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Adding a Personalized Touch

Marketers grow with a new generation of consumers.

By Cassandra Carnes

TransPromo documents, personalized URLs, and variably enhanced direct mail pieces are all forms of one-to-one marketing. These applications are primarily sent to the masses via mail. The United States Postal Service (USPS) is stepping up—not unlike print service providers (PSPs)—to become more than a mail carrier to their best customers, but an ally in providing support in terms of discounts, tracking, and research with the implementation of the Intelligent Mail Barcode, as well as several campaigns on sustainability and direct mail marketing.

One-to-one marketing means more to consumers, PSPs, and marketers than print. Beyond the printed page, using multiple venues for marketing messages makes sense, whether it is to send a prospect a one, two—and maybe even three—punch, or to reach a customer once in the format they prefer. With the importance of the Internet and a maturing generation of technology-dependent customers, marketers must be sure they reach their target in the most efficient and responsive manner possible. It means multi-channel marketing, calculating return on investment, enhancing databases, and improving customer relationship management.

TransPromo Communications
The TransPromo phenomenon of mixing transactional data with promotional messages experienced a surge over the last few years and is expected to grow into the future. According to a recent study, Trans Meets Promo … Is It More Than Hype?, InfoTrends places the North American Marketing for TransPromo communications printed in full digital color at 1.7 billion impressions in 2007. This number is projected to reach 12.8 billion by 2012, a compound annual growth rate of 68 percent. In addition, 63 percent of the document owners surveyed stated that they currently add marketing messages to statements, or are planning to within the next 36 months.

TransPromo documents encompass many forms of messaging. By utilizing white space to offer a cleaner, concise, and attractive transactional/marketing hybrid, organizations will generate a higher response. All that considered, the next-generation of savvy customers aren’t restricted to print. It requires more than color and presentation to demand attention—it needs to fit a lifestyle as well. As popular as they are, TransPromo documents are only one form of one-to-one marketing. TransPromo statements and other forms of one-to-one printed communications are enhanced when combined with multi-channel campaigns.

"We see solid growth in multi-channel marketing, driven primarily by the ongoing shift from traditional print-mail channels to interactive Web-based solutions," says Dan Fregeau, VP, customer lifecycle management, EMC. EMC recently acquired Document Sciences, creator of the xPression suite of document composition and delivery tools.

"We position ourselves across the entire customer lifecycle," says Fregeau. He points to offers, collateral proposals and contracts, on-boarding, billing and statements, and correspondences as all forms of marketing messaging that is increasingly integrated within all forms of customer communications, as well as across all channels.

The Integration of pURLs
One way to mix print and Web is by adding personalized URLs (pURLs) to a variable piece of direct mail or TransPromo statement. This dedicated landing page allows consumers to log onto a Web site—created specifically for them—to learn more about a company or product. In turn, the company behind the pURL is able to track the hit, gather more valuable information on the consumer, and generate an active sales lead.

"pURLs are an easy way to begin to integrate a marketing campaign," says Frank Defino Jr., VP and managing director, Tukaiz LLC. "The most successful pURL campaigns cater to the recipient’s personal preferences and marketers need to be mindful of the quality of a recipient’s experience when they visit the site."

Defino explains that this goes back to the creation of the mail piece, "It needs to look inviting, and it must not hit the recycle bin," he stresses. A poorly designed piece will not get the same results, even with a pURL.

"A lot of organizations still face the challenge that their Web sites are geared towards a mass audience," says Nick Romano, president/CEO, Prinova. "pURLs give marketers an opportunity to say ‘we’re going to give you a URL or a Web address that is customized specifically for you,’" he adds.

"A new study released by Clash-Media suggests over fifty percent of a marketer’s budget is now spent online," says Scott Baker, VP, worldwide business development, GMC Software Technology. "Regardless of the study, if marketers are spending even half of that online, that would strongly suggest that companies need to seriously become involved in multi- and cross-channel, as well as highly integrated marketing programs." Baker adds that the integration of pURLs is very effective for initially reaching an audience offline with an incentive to take action online.

Scott Draeger, EDP senior product manager, Exstream Software by HP, agrees that there is growth in this type of marketing but not as much as you would believe. "The adoption of pURLs has a dependency of interdepartmental collaboration that does not yet exist," explains Draeger. "The technology is there, but there are organizational barriers to execution. Other organizations have rifts between print operations, Web operations, and marketing departments that have to be addressed before this can catch on."

