A Direct Marketing Agency - Helping Brands Acquire and Retain Customers

BtoB Online offered an interesting Webcast in October on how to market in a down economy. The jist of the message was that customers want advice and insight—not a hard sell. In these economic times, it makes sense to develop e-mail into the cost-effective hub of your marketing program.

A couple of topline takeaways:

- Be mobile and social friendly in your e-mails with text rendering, format preferences, and sharing links.

- Avoid e-mail fatigue—increase content value and relevancy. Don't increase e-mail frequency.

- Develop pre-sale and post-sale contact plans to enhance repurchase and build loyalty.

- Integrate data from your entire organization to better manage the customer relationship (CRM).

BtoB’s e-mail marketing insights dovetail perfectly with Ovation’s strategic marketing approach. We help our clients achieve results and deliver value to customers through marketing messages that:

1. Reinforce the messages and relationships through multiple channel connections.

2. Deliver targeted, relevant content that are personalized and customized to the individual's interests.

3. Provide authentic, interesting content—no exaggerated advertising claims.

Review more of BtoB Webcasts and get ideas for lead generation, e-marketing, and more.

Try Ovation Marketing's ROI Calculator to measure your marketing ROI.

MediaPost’s Aaron Smith provided some great suggestions to improve routine transactional e-mail messages—including membership confirmations, password requests, shipping notices, and so on:

1. Include your company logo and colors to be consistent with your other marketing materials.
2. Improve legibility and usability with text treatments, color, and graphics.
3. Include navigation that’s relevant to the transaction so customers have what they need at their fingertips.
4. Show product images and names that link back to your Web site.
5. Include customer service contact information. Not just a URL, but a phone number with hours of availability. Show customers you care about their experience beyond the initial purchase.
6. Keep relevant information together and visible in the preview pane. No one wants to search for the crucial order and account details.
7. Pay attention to tone and format (a letter may feel more genuine and personal). Whatever tone and format you use be sure to say, "thank you."
8. Cross-sell and up-sell relevant products to engaged buyers. Choose products that support or add value to the initial purchase.
9. For major purchases, offer follow-up content to educate customers on features or offer helpful tips on how to get the most from their purchase.
10. Protect the primary purpose of the transactional message by keeping the focus and emphasis on transactional content and limiting promotional content and offers.

Source: “Email As Experience: Punch Up Your Transactional Messages” by Aaron Smith, Media Post’s Email Insider, August 13, 2008.

1. The more relevant the message, the more value it delivers. Marketing studies show that the more channels the customer uses, the stronger and more valuable the relationship becomes to the customer and the marketer. Relevant messages and timely media connections encourage customers to interact with brands—to shop, learn, or just have a conversation.
2. Respect the customer’s valuable time and individual interests. Marketing messages that deliver authentic and interesting stories that customers welcome and even anticipate will not be dismissed. Avoid exaggerated claims of product or service superiority and provide information that is based on customer data, past behavior, or requests.
3. One-to-one multichannel marketing can build brands and increase sales. Implementing database strategies, contact plans, and Website content development can drive improvements in image and sales results and increase your marketing return on investment. Want to crunch some numbers? Try our ROI calculator.
4. There is no one-size-fits-all in one-to-one marketing. And that’s the beauty of it. One-to-one, multichannel marketing is scalable. There are lots of possible applications. Read about what’s been tried and see what might work for your business. See what others are doing, then create a unique variation that suits your business and your customers.
5. New one-to-one solutions are being tried and proven every day. Stay up-to-date on the latest one-to-one, multi-channel marketing ideas and results in sales performance and brand relationships through this blog. If you haven’t signed up already, why not subscribe to our RSS feed or weekly e-mail update so you won’t miss a potential idea that you could use.

Life-stage and lifestyle targeting are two leading indicators that should be driving the marketing creative for every business that uses one-to-one marketing.

Why target life stage and lifestyle? In the words of Dave Morgan, “[life-stage events] dominate the consumer’s mind and trigger a huge amount of spending, since these events are usually quite fundamental to their lives.” Morgan recently wrote an article for iMedia Connection titled, “Why Your Creative Needs to Catch Up.” His article discusses how “leveraging consumers’ interaction with content” can predict the likelihood that that they are approaching a motivating life-stage change, critical times such as college graduation, marriage, starting a family, buying a house, changing investments, or retiring.

