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Direct MailMarketing

List profiling: who are your customers and where are your prospects?

What do your best customers look like?

I am often amazed to find that many marketers actually know very little about their clients or that the information that they do have is inaccurate.

In today’s world, it is not uncommon for marketers to observe falling responses, increasing customer acquisition costs, customer relationship attrition, and a decrease in the number of purchases made by each customer.

Because of this, there is more motivation to find new ways to make their marketing campaign effective. A successful campaign begins with intelligent profiling, so that you can identify your customer and prospects – with actual information.

Like it or not, we live in a world of big data. It is not a secret that data is being collected on activities and buying habits of individuals and households from many different sources. Rewards cards activities, social media engagement, and magazine subscriptions are just a few examples of data that feed into an intelligent profiling algorithm.

An intelligent list profile is nothing more than a process that seeks to improve results by analyzing current and past activities and behaviors. The goal is to analyze which of your customers respond the most and to find prospects that share the same interests.

First, customer data is evaluated to see if there are statistically significant differences between groups of people, such as responders and non-responders. A profile report details exactly what your best customers look like by providing details about the customer’s demographics and psychographics.

Second, this same data is assessed to see if a pattern exists and if it is likely to repeat itself. Utilizing the demographic and psychographic insights from a list profile allows marketers to craft their marketing messages with a higher degree of accuracy once they know exactly what their customers look like and what marketing mediums are important to implement.

Finally, an intelligent profile helps find best prospects by identifying demographic trends considered to be statistically significant. The end result is a list of prospects that look identical to your best customers and that also have the greatest probability of purchasing your products or services.

When your marketing campaign requirements dictate a deeper level of behavioral understanding and prediction, it is critical to have the analytical knowledge in advance of plotting your marketing course. With today’s powerful direct mail list profiling systems, marketers have a top-notch tool to gain a deeper understanding of their current clients and the best way of capturing look-a-like prospects.

By: Chase Kirkwood, President