Press Release - June 2009
Combined with information gleaned from the web and customer relationship marketing programmes, brands can employ unparalleled levels of targeting and personalised communications.
However, marketers need to ensure that one-to-one communications do more than simply showcase technology. Sending out a birthday card with a customer's name on it may seem clever and engaging, but whether it adds brand value is another question.
Amanda Mackenzie, group marketing director at insurance giant Aviva, believes consumers want appropriate services at the right time, rather than a cosy one-to-one relationship with a brand. 'The one-to-one marketing debate has become confused,' she says. 'Ten years ago, marketers were talking about how they wanted to get intimate with their customers. But that is not what people want, they want brands that react in the right way at the moment they need them.'
The idea of sending out individually targeted communications has long been a dream for direct marketers, but, until now, the expense was prohibitive. The growth of digital printing has brought down costs, however, making it possible for most brands to create tailored direct mail packs.
Nonetheless, Chris Whitson, planning director at direct marketing agency Stephens Francis Whitson (SFW), warns that brands can be blinded by the possibilities of personalised communications.
'Brands can be so excited that they sometimes fail to ensure it is relevant and engaging. If it adds value, it is brilliant. If it is a gimmick, it will fail and get people's backs up,' he says.
The agency's creative director, Neil Francis, adds: 'Just because you can do personalisation doesn't mean you should.'
As an example of the right way to approach personalisation, he cites a campaign that SFW created for online travel company ebookers. Consumers who had booked a flight using the site were sent a personalised brochure four weeks before their date of travel, designed to cross-sell them hotels, day trips and car hire. The recipients' names appeared on the publication and 700 variants of copy were used according to the customer's destination, when they were going, the type of group in which they were travel-ling and whether they had already booked car hire or hotels via the website. A particular focus was placed on avoiding giving the customer the impression that their personal information was being used in an invasive way. Up to 2000 brochures were sent out each month and Francis claims the campaign brought a strong return on investment and drove many cross-purchases.
Those in favour of personalised marketing argue that it takes segmentation of customers to its logical limit. Gavin Wheeler, joint managing director of direct marketing agency WDMP, claims personalised communications can deliver 'a huge incremental response' for direct campaigns.
However, the acute level at which brands can now target consumers can be off-putting. For instance, if a registered website user visits a web page, the site can automatically send them an email promotion based on what they were looking at. 'That can freak people out,' says Wheeler.
He advises sending communications a day or so later, so that it appears to be co-incidental, rather than a result of tracking the customer. 'It's the Big Brother thing,' he explains. 'People find it intrusive. You have to make communications personal and relevant, rather than saying "We know this about you". There are techniques available to show that you aren't abusing the data.'
Extracts taken from an article by By David Benady, marketingmagazine.co.uk
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