data, it matters

how you can upstream your business

DATA, IT MATTERS

CLA

SS

NO

TES

1

BUILDING A BRAND THAT STICKS - SHARE THE KNOWLEDGE

Understanding the data that feeds into your production solutions is critical and if completed successfully can play a profit-boosting role for your businesses. Exploring how customers need more support than ever to build strong databases and how you can offer this support is the first step in the data journey.

Gordon Loch, Managing Director, List Factory, holds extensive experience working within direct marketing centres on data - prospect lists, data cooperatives, real time verification, segmentation, and data analytics products. Building from this expertise Gordon created List Factory in 2006 and since then the company has grown into the largest and most comprehensive data cooperative provider for the Australian market.

> If you don’t have strong data, the print quality, the creative and campaign won’t work – you need to use good data management principles to ensure any print campaign is strong.

> A strong print campaign protects the ongoing revenue.

> Managing and assisting your customers with their data management provides an additional sticky point across your business engagement with customers.

Exploring how customers need more support than ever to build strong databases and how you can offer this support is the first step in the data journey.

Data, Data, Data

EVA

NG

ELIN

E IR

VIN

E H

UM

ZA

H C

AM

PB

ELL Z

AIN

E K

ELLEY

MIG

UE

L FIS

HE

R

RILEY-

JAM

ES

RE

ES

E JA

KO

B W

ICK

EN

S

FIO

NN

UA

LA M

EJIA

A

SH

WIN

BLE

VIN

S

CA

RR

IE

BA

IRD

O

TTILIE PA

RK

S S

ETH

RIC

HA

RD

ISM

AE

L ED

MO

ND

S

LEE

NA

RIC

HA

RD

SO

N

KYM

AN

I SW

AN

TAS

NIM

WE

STO

N

EM

ILY DR

UM

MO

ND

S

HA

E PA

RK

S

AFA

H

HA

RM

ON

A

NN

IE G

RIF

FIN

E

MILIO

SH

AW

M

AR

GIE

ZH

AN

G

TYSO

N S

LOA

N

RH

ON

DA

GIB

BO

NS

K

AR

IS M

OO

RE

CR

YSTA

L RH

OD

ES

S

HA

WN

RU

SS

O H

UG

HIE

FR

Y VIK

KI K

NO

X

OR

LA R

AH

MA

N V

EE

R F

RA

NC

O

YAS

H G

OR

DO

N

SK

YLAR

MO

YER

D

AN

E B

LAC

K

FATE

MA

NA

VA

SA

MIYA

ON

EIL TA

YA S

IMS

AYR

A M

CG

UIR

E

ZE

EN

AT B

UR

T C

HE

RYL H

OR

TON

N

IKITA

DILLO

N E

LLY HU

TTON

A

ME

EN

A C

AS

H

HA

AR

IS G

OU

GH

D

ALIA

SIM

MO

NS

M

OR

GA

N O

’GA

LLAG

HE

R

CO

HE

N H

AR

DIN

G

SH

AN

IA G

AR

RE

TT AYS

E S

HE

PH

ER

D

CA

MILLE

TRA

N IM

AN

I MC

NA

LLY VA

NE

SS

A

JOYC

E

SA

NJE

EV C

HA

PM

AN

HU

SN

A JIM

EN

EZ

A

LBE

RTO

PO

WE

LL M

AC

IEJ M

OS

S

SP

EN

CE

R LA

WS

ON

G

IOR

GIA

WIG

GIN

S

HA

RVIR

VO

A

RJA

N W

OLF

E

SIM

RA

N

HE

STE

R

KA

CEY M

CN

EILL

BE

RTIE

KIN

NEY

CH

RIS

TY HU

LME

A

RIYA

N

MC

MA

NU

S

DO

