Darwillisms | Summer 2013 by Darwill Webmaster

Loyalty Programs.

Build Business by Building Relationships.

Build a Better ROI for Your Marketing.

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oes <Company Name> have a loyalty program? A way to keep customers engaged with your business and encourage repeat business over time? If not, it might be time to get started.

Case Study: Hotel Resort Take the example of this New Jersey-based hotel and resort that used loyalty programs to encourage 20% of its customers to repeat business just the first year alone. The resort learned the value of loyalty campaigns when it implemented a program that gathered information on customers on their first visits. It immediately followed up with colorful brochures thanking them for their visit and inviting them to return again. Automated, trigger-based workflow was used to get these mailers into customers’ hands immediately while their good memories of time spent at the facility were still fresh. The resort was willing to spend a significant amount of time, money, and energy to develop these mailers because it knew that once a customer returns a second time, his or her loyalty is cemented. Thus the extra effort spent getting those customers back in the door would pay off in long-term profits. The program now has been running for years, and the facility is nearly always booked to capacity. Ongoing CRM programs permit the resort to effectively resell, upsell, and cross-sell to its customers, all the while building additional rapport and trust. Loyalty programs take a little extra time and effort to set up, but once they are up and running, they are highly cost-effective to maintain. The benefits? They speak for themselves.

Case Study Results • 20% of customers receiving the direct mailers booked with the hotel or used its facilities the first year — nearly 30 times the industry average for static direct mail campaigns. • The resort recorded record revenues from its services and had the most lucrative month in the company’s history. • Quarterly earnings doubled year over year.

BUILD BUSINESS

by Building Relationships Want to sell more?

Try building relationships with your customers. Yes, it really can be that simple. People like to do business with people. More specifically, they like to do business with people who care about them, who listen to what they have to say, and who are accessible and responsive to their needs. By using the variety of tools in your marketing arsenal, you can build relationships that keep your customers engaged and loyal.

WhAT Tools Do You hAve AT YouR DisPosAl? PRinT.

newsletters, direct mail letters, postcards, and other printed materials are great relationship builders. as you use these tools, donâ&#x20AC;&#x2122;t always be trying to sell something. Share information. Give advice. Provide useful resources so that your customers look forward to each communication. consider selecting interesting or unusual substrates, folds, and bindings that take advantage of the unique, tangible characteristics of print. Data. Knowing your customers helps deepen relationships over time. You will speak differently to the Gen-X crowd than you will to Baby Boomers. You will speak differently to a recent college graduate than you will to the head of a household with children. Using data doesnâ&#x20AC;&#x2122;t have to mean full personalization, although it can. Segmenting into different target audiences can also be highly effective by allowing you to speak to customers based on their common interests.

MulTi-ChAnnel MARKeTinG.

Every marketing channel has its own sweet spots, so understand the power of each channel and maximize it. Print creates the sense of gravitas and trust. Email and mobile allow immediate communication and facilitate click-through feedback. Social media fosters long-term engagement and community building. Understanding the sweet spots of each medium and layering them over time reinforces your brand and helps you stay top of mind.

PeRsonAliZeD uRls.

Personalized URLs allow you to connect with customers and get their feedback using a simple, personalized online interface. By asking their opinions on products, services, and their experience with your company, personalized URLs let people know that you care and that their voices are being heard. It also gathers additional information on those customers so you can better target and customize communications with them in the future. Relationships require two-way communication!

soCiAl MeDiA.

Social media is not a sales channel. It is a relationship channel. Use social media to engage your customers in a larger community. Get your team members interacting with your customers as genuine, caring human beings. Have your team participate in discussions (whether on your sites or third-party sites) so your customers know you are really listening. Sponsor contests. create discussions around the culture of your business, or fun and unusual ways to use your products. Regardless of the channels you are using, ensure that your phone number, Web address, and links to your Facebook page, twitter account, and Pinterest boards are included and clearly visible. Give customers multiple ways to contact you and encourage them to do so in the ways they feel most comfortable. As a marketer, you have tremendous resources for building long-lasting, positive relationships with your customers.

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hoW PRinT CAn CoeXisT WiTh GeneRATion Y We all have theories on how to best market to Generation Y (also referred to as Millennials). the industry is saturated with articles on how this group of young adults’ (born between 1977 and 1995) spending power will continue to grow. Some marketing leaders believe this group only responds to marketing messages when they come through an electronic device or a social media site. one thing is certain: Generation Y is completely dependent on their technology, so you would assume this approach must be true. Have you ever witnessed a Gen Y lose their phone? their world comes to a screeching halt. It is important to understand how we move forward as marketers, given the fact that smartphones have taken the place of just about everything: cDs, calculators, watches, calendars, video game consoles, home phones, tVs, photo albums, trips to the bank, cameras, GPS, pen and paper, alarm clocks, video recorders, newspapers, address books, computers, invitations, social interaction and the list goes on. Because of this, some brands believe the best, and maybe only way, to market to this generation is through social media or an integrated email campaign. But I am not so sure this is completely true. With a massive amount of brand messages coming at them in digital formats, how do you break through the different messages they receive and really get their attention? one idea that may be overlooked is printed mail (and yes, that is mail with stamps). consider incorporating a direct mail piece into a campaign using multiple touch points, including a printed piece. Lamont Swittenberg, managing director at Luminosity Marketing, says, “Sending something by direct mail is a way of breaking through the clutter because they do receive so much communication that comes digitally, and you still can’t replace the personal touch from direct mail.”

