Canada Post Executive Forum

Communications

Management

The Missing Link

Presented by:

Elizabeth Gooding

President, Art Plus Technology &

Art Plus Technology

Simple, Personal, Clear, Effective

What to send?

Who to send it to?

How to send it?

How often?

How might they respond?

How will you respond then?

Will the lawyers allow it?

What will all this cost?

How will the results be measured?

What happens next?

Can’t you just outsource all this and go on vacation?

If you do, will you have job when you get back?

Creating Simplicity Requires Managing

Complexity

Art Plus Technology

Just throw money at it . . .Many companies only focus on the technology:

• New printers

• New composition tool

• Better content management

• Address hygiene

• E-presentment

• Archiving

• Web-to-print

• Workflow and soft proofing

• Marketing dashboards

• Databases

• Call center technology

There is a lot of GREAT technology out there . . .

It’s so good that you can send mistakes out the door even faster than ever before . . .

Art Plus Technology

What’s small, gray and weighs about

1.3 kilograms?

Many companies may invest in the same piece of equipment or the same software with very different results.

“Talent makes capital dance.”

People and Process before Technology

Art Plus Technology

Information Capture

Obtaining source

information to work

with

Content Management

Controlling and

monitoring access

to information and

changes made to it

Delivery

Presenting

information as

print, voice or

electronic

communications

Document Composition

Rules-based

formatting on data

and other content

Communications Management

The missing link in

delivering effective

and efficient

communications

Document Strategy

Information Design

Legacy Conversion

Content Integration

Data Transformation

Systems Integration

For in-house or

outsourced

production

What is Communications Management?

Copyright 2008 NEPS LLC

Art Plus Technology

Communications Management is critical

Because there is so much more to manage. . .

• Multi-channel

• More channels with fragmented usage – however usage across

media combines for stronger results.

• For example: Consumers who received catalogs in the mail

viewed 22% more pages on the retailers website and spent 16%

more $$ than those who didn’t

• Information overload

• Business customers and consumers are typically doing more

than one thing while viewing your communications

• They filter their email - and the rest of their communications

• “Hockey-stick” cost increases

• Avg. cost of search keywords increasing 50% per year

• Materials and transportation costs increasing

Art Plus Technology

Green Communications Management

Cost-containment

Ethically appropriate

Increasingly important to customers/citizens

• 32% report heightened interest in environment compared

to 1 year ago

• 93% believe companies have a responsibility to help

preserve the environment

• “Sustainability Officer”

“A new Greenpeace report reveals that Kimberly-Clark devastated Ontario’s Kenogami

Forest while promoting itself as a leader in environmental and social responsibility..”

Help Stop the

destruction of

Canada’s

ancient

forests

Art Plus Technology

Communications Management is critical

Relevant Personalization. Micro-targeting. TransPromo.

• Relevant personalization offers 3 times the response of

personalization alone …

• And requires more than 3 times the content.

Relevant

Personalization

Personalized

At least 3x lift of

Source PODi

Art Plus Technology

Relevant Personalization and Content

A simple campaign to cross-sell 4 offers can generate 160 content variations.

• Who creates?

• Who approves?

• Who codes?

• Who responds?

• Who measures?

You need a really good process for this.

0

20

40

60

80

100

120

140

160

180

4 Pro

duct

s

Fren

ch/E

nglis

h

10 P

rovince

s

2 Age Seg

men

ts

Art Plus Technology

Your Communications Management

process should consider:

Customer Life-cycle marketing

• Peppers & Rogers

• Understanding how needs change

• Permission marketing/ opt-in services

User-centered Design/ UX Design

• Grounding requirements and design decisions

in observed behavioral data

• Users play an active role in molding experience

• Observe. Design. Refine.

Integrated, Closed-loop marketing

• Necessary for effective UX (user experience)

• Provides environment to observe behavior

• Measures success of initiatives.

One step at a time

Art Plus Technology

The Business Case• 88% of best-in-class use closed loop marketing

• Remaining 12% plan to use

Definition of Maturity Class Mean Class Performance

Best in Class: Top 20% of aggregate performance scorers

36% average increase in year-over-year annual revenue

26% average increase in year-over-year ROMI

21% average lift in year-over-year conversion rates

Industry Average: Middle 50% of aggregate performance scorers

11% average increase in year-over-year annual revenue

5% average increase in year-over-year ROMI

7% average lift in year-over-year conversion rates

Laggard: Bottom 30% of aggregate performance scorers

5% average increase in year-over-year annual revenue

16% average DECREASE in year-over-year ROMI

3% average lift in year-over-year conversion rates

Source Aberdeen Group, March 2008

Art Plus Technology

The Business Case• Normalizing the numbers

• All companies surveyed on average were increasing performance

Performance Metric

Performance of companies using closed loop marketing versus companies not using closed loop marketing (average)

Overall ROMI Increased by 6% more (24 vs. 18)

Lead Conversion Rate Increased by 7% more (23 vs. 16)

Average Revenue per account

Increased by 3% more (15 vs. 12)

Average Return on Marketing Campaigns

Increased by 14% more (27 vs. 13)

Source Aberdeen Group, March 2008

Art Plus Technology

The Business Case

Still very manual

Tier

Use

Closed-loop Marketing

Have AutomatedClosed-loop Marketing

Believe their customer databases are Comprehensive/ Adequate

Best-in-Class 88% 42% 21 / 32

Average 46% 30% 22 / 11

Laggards 22% 26% 0 / 40

Source Aberdeen Group, March 2008

Success based on process first – technology second

Art Plus Technology

Prudential Retirement

Multi-plan Retirement Statement

• Defined Contribution (similar to RSP) plus Defined Benefit

• Emphasis on relevant personalization to drive behavioral change

Life-cycle “Marketing”

• Looked at needs of employees at different life-stages and participation levels

User-centered design

• Research with employees (participants) and employers (sponsors of plan)

• Usability testing and refinement of design

• Launched in 3 phases to allow controlled roll-out and observation of behavior

Integrated, closed-loop marketing

• Stand-alone and combined printed statements

• Integrated with CRM and Web-based education portal

• Integrated with call-center technology

• Allowed employers to participate in process of communicating with employees

Art Plus Technology

Prudential

DB StatementDC Statement

Combined Statement

Art Plus Technology

Measurable Results

Improved Satisfaction / User Experience

• 96% found the new statement easier to read and understand

• 90% found the new statement provided them with information to make better decisions

• 89% felt it provided a clearer understanding of their investment plans and personal options

Reduced Print Volume, Manual Processes and Saved $$

• Replaced pre-printed newsletter with relevant, on-demand content

• Enabled Employers to create “e-inserts” on statement

• Annual savings of over $1 million

Measurable Impact on 11 Target behaviors

• For example – reduced usage of loans from savings plans

• Increased use of website

• 10.5% increase in employees participating in plans (saving money)

• Increases in average amount saved

DALBAR, PODi and Exstream Visionary awards

Art Plus Technology

Communications Management

Benefits

More effective communications

More efficient execution

Platform for continuous improvement

Simple, Personal, Clear and Effective

Art Plus Technology

Questions

Art Plus Technology

Art Plus Technology

The experts in strategic communications management for the financial, insurance and healthcare industries.

Our services are delivered by industry units with deep vertical expertise:

• Art Plus Technology – optimizing communications, production environments and

related procurement processes

• Fast2Market Hosted Environment - Subscription access to NEPS and partner

technology plus vertical turn-key applications

• Insight Forums - Seminars on effective financial and healthcare communications

Contact Elizabeth Gooding:

800-886-2196

www.LinkedIn.com/in/ElizabethGooding