Direct-mail Marketing: Checklist


  • Is there a perceived need for the product or service?
  • Is it practical?
  • Is it unique?
  • Is the price right for your customers or prospects?
  • Is it a good value?
  • Is the markup sufficient to assure a profit?
  • Is the market large enough? Does the product or service have broad appeal?
  • Are there specific smaller segments of your list that have a strong desire for your product or service?
  • Is it new? Will your customers perceive it as being new?
  • Can it be photographed or illustrated interestingly?
  • Are there sufficient unusual selling features to make your copy sizzle?
  • Is it economical to ship? Is it fragile? Old shaped? Heavy? Bulky?
  • Can it be personalized?
  • Are there any legal problems to overcome?
  • Is it safe to use?
  • Is the supplier reputable?
  • Will backup merchandise be available for fast shipment on reorders?
  • Might returns be too huge?
  • Will refurbishing of returned merchandise be practical?
  • Is it, or can it be, packaged attractively?
  • Are usage instructions clear?
  • How does it compare to competitive products or services?
  • Will it have exclusivity?
  • Will it lend itself to repeat business?
  • Is it consumable, so that there will be repeat orders?
  • Is it faddish? Too short-lived?
  • Is it too seasonal for direct mail selling?
  • Can an add-on to the product make it more distinctive and salable?
  • Will the number of stock keeping units – various sizes and colors – create problems?
  • Does it lend itself to multiple pricing?
  • Is it too readily available in stores?
  • Is it like an old, hot item, so that its success is guaranteed?
  • Is it doomed because similar items have failed?
  • Does your mother, wife, brother, husband, sister, or kid like it?
  • Is direct mail the way to go with it?
  • Does it fill an unfilled niche in the marketplace?

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

 

Statistical Analyses


The role of database is to help select names for modeling, implement the results of the modeling process by scoring names and assigning them to the appropriate decile, and selecting names by decile and other criteria for marketing programs. Most companies use statistical analysis for two principal reasons: a) segmentation, and b) predictive modeling.

Segmentation techniques are used to identify and profile groups of customers whose characteristics are similar. If the objective is to segment customers based on their performance, then the procedure is to group people according to their performance characteristics and then develop profiles of each performance group. Typical segmentation variables are performance measures such as recency, frequency, and monetary value of purchases; types of products purchased; or types of promotions responded to.

By linking this data with customer performance data, marketers can analyze who buys what and use the profiles of customers in each segment as a means of finding other customers like them.

Once the segments have been created, individual customers will be assigned to segments and these assignments will be recorded in the database. This makes subsequent selection of individuals for promotion based on the segmentation criteria relatively simple.

Predictive Modeling, based on previous purchase history, based on recency, frequency, and monetary value, models can be developed to predict who is most likely and least likely to purchase at the next opportunity. This scoring model would be used to determine who should be promoted and what they should be promoted with.

Once scoring models have been executed and customers assigned to deciles, this information is recorded in the database so that subsequent selection of customers who have the highest probability of responding to a promotion is easily accomplished.

End users would use a selection menu in which they would indicate which scoring model they wish to use and either a specific cutoff score or a desired number of names to select. The database would then perform the selection and produce an output file to the specific medium. This would either be a file, a magnetic tape, or mailing labels. A file could either be used for further analysis, or in many cases, the file could be combined with a patterned letter file to produce personalized mailings.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Memos and Letters


When people have accomplished something extraordinary, put your praise in writing. Words are easy to say but it takes time and effort to write them down. Even if it is a two- or three-liner, people will appreciate it.

Letters on your personal stationery should be reserved for those special occasions when a person has worked exceptionally hard and has accomplished something truly outstanding.

Memos and letters can also be effective when a person has made a major error or has made the same error on numerous occasions.. when you want a person to think long and hard about what he has done wrong, put it in writing. This should only be done on rare occasions.

There are two rules that should never be violated when giving people feedback via memos and letters:

  1. Make sure the memo or letter is sent very close to the time of the event or accomplishment. A thank-you note or a note of raprimand sent two or three weeks after the fact defeats the purpose of the memo in the first place. In either case, the memo or letter ahould be marked “Confidential.”
  2. Always personalize the memo or letter. If a group of people has worked exceptionally hard, don’t send the individuals a memo addressed to the group. Sending an individual a memo addressed to the group is like throwing a crumb to a hungry person. When a person has given his all to a project he needs to be recognized as an individual, regardless of how many people were involved in making it happen.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Lectures, Line of Sight