Segmentation: Making Your Marketing Efforts More Relevant

You’ve done a thousand things to make your marketing stand out from the crowd, but something’s just not working. You’re not getting the hits on your website you were expecting, and the direct mail pieces you sent are just not getting the expected response. What’s the catch?

Read more


generations

Generation Segmentation

Have you ever thought about segmenting your customer database by generation? Each generation—Baby Boomers, Gen X, and Gen Y—represent a different set of needs, priorities and preferences.Read more


Understanding Net Present Value vs. Lifetime Value

Reading a LinkedIn article I came across the term Net Present Value (NPV). Wikipedia describes NPV as “the present value of money today compared to the present value of money in future, taking inflation and returns into account.” It’s However, I found the writer, Sallie Krawcheck’s, personal explanation more thought provoking: “the willingness to forgo earnings today, to invest smartly for more earnings tomorrow.”

Instead of applying to finances, economics and accounting, I started to think how NPV can be applied to marketing and customer relationship building. As marketers, we’ve been programmed to calculate something similar called a Customer’s Lifetime Value (LTV), the predicted net profit for the entire future relationship of the customer…but what about a prospect’s Net Present Value? Are they even worth acquiring? In the years to come, will they be worth more or less than they are right now?

Read more


3 Steps to Success: Direct Response Marketing and the Up-Sell

There’s more than one way to motivate your existing customers to buy more or spend more, either at the point of purchase or after the sale. Usually, sales and marketing folks employ the cross-sell or the up-sell; those with the greatest success know when, how, and with whom to use each technique.

Cross-sell vs. Up-sell
Straightaway, let’s get our terms straight. Cross-sell and up-sell aren’t the same thing, as we explain in our simple example from The Art and Science of the Direct Response Marketing Cross-Sell: Instead of suggesting to a fast food customer that fries would go excellently with their cheeseburger (a cross-sell), you entice them with an upgrade to a double cheeseburger (up-sell).

Put another way, a cross-sell encourages existing customers to purchase a complementary or related product or service, while an upsell promotes the purchase of a higher-end offering (i.e. a more expensive model or one with more “bells and whistles”).Read more


Read This Now! Best Practices for Promoting Time-Sensitive Offers

Act fast! Don’t delay! Time is running out! Reply Today! Ok, ok, we’re not going to pull this article offline in a few minutes—but if we were, we’d have to think critically about how to encourage our audience to read this right away. Fortunately, the insights we’re sharing here have “stood the test of time” and you won’t miss out on anything if you come back later to finish reading this. But since you’ve already started…Read more