Sunday, October 18, 2009

Maximizing the Return on Investment

In the second part of our conversation with Point-To-Point Marketing’s Tim Bronsil and Rob Klemm, Inside Radio’s BLUE PAGE delves into specific results from recent direct-marketing programs. What works? Why? We also ask PTP to compare the returns to other forms of marketing.

“Let’s get into specifics. What is a success story that you can share?”

Tim Bronsil: Obviously marketing is one part of the success. It’s not the only part. That being said, a client of ours (a heritage AC in a large PPM market) found themselves with a direct competitor out of the blue. Over the course of the first three weeks of the competitor’s existence, our client lost 35% of their AQH with Adults 25-54. In week four, the marketing began.

The program was a combination of calls to AC-friendly businesses prioritized by Standard Industrial Codes influencing meter keepers at the time of decision, and postcards to the small sliver of the marketplace that is research-friendly. The relatively small investment helped propel the station back to their previous AQH level. The station has not faltered since. Point-To-Point has worked in every PPM market with success stories in almost every format. We’ve been fortunate to track what works and build upon that for our clients.

“Do you see more stations using at-work marketing?”

Rob Klemm: In the PPM world, we’ve seen AQH levels that are nearly twice as high for people who work full-time versus people who do not work. So, at-work marketing (and the ability to attract immediate listening or sampling) has become an increasing focus for many of our clients. Plus, the ability to target key businesses within a realistic budget makes perfect sense in today’s economic environment.

“When compared to other marketing, what’s the advantage you see for direct marketing?”

TB: It’s rare that a station has a meaningful TV budget these days, so that’s a moot point. Plus, that would be the last medium when such a very small portion of the population actually determines the ratings. We see many stations converting their dollars from billboards to direct marketing. With direct, we find the right homes and the messages are PPM friendly because they are ongoing.

With direct marketing, strategic & tactical adjustments can be made quickly. Messages may include PPM-friendly appointed listening techniques. Stations have the ability to set ongoing substantive barriers against competition and future rivals with the ongoing benefit to “date” the other station’s primary & secondary users. Billboards only reinforce the brand. In a diary world, reinforcement and awareness were all you needed for greater recall. In the PPM world, you must generate reasons to increase usage. Recall simply does not matter with PPM – it’s about usage.

RK: To that point, boards have relatively low Recall.Exposure can be very brief, minimizing message retention. Direct Mail generates high recall with those people interested in the message because they can spend time viewing the mailer. This grows the barriers Tim mentioned and ultimately increases recognition about station attractions so the station is able to take advantage of changes in the listening landscape as they happen. We know survey-friendly people are “information seekers,” and Direct Mail provides these people with the desired substance. Direct Mail allows more complete messages that include tried and true tactics compatible with PPM measurement. Tactics such as appointment listening techniques, relative advantage demonstration, and redirection to interactive media and clubs are easily executed with direct mail campaigns.






Tim Bronsil
Tim@ptpmarketing.com — 513-231-0344
Mark Heiden
Mark@ptpmarketing.com — 970-472-0131
Rob Klemm
Rob@ptpmarketing.com — 815-369-2121
Rick Torcasso
Rick@ptpmarketing.com — 972-661-1361
www.PTPMarketing.com


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