Heather Hill works in Marketing and Communications at Nosco, a health care packaging and solutions provider based in Gurnee, Ill.

CONSIDER SOME OF THE FOLLO WING WHE N BRAINSTO RMING PRIN T IDEAS:

• Personali ze it — Gen Y likes to feel specia l. • Keep it vi sual (if it’s cool enoug h, it may even end u p pinned to th e w a ll). • Treat the m like a VIP . • Make the m feel dese rving. • Give them a challenge . • Connect them to a ca use or a pa rt of a community for the grea ter good (G wants to co en Y ntribute to a cause). • Believe in them. • Add a QR code or drive them to you social med r ia sites. • Make it in teractive — always exp things they lore have not se en before.

With that said, you still need to think beyond a traditional direct mail print piece and understand how to speak to this generation in a way that makes them say, “that’s just cool.” “the leap for marketers is to recognize the different lens Gen Y applies to reading their mail and adjust the marketing message to make those Gen Y differences a measurable advantage,” says Jason Ryan Dorsey, author of “Y-Size Your Business.” For instance, Dorsey says Millennials prefer pictures and directions to an online video rather than long blocks of text or fancy words. although there are many industry leaders teaching us how to “speak Gen Y,” Dorsey is a great resource, being a proud member of this generation himself. You can find more information to help guide you in all marketing touch points to this group of young adults at www.jasondorsey.com.

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ouglas adams had it right. In the late 1970s, “the Hitchhiker’s Guide to the Galaxy” introduced the concept of a handheld device that contained the sum total of all universal knowledge. In 2007, Bill Gates and Steve Jobs re-mixed this idea by talking about a “post-Pc” world, a time when the Pc went the way of the Dodo bird. although the fight over terminology made for entertaining media posts, it’s stunning how fast the post-Pc vision has come to pass. the Internet is the now source of universal knowledge and smartphones/tablets are the devices nearly everyone is glued to for hours every day. at least on this planet, science fiction has become reality.

Most research now shows that we’ve just now reached the tipping point. according to Gartner, 2013 marks the year that more people globally will access the Internet through mobile devices versus desktop computers. the mobility revolution has changed everything. the resulting transformation in consumer behavior is shaking up whole industries. and, if you believe in the law of exponentials (see Ray Kurzweil’s “the age of Spiritual Machines”), we’re just getting started. It’s still early days!

so, What? Well, if you’re in business — any kind of business — you need to care about this deeply. the decisions you make today about how to go mobile, how you think about web development and how to create amazing customer experiences are critical, as they will affect your business in fundamental ways. as technology advances accelerate, businesses need to think about how to drive agility — the ability to respond quickly to unpredictable change. It’s not about features per se; features are transient. the real meaty decisions now involve how you approach web development holistically to include a wide range of touch points, including mobile, tV, kiosks and more. and how to invest in architectures and approaches that drive better agility with lower cost. To get things started, take a look at the infographic below that drives home the post-PC perspective.

Welcome To The Future! “The Post-PC Revolution Is Here —Don’t Panic!” is used with permission from author Mitch Bishop, CMO of MoovWeb. MoovWeb offers products and services that help its customers take advantage of the mobile revolution. (http://blog.moovweb.com/2013/02/the-post-pc-revolution-is-here-dont-panic/).

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Darwillisms in Detail

McCain Food Service

Darwillisms in Detail

McCain Food Service

Needs • McCain had a site for front of house print-on-demand items that was not user friendly • Create an easy to use intuitive site for a wide variety of users • The site needed to be easy to update in a timely manner McCain Food Service, a North American-based manufacturer for the food service industry, had a difficult and inflexible front-of-house print-on-demand (POD) system that their sales force and distributors used to create on-site promotion Needs materials. The did not utilize a centralized database and content manage• McCain had a site for front of house print-on-demand items that wassystem not user friendly mentofsystem (CMS), so any content changes required the user to update each • Create an easy to use intuitive site for a wide variety users individual element, creating extra work and higher potential for error. • The site needed to be easy to update in a timely manner McCain Food Service, a North American-based manufacturer for the food service industry, had a difficult and inflexible front-of-house print-on-demand Ideas (POD) system that their sales force and distributors used to create on-site promotion materials. The system did not utilize a centralized • Creation ofchanges a behind the database and content management system (CMS), so any content required thescenes user to update each individual element, creating extra work higherproduct potential for error. onandeach Ideas • With the database, product • Creation of a behind the scenes database holding all of the information on each product

