Growing Your Database. The Right Way

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1 Growing Your Database The Right Way

2 Table of Contents Introduction 3 Entice 4 Frustration 5 Fear 5 How enticing is your subscription strategy? 6 Grow 7 Create relevance 7 Offer benefits 7 Give rewards and incentives 7 How does your strategy measure up? 8 Collect 9 Existing marketing materials 9 Online 9 Point of contact 9 Viral 10 Events 10 Special promotions 10 Which collection tactics suit you? 11 Maintain 12 Manage unsubscribers 12 Manage permanent and temporary bounces 12 Manage inactive accounts 13 Have subscribers update their own details 13 Conclusion 13 About Vision6 14

3 Introduction Growing your database is the bedrock of many successful marketing campaigns. Striking a balance between quality and quantity is especially important as a large list full of dead or irrelevant contacts will not lead to a great result. That being said, in order to maximise your ROI a large database is often necessary. There are countless examples of marketers who have taken the easy way out by purchasing a list. However, what these people quickly learn is that purchasing a database is not the easy option. Not only will the sender receive countless bounces and complaints a bought list can result in the sender being blacklisted or even prosecuted if the contacts on the list were not legitimately obtained. Growing your database with the right contacts will not only provide a better result, it will also ensure you remain SPAM compliant. So how do you build and maintain the perfect database without wasting time and resources? It is easier than you think. The main strategy is to develop methods of capturing contacts into your existing processes and assets. Even a small change such as setting up a laptop with a registration form at an industry event can generate great results for your business. This whitepaper will take an in-depth look at the most effective ways of building your database. When growing your database, four of the most important points to consider include: Entice How will you entice people to opt-in? Grow How will you continually grow your database? Collect What are the best collection methods for your company? Maintain How can you maintain your database over time? To demonstrate some of the concepts and techniques included in this whitepaper an example case study has been provided. d i d you k now? Collecting and maintaining a quality database correctly has a number of advantages including: A clean and up-to-date database will improve deliverability. A well developed database can be segmented easily to ensure relevancy. Data collected can be used to help you better understand your audience. Data collected can provide new leads, contacts and cross-marketing opportunities. Contacts who have opted-in are more likely to yield a return. 3

4 Entice The first thing to consider when growing your database is to put yourself in the shoes of your audience. Remember that by subscribing to your database, your audience is taking a risk. Unsolicited , direct mail and phone calls are very common so most people are wary of being sent unsolicited ; especially if they have not had any interaction with your brand in the past. The two main inhibitors that stop people from subscribing to your database are frustration and fear. Frustration Frustration is most often caused by lengthy sign-up forms that deter subscribers or lack of a sufficient incentive to subscribe. Frustration can also be caused by faulty or complicated subscription methods which cause subscribers who would like to sign-up to change their minds. Fear Fear is most often triggered when sign-up forms ask people for personal or irrelevant information. This causes the subscriber to worry about how their information may be used. Fear is also triggered if the capture process is unprofessional as people may think they are going to be defrauded. Case Study Dave has a small but thriving home delivery service which specialises in premium quality, organic foods. Customers place a regular order online which they can alter on a week by week basis if they choose and this is delivered to their door each week. The client base of Dave s Delicacies Delivered is primarily made up of time poor highincome earners who enjoy good quality produce and enjoy entertaining friends. This group is very technologically savvy and welleducated. The business has recently expanded to include tapas, wines and cakes that are popular for entertaining and parties. As a small business owner Dave is keen to grow his customer base but does not have a large marketing budget, however, giving away products costs him very little. He already has a database that contains his current client s contact details, delivery addresses and preferences. Dave would like to continue to grow his current database and also start a new database of people that are interested in fresh good-quality organic produce so he can send them a newsletter and promote Dave s Delicacies Delivered. 4

5 How enticing is your subscription strategy? Frustration Fear Do you ask subscribers for a lot of information? Do you fail to offer subscribers an incentive? Are you sending cold to a disinterested audience? Is your subscription method faulty or too complicated? Do you ask for personal or irrelevant information? Do you fail to explain why information is required? Is your method of subscription unpolished? Have you forgotten to include a privacy or spam compliance message? What you can do The most common way of reducing frustration and fear is to only collect absolutely essential and relevant information. It is also important to ensure that your collection process is presented professionally. As in the Dave s Delicacies example make sure to tailor your registration form so that it does not cause your audience any frustration or fear. You can then create opportunities to collect further information at a later date, when your subscribers are more familiar with your brand. More detailed information can be collected by asking subscribers to update their profiles and/or preferences, competition entry forms or surveys. For example: As Dave is able to collect more detailed information if a subscriber becomes a client there is no need for him to collect this information initially. He can also reduce the subscriber fear by promising to send only solicited and disclosing how often contacts will be ed and why he needs any detailed information. View our privacy policy 5

