11. But Phil knew that his secret weapon Was his knowledge of how to use the power Of sophisticated selling techniques in his Direct marketing programs using all channels. Once upon a time in land far away there lived a prince of marketing named Phil. Phil was known as a clever marketer; Some said he was possessed of marketing magic. Nevertheless, throughout the land and beyond the sea All thought he possessed some kind of marketing magic. Phil was working for a very innovative company. This was no ordinary company. This company Enabled Phil to stand atop the ……… strategic marketing pyramid.
12. Strategic Promotional Disciplines Methodologies and Approaches Media The Strategic Marketing Pyramid* Company Objectives Marketing Objectives Marketing Goals *Chet Meisner, “The Complete Guide to Direct Marketing”, Kaplan Books, 2006
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14. Phil, you Prince of Marketing and wunderkind I’ve been sent here for you to find It’s your marketing magic that others do seek So prepare to be delivered right to their feet.
15. So off to Massachusetts; Woburn to be exact To Head up marketing and get them on track So Abra ca dabra, ala-ka-zam, With this spell I do command! Abra-ca-dabra, ala-ka-zam I’m sending Phil to a far away land, A place without data or a 360 degree vew Of customers or prospects too. No more budgets with lots of fat No large staff or anything like that. No integrated marketing; no muti-channel mix Just vendors performing their usual tricks.
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17. The castle seemed friendly enough, So Phil approached its massive doors. On the door there was an old bronze Plaque with a relief of an ancient face. Phil thought out loud, “I’ve seen this Face somewhere and sometime before.”
18. Well, where I come from I do not normally hear or see Men or women cast in bronze Talking or staring back at me.
19. Be that as it may You should still recognize me I’m the once famous jurist and United States justice supreme I’m the honorable Louis Brandies. And what might your name be?
20. Well, my name is Phil but please tell me your story? And tell me what goes, Really, Louis, I’d like to know.
21. Louis replied with his stony face, This is the story of this ancient place. For in 1907 an idea came in my sleep To offer all citizens insurance cheap.
22. So we created and sold policies Through all the local banks To insure our neighbors lives For this we received much thanks.
23. And we’ve been very successful With millions of customers galore Satisfied with our products and service We want them to come back for more. The eyes of the Brandeis plaque squinted real hard and said, “B e cause we paid the Evil Wizard to bring you here?”
24. Things have changed and times are tough We need more customers Our profits are not enough So we called on the old wizard to perform his magic tricks And send you here to apply your multi-channel marketing fix.
25. Oh, our marketing team has plenty of talent But no control over what they do They don’t have access to customer data Only the vendors can tell them what’s true.
26. When marketing wants to know something About our customers or to get counts They make a request of the vendors or IT In triplicate or in larger amounts
27. Why, in fact we have a vendor That provides a prospect list But when we execute and mail it It’s really… Well, hit or miss
28. And lastly, we have a vendor That blasts emails far and wide But we can’t tell if it’s working Or if it makes our customers hide
