Even Smaller Retailers Can Take Advantage of Database Marketing

You don't have to have a huge database and a big budget for your customer data to bring you more business. We know this is true, because we helped a small local construction company achieve it.

The construction company and its affiliated companies had been providing remodeling to homeowners in the Detroit area for dozens of years. They had built up a database of customers from their related remodeling finance and mortgage businesses.But didn't have the tools and knowledge to put that data to good use. 

Because their marketing budget and their database were relatively small, we suggested that Yaffe provide the planning, creative and database services necessary, but have the company implement the plan internally. 

Our first step was to review the electronic and card file databases to determine what information was available and could drive the marketing efforts. The second step was to formulate a communications plan, which was driven by the data available. The third step was to understand how the attitudes, beliefs and values of their customers aligned with the attributes, benefits and values of their brand. We also looked at what their competitors were communicating to the market. Out of ths we developed the brand position and creative messages. Then, we ran the existing data through and address update and segmented it into marketable prospects, using our proprietary algorithm. 

We looked at the client's goals for each of their three customer bases; to sell more remodeling work, mortgages and refinancing to their construction customers; sell lower cost mortgages to their mortgage customers; sell lower payments and consolidating bills into a new first mortgage to their finance company customers.

Combining these goals with input from our data analysis, we were able to put together a direct marketing plan. We then provided them with copy templates for letters, layouts and copy for self-mailers and talking points for telemarketing. 

Using the strategies, data and creative materials Yaffe provided, the construction company was able to execute the direct marketing themselves, which saved them money. In this manner, they were able to take a small budget and small database and create the kind of sales increases that met or exceeded their goals.

So, if you're a smaller regional retailer, don't think you can't use the data available to you effectively. It's just a matter of getting the right tools and expert advice to use what you have available to you.

Mike McClure, Getting Creative With Budgets & Data

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