6 Grow Create relevance The more a prospect is interested in your brand, message, product or some other aspect of your company, the more likely they are to be interested in subscribing to your database. For example, if a prospect has purchased from you in the past they are very likely to remain interested in receiving communications from your brand. Offer benefits The term mutually beneficial relationship is one that perfectly describes the relationship you must have with your database. To successfully build and maintain a relationship you must provide your audience with a benefit they need or want; in return the contacts in your database need to have an interest in your company, product or service. Your audience may benefit from being in your database by receiving valuable information, offers or news. You will benefit by collecting valuable market intelligence, building brand awareness and encouraging purchases. Give rewards and incentives Appeal to your audience by providing a: Tangible reward such as a discount, gift or voucher. Intangible reward such as a newsletter that provides relevant information or opportunities. Aspirational rewards such as the opportunity to enter into a competition. For example A perfect tangible reward can be something as simple as a voucher or discount. If your company is both relevant and beneficial to the client they are likely to appreciate a discount or voucher. If your subscribers have not yet had much interaction with your company you may need to put a bit more effort into your incentive and consider offering free samples, trials or exciting competitions. For example It is a good idea to offer your subscribers a monthly newsletter if they have indicated an interest in your product or service either by opting-in to your database or through their involvement with your company. 6

7 How does your strategy measure up? Use this simple table to gauge if your strategy is enticing enough to grow your database. Desire What level of interest will your audience have? 0 No interest 1 Possible interest 2 High interest Exclusivity Can your audience get the same thing elsewhere? 0 Anywhere else 1 Somewhere else 2 Nowhere else For example: By offering his current and potential clients relevant information they will find beneficial and providing a tangible reward that is exclusive to subscribers Dave will continue to grow his database. Customer Profile Name: Jane Jane@loves2eat.com Client Type: Recent Number of Past Purchases: 2 If you have a score of 2 or less then it may be time to reassess your strategy. 7

8 Collect It is very important that when collecting contacts you are spam compliant by firstly obtaining consent (express or inferred) from your subscribers. Secondly, you must identify your company within the and providing a clear unsubscribe option. Existing marketing materials Before developing more complex and costly methods of collecting contacts remember to consider utilising all of your existing marketing materials. a. Existing materials are one of the best places to collect contacts. Think about how you can include opportunities for people to subscribe to your database through your current marketing materials, assets and events. For example start including a standard line such as Like to find out more about our products and services? Sign up to our monthly enewsletter at on all of your marketing materials. Online The online environment provides a very versatile and cost effective medium that you can use to grow your database. b. A sign-up form on your website is highly recommended. To maximise your traffic build a registration form into your website. Rather than getting into too much detail sell the benefits and keep the registration form short. c. Digital incentives are a very effective and low cost strategy. A digital incentive can be any number of things such as: whitepapers, metrics reports, free programs or anything your audience will find interesting. d. signatures are easily modified so a subscribe option can be included in all company s. e. Subscribe links should always be included in your marketing so that if your is forwarded on by a subscriber the recipients are able to sign-up immediately. Point of contact Collect subscribers at every point of contact. f. Social media if you have a good following on social media try to engage this audience and encourage them to join your database. One simple thing you can do is embed a subscribe form on your Facebook page. g. Point of sale is a great place to collect subscribers and your strategy can be as simple as asking each client Would you like to join our mailing list? Or you can make subscribing part of your customer loyalty program? h. I would like to receive more information... check boxes on existing forms such as guest books and departure cards can be very effective. i. Customer service and support calls can be used to capture information and maintain your database as you can confirm and update client details over the phone. j. Business card bowls are an easy way of inviting people to provide contact details with minimal effort; as long as you ensure that people know what you will use their information for. 8

