Indeed experts advise that at least half of your direct marketing campaign planning time should be spent on sourcing a good quality and relevant list.
But what questions should you ask in order to make sure you've chosen the right list for your mailing? Here's some advice from direct marketing experts to help you choose your list:
List Targeting
How closely do the names on the list match your target market? If you haven't already done so, you may need to do more research work to identify exactly who it is you should be targeting. Often you can gain a valuable insight by looking at the types of customers who already buy from you and who have responded to similar direct marketing promotions in the past.
List Source
Has it been compiled from other sources, or are the names on the list respondents from other direct mail campaigns? If the latter this may mean they are more disposed towards responding to your direct mail campaign as well.
List Age
When was the list built? If it is a new list has it been proven yet, or if it is an older list it will certainly require data cleansing before purchase.
Cleaning
There are now several suppression files against which mailing lists should be cleaned on a regular basis, and always before you purchase data from the list. These include the Telephone Preference Service (TPS), Mailing Preference Service (MPS) and bereavement and gone away registers.
Penetration
What proportion of the known universe for your target market does the list cover? For example a b2b list may provide coverage of 75% of the UK 's accountants, whereas a b2c list may only reach 5% of a certain type of consumer. Does this rate of penetration match your own objectives for the mailing?
Selection Criteria
For most lists you can select data from the list based on a range of different selection criteria. For b2c lists selection criteria may include location, life stage, lifestyle, age or other demographics. For b2b lists selection criteria may include location, turnover, employees and industry type based on SIC. Specialist lists may offer specialist selection criteria. For example a list of mobile phone owners offers selection by phone network, and even the football team supported by the phone owner!
Single or Multiple Use
Most lists are available to purchase for a single one off mailing, in which case they are described as single use. The list will contain ‘sleepers', or false names which lead back to the list owner, so that breaches in single use policy can be identified. In many cases the same list can be purchased for multiple usage for a higher price per thousand.
Usage Restrictions
Are there any usage restrictions relating to the list? Sometimes a list owner may request approval of your mailing before it is sent to ensure it does not compete with their business, and this is particularly common if you are purchasing a list for email marketing. In this case you may also be limited on the amount of times you can contact the list, even if you've purchased it for multiple use, to avoid saturation and spamming.
Pricing
List prices are usually quoted as a price per thousand. Check exactly what this price includes as the price can sometimes go up if you require additional selections. The price per thousand names will also go up for multiple use. You should be highly suspicious of very low cost and high volume lists offered to you, sometimes on a single purchase CD. The data on such lists can be of varying quality and response rates very low.
List Output
Is the list data available in a format which you require? Most lists are available as a data file from which you can create your own mail merge, but for an extra cost you can also obtain lists on mailing labels.
Direct Marketing Mailing Lists
Making a business successful has become much of a challenge in these economic times. With the infrastructure of the American economy spiralling downwards, the rest of the free market economy is feeling the pinch. From the centre, the core of the global market has been shaken and businesses have been failing left and right on a daily basis. More and more people are getting laid off as large companies are downsizing are restructuring, which means they have to cut the fat to retain the meat of the operations to keep it running.
While not desirable, these are the realities of the situation, and we have to accept them. Because of this many individuals have decided that the security of their current physical jobs have become slightly uncertain and thus are opening up secondary revenue streams based on the technology of the internet. The virtual home based business is now a global phenomena, with more and more people virtualising themselves as part of their core business or as a secondary revenue stream. Ironically one of the main businesses that are becoming more popular is direct selling.
While consumer spending is at an all time low, and Barack Obama has constantly reminded the Congress and those in charge to pump in money to encourage spending, people are spending. It has just slowed down. The pie is still there; and while it isn't giving the same amount of slices per capita, there is still money to be made. If you have decided to initiate a direct marketing campaign, then you are entering a highly competitive and highly saturated market situation.
There are only so many products that have enough reputation and brand familiarity that can excite the market and while there are many new ones coming out on a daily basis, not all of them have the potential to buzz the market and create sales. The type of spending and the sort of products being bought have definitely changed recently, as consumers change their priorities and start to concentrate on necessities and basic luxuries. However, niche markets still exist, and this is the sort of arena you might want to concentrate on.
Now, how you can make your telemarketing business work is with a precisely targeted direct marketing list, which will ensure that you make more sales than you would with free leads; or even going into the market with no idea of who you should be talking to.
You can get these targeted lists from some of the major and reputable marketing companies both on and offline and they will be able to select a list profile to use for you based on the niche that you have chosen. While not exact, they come pretty close to tailoring a list that is in line with the product or service you are marketing. One last thing, do not make the mistake of simply downloading free leads, because they are not targeted to your product nor are they updated, which means the odds of you making a sale are pretty low (or negligible). With a targeted list and a good niche choice, you can make your business work.
Both Steve Sellwood & Chris Burns are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Chris Burns has sinced written about articles on various topics from Business Credit Cards, Direct Marketing and Business Loans. Chris Burns is an authority on mailing list services providing valuable advice on using reliable business fax numbers for your business endeavours.. Chris Burns's top article generates over 12100 views. Bookmark Chris Burns to your Favourites.
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