DATABASE MARKETING STRATEGIES II

Prepared by

Shumpei Ogata

Lynn Raposo

Turgut Tezir

Da Shang

Presented toSanto Ligotti

August 8, 2006

On-line Computer Retailer

Today’s Outline

• Project Overview

• Creative Mock-up

• Target Audience

• Campaign Details

• Financial Analysis

• Recommendations

Project Overview

• Objectives To acquire 500 new customers To generate sales revenue of $500,000

• Media ChannelsDirect MailEmail

Primary Target

Business professionals from 25 to 40 years old who: • Use computers at work and home• Are techy• Always search for good deals• Buy products on line such as Amazon.com• Earn around $25,000 – 45,000.• Live in the city and have busy lives

Secondary Target

College or university students from 18 to 30 years old who:

• Use desk top computers at home or a library

• Have part time jobs and/or receive money from their parents

• Need laptops to study and enjoy on-line entertainment everywhere

• Are interested in the latest technologies

Key Messages

• Lower price

• Return policy

• Easy online ordering system

• Secure web site

• Customer privacy

• Excellent Customer service

• Special Offers

The Offers

• Free shipment– For those who order laptops that cost

$1,000 or more

• 10% discount for laptop accessories– for those who order any laptop

Save Money, “Tiger Direct web site offers high quality product with cheaper price”

Positioning Statement

Call – To - Action

• Purchase a laptop on TigerDirect.ca

– Input the offer number in a registration form

– Qualified for free shipment and/or a discount

Campaign Process

• Acquire 45,000 of customer list– Transcontinental Consumer Behaviour

Database

• Test the effectiveness of the campaign

• Send 20,000 direct mails and 25,000 emails

• Analyze, evaluate and control

Schedule and Timing

Test Promotion

Aug 14Aug 14 Sep 29

Sep 30 Oct 06

Oct 09Oct 09Nov 17

Nov 17Nov 30

TestDirect mail and e-mail to test

X

Respond date X X

Evaluation of Strategies X

PromotionDirect mail and e-mail to all

X

Respond Date X X

Evaluation Strategy and RFM X

Testing

• 2,000 for target direct mail group

• 2,000 for target email group

• 2,000 for the control group

Method: Systematic Random Sampling

Financial Analysis

Recommendation

• Create new pages for this campaign

• Create a new registration form

• Obtain customer list from third party company

• Create new French pages

• Reorganize directory structure of the web page

Thank You