Tips for selecting the right advertising agency

Remember the last time you had to find someone new to watch your child or pet, detail your prized vintage auto or become involved in some other important part of your life or business? It can be stressful when you don’t know what to expect. Working with an advertising agency for the first time can stir up similar anxieties. After all, your business is your baby, so to speak.

With that in mind, we’d like to offer few tips for finding the right agency.

Identifying potential agencies. When you see a website, ad campaign or brochure you like, find out which agency is behind it. Ask colleagues who they trust with their marketing strategy, graphic design and website development. Once you have a few names, check out their online portfolio. If they’ve done original, creative work for other clients, they’ll do the same for you.

Making a decision. Interview your top agencies by phone or in person if they are local and test the chemistry. Do they ask questions and try to understand your business objectives?

Here are a few additional questions to ask.

  • Does the agency create original designs for you, or modify existing templates?
  • How do they handle developing initial concepts or making revisions?
  • Does the firm have capabilities to provide copywriting, photography or other services you might need?
  • Do they have the expertise to complete an entire web project (if that’s what you need) from initial design through building the site? If you need a shopping cart or backend database, can they do this for you? Will they incorporate search engine optimization principles to make it easy for visitors to find you?
  • How do they charge and what are the payment terms?

Good agencies will answer these questions and spell out the scope of the project before you begin.

Working together. As with any other important relationship, the key to successfully working together is communication and collaboration. The more information you can provide upfront, the better the end result will be. If you have examples of other marketing pieces you like (or don’t), share them. That’s valuable feedback to your agency. Don’t be afraid to ask for a timetable of deliverables.

Think long term. You may only need a brochure today. But the right agency will help your company grow, and over time, you may need them to develop ad campaigns, a newsletter or other promotional pieces. The time you invest up front establishing a relationship with your agency will pay off over the years as they become an expert on your business and serve as a trusted consultant.

Working with an agency should be fun and rewarding! Our clients love to watch ideas and concepts come to life, so do your due diligence upfront and then enjoy the process.

Target, measure, integrate – a formula for marketing success

Marketers today are focusing on precise customer targeting, improved measurement and using all channels of communication for maximum results.

Just a few years ago, variable data printing allowed us to send personalized mail to customers and prospects using our database of names and addresses. Although we could put customers’ names on direct mail, increasing the likelihood the recipient would read it, we were still limited to sending the same message to a segment of consumers based on age, gender or other shared characteristics.

Today, databases are so much more robust, providing tools to capture extensive information about customers’ interests and buying behaviors. This data becomes fodder for personalization, relevant and timely messages to individual consumers. Look no further than Amazon for a good example of customized, precise marketing. Fortunately, current database technology makes it possible for even the smallest company to have response-driven conversations with specific customers.

Since we’re discussing consumer targeting, we want to remind you not to forget the baby boomers. They make up a huge segment of the population and account for almost half of all consumer spending in the U.S. Furthermore, boomers are easy to reach. According to the blog posting the Top 10 Reasons to Include Baby Boomers in your 2010 Marketing Plan, boomers like advertising and they’re easy to reach. They still read magazines, watch TV, listen to the radio, read and respond to catalogs and other direct mail, and like to experiment with brands.

Successful marketers are integrating on- and offline channels for maximum impact and ROI (return on investment). In 10 tips for Integrating Multichannel Data (DMNews, June 15, 2009), Sharon Goldman reminds us to use the right data, prioritize channels (remembering each channel is different), test combinations, and be consistent across channels.

Finally, measure your marketing efforts from beginning to end. One common element of successful marketing campaigns is a relentless focus on measurment. The June 2009 issue of Target Marketing Magazine described how Red Door Spas incorporated historical trends, forecasting, campaign evaluation and relevant key performance indicators (KPIs) to revitalize its marketing efforts.

Using these metrics paid off in many ways. In one campaign, for example, Red Door found that an e-mail and postcard campaign provided a 300 percent greater lift than an e-mail only campaign. With results like that, analyzing all aspects of your marketing makes pretty good business sense!

Although the creative aspect of marketing will always be critical, marketers can now also use quantifiable data to measure effectiveness and justify their investments.

Green is the new…well, green!

If you haven’t seriously considered how your company is, or can be, more environmentally friendly, you’re missing a golden marketing opportunity to make a real connection with customers and to stand out from the crowd. Some of the world’s largest companies are making green a central element in their marketing efforts and it’s driving the way they do business.

Having said that, we’d be remiss if we didn’t add that saying you’re environmentally or socially friendly—without the evidence to back it up—can cause more harm than not doing anything at all.

Being green has become an important way to generate more green on your bottom line. According to Greenbiz and the State of Green Business 2010, what began as a fundamentally altruistic endeavor is now an essential part of the business. The current recession is not an excuse to delay or cut back incorporating green into the operations and mindset of your organization. Greenbiz says the environmental improvements and innovations you make now become a means for surviving lean times and being more competitive when the market improves.

