Planning B2B Mail to Win Decision-maker Attention

Business-to-business direct mail must leap basic hurdles to get through to decision-makers and prepare the way for sales. For one thing, there is usually a gatekeeper sorting the mail before it ever gets into the hands of a decision-maker/buyer. Getting past this gatekeeper means designing a mail package so it stands out and looks important/interesting, yet doesn't scream junk mail. Successful design tactics include dimensional mail and oversized formats (No. 11, 9X12 or 6X9 envelopes, for example). Then the copy (from teaser to letter) must do some heavy lifting. Studies have shown that, especially for the C-suite level, this means 1) focus on a topic that is significant to the target market, 2) provide a solution to a problem/pain point, 3) prove value with third-party endorsements, 4) intrigue with new information or perspective, and 5) as with any direct marketing, include a call to action--an attractive, time-sensitive offer. But probably the most important part of a B2B direct mail effort will be the list targeting. Selecting by industry and company size, based on profiling of best customers, is useful, but what about the title/department targeted? Here's where it gets trickier--especially when you move from the small business realm to the mid-sized or enterprise company where decisions involve multiple players. Unfortunately, there is no one-size-fits-all answer. Newly released research by LinkedIn, based on a survey of 6,000 buyers, marketers and salespeople in seven countries, shows the number of departments involved in a B2B purchase decision varies significantly by industry. As an example, the number of departments involved in buying ranges from 3.4 for the travel industry up to 4.6 for manufacturing. When it comes to which department is most influential, results again depend on industry and product. For example, promoters of marketing and advertising services tap the marketing department as the most influential in buying, while adtech products choose Finance as a top target, and online media platforms go direct to media and communications buyers. For details relevant to your B2B targeting, take a look at the LinkedIn report "Which Departments Influence Buying Decisions in Your Industry?" at https://business.linkedin.com/marketing-solutions/blog/linkedin-b2b-marketing/2016/which-departments-influence-buying-decisions-in-your-industry---

Want Your Mailer Opened? Check These Envelope Teasers

An envelope "teaser" is one way to win attention in the critical seconds determining whether a direct mail piece is opened or tossed. We've watched clients struggle with teaser copy, so we thought it might be useful to offer recent examples that won marketing praise. First, we note that the best teasers often tap into marketing's proven emotional drivers for spending on a product, service or cause. Various marketing pros have identified those drivers as exclusivity, fear, flattery, greed and guilt, and others have expanded the list to include anger and salvation. Recently, a Target Marketing magazine article by Paul Bobnak, director of Who's Mailing What! global mail monitoring, highlighted his selection of the top seven envelope teasers of 2015. Agree or not, they provide food for thought and may inspire imitation. Here is a sample of just four. GEICO leads with the greed-driven "GEICO just made it easier to help you SAVE MONEY on auto insurance," plus a QR code on the envelope for those who don't want to waste a second to hop on the deal via mobile device. California College San Diego uses a teaser to flatter, along with a monetary lure, in "earn your degree and the income you deserve." Lifelock taps into fear, the fear of identity theft, with "Attention: Major Health Care Breach Could Affect Up to 80 Million." Quantum Wellness Botanical Institute knows lots of folks are angry at "big pharma" and their prices, so it teases with "Big Pharma Sparks OUTRAGE Trying to Patent This POWERFUL HERB" (which also implies pharmaceutical value), and then sells the herb curcumin inside. A caveat: A teaser can spark an open, but response requires the rest of the mailer to fulfill expectations! For all seven envelope teaser examples, including nonprofit appeals, go to http://www.targetmarketingmag.com/post/the-7-best-direct-mail-teasers-2015/