On the business-to-business side, a recent white paper by Ovation’s marketing director, Jack Felsheim, titled, How to Target Multiple Business-to-Business Buyers, discussed how segmenting business buyers based on their job responsibilities and resulting motivations could help drive unique, targeted creative. He further supported his point with examples of creative ads that were targeted to motivate three different customers: purchasing agents, operations managers, and technicians.

Matching the right creative to an audience segment seems obvious, but many companies still run generic ads to the masses and settle for what they can get. It might cost less to run a generic ad in the short-term, but you’re less likely to motivate as many people to choose your brand. In today’s fragmented media world, targeted and personalized content based on customer motivation will pay off in the long run.

In a story in USA Today on Wed. march 7, John Yaukey reported that the federal government, specifically the Department of Homeland Security has been developing a data-mining program since 2003.

In fact, at least 52 federal agencies are already using data mining and there are 199 different data mining programs in use according to GAO (Government Accountability Office).

“Congress is overdue in taking stock of the proliferation of these databases that increasingly are collecting and sifting more and more information about each and every American,” said Sen. Patrick Leahy, D-Vt., who chairs the Judiciary Committee.

Concern over government data mining prompted Leahy and several other senators to introduce the Federal Agency Data Mining Reporting Act of 2007 in January. The act would require that all federal agencies report their data mining activities to Congress.

The article also says, Data mining is a powerful technology used across the government and in business, with a mention of how credit card companies routinely use data mining to look for suspicious activity on accounts.

If congress does pass legislation to monitor or regulate government data mining, I wonder what the repercussions might be for data mining in the business sector.

Every once in a while I read something and can’t put down my highlighter while I’m reading because it’s so packed with good information. That’s what I experienced yesterday when I read Omniture’s white paper, “Online Marketer’s Segmentation Guide.” The author, Mikel Chertudi, does an excellent job of presenting the case for segmentation and sprinkles in enough real-world examples to translate theory into practical use.

This paper is good reading for any marketer who is interested in diving into the database to find new opportunities to understand customers and find new marketing opportunities. (Yes, Omniture wants to sell software, but that doesn’t negate the solid value of this information.)

Here’s the source, in case you’d like to highlight your own copy of this excellent white paper: Mikel Chertudi, Omniture, “Online Marketer’s Segmentation Guide,” www.omniture.com, ©2007.

I'm a creative copywriter and not a scientist of any sort, but I seem to be attracted to scientific studies, especially when they relate to understanding how people think and feel. Recently, I read an article published in Scientific American Mind titled "The Science of Persuasion," written by Robert B. Cialdini. I think the information would be interesting to anyone who works in marketing and wants to understand what makes people respond. Here's a brief summary of the article.

Cialdini says social science has found that there are six principles that influence why people say "yes" to a request. We see these principles motivating action in advertising and marketing campaigns every day.

1. Reciprocation. "I scratch your back you scratch mine."
This principle is based on an essential rule of human conduct: the code of reciprocity. Apparently all human societies subscribe to a norm that obligates individuals to replay in kind what they have received. So when we receive a "free" gift", unsolicited and perhaps even unwanted, we are compelled to reciprocate. This explains the success of free address labels, free food samples, free gifts with purchase, free inspections, and free trials.
* Gifts
* Favors
* Concessions

2. Consistency. "My word is my bond."
Another rule of conduct is our human desire to be or appear to be consistent. If we say we'll do something, most of us are likely to do it. Our commitments, even minor ones, tend to have a powerful influence on our future action. Signing a petition, checking yes on a form asking if you agree with a position can increase contributions or orders.
* Dependable
* Reliable
* Walks the talk

3. Social Validation. "I'm part of a community."
One of the most fundamental ways we as humans decide what to do in any given situation is to look at what others do or have done. If many of our peers choose a particular brand or embrace a behavior, we are more likely to follow because we reason if it works for them, it will work for me. 5 million people can't be wrong? Can they? This explains why the #1 brand finds it easy to attract more customers. People reason that if most others choose it, it must be the best. "I choose that brand of cell phone or jeans because my friends do too."
* Majority rules
* Most popular; Number 1
* Everyone else is doing it