People are still buying green, despite the economy. According to a BBMG survey, 77 percent of respondents believe they can make a difference by purchasing from socially or environmentally responsible companies, and 72 percent avoid purchasing from companies whose practices they disagree with. “People want brands that deliver value and values,” BBMG concludes.

In the Shelton Group’s Green Living Pulse study, over three quarters of the buying population fell into one of two mindsets: Mainstream Green buyers, who see green companies as the authority and expert, and Engaged Green buyers, who are optimists, independent thinkers and like to try new things.

Marketing green to consumers is a lot more than slapping a green message on your packaging or collateral. You must give people a reason—functional or emotional—to buy.

Of course, if you don’t tell your customers about your commitment and your efforts towards being a good environmental steward, they won’t know. We recently helped Nufarm, which produces products to help farmers protect their crops, develop a brochure about their commitment and approach to sustainability. Nufarm will distribute this marketing brochure to its customers, vendors and other external audiences. It is also an effective marketing tool for an equally, if not more, important audience: your employees. Marketing your green initiatives to them can bolster their commitment and loyalty to your organization. When you think about it, this is just another way to add green—to your bottom line.

Branding To Differentiate Your Business

Whether you are a small business or a Fortune 100 company, your brand is one of your company’s most valuable assets.

But what exactly is a brand?

There are many definitions of brand, most a variation on the theme. However, one version many people can relate to comes from Al and Laura Reis, coauthors of numerous branding books, including The 22 Immutable Laws of Branding.

Branding “pre-sells” the product or service to the user. Branding is simply a more effective way to sell things…The power of a brand lies in its ability to influence purchasing behavior.

Building your brand

To successfully build your brand, you must understand how the market perceives it. In its white paper, Research Overview: Brand Identity Assessment, Key Issues and Considerations for Designing and Managing Primary Market Research, the Praxi Group offers three simple guidelines for conducting brand-related research.

  • Understand what drives your customers’ purchase decisions.
  • Distinguish between the emotional elements of your brand (personality traits, leadership position, history) and the functional elements (price, reliability, features). Appropriately measure and understand each. Identify the levels of your customers’ expectations for any given element or attribute; that is, determine how high your customers are setting the bar, and understand that not all elements of your brand are equally important in customer decision-making.
  • Do not research your brand in a vacuum; understanding the essence of a brand is more meaningful and actionable if you can compare the results against the perceptions of your competitors’ customers and brands.

The next step is to define and communicate your brand by answering one simple question: what do you do better or best? Focus on benefits: faster, easier, more profitable, safety, security, prestige…you get the idea.

Be relentlessly consistent in delivering your brand. It should always look and feel the same and your key messages should not change. Brands take time to build, but your efforts will pay off handsomely over time.

Since The 22 Immutable Laws came out in 1998, marketers have another powerful way to connect with customers and build relationships: social media. Before you write off social media as too much work or not a good idea for your company, consider these statistics from BrandWeek:

  • In 2009, 35 percent of Fortune 500 companies had an active Twitter account and 22 percent had a blog.
  • Eight out of 10 of these blogs linked to a Twitter account.
  • There are 400 million members of Facebook.

Go where the people are.

Finally, measure your performance and keep track of your brand in the marketplace. Fortunately, even if you’re a small company with a limited budget, this is easy with free tools such as GoogleAlerts and Twitter Search.

Using Personalized URLs (PURLS)

How many times have you received a piece of direct mail that includes your name in the copy? It gets your attention doesn’t it?

Personalization is powerful, and with personalized URLs (PURLS), you can dramatically improve the effectiveness and ROI (return on investment) of your direct mail and e-mail marketing campaigns.

A PURL is a personalized website that includes your name in the address. Smart marketers populate PURLs with the reader’s name and personalized information. The beauty of PURLS is that you can create one personalized web page or thousands. Amazon does this particularly well. When you arrive at Amazon’s website (assuming you’ve purchased from Amazon in the past), the landing page welcomes you by name and offers recommendations based on your previous purchases.

Direct marketing is great for capturing attention and creating brand awareness. But when you drive a prospect to a personalized website, you harness the power of one-on-one marketing.

Creating PURLs is easy using a web template, customer data and coding that presents specific and unique information personalized for each recipient. The key to a successful marketing campaign is making the landing page effective. According to Marketing Sherpa, however, landing pages are often an afterthought in direct marketing campaigns. The success of your direct marketing campaign depends on the design of the page, degree of personalization, compelling offers, call to action and links to relevant pages in your website.

Using PURLs in your direct marketing campaign has another advantage: it’s easy to measure in real time using a behind-the-scenes dashboard. You can track total response rate as well as activity by individual viewer.