Surprise! Political Direct Mail Key to Wooing Millennials

In this 2016 election season, candidates and causes are leaving no channel untapped in the drive to woo support, with the investment in digital media higher than ever before. Indeed, it is assumed by many political pundits that digital channels are vital to reaching the millennial age group, the digitally connected, under-30 crowd that makes up 20% of today's electorate. Traditional direct mail is for older traditional voters, right? Wrong. According to a survey jointly conducted by the U.S. Postal Service (USPS) and the American Association of Political Consultants (AAPC), younger voters not only pay close attention to political mail, they actually favor it over other forms of political advertising. The survey found that at least 42% of millennials prefer direct-mail political ads over online ads, with 38% favoring both equally. Equally important for political marketers, millennials are more likely to read, discuss and use political mail than older generations. Over twice as many millennials thoroughly read political mail received when compared with non-millennials (40%  to 18%), and milliennials are more likely to discuss political mail with others than older counterparts, too (78% to 63%). Finally, political mail works in prompting millennials to take action. Because of political mail, 66% said they are likely to research the candidate, with 54% visiting the candidate’s website. Read the news release at http://about.usps.com/news/national-releases/2016/pr16_035.htm

Marketers Should Stop Snub of Third-Party Data

Many data-driven marketers seem to suffer from a costly bias that focuses on first-party and second-party data and gives short shrift to third-party data. For example, an April business2community.com report of the "Data-Driven Marketing Benchmarks for Success" study by Ascend2 and ZoomInfo shows that a company’s internal first-party data is used by 86% of data-driven marketers, but only 49% use data from marketing partners, 32% use data from channel partners, and a mere 27% use data from third-party vendors. Why the third-party data snub? Marketers may assume that first-party data is more powerful, but that power depends on data quality and completeness. In fact, third-party data has a vital role in enriching first-party data by adding key targeting information. Third-party data sets can be appended to first-party data to correct and fill in missing elements such as e-mail addresses, phone numbers, lifestyles, demographics, purchase indicators and more to strengthen customer insights. Second, while first-party data is more powerful for certain marketing goals--such as loyalty programs, targeting and retargeting existing customers, or profiling best customers--it's not going to provide a mailing list of new prospects for growth! Marketers can rent quality third-party data and segment these specialized data sets to target prospects by factors such as demographics or firm-ographics, trigger events, location, recency, purchase history, and more. Marketers also may assume that even second-party data from partners is of higher quality than third-party data. First, that ignores the inherited quality problems and integration issues of second-party sources. Second, more high caliber third-party data is available today than in the past. Marketers can further ensure third-party list quality by working with a data-independent provider, by selecting aggregated data from multiple quality sources and files, and by making sure all data is frequently updated and hygiened. For more on the power of third-party data for direct and digital marketing, read http://www.datasciencecentral.com/profiles/blogs/the-power-of-third-party-data

Survey: Market Rewards B2B Predictive Marketers

Business-to-business marketers who use predictive analytics are rewarded with better revenue and market position, according to a recent Forrester Consulting survey. The study tapped 150 respondents from market-leading B2B firms in a range of industries, dividing them into predictive marketers, those using modeled data for forecasting and scoring, and "retrospective marketers" without predictive analytics. The survey, commissioned by predictive marketing firm EverString, found that B2B predictive marketers are 2.9 times more likely to have revenue growth above the industry average, 2.1 times more likely to occupy a commanding leadership position in their product/service market, and 1.8 times more likely to exceed company goals when compared with retrospective marketers. No wonder 89% of the B2B marketers interviewed included predictive analytics in their 2016 plans, either initiating or expanding implementation! Some 49% already used predictive marketing, 44% said they planned to expand or upgrade existing predictive implementation, and 40% planned to initiate predictive efforts within 12 months. Equally interesting, most of the marketers (78%) saw a shift in their role from demand generation to deal acceleration, requiring involvement in the sales cycle beyond pouring leads into the top of the funnel. And here is where predictive marketers led retrospective counterparts again. Predictive marketers showed effectiveness across the customer life cycle, with 49% listing two or more customer discovery tasks (building brand equity, audience targeting, identifying best account types, etc.) among their top three best practices, balanced by 51% including two or more tasks from later in the sales cycle (such as qualifying leads and managing the end-to-end customer experience). Retrospective marketers focused mainly on customer discovery in naming their top three best practices (70%). Marketing success with any stage in the sales cycle is still all about the data, however. Predictive and retrospective marketers agreed that their two biggest marketing challenges were ensuring quality data from a variety of sources (47%) and managing data from a variety of sources (47%). For a Forbes magazine summary with a link to the full report: http://www.forbes.com/sites/louiscolumbus/2016/01/24/89-of-b2b-marketers-have-predictive-analytics-on-their-roadmaps-for-2016/#147e0488d291

Are You Using Lifetime Value's Full Marketing Power?