"pURLs are only one way to link a document—electronic or physical—to the Web," explains Pat McGrew, EDP, Data Center & Transaction Segment Evangelist, Kodak’s Graphic Communications Group. "There are also a number of solutions that use barcodes or other image-based triggers working in conjunction with a scanner or even a cell phone to carry a reader to a landing page."

Multi-Channel Success
Multi is a prefix we’re all too familiar with. Today we live life on the Internet, communicate via email, and send text messages, while still finding time for a good book or television program. It only makes sense that we receive our information in a way that works best for us—multi-channeled.

"Broadband penetration in the country surpassed the pivotal tipping point of 51 percent last year," notes Rio Longacre, VP of operations, Indros Group. "So, it isn’t surprising that according to the Direct Marketing Association, 43 percent of all consumers prefer to respond to direct mail promotions online, as opposed to calling a toll-free number or sending in a BRC."

The growing adoption of Internet shows the importance of alternative methods of marketing, but also what it takes to draw attention to the landing pages. Printed direct mail is still an efficient way to reach an audience, but cost reduction is key.

"Email is more popular since it is cost-effective, environmentally friendly, and when used strategically with text or image personalization, it increases the overall effectiveness of the marketing campaign," says Karin Stroh, VP of marketing, XMPie, Inc. "Using email for initial phases of a campaign and then following-up with print to those that didn’t initially respond can reduce costs while still reaching an entire targeted audience," Stroh suggests.

"At Tukaiz, the first thing we ask ourselves when producing self-promotional marketing material for our company is how we, as recipients, like to be marketed to," says Defino. "Marketers are excited about using everything that is new and innovative like structural graphics, clear envelopes, new print technologies, picture personalization, and pURLs," explains Defino. "I think as a technology becomes more widely available, more robust marketers will figure out how to take advantage of those elements and narrow it down to use in their own focused marketing campaigns."

"As time evolves and marketers get more comfortable with managing campaigns on a personal level, we’re going to start seeing the net cast a little wider with more complex integrated multi-channel campaigns," says Prinova’s Romano.

There is a downside to multi-channel marketing. "The promise of an easy interaction is demonstrated, but in practice the consumer is offered a long and complicated path to make a purchase," explains Exstream by HP’s Draeger. Printed pURLs often guide consumers through several layers of click-thrus. "Extending the purchase process increases abandoned carts and transactions," Draeger warns.

The Next Generation
As technology continues to advance, so do the average consumers. As generation X and Y mature into bill paying adults, methods for reaching this group must adapt.

"Today’s CMOs must now consider new mediums that reach the next generation of audiences that are more demanding and that are barraged with 250 to 3,000 marketing messages a day," shares GMC’s Baker. "The marketing executive who was successful in the 1980s won’t necessarily be successful today."

This could be attributed to the notion that direct mail, email, and even phone messaging could be considered "traditional channels," as Web 2.0 and its social networking sites take on bigger marketing roles.

John Foley Jr., president/CEO, InterlinkONE, Inc. sees the shift already taking place. "Marketing initiatives now contain RSS feeds, blogs, banner ads, and YouTube videos. The marketing solution today needs to manage all media types, and more," says Foley. "In addition, the solution should be capable of providing the service provider's customers with lead and response management tools along with immediate fulfillment methods and print distribution based on how folks answer questions," he adds.

"Today we think of print, Web, email, and mass media," says Kodak’s McGrew. "In the future we’ll require inclusion of SMS broadcasts, social media marketing—facebook, MySpace, and Twitter, and solutions enabled by epaper—smart billboards, smart shelf tags. Clearly there will be an expansion of marketing options; the challenge will be to lean how to meld these options into coherent customer communications and not just play with the new media," she concludes.

"To dismiss these new channels of communication in favor of traditional ones will completely eliminate this new generation of buyers," says Baker.

"We are already seeing the next generation shifting marketing initiatives; however waiting for them to become mature consumers is dangerous. A company that ignores the rise in mobile communications and social media will miss a huge opportunity to target this generation," warns Stroh.

Standing Out is Key
"Personalization is almost a requirement," says Mark Hilger, product marketing manager, Printable Technologies.

With the evolution of technology, attempts to reach the revolutionized consumer must not be ill conceived. Marketers looking to cut through the noise must do so creatively and with the understanding of their target base. Thinking outside of the box and looking to new advertising mediums to execute a well thought out campaign is the best way to achieve results.

Nov2008, Digital Publishing Solutions

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