UG

LAS

RO

LLINS

VIK

TOR

IA H

AS

TING

S

NYA

H G

RE

IG

LOR

ETTA

M

CC

AR

TY CO

UR

TEN

EY DA

VEY

KR

ZYS

ZTO

F M

CC

ULLO

CH

C

HR

ISTIN

E N

EE

DH

AM

K

ATE

LIN F

RE

NC

H

GA

BR

IELLA

TIER

NEY

ZAYD

EN

EVA

NG

ELIN

E IR

VIN

E

HU

MZ

AH

C

AM

PB

ELL

ZA

INE

KE

LLEY M

IGU

EL F

ISH

ER

R

ILEY-JAM

ES

RE

ES

E

JAK

OB

W

ICK

EN

S F

ION

NU

ALA

ME

JIA

AS

HW

IN B

LEVIN

S

CA

RR

IE B

AIR

D

OTTILIE

PAR

KS

S

ETH

RIC

HA

RD

ISM

AE

L ED

MO

ND

S

LEE

NA

RIC

HA

RD

SO

N

KYM

AN

I SW

AN

TA

SN

IM

WE

STO

N

EM

ILY DR

UM

MO

ND

S

HA

E PA

RK

S

AFA

H H

AR

MO

N

AN

NIE

GR

IFF

IN

EM

ILIO S

HA

W

MA

RG

IE Z

HA

NG

TYS

ON

SLO

AN

R

HO

ND

A G

IBB

ON

S

KA

RIS

MO

OR

E

CR

YSTA

L RH

OD

ES

S

HA

WN

RU

SS

O H

UG

HIE

FR

Y VIK

KI K

NO

X

OR

LA R

AH

MA

N

VE

ER

FR

AN

CO

YA

SH

GO

RD

ON

SK

YLAR

MO

YER

D

AN

E B

LAC

K

FATE

MA

NA

VA

SA

MIYA

ON

EIL TA

YA S

IMS

AYR

A M

CG

UIR

E

ZE

EN

AT B

UR

T C

HE

RYL H

OR

TON

N

IKITA

DILLO

N E

LLY HU

TTON

A

ME

EN

A C

AS

H H

AA

RIS

GO

UG

H

DA

LIA S

IMM

ON

S

MO

RG

AN

O’G

ALLA

GH

ER

C

OH

EN

HA

RD

ING

S

HA

NIA

GA

RR

ETT

AYS

E S

HE

PH

ER

D

CA

MILLE

TRA

N IM

AN

I MC

NA

LLY VA

NE

SS

A JO

YCE

S

AN

JEE

V C

HA

PM

AN

H

US

NA

JIM

EN

EZ

ALB

ER

TO P

OW

ELL

MA

CIE

J MO

SS

SP

EN

CE

R LA

WS

ON

G

IOR

GIA

WIG

GIN

S

HA

RVIR

VO

A

RJA

N W

OLF

E S

IMR

AN

HE

STE

R

KA

CEY M

CN

EILL

BE

RTIE

4825ALP

UR

RU

RU

LAM

QLD

N

T0872E

RN

AB

ELLA

N

TS

A

0872FR

EG

ON

NT

SA

0872IN

DU

LKAN

A

NT

SA

0872M

IMILI

NT

SA

0872

NG

AA

NYATJA

RR

A-G

ILES

N

TW

A

0872GIB

SO

N

DE

SE

RTN

OR

TH

NT

WA

0872GIB

SO

ND

ES

ER

TSO

UTH

N

TW

A

2406MU

NG

IND

INS

W

NS

WA

ND

QLD

2540HM

AS

CRE

SW

ELL

NS

WJE

RVIS

BAYTE

RR

ITOR

Y2540

JER

VISB

AY

NS

WJE

RVIS

BAYTE

RR

ITOR

Y2611CO

OLE

MA

NA

CTN

SW

2611BIM

BE

RI

ACT

NS

W2611B

RIN

DA

BE

LLA

ACT

NS

W2611KO

WE

N

NS

WA

CT2620

KOW

EN

FOR

ES

TN

SW

ACT

2620OA

KSE

STATE

N

SW

ACT

2620THA

RW

A

NS

W

ACT

2620TOP

NA

AS

NS

WA

CT3585M

UR

RAYD

OW

NS

VICN

SW

3586MA

LLAN

VIC

NS

W3644B

AR

OO

GA

VIC

NS

W3644LA

LALTY

VICN

SW

3691LAKE

HU

ME

VILLAG

E

VICN

SW

3707BR

ING

EN

BR

ON

GVIC

SYD

NEY

NS

W20002001CA

NB

ER

RA

A

CT

26002601ME

LBO

UR

NE

VIC

3000BR

ISB

AN

EQ

LD4001

AD

ELA

IDE

SA

5000

PE

RTH

W

A

6001HO

BA

RT

TAS

7000D

AR

WIN

N

T0800

TAYA S

IMS

AYRA

MCG

UIR

E

ZE

EN

AT BU

RT

CHE

RYL H

OR

TON

NIKITA

DILLO

N

ELLY H

UTTO

N

AM

EE

NA

CAS

H

HA

AR

IS G

OU

GH

DA

LIA S

IMM

ON

S M

OR

GA

N O

’GA

LLAG

HE

R

COH

EN