database holding all of the information

updates can occur in a single location and

seen across the • With the database, product updates can occur inbe a single location and be seensite across the site • A workflow allowing orders to be gathered then eachow Tuesday afternoon and • released A workfl allowing orders shipped each Friday

to be gathered then released each Tuesday afternoon and shipped each Friday

Darwill recommended implementing a CMS system that would hold all product information in a centralized database that would and allow users to make changes once to roll out across all related Darwill recommended implementing a CMS system that would hold all product promotional materials. The tool features a powerful template-based system that allows McCain to develop professionally printed materials that areinformation easy to customize local customers. inforatheir centralized database that would and allow users to make

changes once to roll out across all related promotional materials. The tool Outcomes • Darwill created an easy to use site to create custom front-of-house materialstemplate-based system that allows McCain to develop features a powerful • A robust group control for each product allowing simple activation, deactivation and assignment

professionally printed materials that are easy to customize for their local customers.

• Increased variety of products for ordering for the distributors

McCain’s new POD system has improved user experience and efficiencies, ensuring higher quality control through centralized content review and approval. Through permissions, users are only able Outcomes to see what they are supposed to see, which is particularly important for their larger accounts. Data capture capabilities of this system allow for creation of robust reports to monitor and glean • Darwill created an easy to use site performance insights. Read the full case study at darwillisms.com

to create custom front-of-house materials

• A robust group control for each product allowing simple activation, deactivation and assignment • Increased variety of products for ordering for the distributors McCain’s new POD system has improved user experience and efficiencies, ensuring higher quality control through centralized content review and approval. Through permissions, users are only able to see what they are supposed to see, which is particularly important for their larger accounts. Data capture capabilities of this system allow for creation of robust reports to monitor and glean performance insights.

Download the full case study at darwillisms.com/[FirstnameLastname]

Build a Better Roi for Your marketing T

hese days, when our lives are stored on our mobile phones, when our inboxes are clogged with email, and when we are more likely to stay in touch with friends and family on social media than by phone, how can you stay connected with your customers and ensure that your message gets seen? Multi-channel marketing. By connecting with consumers across multiple channels (such as print, email, and mobile), you provide continued exposure that deepens brand awareness, engenders consumer trust, and increases opportunities to make a sale. the key is to optimize the message for each channel and maximize the benefits of each.

according to an Infotrends survey of more than 1,000 businesses1, the more channels used in a marketing campaign, the more effective the message. the study (which focused on personalized campaigns), found that print-only campaigns achieved a 6.0% response rate on average, while campaigns using multiple channels (personalized print, email, personalized URLs, and mobile) achieved an 8.7% response rate. the conversion rate jumped from 16.2% for print-only campaigns to 19.0% for the multi-channel campaigns. Multi-channel marketing works!

HOW DOES YOUR CURRENT CAMPAIGN LOOK? campaign Print Only Print and Email Print and PURLs Print, Email and PURLs Print, Email, PURLs and Mobile

Response Rate 6.0% 7.6% 7.6% 8.2% 8.7%

conversion Rate 16.2% 18.3% 15.3% 16.5% 19%

Source: InfoTrends, 2012

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You don’t have to calculate out LcV hen you think indefinitely. Many companies estimate about evaluating their LcV out for three to seven the success of a 1:1 years. otherwise, it’s considered too speculative to be useful. printing campaign, how long a window do you use to determine the dollars it generated? Do you True Measure of Effectiveness cut it off after a week? A month? Even if it’s an estimate, LcV gives you a much better idea of what value your Several months? What about the marketing campaigns are creating. lifetime of the customer? For example, the Print on Demand

Lifetime customer value (LcV) is an overlooked metric that needs to be a larger part of how marketers measure their success. Granted, LcV is very difficult to estimate, but it’s important to keep the issue in mind. customers gained through 1:1 printing tend not just to purchase more, but to be more loyal than customers gained through static methods. thus, the benefits of customer retention must be considered alongside other factors in evaluating the cost-benefits equation.

Initiative case study archive contains a case study submitted by a small lawn care company that sent out a mailing of 300 1:1 pieces to great effectiveness. When the campaign revenue was considered in isolation, the mailing barely broke even. But the company knew that its customers tend to be very loyal over time, so the addition of every new customer meant several years of recurring revenue. as a result, the owner estimated the campaign RoI at 8000% on a LcV basis, something that made this a best practices case study.

RMine lCv? hoW Do You DeTe NSIDER: OF FACTORS TO CO Y ET RI VA A E AR E THER

se? Churn rate: ve your customer ba lea s er om st cu do n te How of Retention cost: ll, and incentivize st you to support, bi How much does it co your customers? Periodic revenue: revenue streams? Do you have recurring erage period? s spend during an av er om st cu do h uc m How Profit margin

How do you view your customers? On a one-off basis? Or as having Lifetime Customer Value?

“You don’t have to calculate out LCV indefinitely. Many companies estimate their LCV out for three to seven years. Otherwise, it’s considered too speculative to be useful.”

Production Notes

paper 8 0# Endurance Silk Cover press Darwill’s HP Indigo 7000 Digital Press design Kim Pannos