29. Savings Bank Life Insurance, I think it has a nice ring, I’m ready for the challenge To do my marketing thing.
33. “ BEFORE” Capturing the Data Ogre BI Reports List Vendor Campaign Reports Email Provider Email Campaign Reports Email Analytic Reports Marketing Dept INTERTASK Customer Data INGENIUM Customer Contracts BULL Customer Data Customer Service Finance Prospect Data Customer Data
34. “ AFTER” Capturing the Data Ogre Marketing Dept Customer Service Finance Other Data Prospect Data Customer Data Analysis & Segmentation Reporting Email Selection & Execution Campaign Selection & Execution SBLI Data Warehouse & Datamart
35. What Data is SBLI Trying to Capture? Purchases Response Optimism about the future Social interactions Likely to. . . Why How When What Ready to buy Where Contact points READY WILLING ABLE Descriptive and Predictive Consumer Dimensions Who Demographics Clustering/Segmentation Lifestyles Name Postal/Email Address Attitudes Propensities Behaviors In Market Age Occupation Interests Habits Household level Geo-demographic level
36. The Foundation: Who and Where are my Customers? AbiliTec TM Consistent and Persistent Links Email Append * Acxiom is a non-exclusive Full Service Provider Licensee of the United States Postal Service ® . The following trademarks are owned by the United States Postal Service ® : NCOA Link® , DSF 2 ™, USPS ® , ZIP ® , ZIP + 4 ® Clean, standardized, updated, CASS Creates 360 0 view of customers On Demand Telephone Append Descriptive Information Fills the Data Gap AddressAbility ® DSF 2 ™ NCOA Link® * Demographics Psychographics Lifestyles HH Level Segmentation
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39. IF we Didn’t Update Often? Ripple Effects of Poor Data Quality Competitive Disadvantage Bad Strategy Lost Productivity Customer Relationship Financial Loss Poor customer insights and missed market opportunities Inaccurate view of customer value and behavior leads to the wrong strategy or business and marketing decisions Misguided initiatives, wasted labor reacting to customer complaints, sales complaints, etc. Irrelevant offers, multiple offers going to same customer, misuse of channel preferences Lost sales and customers; possible fines
45. SBLI – 6 Clusters and 4 Life Stage Groups Cluster #1 Group 11B Boomer Barons Summit Estates Cluster #2 Group 15M Mature Wealth Established Elite Cluster #17 Group 12B Flush Families Apple Pie Families Cluster #11 Group 8X Jumbo Families Kids & Clout Cluster #7 Group 11B Boomer Barons Leverage Lifestyles Cluster #4 Group 11B Boomer Barons Skyboxes/Suburbans
46. Step 1 – Use SBLI Customer Data to find Opportunities HH Portrait Ranked by Index of Likelihood to buy SBLI Products Cluster 10 HHs are 5.03 times more likely to be a Premier Product customer Cluster 24 HHs are 80% less likely to be a Premier Product customer
47. Step 2 – Organize into Actionable Target Groups Best Targets Overall to market for SBLI Suburban dwellers with no kids …..start insurance nurturing program Homeowners with kids have specific insurance needs
48. Step 3 – Learn Group Behaviors and Preferences SBLI “Best Target” Lifestyle characteristics can impact strategy, tactics, message and creative.
49. Step 4 – Find Concentration of Each Target Group SBLI has specific geographical areas of interest. What Target Groups dominate those geographies? How many are there?
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51. Step 6: Use Cluster Response Analysis Response Cost per Thousand helps determine which HHs cost the most to market to. With an Index of 294 this cluster responded nearly 3X more than any other cluster Response per thousand cost are very high for these clusters.
52. Predictive Intelligence – Prospect Model Flexibility to select wider or deeper deciles Likely to Respond Likely to Purchase Flexibility to select wider or deeper deciles Flexibility to select wider or deeper deciles
55. What Technology Do We have “After”? SBLI MarketEdge-X Prospect Data Source #1 Source #3 Infobase Enhancement SBLI MarketEdge-X DB Real-time E-Mail Click Through Response Tracking List #3 Data Sources List #2 List #1 Source #2 Infobase List Customer Data Analytics Targeting Campaigns Execute Results Data Integration Cleanse Identify Enrich
56. Technology at our Fingertips “The Home Page” High level insights of customers and prospects at the individual and household level
57. Change in number of Customers and Prospects during the DB update. Technology at our Fingertips “What New with your Data?” Number of individuals promoted across multiple channels and their responses.
58. Technology at our Fingertips “Seeing All Your Data?” The entire marketing database is available see and explore. Selecting the Account Table to explore all the SBLI customer data.
59. Technology at our Fingertips I can see the MTA, a Teacher’s group to which SBLI markets, and the count with the click of a mouse. List of all unique sources that have been used to populate our customer database
60. A list of all unique prospect sources and the counts that have been used to populate our database. We developed a model to help us select only the best prospects. Technology at our Fingertips
61. Technology at our Fingertips “Analyzing our Customers” Using any of the attributes we can easily perform analysis to gain marketing insights. This simple example resulted from an analysis of geographical regions, then selecting two states to compare customer counts.