HA

RD

ING

S

HA

NIA

GA

RR

ETT

AYSE

SH

EP

HE

RD

CAM

ILLE TR

AN

IM

AN

I MCN

ALLY

VAN

ES

SA

JOYCE

S

AN

JEE

V CHA

PM

AN

H

US

NA

JIME

NE

Z A

LBE

RTO

PO

WE

LL M

ACIE

J MO

SS

SP

EN

CER

LAWS

ON

G

IOR

GIA

WIG

GIN

S

HA

RVIR

VO A

RJA

N W

OLFE

S

IMR

AN

HE

STE

R

KACEY M

CNE

ILL B

ER

TIE KIN

NEY

CHR

ISTY H

ULM

E A

RIYA

N M

CMA

NU

S

DO

UG

LAS

RO

LLINS

VIKTOR

IA H

AS

TING

S

NYA

H G

RE

IG

LOR

ETTA

MCCA

RTY

COU

RTE

NEY D

AVEY

KRZYS

ZTO

F MCCU

LLOCH

CH

RIS

TINE

NE

ED

HA

M KATE

LIN FR

EN

CH

GA

BR

IELLA

TIER

NEY

ZAYD

EN

HO

LLAN

D

WIKTO

RIA

PO

RTILLO

A

RIS

SA

LOG

AN

M

ATTEO

BA

RN

ES

R

HIA

NA

LISTE

R

HA

RE

EM

GO

LDE

N

LUCILLE

MO

NTE

S

PATRICK P

RO

SS

ER

KA

ILAN

NE

WTO

N

AR

FA A

RN

OLD

CLA

RKE

PICKE

TT EA

DIE

CALVE

RT

KON

RA

D CO

LEM

AN

FE

RN

E

PAR

KINS

ON

S

ALIM

HE

ND

RICKS

KIYA

N B

UR

RO

WS

NIKKITA

DO

NO

VAN

H

UM

ZA

RA

MS

EY

KYNA

N M

CFAD

DE

N

RO

BE

RTA

LUTZ

FR

AN

KLIN R

OB

ER

SO

N R

EE

F OCH

OA

A

GATH

A M

ILL

AJAY S

WA

NS

ON

R

OM

AN

A M

ILLAR

D

IAN

E VE

NTU

RA

INAYA

RYD

ER

JA

KOB

MCG

RE

GO

R

DA

RLE

NE

WATKIN

S

PE

DR

O S

TEP

HE

NS

ON

EN

ID G

RE

EN

AWAY

LACY LYN

CH

SH

OA

IB

BO

YLE

KATER

INA

BE

ND

ER

A

NG

US

DAVIE

S

MU

SKA

AN

MAYO

A

RIE

L TER

RE

LL DO

UG

LAS

RO

LLINS

VIKTO

RIA

HA

STIN

GS

N

YAH

GR

EIG

LO

RE

TTA M

CCAR

TY CO

UR

TEN

EY DAVEY

KRZYS

ZTO

F MCCU

LLOCH

CH

RIS

TINE

NE

ED

HA

M KATE

LIN FR

EN

CH

GA

BR

IELLA

TIER

NEY

ZAYD

EN

HO

LLAN

D

WIKTO

RIA

PO

RTILLO

A

RIS

SA

LOG

AN

M

ATTEO

BA

RN

ES

R

HIA

NA

LISTE

R

HA

RE

EM

GO

LDE

N

LUCILLE

MO

NTE

S

PATRICK P

RO

SS

ER

2

Your Business

Print Mail

Data

Data Processing & Management

Customer Acquisition Data

Data Analysis Services

Adding Value through Data

4 5


First approach for a commercial print company to consider how to engage and develop a data management solution is to break the service offering into three (3) key areas.

DATA PROCESSING & MANAGEMENT

Data processing management involves managing data on a digital platform, i.e., database format.

For your business, becoming skilled in this area can provide interactive engagement (backwards and forwards in the supply chain) which can open up revenue opportunities from a single – order taking engagement relationship.

If you are managing data to a higher level of quantified and strong data, the print and mail ROI will increase which will protect your revenue. Keeping protocols across data assumptions, criteria for selections, exclusions, standards to their brand etc, provide a stronger database and more powerful tool for your customer and the campaigns you execute.

