Archive for October, 2006

Direct Marketing becomes Multi-dimensional Marketing

Monday, October 30th, 2006

The Internet is the great cost eliminator and impact multiplier for DM. Traditionally, it was expensive to finely segment and target consumers with many customised DM packs. Unit costs go up with every variant. Large volume DM was too costly due to mail charges, especially overseas. To make things more difficult, data capturing was tediously manual (data entry, anyone?), and database management and analytics was an arcane science – and way too expensive,

What the Internet has changed for DM includes eliminating high costs for customization and personalisation of the communication venhicle. Smart marketers know that they can afford to change, fine-tune and send out many different variations of the same marketing campaign, without fear of significant incremental costs. Try that with a print campaign.

Every behaviour pattern and action take online can be tracked and analysed. Hence, online DM offers the marketer the chance to efficiently gather data and learn from quantifiable key performance indicators (KPIs). Business owners should be glad to know how each cent of their marketing investment is delivering on results, since all content exposure, data collection, and calls-to-action can be monitored.

So, if content management and database technologies are becoming more affordable, if traditional DM best practices can be transferred online to enjoy huge efficiencies, why then are more companies not gearing up for it? Polite answer: inertia. Brutal truth: most business people are not intellectually and emotionally ready for the challenge and accountability of Internet-speed marketing.

How the Internet can destroy your business

Friday, October 13th, 2006

Three Threats: Competitors, Customers, Company

The Internet can destroy your business on three fronts.

Competitors – they start leveraging the Internet to adopt and transform tried and tested business best practices. The Internet allows companies to be more imaginative with their strategies and tactics because it is totally open-ended.

Customers - they are abandoning traditional media and spending more time getting informed and making decisions online. Your customers are now in control of what they what to see, hear and do. You do not control the message anymore.

Company –your management and staff are unable to stop fearing (or sneering) the Internet and start loving it. It surprises no one that many people are still resistant to the Internet as a business tool. They either do not understand the technological potentials, are too comfortable with traditional practices, or simply do not have the aptitude to deal with dynamic data and highly quantifiable activities.

The role of the business leader is, thus, to identify and prioritise the threat(s) to his/her company, products and services. And do something about it before the 3Cs rear their ugly heads.