According to an article in Deliver Magazine, W.L. Gore implemented a direct mail campaign to sell its Gore-Tex footwear. W.L. Gore used postcards and e-mails to direct recipients to a personalized URL, targeting different messages to males and females, inviting prospects to enter a random drawing for an exciting trip and collecting information about users’ preferences for future marketing efforts. According to Gore’s marketing manager, the company enjoyed a 16 percent average increase in sales during the two-week campaign (compared to the same time the previous year).

Furthermore, the Direct Marketing Association cites evidence from a Jupiter Research study that found “targeted e-mail campaigns personalized to subscriber needs drives nine times more revenue and delivers 18 times more net profits.”

The next time you develop a direct marketing campaign, consider incorporating PURLs and watch your response rates (and sales) increase.

Clean Up Your Act

Use technology to reduce waste and improve ROI

Crafting the perfect message and delivering it in an attention-grabbing package is usually the main focus of a direct mail campaign in the planning stage. After all, that’s the fun part. But we also need to answer the all-important question: who should we send our fabulous marketing piece to?

Then there’s the missing ingredient: the quality of the mailing lists. Even the most captivating design and compelling headlines can’t save a direct mail that is delivered to the wrong address.

We’d be remiss if we didn’t remind clients about the importance of data hygiene, or mailing to a well-scrubbed list that has correct contact information for the people you wish to reach; a list that doesn’t include people who’ve died or moved and left no forwarding address.

Sadly, many marketers budget few resources for data management and use outdated methods to create or clean their mailing lists. Data quality has a profound effect on the success and cost of your direct mail campaigns. Inaccurate information wastes valuable resources and increases costs.

Today’s savvy marketers rely on a newer mailing list technology called a referential database. In a nutshell, instead of just collecting names and addresses, a referential database aggregates many purchase transactions by a single individual and links them together over time. In addition to providing a solid mailing list, this 360-degree view gives us a better understanding of our customers’ buying habits.

According to CognitiveDATA, Inc., new advances in data quality technology eliminate more than 60% of all wasteful, misaddressed, intrusive, undeliverable, and non-responding direct mail pieces in each campaign.

So what does quality data mean for you and your direct mail campaign?

Higher response rates—this is particularly important in the current economic climate

Lower costs—the Gartner group estimates that retaining bad data can raise costs by a factor of 10

Less waste—in addition to saving money, you’ll also be a good steward of the environment

Increased trust—with your internal marketing team and your customers

Prevent violation of data protection regulationsprevent costly mistakes before they happen

The bottom line: good data improves ROI (return on investment) for your direct marketing dollars.

According to an interview with Rod Ford, CEO of CognitiveDATA, in the U.S. Postal Service newsletter, Deliver, catalog marketers actually have the greatest potential for improved ROI by using this referential database technology because catalogs are the primary method of driving traffic to stores and websites.

So the next time you plan a direct marketing campaign, don’t forget the upfront work of making sure you have a solid mailing list.

Better Sales: Direct Mail Catalogs or e-mail?

The answer—not surprising—is both.

Here’s why.

Even though we’ve moved much of our shopping and social activities online, the fact is, people still love mail, especially catalogs. It’s fun to feel a catalog in your hand, peruse it at your leisure, make a mental wish list and then head to the Internet to make a purchase.

The United States Postal Service (USPS) commissioned research on the buying habits of catalog recipients. People who get direct mail catalogs are more likely to make repeat online purchase, buy more products and spend more money. In fact, the USPS found retailers who used catalogs (which, by the way, have a longer shelf life than most forms of mail) reported a 163 percent revenue lift. What a return on investment (ROI)!

Still not convinced direct mail catalogs can bolster your sales? Consider these statistics from the Direct Marketing Association (DMA).

  • In 2007, direct mail advertising generated more than $2 trillion in incremental sales in the United States (as measured against total sales).
  • Each dollar spent on direct marketing yields an average ROI of $11.69, versus $5.24 from non-direct marketing expenditures.

What about e-mail?

Smart marketers take advantage of promotional e-mail blasts, sending personalized e-mails with relevant messages and a compelling offer. Don’t forget to include direct links to your website or a custom landing page.

A multi-channel marketing strategy combining e-mail and direct mail catalogs packs a powerful one-two punch. A DMA study found that 57 percent of the marketing campaigns they reviewed used integrated marketing strategies; 47 percent primarily combined direct mail, e-mail and telemarketing.

Here are a few tips to get the most out of your integrated marketing campaign.

  1. Appeal to your customers’ emotions
  2. Be true to your brand
  3. Don’t skimp on the design
  4. Use high-quality images
  5. Be consistent in your marketing messages
  6. Use brief but compelling copy and focus on benefits
  7. Coordinate the timing of the e-mail blast and mailing your catalog

http://www.the-dma.org/aboutdma/whatisthedma.shtml