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Be Careful What You Wish For: 
How to Plan and Manage a Successful Direct Marketing Campaign

 
 


by George Wehmann,
Marketing Director, CEO
Direct Marketing Resources Group, Raleigh, NC.

Maybe you've seen the United Parcel Service TV commercial where a dot.com type company has just launched its Website. The company's staff is gathered around a PC monitor, anxiously waiting to see if they get any orders.

One order registers. The group cheers. High 5's all around. Almost immediately, 8 or 9 more orders appear on the monitor screen. More celebration. As the cheering dies down, the monitor's order meter takes off and runs to 300,000+ orders. 

The cheering stops. The expressions on faces turn from cheer to horror. The TV commercial's key message is obvious: the company is prepared to fulfill only a fraction of so many orders. UPS is in the order fulfillment business.

Perhaps you've heard about the "too much response" problem? Toys-R-Us experienced this a few years ago when they were unable to fulfill hundred of thousands of Christmas toy purchases submitted through their website.  Toys R US recently filed for bankruptcy.  Is there a connection?  Hmm.

Getting too much response to direct marketing campaigns is usually a symptomatic problem. It's a symptom of a deeper root problem. Once symptomatic problems happen, you're in big trouble. The key is making sure it doesn't happen to you. That requires an understanding that problems often come in two types: symptomatic and root.

Symptomatic problems are caused by deeper, more fundamental root problems. Solving symptomatic problems often solves only the symptoms, not the real problem. Symptomatic solutions may solve symptoms, but root problems can continue causing problems again, or causes new problems. Solving root problems solves problems completely.

Getting too much - or too little - response is only symptomatic. Too much response may seem a nice problem to have, but it has put more businesses out of business than lack of response. Once over-response occurs, few solutions, if any, are available. Disaster recovery is the only option.

The solution to symptomatic problems, like over-response, is the root solution found in planning and testing. (Even UPS offers viewers "planning services" at the end of their commercial.) But there's a catch. For planning and testing to be an effective root solution, they must be applied. And resistance to applying marketing planning and testing is probably the root cause of most, if not all, marketing problems.

This root problem, then, is simple. We already have a familiar name for it. "Resistance to Change." It's the lack of willingness to apply a proven process, and the lack of commitment to see the process through to a successful completion.

Why don't more businesses use marketing planning and testing? Good question. Why do some people who want to lose weight try fad diets instead of the proven, effective methods of exercise and proper dieting? We already know that exercise and proper diet, if applied effectively, are the root solutions to the problem of being overweight. So lack of knowledge is not the root problem. Rather, it's lack of willpower and commitment and the resistance to change longstanding habits.

Resistance to change - even to proven processes -- is often the chief obstacle to achieving desired goals and objectives.

Of Course There's Time for Planning

The Internet is one of the most immediate and fastest ways of sharing information the world has ever known. As a by-product of this, the Marketing World itself is being led to believe all activities, including Web marketing planning and testing, must operate in nanosecond timeframes.

The new "Web-marketing paradigm" is there's no time to develop "old school" marketing methods -- like paying genuine attention (rather than lip-service) to customers and customer relationships, or proving something works before betting the farm (usually someone else's) on new Internet marketing methods.

The Internet has provided many marketers an excuse for the statement "but there's no time for planning." Everything must move at the speed of the Net.

That's bunk. I compare it to telling a two-year-old to "hurry up and become an adult." Some things just take time. Nurturing and developing lasting customer relationships must be earned, not acquired. If you didn't get that from Seth Godin's book, Permission Marketing, you need to re-read it.

Some day, I believe we'll look back on the early days of the Internet and laugh at how we all tried to make the Internet an Interruption Marketing tool rather than a Permission Marketing tool. (Interruption Marketing and Permission Marketing are Seth Godin's terms. The first refers to disruptive marketing, such as a commercial that interrupts a favorite TV show. The second term refers to the kind of marketing Godin recommends, that of using the Web and e-mail to gain permission to ask people for information and for the chance to market to them.)

Resisting this kind of customer-centric, Permission-centric marketing is at the root of why many businesses continue to ignore effective planning and testing. And this kind of marketing wasn't invented with the Internet. Go ask anyone who's been in Direct Marketing for more than five years.

Many marketers decide to use Direct Marketing because they've been disappointed by the results of other forms of marketing. When these folks decide to use Direct Marketing, they often don't understand the importance or the methodology of proper planning and testing. They often don't see the need for (or know how to go about developing) a fundamental marketing plan.

Marketers new to Direct Marketing prefer their old way of "just doing it," a way that unfortunately often involves little-to-no planning or testing. They belong to the "all you gotta do" school of marketing. All you gotta do is run some space ads, all you gotta do is design and print a brochure, all you gotta do is run a few radio and TV spots and your business should market itself.

These days, all you gotta do is put up a website and do a few banner ads (remember our friends in the UPS commercial). What happens to the group in the commercial -- getting an overwhelming response -- is a very real possibility. It's happening every day. In fact, it could be waiting to happen to you. I believe all the folks in the UPS commercial wound up in their unfortunate situation because they are card-carrying members of the "all you gotta do" school of Marketing.

Marketers often object to the higher cost of Planning and Testing. But imagine the cost of not being able to deliver on too many orders as in the UPS commercial. Imagine the cost to Toy-R-Us last year from not being able to deliver on hundreds of thousands of Internet orders. Direct Marketing Testing and Results Management is where marketers finally "get it" -- that all marketing decisions are made by customers marketplace, not by marketers.

George Wehmann is a consultant, mentor, coach and trainer in Direct Marketing applied to a variety of marketing and advertising media. His background includes direct marketing positions with American Express Card Division's Direct Marketing Group, Merrill Lynch Financial Services Direct Marketing, American Management Associations Seminar Marketing and IBM PC Company. Wehmann also works with a variety of clients helping them build their business using direct marketing strategies.

 

 

Note: Nortel was never a client of DMRG. Wehmann was asked to contribute an online feature article for the Nortel Permission Marketing department's new website. This article was written before the bubble burst on the dot.com, Internet technology industry. Back then, Nortel employed over 100,000 people. Later, that was cut to less than 40,000.

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