We work with many clients who use customer Lifetime Value (LTV) in planning acquisition budgets--tailoring the spending to acquire a customer to the revenue expected from an acquired customer's future "lifetime value" of purchases. But acquisition budgeting isn't the only way to leverage the power of this standard database marketing tool. Here are at least three other important ways LTV can help optimize marketing results, as pointed out in a recent Direct Marketing News magazine article by Jason Compton. First, LTV can guide channel selection. Cost per lead, cost per conversion and repeat purchase patterns can vary significantly by channel and impact customer value. So LTV becomes not just a guide to acquisition budget but to efficient spending by channel within that budget. Second, LTV can help with retention strategy by showing which customer segments have the highest long-term profitability. Compton uses the financial services industry as an example of how LTV helps balance retention focus between lower-asset younger customers who may be more profitable long-term and high-asset older customers who have already made most of their financial services purchases. Third, the LTV measure can help refine and redirect marketing assumptions--provided marketers go beyond a one-time snapshot and use data to continually reevaluate LTV. Compton cites the mobile carrier industry as an example of how an LTV shift forced strategic change. Mobile carriers started out subsidizing handsets to lure customers, assuming customer long-term value would more than cover the discount. But once regulatory changes allowed easy provider change and competitors engaged in aggressive switching tactics, the subsidy ploy was largely abandoned. For the complete article, read http://www.dmnews.com/dataanalytics/3-ways-to-use-customer-lifetime-value-to-optimize-marketing-spend/article/484855/

Spring-Clean That Sales Funnel to Keep Leads Flowing

If lead flow has slowed and lead performance is spotty, maybe it's time for spring cleaning of the sales funnel. A recent business2community.com post by Megan Totka, chief editor of ChamberofCommerce.com, offers a recipe for how even a small business can clean and polish its sales process. Start by purging old, unresponsive leads--plus, we would add, update contact and targeting information, and clean up inaccuracies and formatting of retained prospect data. Then create a time frame for contact and follow-up so leads don't go stale. Totka points out that the odds of qualifying and converting a lead increase by 21 times if called within 5 minutes, compared to 30 minutes. Obviously, speedy entry of new, qualified leads is an important system goal. But those incoming leads need good pipeline processes not only for lead entry but also lead qualification and management. CRM software can help, but it boils down to deciding on basics for turning leads into sales opportunities. Totka lists some key questions to ask: When leads come in from various sources, where do they go? How much time do you have to enter them? Who or what qualifies them? Who or what moves them along in the funnel? How much time do sales agents have to follow up with the leads? With those issues in mind, evaluate new or existing sales processes for problem areas, places where leads leak out, or stick and go stale. Still, no matter how good the sales funnel, it only works if a steady flow of leads is entering, and that means adjusting marketing strategy to boost qualified lead generation--testing and optimizing targeted e-mail, direct mail, social media and online promotions. If qualified leads aren't converting despite good targeting, then seek prospect feedback. Is it an overly complex sales process or something more basic like noncompetitive pricing? Test and readjust the lead gen and sales processes, adding lead nurturing, in the form of follow-up e-mails or calls, to move prospects past sticking points. However, even if the sales pipeline is pleasingly full, don't forget to keep purging unresponsive and inaccurate data to prevent costly clogs! For the complete article: http://www.business2community.com/sales-management/10-steps-cleaning-reigniting-sales-funnel-2016-01479262#3dI68EPFloBMSoco.97