CUSTOMER ACQUISITION DATA

Customer acquisition refers to bringing in new customers - or convincing people to buy your products. It is a process used to bring consumers down the marketing funnel from brand awareness to purchase decision. The cost of acquiring a new customer is referred to as customer acquisition cost (or CAC for short). Customer Acquisition Data includes prospective customers, not always as qualified as customer data sets, however a good opportunity to build and convert prospects to customers and record stronger ROI across print and mail campaigns.

Being a strong partner across Customer Acquisition Data provides your business a deeper engagement point as your business will be able to understand the data segments being mailed with deeper insight, to assist your customers on new campaigns or streamed print tiers to expand and grow their customers.

Ideas such as, building data reports to Remail to top segments (cherry picking), build different creative solutions across the data streams you have identified, second shot, reminder packs can be very useful across re-engaging lukewarm opportunities and more. Working on these datasets and building lists for your customers across prospect areas will allow you to provide business improvement opportunities for your customers and allow you to influence which data to use to build a stronger ROI for new customers.

DATA ANALYSIS SERVICES

Data analytics is the science of analysing raw data in order to make conclusions about that information. The techniques and processes of data analytics have been automated into mechanical processes and algorithms that work over raw data for human consumption. Data analytics help a business optimize its performance.

If you can offer this service or work with supply partners to deliver this service, areas to consider are exploring customised data models using 3rd party data, look-a-like solutions – a prospect audience modelled using your data, increasing propensity to buy/donate, this is the scientific pointy end that will drive solutions to a new level across all your customers data that will improve data performance.

Not all data is alike, and there are patterns you can build upon and offer your customers the opportunity leverage from those patterns and trends.

DATA MANAGEMENT CAN BE WORKFLOW DRIVEN – SIMILAR TO YOUR PRINT BUSINESSES

6 7


DATA COMPLIANCE IS SERIOUS

The changes to Australia and New Zealand’s privacy laws have brought the two countries more in line with each other and closer to the EU’s General Data Protection Regulation (GDPR). However, there are some differences and you should make yourself aware of these in each country that you operate. The key areas of difference include:

PERSONAL INFORMATION

Australia has a special category of personal information, being ‘sensitive information’ which includes information about: racial or ethnic origin, political opinions, religious or philosophical beliefs and affiliations, sexual orientation or practices, criminal record, health information, genetic information, biometric information and other particular information.

The New Zealand Privacy law has a similarly wide definition of personal information — although it does not include opinions like Australia’s definition does and it does not have a separate category of sensitive information to which special restrictions apply.

PENALTIES

Penalties in Australia under privacy legislation can be much more severe than those in New Zealand. In Australia individuals can face penalties of up to AU$450,000, while fines for corporations can be as high as AU$2.1 million. In New Zealand however, fines under the Privacy Act only go up to NZ$10,000, with the option of referring matters to the Human Rights Tribunal which can award damages of up to NZ$350,000.

EMPLOYEE RECORDS

The Australian Privacy Act contains a special exemption for employee records which provides that personal information about an employee, held by an employer, is exempt from the Australian Privacy Principles. This exemption does not exist in New Zealand and employee records are subjects to the same requirements as all other forms of personal information.

PRIVACY PRINCIPLES

While there is significant overlap between the Australian privacy principles (APPs) and New Zealand’s information privacy principles (IPPs), there are some areas which are covered in either the APPs or IPPs, but not in the other. For example — restrictions on use of unsolicited personal information and use of personal information for direct marketing are provided in the APPs, but not in the IPPs. Additionally, the principle in relation to unique identifiers in Australia (APP 9) only restricts how and when private organisations can use government issued identification numbers, while in New Zealand, IPP 13 restricts the use of any unique identifiers.

Source: Jennifer Huby, Partner and Michael Graziano, Law Graduate.

8 9


HOME SHOPPING

The ‘Home’ has never been a bigger or more engaged audience for online or home shopping. Australia and New Zealand online retail is a significant growth area with Ibisworld reporting New Zealand tracking a 14.6% increase and Australia a 35.3% increase.

This growth, particularly with pure plays, is a terrific opportunity for print and mail as these channels provide a physical presence for online retailers.

Things to look to and discuss with your e-customers include:

> Ability through delivery to include the next print brochure or seasonal range in their deliveries

> Rich datasets as people issue their data to receive their goods – this can lead to very strong data analytics and trend or pattern development

> Plenty of research to support Home Shopping Growth across Australia and New Zealand to build your case study library and expertise

> Existing and sporadic use of catalogues and direct mail already used by competitors

> US and UK experience and trends across online retailers entering the Australian and New Zealand markets

> Case studies consistently show customers acquired through direct mail using transactional data:

• spend more, purchase more items per order

• Purchase more frequently (loyal)

• Are slightly older (new prospects with disposable income)

• Are different types of customers in general to standard customer

> For “Pure Plays”, catalogue channel opens up a new, more profitable customer segment and a physical presence to balance digital

10 11


> Upstream your business and engage your client in a two-way discussion, move from single order taking to a partnership.