4. Liking. "You're smart and good looking!"
Yes, I'm talking to you! We prefer to say yes to those we like. And apparently we prefer to like people who are attractive, because physical attractiveness ensures more votes, more pay, more attention, and a better partner. Other qualities also trade on the "like" factor: people who are from our hometown, went to the same college, belong to the same fraternity or other social club. Flattery is another marketing tool that uses this factor: "More successful business people choose brand X!" (Hey, they just told me I'm successful!) Whether the flattery is true or untrue doesn't matter.
* Rapport
* Affection
* Connection

5. Authority "Four out of five doctors recommend..."
From birth, authority figures have had the power to guide a lot of our decisions. Parents. Bosses. Spouses. Doctors. Actors. Athletes. We harness the power of authority in marketing when we use celebrity endorsements or testimonials.
* Experience
* Expertise
* Credentials

6. Scarcity "You have been specially chosen."
We don't want to miss out on getting what we deserve...or what our neighbors or peers already have. Even the perception of scarcity can make items and opportunities more desirable to us as we believe that the thing we desire will become unavailable. Luxury products and services use this principle successfully.
* Limited time only
* Limited supply
* Exclusive

Conclusion:
While advertising isn't rocket science, it is reassuring (to me at least) that there is science behind what we do.

Why do these human factors apply so universally, influencing behavior across all cultures? Because in most cases it just makes sense to repay favors, behave consistently, follow the lead of others, favor the requests of those we like, heed legitimate authority, and value scarce resources.

Understanding these tendencies helps us influence others and to make better choices ourselves, whether it's deciding what to buy or who to vote for. These are universal factors among all human cultures, but cultural differences mean that a factor may have a stronger or weaker influence on behavior in that particular culture. We can even see how a culture changes from one generation to another-authority may have motivated our grandparents, it appears that the younger generation is more motivated by social validation.

If you would like to know more, about this topic, then you should read Influence: Science and Practice by Robert B. Cialdini. I first read this book many years ago. It is one of the most valuable books I have ever read. I've recommended it to others who also loved it both for the information and for the excellent writing. I recently read that in 1999, it was rated "best business book of the year" on Amazon.

Want a free copy of the book? I have new copy that I would be glad to pass along. (I bought it as a gift for someone who already had a copy.) Send me your mailing address and it's yours. I'll even pay the postage. All I ask is that you read it and then tell me what you thought of the book afterward. You can reach me at sarab@ovationmarketing.com.

Connect with the individual

1. Make a better first impression. Ask yourself how you start phone, in person and written communications. Smile, even when you talk on the phone. In a face-to-face meeting, acknowledge the customer immediately. Make eye contact, smile, and make a friendly gesture that says you'll be with them soon. In writing or electronic communications, be friendly and personalize your messages.

2. Look each customer directly in the eye. Don't stare, but maintain a comfortable eye contact pattern. This helps you show the customers that you are focused on what they are saying.

3. Use their name. Be as formal or informal as is appropriate. If you say it, pronounce the name properly, ask if you are unsure. If you are writing it, spell it correctly and make note in your database of an unusual spelling.

4. Tell them your name. A one-to-one communication goes both ways. When the customer knows you, he or she has more of a reason to relate to you as a person, which is a closer relationship than with a company.

Shape the customer's experience

5. Give the customer all of your attention. If you are distracted apologize for the interruption. Make certain that the customer feels that they are the most important thing in the world at that moment.

6. Listen more than you talk. "Seek first to understand, then to be understood" Listen to understand. Respond to show you understand or verify your understanding by repeating, in your own words what the customer said.

7. Learn from your best customer experiences. What worked? Why? Can you repeat elements of the experience and gain similar results with other customers?

8. Give a little something extra. When you have satisfied the customer, look for one more thing that you can do for them. Don't underestimate the ability of the smallest thing to make the customer feel more special. A free pen, a complementary piece of candy, or other small item.

Use problems to improve the relationship

9. Give them what they want. Some customers want speed and efficiently you can hear it in their voice and see it in their action. Read each individual and tailor your service to suit him or her. You can even choose words to show them that you understand their needs. "Let's see how quickly we can get your problem solved." Might be right for one person, while a slower, more attentive response might please another, "I will do everything I can to make sure that doesn't happen again." Don't apply a cookie cutter process to unique individuals.

