The Mailroom Can Help Your Business Prosper
New equipment is making it possible for companies using direct mail to turn envelope insertions into real profit-makers. Profile marketing applied to direct mail and carried out in a firm’s own mailroom constitutes an ideal in-house service. Syracuse University, for example, saves up to 50% on each thousand pieces of promotional mail by doing the work in its bulk distribution center rather than through outside vendors. Profile marketing is relevant for any company that contacts its customers regularly. A firm’s databases have a wealth of information that can be used to analyze prospects for specific products or mailings. A computer-output mailing system (COM) can eliminate the need for separate equipment for several processing steps as well as manual operations and decisions, and its newest feature is the weigh-on-the-fly selective sorting operation enabling mailers to weigh and meter mail simultaneously. Other advanced and cost saving equipment includes electronic scales, electronic parcel processing systems, and postage accounting systems.
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Lawrence, Robert C., Jr.
Full text: [The Office] Aug 1984
Database Marketing Propels Non-Profits into New Age
A database of personal and response information about an organization’s constituents, members, or customers can be used to select direct response promotions and to measure promotional response. The database concept penetrates all sectors of marketing; its importance to fund raising differs substantially with the characteristics of the major fund-raising recipient sectors. The characteristics of these sectors are: 1. the dependence of the donor on the recipient institution, 2. the dispersion of the donor constituency, 3. the dependence of the sector on individual rather than corporate donors, and 4. the degree of small-sum donors who do not warrant personal solicitation visits. Some of the sectors that rank high on the specified characteristics for database marketing include: 1. civic and public projects, 2. arts and humanities, and 3. education. A guide to these sectors is included; it covers size and characteristics, donor markets, solicitation vehicles and plans, and trends.
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Fishman, Arnold
Full text: [Fund Raising Management] Aug 1984
Data, Information, Knowledge: Basics of Marketing’s Future
Direct marketing, the relationship between producer and consumer based on transactional exchange of needs and satisfactions, will dominate the marketplace of the future. Companies that understand the importance of the concepts of knowledge, relevance, response, and transaction will prosper and continue to build their business. Good advertising will continue to be a fundamental condition for success. Some of the new factors coming into play will be: 1. the concept of data as a resource, 2. data management, 3. computerized, targeted direct mail, 4. advertising accountability, 5. new electronic media, and 6. the concept of mail as an educational process. All of these factors will be used to build data into information and information into knowledge in order to create marketing relationships.
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Wunderman, Lester
Full text: [Direct Marketing] Aug 1984
Cessna’s Extensive Database Zeroes In on Flying Public
The Cessna Aircraft Co. (Wichita, Kansas) has held at least a 50% market share for over 15 years. It competes in every market category from 2-place training aircraft to intercontinental business jets, and direct response is credited with a large role in most of that business. Cessna’s highly segmented market can fit into 3 major product and service categories: 1. individuals, 2. the aviation community, and 3. the business community. Direct marketing in magazine space advertisements, via telemarketing, and through direct mail is used to promote sales in all 3 categories. To identify, qualify, and transfer lead information to Cessna dealers and Cessna pilot centers, Cessna revamped its entire lead generation and lead management system into a comprehensive, computerized database. New leads are entered into a system that provides 100% tracking and retention of every inquiry received, and prospects are quickly matched with the nearest dealer or pilot center.
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Michel, Philip M.
Full text: [Direct Marketing] Aug 1984
How Louisiana National Got to Market First with New Asset Management Package
In response to competition and concerns over market share, Louisiana National Bank (LNB) developed an Investment Management Account (IMA) to attract affluent customers. LNB (Baton Rouge, Louisiana) set up an interdivisional task force to help get the IMA to market before competitors presented similar products. The task force members conducted market research to determine the product mix, marketing campaign, and training needed to bring the IMA to market. The software selected for the IMA also provided the task force with marketing and project planning assistance. An aggressive IMA advertising campaign included newspaper ads, a press conference, brochures in branches, and direct mail. IMA offers customers investment options, security safekeeping, credit lines, a debit card, a bill payment system, and discount brokerage.
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Tropin, Leonard A.
