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Private and Confidential
Digital Printing Opportunities for Direct MarketingMartin Barrett 22nd February 2006
Digital Printing opportunities for Direct Marketing
• Introductions• Market Overview• Analogue versus Digital printing• Data Considerations• Opportunities for One to One communication
• Case studies
Introductions
Introduction to Ogilvy
• Ogilvy an agency group of 442 offices in 106 countries with over 10,000 people working on some of the worlds best know brands.
• Based in London’s Canary Wharf, OgilvyOne UK has a staff of approximately 180 people whose skill sets include strategic consultancy, traditional DM, direct response TV / radio and interactive marketing across multiple channels including web, email, SMS and PDA.
Introduction to Martin Barrett
• Martin has 25 years experience covering all aspects of International Direct Marketing Operations. From early roles in print production companies to Head of Production at Blaze B2B producing DECdirect catalogues across EMEA, on to Advertising Operations Director - Europe for Franklin Mint, where he was responsible for media and direct mail purchasing and production.
• In early 2000 Martin joined OgilvyOne London as Project Director working on major campaigns for clients including BBC TV Licensing, BT, Amex and currently on global campaigns for SAP and DHL.
Market Overview
Overview
• Today’s technology allows us communication with prospects on a 1to1 basis.
• Communication pieces are not based on a blanket method - they are based on an intelligent dialogue/relationship.
• People are more aware of DM practices.• It’s not enough to have the ‘shiniest envelope’• In the wired world, it’s about the right time, right place, right
message - ignorance is no excuse.• With a communications strategy - it’s about understanding the
customer and their profile.
Suspects Prospects Customers Retention Service
Advertising Market Share
• For the first half of 2005: – TV: 23.6%– Press display: 21.7%– Press-classified: 19.5%– Direct mail: 13.5%– Directories: 6.5%– Internet: 5.8%– Outdoor: 5.1%– Radio: 3.6%– Cinema: 0.8%
Source: Internet statistics compendium 2005
Direct Mail – Key Statistics
• 5,418 million items were mailed in 2004 (-0.4% on 2003) • These were split between 78% (4,221 million items) consumer
mailings and 22% (1,197 million items) business mailings• The overall volume of Direct Mail has increased by 87% in the
last 10 years • £2,468.63 million was spent on Direct Mail advertising in 2004 • Direct Mail expenditure has increased by 118% in the last 10
years • In 2004 Direct Mail expenditure was split between postage
£1,021.21 million and production £1,446.79 million • It is estimated that consumer Direct Mail generates over £27
billion worth of business every year (+0.9% on the previous year)
• For every £1 spent £14 is generated Source: Direct Mail Information Service
Analogue versus Digital Printing
Analogue versus Digital Printing
Advantages – Digital• Minimal press set-up• Low waste and
environmental impact • Non-contact printing means
less image distortion• Each impression can be
unique• Allows a high level of
personalisation
Advantages – Analogue• Print many copies quickly
and inexpensively• Litho and gravure are
capable of very high resolution
• Screen printing can print opaque inks
• Established and stable technology
Data Considerations
With digital printing a high level of personalisation is now possible for Direct and transactional mail:
• Addressing• Salutations• Tailored content and messaging
Data Considerations
Data Considerations• To leverage the latest personalisation technology it
requires data to be clean and complete.Examples of potential issues are;– Fields not delimited correctly eg cannot tell where
a person’s account number starts and their date of birth ends
– Fields not being populated eg. personalising a birthday card ‘Happy Birthday Martin’ but data does not include forenames eg Mr Barrett
– Lack of rules as to what should be screened out from personalisation eg if the saving on a product is only £0.02 don’t declare it
Data Considerations – potential issues
– Incorrect calculations– Data in the wrong files-mailing the wrong message
to the wrong audiences– Data not being cleaned of goneaways– Data not being processed though name and
address hygiene to make it deliverable– Data not being put through sensitive/swear word
checking
Sample data - comma delimited
Sample data - Microsoft Excel
Opportunities for One to One communication
Single Customer View / Rules Engine
Single Customer
View/ Rules engine
Data Sources
CCCCallCentreSales Force
Web Site
1
234
Info Gatheringcampaigns
-Scheduled Campaigns-Tactical campaigns
•Responses•Sales etc
CHANNELS
COMMUNICATION ACTIVITIES
Format for channel
Format for channel
Format for channel
Format for channel
SingleCustomer
View
Apply Rules
Content•
3rd Party/partners
Receive Extracts• control• clean• merge etc….
Mail - personalised
CAMPAIGN
4 3 2 1
CRM Infrastructure Processes
Create Rules
Ogilvy
Campaign Plan
ContactFormat for channel
e-mail - personalised
CAMPAIGN
Web eCRM - personalised
CAMPAIGN
Call centre
CAMPAIGN
Info gathering campaigns
Campaigns, Product Launches, maintenance info, etc Contact strategyBusiness rules
ProcessFiles
Channels
KEY
Client
Private and Confidential
Case StudyBT Business
Case study – BT Business
Business Plan Review Background• The Business Plan Review is a highly personalised document which goes
out to customers of Business Plan.• It allows customers to see their spending to date, their call volumes and
their saving under the Business Plan Scheme
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Case study – BT BusinessThe BT Business Plan Review• The review includes information on customer’s spend from the billing
system and presents it back in such a way that they can see the benefits of taking up a particular spend commitment plan
• This will include;– Confirmation of when they took up the plan– The actual telephone lines which are included as part of the plan– Their spend to date– Their saving in actual pounds and expressed as a percentage– Volume of calls via destination (local, national,mobile, international
etc)– Length of calls via destination (local, national,mobile, international
etc)– The latter two being expressed as pie charts– Each of the reviews are accompanied by a personalised letter
signed by the appropriate business manager
Case study – BT Business
Look-up table of up to 50 numbers
Variable plus specific rules calculation
Variable driven by data values, percentages calculated – shown as pie charts
Variable signatures
3 packages
Case study – BT Business
Tech Spec• Highly personalised to each and every customer.• 10,000 – 20,000 per month• Over 50 data fields per customer, driven from complex BT data• Hand matched and hand enclosed.
Private and Confidential
Case studySmithKline Beecham – Committed Quitters
The NiQuitinCQ Stop Smoking Plan
Enrolled onto programme
Week Ten Week Six Week Two
Day One Day Three Day Ten
ProgrammeContinuation Call
Diary Trifold One
CongratulationsLetter
Step DownBooklet Trifold Two
Call Centre and DP in Ireland
Production HubHolland & Ireland
Regional Solution 11 languages, 10 countries
In Summary
• One to One is part of our and our clients marketing and campaign mix
• Digital Print is central to this strategy• Differential approach• Faster, more effective marketing messages