10. Listen to the whole story. Feeling that they have been listened to and heard is an important part of the problem resolution process.

11. What will it take? Ask the customer what it would take to satisfy them. "What do you feel is fair?" "Which solution would you choose?"

12. Give the customer control. Make them feel like a team part of the process by phrasing your actions as requests, "Let's check your account. Or May I have your permission to access your account? This will take about 10 minutes to resolve, do you have time now or would you like me to call you at a more convenient time?"

Make them the center of your world

13. Find out what they need. How will you use this widget? What kind of projects will you be making? Tell me more about... These types of conversations can help you understand what the customer needs and guide you to give them what they really need-not just what they ask for.

14. Bend the rules. Things can go wrong. Don't take a hardliner policy approach across the board.

15. Exceed expectations. Send something extra or special to preferred or key customers to notify them of news, sales, etc. This will help make them feel like a part of your organization.

Follow up

16. Re-connect after the sale or service. This is especially important and valuable with customers who make special requests. But before you get back in touch, ask them how they would like to be contacted and when it would be most convenient for them to hear from you.

17. Say thank you. Send a personalized thank you note when it makes sense.

18. Anything else? Ask if there is one thing that could be improved.

Personalize the content and the messages

19. Offer customers choices and options. Everyone likes to have a choice. Making choices gives the customer more control over their experience. When possible offer customers payment options, call-back times, color choices, incentive options, ordering and service alternatives, shipping and delivery options, or other choices to enhance your specific products and services.

20. Dig into your data. Use data mining and contact management software to make all of your conversations and marketing messages more personal. Consider everything from welcome messages and targeted content on your web site to inkjet messages on your correspondence and opportunities to acknowledge your customer's special days, such as birthdays or account anniversaries.

Service snafus can hurt your customers and hurt your brand’s reputation. For example, last week when I moved, everything went smoothly except for changing my Internet Service Provider ISP.

Dropped by my existing ISP

In an attempt to avoid changing my email address, I called my current provider and asked about continuing my existing email address. “No Problem,” the customer service representative told me. She gave me a toll-free number to call, set up my account for automatic billing, and processed my request. Done deal. Or so I thought. After I moved, my email address and password didn’t work. I called the customer service center. There was no record in my account of the previous conversation and my service had simply been cancelled. Another ouch point: I had a one year lease at my old address my phone/DSL service ended 6 days short of a year. Meaning: I broke my contract and had to pay a penalty. I could reinstate my service, but why continue this increasingly painful relationship?

Rebuffed by my new telecom provider

Hey, the phone service at my new address also offers Internet connectivity! They even sent me several postcards promoting their service. The catch is that I will only be at this address for a few months while I house hunt. And the fine print in the promotions says I can only get a one-year contract for DSL. My penalty would be paying for the full contract term, $49 a month for a full year. I call the 800 number and talk with customer service representative about my options. There are none. Breaking the contract with this provider would mean paying for a full year of service. Can I get use my new phone service and just get dial up service “No. Dial up service is not available where you live.”

Burned by a national ISP

Still hopeful, I went online at my office and checked out a couple national ISP sites. At my first choice, I searched for, and quickly found a local access number in a city near my home. I signed up for the premium service, provided my address, phone number, and credit card for billing, then downloaded the software. Once at home as I attempted to set up my network connection, I ran into a problem because my home phone number and the local access number have different area codes, even though it is a local call between the two numbers. The ISP’s software does not allow any flexibility so I cannot select the desired phone number as my access number. I can’t make it work. If I want technical support, it will cost me $1.95 a minute for phone time. Forget that. Forget you.

Where’s the love?

I feel bruised battered, and bewildered by the product and service shortfalls of these companies. Where’s the customer care that these providers talk about in their marketing promotions? I’m not alone. Every minute of every day, customers are blogging about their experiences with a brand, maybe yours. Unlike me, they probably mention names.

So what’s the solution to ending these painful experiences for customers and the resulting damage to the brand image? In my case, it could have been giving the frontline service rep more flexibility. Or designing policies and products to be less restrictive. Or giving me, the customer, the ability to customize my choices.

Meanwhile, is there an ISP out there somewhere that wants my business? Hummm… AOL sent me another one of their disc mailers last week. Tempting.