Freetopia

Monday, October 17, 2005

From eCRM to SEM

Digital marketing is growing fast. But it is still a mystery to many people. Case studies help to explain what works, and why

Do you know your search engine marketing from your search engine optimisation? Should you use pay-per-click deals or plan online media on the number of eyeballs they will reach? Sometimes, the best lessons come from other companies which have already considered the same questions.

A range of digital marketers offer the benefit of their experience at this year's DM Show. Rachel Johnson, vice-president of marketing, Europe, at Ask Jeeves, together with Matt Powell, creative director of Profero, present the session "Best practice online creative" on Wednesday, October 26, at 11.15am. Among the issues they will consider are optimising campaigns, testing variables, and how much you can really say in a banner.

"Maximising the effect of your search engine marketing strategy" is the theme for Martin McNulty, head of online marketing at Thomas Cook, as part of the same session. He will reveal how the company has deployed search engine marketing (SEM) to great effect in building its online presence to match its retail status.

Mobile marketing is becoming a critical new route to market because it offers the chance to reach consumers anywhere, any time. Sally-Anne Burwell, head of marketing at Vodafone Target, considers "Overcoming the mobile challenge to improve CRM and maximise ROI" on Wednesday, October 26, at 1.30pm. She will examine the role of content and how to integrate mobile phones with other marketing channels.

Search engines are steadily claiming a place as the epicentre of consumer demand. Google explains "A customer-centric approach to ensuring the effectiveness of online campaigns", with head of the vertical markets group James Cashmore speaking in the same session as Burwell. If you want to know how to use offline campaign performance as an indicator of online marketing effectiveness, he has the answer.

"Customers now have a choice, and their decisions will shape the market going forward. This is something the mailing industry needs to do better," says Ivers.

TNT Mail is aiming to provide the full spectrum of deregulated postal services. This degree of change will take some time, but David Higham, business development director at TNT Mail, is confident it will come.

"The more people who use our services, both downstream access and eventually end-to-end, the more confident they will get," he told Precision Marketing earlier this year. The company already works for Sky, Call All, Booker and Express Gifts.

Royal Mail still holds 99 per cent of the market, and erosion is likely to be slow, but steady.

It has faced its own challenges this year, from making its first ever loss to missing performance targets.

There have also been long wrangles with the direct marketing industry about introducing a new pricing system based on size and weight, rather than weight alone.

Some observers believe that the future of the sector will mean more electronic communication. "Direct marketing will increasingly have to embrace new media channels, because that is what consumers are doing," says Mike Dodds, managing director of OgilvyOne, a participant in the opening keynote session on the future of the industry (Tuesday, October 25, 10am).

He points to Ford, which has found that 80 per cent of its customers do research online before visiting a dealership. There will be more options in the future - the question is how to mix them. According to Dodds: "Clients are very clear that it's not about one media taking over from another. It's about how on- and offline direct media work in a more integrated way."Digital marketing service providers, covering data to email distribution, will be highly visible at this year's DM Show. Buoyed by figures showing expenditure on new media marketing growing to an estimated £1.5bn this year, from £1.2bn in 2004, they are operating in a space that is getting hotter.

Interactive Prospect Targeting (IPT) recently published a five-volume guide to email marketing. It provides a step-by-step guide to the basics of campaign planning, intelligent data management for email marketing, writing and creating emails that get results, understanding the art of email broadcasting, and measuring email marketing effectiveness. The company also recently added a guide to questions clients should ask a managed solutions provider.

Prospects can ask IPT about its services by visiting the company at the exhibition, having taken advantage of the free download from its website (www.ipt-ltd.co.uk). As a data owner, the company offers nearly 5 million opted-in email addresses, with hundreds of selectable variables. It also has 2.1 million postal prospects with lifestyle information.

If you are looking for freshly captured permission marketing data, IPT runs www.myoffers.co.uk - a data collection website that, together with partner brand sites, has acquired over 7 million registered members. New registrations are running at 170,000 per month.

Youdata will also be at the show promoting its 5 million-strong, opt-in email database - 45 per cent of the online market. Set up by Unanimis Consulting, the dataset has been built by asking consumers what products they are interested in, via co-registration and the Youdata anonymity programme. Offers and competitions are also delivered to specified target groups via the www.youdirect.net site.

Email delivery has become a more technically complex and difficult proposition as a result of the rising tide of spam. As many as nine out of ten emails carried by Internet service providers (ISPs) may be bulk emailings or fraudulent messages.

To cope with this deluge, ISPs have put in place spam filters. The problem is, these also take out legitimate marketing communications. The level varies. Yahoo! filters 25 per cent of opted-in messages, while Hotmail only takes out around 12 per cent. To make sure your campaign results are not affected by this situation, you need to work with a company

For more information and stories in this area visit the UK's top direct marketing title at http://www.precision-marketing.co.uk