> Increase profitability through building new datasets, campaign ideas and streams across creative, sales offerings and more.

> Build your revenue protection opportunities with strong data management solutions.

> If your customer’s ROI and profitability improves from what you produce for them, you will also increase your ROI and profitability for that client.

BOOST YOUR PROFIT WITH DATA

12 13


PROFIT BOOST YOUR BUSINESS WITH DATA

> Broadening your relationship with your customer from a single order-taking relationship to a two-way partnership is key to protecting revenue and building value.

> Aligning workflow and processes of your business with new service offerings, such as data management, build your profitability.

> Increasing your customer’s success on the campaigns you produce will lead to more campaigns, more partnerships and more opportunity for your business.

> Consider engaging an analyst or working with a supply partner and build data management solutions into your business – you won’t look back.

Always exploring opportunities to grow your business revenue and profitability is a given, understanding a new workflow to add to your business services is never easy, however data management and services is a seamless marriage which if managed well can build stronger engagement with your customers.

14 15


In regards to large or mass mailings, would you recommend more streams or data tiers, whilst maintaining the larger overall volumes or do you recommend running smaller bespoke mailings at different times as a rule?

This really comes down to test and learn. If your test of a big campaign shows that it really didn’t perform that well, you need to go back to the granular data and understand the segments within it. Understand which parts to use and which ones to discard. Test, learn, test, learn, rinse, repeat. Always go back to the data and keep looking at what’s working, and what’s not.

The majority of direct mailers will look at their response rates and go back through their data. Some will look at it specifically, by cell or keycode for example, others will simply look at list selection, and understand which lists are working and which ones aren’t. Refine your tiers on the response rates you receive. The technology is there, we just have to influence and systemise its use.

Q&AIf this was something I was looking to engage across my commercial print business, would I need to employ a business analyst or data expert or could I rely upon supply partners and using existing pre-press teams/creative?

It really depends on your risk profiles. If you see it is a great opportunity, then invest up front. There are plenty of suppliers out there that you could test something with first and go forth if the business case proves valued, or you can switch to an internal business analyst if not. It’s a horses for courses conversation, it really does depend on where you can start, and where you want to end.

The concept of a more engaging relationship with customers is appealing. Do you find customers resist having a producer or printer manage their data or do they issue separate tenders and procurement processes in this area or is this an industry norm and acceptable to customers?

The majority of big suppliers and/or clients will in-house it. The smaller, more agile ones, particularly those that have already out-sourced parts of the development process, they are more likely to consider outsourcing all or most of their needs. It depends on the business that you are talking to. Charities are generally under-resourced, they are most likely to need the help, they simply don’t have the resources. There is a difference between the smaller agile entities to the bigger corporations in terms of their appetite to outsource.

The UK seem to be better performers across the mail channel, is that a trend you think will come to Australian and New Zealand shores?

So this leads to the age old question “What response rate should I expect?”. That’s a very difficult question to answer. It really depends on the mailer, and what results are being achieved. The UK are doing very well in the catalogue and mail sectors, well ahead of Australia, especially in the e-commerce and online shopping respective. They have many examples of doing very well, and so does Australia, however, the UK are very good at presenting HOW they are doing. Perhaps we’re just a little behind the UK in terms of maturity there.

Are there any certifications or credentials my business needs to have across data management to build credibility?

Yes and no. Credentials wise, if you’re looking at doing large data management, then yes, you will need the credentials, and yes, you will need to pay for them, like ISO standards, which can get expensive. However, so long as you are meeting the specific criteria and rules, you don’t necessarily need the credentials to do things like data services, de-duplication, for example. So long as you have robust data transfer protocols in place, you should meet the basic requirements to securely send and receive customer data with your clients.

Gordon LochManaging Director LIST FACTORY

Gordon holds extensive experience in direct marketing centres on data - prospect lists, data cooperatives, real time verification, segmentation and data analytics products.

Building from this expertise, Gordon created List Factory in 2006 and since then, the company has grown into the largest and most comprehensive data cooperative provider for the Australian market.

PARTNERS

data, it matters

Documents