9 Collect Viral Viral campaigns are a very organic way of growing your contact database and can sometimes begin unintentionally, however there are ways you can get things rolling. k. Send to friend links or tailored campaigns reward subscribers for sending your to their friends and associates. For example all subscribers that use the send to a friend form may go in the draw to win a prize. l. Social media integration involves integrating your s into your social marketing mix by including links to articles and promotions on social media pages such as Twitter, Facebook and LinkedIn, as well as providing links in your s to your social media pages. Events Events such as trade shows, industry events, exhibitions, careers fairs, sponsored charity events and networking events are great places to build your database. m. Event registrations are the perfect place to obtain permission to add your attendees to your contact database as you already have their contact details. n. Event websites can provide a great opportunity to collect contacts depending on your involvement in the event. Even if the event is not your own purchasing sponsorship packages or offering in-kind support will usually gain you a link to your website or subscription form. o. Business card collections for lucky door competitions that offer a prize which is drawn during the event. p. Rolling power points that are on screen during events are a great way to encourage subscribers as long as your audience is able to sign up at the event immediately. q. Event feedback forms can include an opportunity to subscribe for future announcements. Special Promotions There are a number of special promotions you can run to give your contact database a boost in numbers. r. Memberships and loyalty programs are both a good way of capturing details and communicating with your clients and are also a great way of making your client feel special and rewarding them for their loyalty. s. Competitions are a great way to give your contact database an instant boost, as are constant competitions which offer an ongoing competition entry for subscribing or other action. However this is a very popular medium so this is where you need to use all of your creativity to find a prize that promotes your brand and stands out from the crowd. t. Sampling is a very effective incentive if your product has a competitive edge. Offering free samples when people signup to your newsletter is a great incentive. u. Mobile technology can help you collect information in an off-line environment as your audience can sms you their details. 9

10 Which collection tactics suit you? The best way to get started is to identify the tactics that are easy for you and to then fine-tune and diversify these as you go. When identifying which tactics are good for your brand, consider the following questions: What are your goals and objectives? How will you know when you have reached these? Do you have the required resources/ infrastructure? And what are the associated costs (if any)? Do you or one of your team members have the knowledge and ability required? Is the collection tactic self-sustaining or does it require your ongoing management? Can you use your current marketing materials and subscribers to further boost subscriptions? Is there an obvious opportunity for you to periodically or occasionally boost subscriptions through campaigns, incentives or special promotions? How will you track and evaluate the performance of various collection methods? For example: e j s c q e j k 10

11 Maintain When growing your database it is important to keep in mind that it must be maintained. A database can easily become dirty when it contains unsolicited, incorrect or duplicated addresses. For example: Keeping these contacts on your database can hurt your company s delivery and sender reputation. There are a several ways to maintain your list: Manage unsubscribers A good Service Provider (ESP) will keep a record of unsubscribers and prevent you sending to them again. Manage permanent and temporary bounces Permanent bounces (also know as hard bounces) are s which are wrong in some way and will not be received by the contact. This can be for a range of reasons including: Incorrectly formatted or misspelt addresses. Previously hard bounced or unsubscribed addresses. Expired or invalid domains. If you are unable to correct these records it is recommended that you remove them from your database. Temporary bounces (also know as soft bounces) are mostly the result of full inboxes and may be received by the contact eventually. It is up to you to decide on a case by case basis if it is worth keeping these records. 11

12 Maintain Manage inactive accounts If certain subscribers never open your s, you may decide that they are uninterested in your brand and therefore not of value to you. However, if you are confident that some of these subscribers may become active when a promotion or special announcement is sent then you may wish to keep these contacts in your database. It may also be worth sending inactive accounts a special offer to see if they are reading the but not clicking on links or viewing images. Have subscribers update their details By providing your subscribers with access to their own details via update your profile links or account pages you can encourage subscribers to keep their own contact details up to date. This is also a very useful tactic for updating your subscribers preferences and interests. If you have a contact s mobile number consider having them update their details via sms or unsubscribe by texting stop. Conclusion When building your database the best approach is to start with small easy steps and gradually evolve your strategy as you discover what works the best for your brand. Alternatively, there are many ways to quickly boost your database through special promotions and campaigns which are detailed in this whitepaper. The main thing to remember is there are no hard and fast rules when growing your database; every company is different and therefore every database is different. However, by taking the time to plan how you will entice your audience, grow your database over time, collect contacts and what mechanisms you can put in place to maintain your database you will be well on your way to e-messaging success. 12

13 About Vision6 Vision6 is an Australian owned and run company. We were founded in 2001 by friends and colleagues Evan Fortune and Mathew Myers. Today, we are passionate about all things e-messaging. We empower thousands of businesses to achieve great marketing results. And we are always on the lookout for new ways to make our clients happy. Together they identified that marketing professionals needed an easier way to create, send and track messages; and to integrate e-messaging into the marketing mix. As a result the duo formed Vision6. From two guys in a tin-shed (well Mat s living room - close enough) we ve grown to become a team of more than 30 developers and professionals. We also contribute to the marketing community by writing whitepapers, providing free training, producing the Marketing Metrics Report and organising Australia s only marketing summit (EMSA). Contact Vision6 for a free 30 day trial ground floor 47 warner street fortitude valley qld 4006 australia e marketing@vision6.com.au p f

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