Full text: [Bank Marketing] Aug 1984
DirektBank, Where Customers Bank Only by Mail or Phone
At NCB Bank’s Direktbank in the Netherlands, customers can use the bank’s services only by mail or phone. The Netherlands spends $150 million a year on direct marketing, and doing business by mail is a part of life there. Research helped NCB decide that expansion would be most profitable by providing mail and phone banking services rather than by establishing branches. Direktbank offers traditional banking services more efficiently and at lower costs. Operators at Direktbank have instant access to account information displayed on computer terminals and can provide callers with current interest rates, loan terms, and other financial data. Direktbank offers various savings accounts, consumer credit, and mortgage loans. The bank was advertised on television, in newspapers, and through direct marketing. During the 4-month introductory campaign, recognition of Direktbank rose to 55%. To date, 10,000 new customers have signed up for Direktbank’s services. Illustrations.
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Raphel, Murray
Full text: [Bank Marketing] Aug 1984
Current bank advertising: an added ‘Plus’
Philadelphia National Bank used large ads in a “gutter” position (across the bottom of a two-page spread) in the Philadelphia Inquirer to draw attention to the Plus ATM network enabling customers to get cash “from sea to shining sea”. With a radio spot and direct mail campaign, the ad boosted transaction volume 77% in April.
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Oldfield, Kathryn A.
Full text: [Bank Marketing] Aug 1984
Time to Copy Rank Xerox
In advertising for the business products sector, a wide gap has developed between the purchaser and the advertising message. The fight for market share is being fought with little consideration for the customer’s ability to understand what the suppliers are offering. Creative teams often do not understand a product’s benefits and are thus unable to produce meaningful ad copy. At Rank Xerox, a marketing program is being developed that has had a dramatic effect on the firm’s overall promotional approach. Rank Xerox employs the concept of ”transactional” advertising, which involves explaining to the potential buyer what the product can do for that person, not just what the product will do per se. Transactional advertising generates for the salesforce an intent to buy, in the near future, from someone who already knows the basic facts about the company and its equipment. Much use is made of the mass media, including direct mail. The major benefit of the system lies in media planning, in that the maximum number of qualified leads at the optimum cost level can be identified.
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Wallbridge, Mike
Full text: [Marketing] Aug 2, 1984
White Sox Give Image a Clean Sweep/Sponsors Spending for Spectacle
When Chicago White Sox chairman Jerry Reinsdorf and club president Eddie Einhorn took over the ball team in 1981, their aim was to attract fans by providing a winning team and making the park accessible and pleasant for people, particularly families. At the risk of alienating existing Sox fans, a strict code of fan behavior was implemented. Former Major Leaguers Don Drysdale and Ken Harrelson were hired to broadcast games on commercial and pay television. Several million dollars were also spent refurbishing the baseball park. The marketing plan focused on: 1. renegotiating radio and TV sponsorship contracts, 2. developing promotional programs with corporate sponsors, 3. generating in-park advertising, 4. improving White Sox publications, and 5. boosting ticket sales. In 1981, the Sox sold 1,900 season tickets and other ticket plans to add up to 250,000 seats. Today, the team has 8,500 season-ticket holders and, through an assortment of plans, has sold 950,000 seats. In January 1981, the club had revenues and expenses of about $12 million, while today revenues and expenses are about $30 million each. The White Sox will generate $125,000 in direct revenues from 1984 promotional events.
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Hafferkamp, Jack
Full text: [Advertising Age] Aug 2, 1984
Family Fun Comes to the Forefront
The ”Billy Ball” promotion of the Oakland Athletics’ 1981 season is difficult for the marketing staff to follow, especially when the team is no longer winning. Even with a mid-season players’ strike, total attendance in 1981 topped 1.3 million, more than 4 times the total 2 years earlier. Attendance peaked in 1982 at 1.8 million and fell back to 1.3 million in 1983. The theme conceived by the Ogilvy & Mather/San Francisco advertising agency for the coming season is ”Wouldn’t you rather be at an A’s game?” With it, the team has positioned itself as a direct alternative to the 10,000 other things a San Francisco Bay area family can choose to do within an hour’s drive. Although the team has focused on the family market, other segments such as single women have contributed to their success. Two key promotional events directed at families have included: 1. the Oakland A’s Workout Kit, and 2. tailgate parties cosponsored with Safeway Stores; 5 pre-game barbecues for the first 10,000 people at the ballpark were a phenomenal success.
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Berling-Manuel, Lynn
Full text: [Advertising Age] Aug 2, 1984
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