62. Technology at our Fingertips “Strategic Selection” Using advance logic and rules we are able to easily create a targeted list to market or perform more analysis.
63. We’ve now generated a waterfall of counts based on the selection logic. We can fine tune the logic “on the fly” to get the counts we need. Technology at our Fingertips “Waterfall Report”
64. Technology at our Fingertips “Best Customer Analysis” We can drag and drop any data element of interest in a train-of-thought analytical approach.
70. SBLI has captured its data And the Data Ogre is gone Used Merlin’s analytics To make their campaigns strong The y’ve slain the Technology Dragon And his carcass is buried out back Now the marketers are heroes and Direct marketing is totally on track So we end this fairy tale Like all fairy tales do With a Happy every after And good marketing to you.
We believe the answers lie in a “sustainable foundation of genuinely effective data.” It’s a mouthful of words but each word is important. “ Sustainable” because, once is not going to cut it. Your business must grow, you need to be agile in your competitive arena, and most importantly, this data is changing every minute of every day. “ Foundation” because it where everything starts. Without it, your success in marketing is highly unlikely. “ Genuine” because some vendors will try to make you believe that this stuff is easy, a commodity that anyone can do, but look closely at their experience, at the size of their knowledge base, and at their track record. The ideal solution should provide these five components at these levels of capability… Poor data quality costs U.S. businesses more than $600 billion each year according to estimates by The Data Warehousing Institute (2002). "The cost of bad data for an individual business can be put at 15% to 20% of revenues." (the Insurance Data Management Association) The single most important element in a direct mail campaign is the list. It can account for 60% to 70% of the campaign’s success. (John Coe, The Fundamentals of Business-to-Business Sales and Marketing) The United State Post Office reports: "Individual address data has an information quality decay rate of 17% per year in the U.S." & Nearly 25% of all mail pieces have delinquent or inaccurate addresses “ Actual data errors in a typical customer base may range from 25% to 30%. “(Larry English, Improving Data Warehouse and Business Information Quality) “ If bad data impacts an operation only 5% of the time, it adds a staggering 45% to the cost of operations.” Data: An Unfolding Quality Disaster, Thomas C Redman, DM Review Magazine August 2004, “ Poor data quality cost business’ 10% to 20% of revenue!” CNNMoney.com 2006, Quality is Free, Philip Crosby
Data for this one customer is siloed in several departments. There is no consistency in how the data is recorded. Data elements such as salutation, apartment number and ZIP+Four are missing Much of the data is outdated, inaccurate and not up to current USPS standards. Acxiom standardizes, completes, corrects and consolidates the data, and adds a link that can be utilized for recognition at any touch point, at any “moment of truth” in which you can prove your respect and your desire to satisfy her Acxiom can add additional value by helping you comply with this client’s privacy wishes, enriching the data with information you may not have, such as telephone and e-mail; and we can provide household-level segmentation based on her consumer behavior and demographics
We believe our solution is more actionable then those that exist today, because it’s more comprehensive in the data sources included, the analytics being applies and ultimately, the insight it can produce. We enable you to leverage existing consumer research, which is typically not vey actionable, in a way not commonly used among retailer or CPG co’s. By projecting the results via segmentation (our or yours) we can identify those consumer who have the highest propensity and target them across a variety of marketing channels.
This is what makes up the Personicx clusters. I will hand out the collateral so that it will provide detail.
Now our marketers can make distinctions between individuals and the households their customers belong.
Premier Product customer target groups similar in demographic and behavioral characteristics.
Two target groups with very different lifestyles, opinions, media preferences and product preferences.
Cities are ranked by having the highest concentration of each target group households.
PersonicX codes reside on the IB List file for fast execution of targeted campaigns.
