Database marketing or database marketingDefine objectives
The first thing we need is to be clear about what we want to do.
If we think that buying a database is the solution to all our sales problems, we won't achieve much. What can help us is to think that we have to be more proactive , not just one day, or two, but always.
Customers are becoming more and more common, and you have to go out and find them and keep them. They no longer come and stay forever. If I want to be more proactive, I need to take actions that bulk sms service in sri lanka I didn't do before , I need to divert resources that I used to invest in other areas.
I have to establish a medium and long-term methodology. The results are not immediate. I have to make myself known, generate trust, establish a relationship and then the results will come. It is usual to need 12 months to start having results.
What resources am I going to dedicate?
When buying a database, we must first consider what resources we are going to dedicate to generating new clients. The database is just one more piece, but it needs other elements to make the investment profitable.
The most common is:
Mailing: Sending messages by postal mail to generate new interested parties and clients.
Telemarketing : Calling by phone to enrich the database and detect business opportunities
Sales meetings : Generate sales routes for selected prospects to visit
Email marketing: Call to create a database with emails, where you can later impact via email
Other options are: cross-referencing to enrich the internal information we have, selling by catalogue, telesales, inviting to an event, carrying out a market study…
If we evaluate the cost : We start by sending a letter, then we call by phone and the third is to send a person. Email is cheaper, but you need to obtain the Opt-in, or legal authorization, according to Spanish legislation (LSSI law 2005).
If we evaluate the quality of the impact , it is exactly the opposite. It is more pressure to receive a person, then a phone call, then a letter and finally sending an email. The key factors in deciding how much resources to dedicate are:
► the net income for each unit of product sold.
► the size of the potential market.
► the speed at which we want to conquer the market.
The smaller the market and the higher the net revenue of the product, the more profitable it is to use database marketing, because it allows us to focus and personalize commercial impacts.
The faster we want to grow, the more impacts we will need and the more market we will need to cover.
Less is more
If you have to find a diamond, what would you prefer? Dig up an entire mountain? Or buy a rough stone and polish it? Many people start by digging up mountains, until they realize that there are other ways.
When choosing a database, you have two types of providers: those that sell large volumes of addresses at a very low price or those that offer you customized segmentation.