Problem: Who responds to what?
Our client profiled their customer base before and had a good idea what their average customer “looked like.” But what demographic variances exist across product lines? Do online buyers “look” vastly different than buyers who call in off a direct response card? If Step 1 was to profiling an entire pool of customers than Step 2 was to segment buyers in some meaningful way and profile those individual segments.
Solution: Not one customer, but several different and unique compilations.
The task was set, the foundation laid. Our client collects new sales from three major venues: Online/Web, Direct Mail Response and Trade Show. The characteristics of these three buying groups are already a part of the company-wide buyer’s profile. When run separately however, the variations from one group to the other were astounding.
Under each unique “method of communication,” variance in customer age and income were noticed. Other less-obvious life-style characteristics also became apparent. The presence of children, education level and house-hold profession/trade served as other “information pockets” that provide the ability to craft new rules for building effective prospect lists.
End Result: The right approach for the right person.
Now when preparing a marketing campaign, the end result is considered first. Trying to solicit an online purchase or a direct-response call-in? Or is the ultimate goal to drive attendance and trial at an upcoming trade show? Each prospect list is modeled directly from the most-relevant of these three profiles. Our client can effectively contact less people without sacrificing # of responses.