Direct marketing is about really knowing the data you have available and how to leverage that to target your audiences.

Getting your head around the data enables you to provide relevant and meaningful content to your consumers.

Understanding how the data and backend processes intertwine is necessary to build complex strategies and automate them.

There are a few approaches that can be used individually, or in unison to help guide the strategic process.

Below are a few examples, though we have many more methodologies up our sleeve.

 

Lifecycle marketing

Understanding your customers' lifetime value (LTV), and how to communicate with them during each stage of your relationship, is the focus for lifecycle marketing.

Imagine you are on a first date. You wouldn't blurt out, "Marry me?" as you soon as you meet (even if you know they are the one). This is the mindset of lifecycle marketing. In addition to understanding your stage of the relationship, you also want to do what you can to make that relationship better and last longer.

Furthermore, there are many different kinds of relationships that your customers can have with you. This is segmentation. Making the most of each relationship involves testing to see what will move the needle on generating more revenue and creating brand advocates.

Time-Location

Emails are flexible with dynamic content. Being able to drive product, content, offers, and subject lines with geographical information can be exactly the kind of targeting your customers need.

This means in one deployment, you can target customers in the Northeast with winter coats and accessories with a subject line referencing the cold weather.

While in Hawaii, you are promoting surfboards and bathing suits and referencing the great conditions in the subject line.

Recency-Frequency-Monetary (RFM)

Analysing your database based on the recency of purchases, frequency purchases are made, and the monetary value will allow you to segment your database in a few key areas.

For example, you would want to give your high-value slow buyers incentives to buy more frequently while maintaining the same average order value (AOV).

Likewise, frequent high-value purchasers may not need an incentive at all, though these customers do like to feel valued. Building a loyalty program to allow these customers to become brand advocates may be just the thing.

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