How to use industrial databases to the advantage of your business


Industrial databases are readily available with many accurate sources. Quite simply, the numbers are much smaller – but companies don't move around as much as individuals. The consumer market is more problematical. The dream of every direct marketeer engaged in consumer goods and services is the ability to target thousands of prospects in their homes. The combination of masses of data held on all of us and sophisticated computerisation has theoretically brought this to pass; this has come to be known as a lifestyle database. First attempts were made in identifying areas of the country by using the argument that householders in a street in Surbiton would have the same disposable income as one in say Harrogate or Pembury. Overlay that with the electoral roll and you have 20 million households to play with.

Going beyond that we have a different approach by a company like Experian Ltd, which has built up millions of names by extracting data from either guarantee cards returned when we purchase goods or filling in consumer questionnaires. It claims many millions of names and the ability to pinpoint, for example, 547,000 golfers, 101,000 motorcyclists or 507,000 home computer owners. Overlay that with an income bracket and/or number of children and you should have a closely defined target list. All with names and addresses.

You can also give Experian a selection of your own customer profile and it will marry up to thousands of its own to produce at one swoop whole libraries of new prospects. This all sounds very wonderful. My own admittedly limited experience has been disappointing. I suspect that these firms have generated millions of box tickers, rather than potential purchasers. The difficulty is that there are so many variables – including your own offer and timing – that it is hard to evaluate scientifically. There were also a higher proportion of Post Office returns than I would have liked.

What do you send?

You should send a prospect at least four items:

1. Your sales letter.

2. An illustrated brochure or specification sheet (may be fax-back if to business).

3. Order form.

4. Return envelope; reply paid if you are mailing the home.

Depending on your product and purse this list can grow to include a sample, catalogue, testimonials, competition or giveaway. If you have a fertile mind direct mail is where you come into your own. I have come across plenty of firms which go to some trouble to design a nice brochure and believe all they need do is to mail it out, the 'If they want to buy they'll contact me' approach. It doesn't work like that. People need persuading and to get results you have to make it convenient for them to order.

The most important of the four essential items is your letter. It is perhaps no more than convention that we communicate by writing a letter, but if it works, why pioneer? Each part of your mailing package requires careful thought and planning as every piece can contribute to the response. But in turn it can also provide traps for the unwary.

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This article was sent to us by: Adele Zizmo at 07172010

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