My Marketing Guy’s guest Blogger this month is Graham Dodd, Managing Director of the Letterbox Consultancy Ltd and a recognised industry Thought Leader. He gives us his views about the importance of targeting in Door Drop Marketing.
Who should I target?
One of the most fascinating discussions I have every week of the year with clients is the definition of their primary target market. Clients can aspire to a target market, making foolish assumptions along the way and implementing a marketing plan based on conjecture is a dangerous and foolhardy practice.
And it does not need to happen.
If you have an existing customer address database, seek advice on how to profile that data. A reputable supplier will only require road names and postcode units, so you are not releasing any sensitive data. The supplier will, for a relatively inexpensive fee, analyse that data and provide you with an existing customer profile.
Don’t include a prospect list. Analyse this separately and compare the results.
You may well find segments of your prospect file that rarely complete the journey to becoming a customer, so are those segments really worth targeting on future activity?
MOSAIC is the most widely used targeting tool and is itself driven by census data, updated over the years by a number of sources. From the 67 MOSAIC types, your profile will identify which types are of most value to you and the process eliminates the need to aspire or guess at your target market.
But what is your customer footprint?
Another element of the planning process can identify a customer location map, which will again take away the need for guesswork. Data can be sourced in any number of formats; drive time or distance models from set locations, postcode areas/districts/sectors, council areas, counties, TV or radio catchment areas.
And particularly if one of the key objectives of the activity is to simply drive consumers online, anywhere in the UK where that target market exists in reasonable volumes may be the best solution!
So now you know where your target market lives in their greatest densities.
If you planning to communicate with them through a door drop, what are your options and how do you implement your activity?
Seek out an independent specialist, who may well even be the source of your targeting data which is where your journey began. But as with identifying your target market, don’t make wild assumptions, or allow your personal preferences to cloud your judgement. Everyone has a view on Royal Mail and free newspapers, but not everyone is right. Both media have their place in the door drop mix and both serve different elements of the client marketplace remarkably well.
At this stage it’s all about testing and learning what works best for you.
Don’t be put off by entry costs. Different clients measure success, payback or ROI in different ways; cost per response, cost per sale, cost per acquisition, footfall, store turnover, website visits.
For some it’s difficult to evaluate, but really it’s not that difficult.
And once you have completed the cycle don’t sit on your laurels. Repeat the process as regularly as possible – at least once a year – and track change. It may not be significant change, but it may prove crucial.
Then repeat the process!
Graham Dodd, Managing Director of The Letterbox Consultancy, is a Fellow of the Institute of Direct Marketing, with over 40 years’ experience in the UK door drop industry and is widely recognised as one of the industry’s leading experts.
Graham is a regular speaker at industry events and a contributor to marketing magazines and forums.
Graham formed The Letterbox Consultancy in December 1995 creating a business model which was unique at the time and is still at the forefront of industry developments and initiatives.