing them too
frequently reduces this edge. This is the line to straddle
in order to maximize profits. 12