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Archive for October, 2009
How Brands Can “Walk the Talk”

Today’s post was written by Sarah Sturtevant and was originally published on her blog, Marketing Masala. It is reprinted here with permission.  Enjoy!

This is the second of my two-part series (the first is available here) highlighting the social media insights of Joakim Vars Nilsen, Creative Advisor at MediaFront, in Oslo, Norway. In his presentation below he shares how companies can be more effectively engaged with their customers 365 days a year by building their “social capital”, and ultimately, their revenues.

We are all customers. Whether you purchase consumer goods for yourself or B2B products for your company, what if every brand you interacted with as a customer tried to “engage you in conversation on Twitter, Facebook” or other social media sites?

Joakim Vars Nilsen’s poses this question in his “Walk the Talk” presentation before elaborating on why and how effective brand marketing has shifted beyond building “passive awareness”. That traditional passive awareness strategy typically involved flogging the same marketing message to customers a few times a year.

Companies, he suggests, would be better served if they combined traditional marketing methods with popular social marketing channels in order to create more valuable connections with their prospective customers 365 days a year.

The key for companies is to avoid using social media exclusively as just another platform to sell their products or self-promote. Joakim says that companies that use social media effectively and succeed in building a loyal following, contribute regularly to online conversations by sharing ideas about how customers can get more out of the products and services they own.

“It’s not what the product does that matters most to us, it is how we socialize around it that matters,” he says.

So brands need to create, find and actively participate in trusted online communities with “values that your brand/product/service generally shares.” Read more

BMW Tests Personalized Gift Card Program

responsemaglogoImage

Response Magazine  I  Jacqueline Renfrow  I  October 1, 2009

Scott Couvillon is CMO of Dukky, a comprehensive direct mail platform that makes coupons, gift cards and other DR programs more valuable through personalization.  The idea behind the platform is that a brand can send a consumer, by mail, a personalized gift card — complete with the consumer’s name — that can be tracked from when the consumer gets it in the mail throughout the purchasing process.

Each card comes with a personalized URL, and when a consumer logs into a personal Dukky page, he or she can drag and drop in offers that are of interest.  The gift cards are more targeted and more personalized to to a consumer, making a customer more likely to redeem an offer, which can be pre-loaded onto the gift card online.

From a marketer’s standpoint, a gift card bearing a consumer’s name has a higher chance of getting a second look, and the ability of a consumer to personalize it later also increases ROI.A long the way, every question asked by a brand and answered by the consumer, and every product offer clicked-on by the customer, is recorded and serves as important data for future marketing campaigns.

Recently, Dukky partnered with BMW for a campaign to get consumers to test drive a BMW.

“[BMW] wanted to do the campaign for people driving other luxury makes,” says Couvillon, “But they didn’t want to tarnish the image of BMW.”  The offer, which came from a Dukky, included a $25 American Express gas card if the consumer went to a local dealership to test drive a BMW.  Couvillon sees this as a much more valuable way to gauge interest than a print ad or in a magazine or someone asking questions on a dealership lot.  The platform is a way to build a relationship with consumers and exchange value.

“Here is a gas card and an excuse to come in and test drive a BMW,” says Couvillon.  “What they’re essentially buying is, say, an Audi driver’s attention and feedback.  What BMW will know is who would consider buying a BMW.”

“Paranormal Activity” and the Power of Social Media

Unless you’ve been living under a rock with no access to the Internet for the past couple of weeks, you’re probably aware of the new horror movie “Paranormal Activity.” Like the “Blair Witch Project” 2.0, the low-budget horror movie made a big splash with an innovative marketing campaign that quickly went viral.

Made for only $11,000, the movie has already become highly profitable for Paramount, topping the box office and making $22 million last weekend alone.

How did they do it, and what can we learn from “Paranormal Activity’s” marketing strategy?

Lesson #1: Customers Like to Be Empowered

To promote the movie, Paramount set up a page on Eventful, a site that allows fans to request entertainment events in their cities. Through Eventful, users could demand that the movie be shown near them. Paramount promised that the first city to get enough demands would be the first city to get a midnight screening of the movie. Then, they promised that if the movie got 1 million demands, it would be released nationwide. After Paramount made that promise, the movie hit the 1 million demand mark in just 4 days.

People like to feel empowered-it inspires passion and makes them want to take action. The Paranormal Activity campaign tapped into that passion to turn horror movie fans into powerful advocates.

Lesson #2: Make it Easy for Your Customers to Spread the Word With Social Media

Paramount also made it easy for fans to use social media tools to promote the movie. Both the Eventful page and the official website have “Share” buttons to allow fans to share the movie with friends on the major social networking sites, plus codes for widgets that fans can install on websites and blogs. They also encouraged fans to tweet about the movie live and to share their reactions with @TweetYourScream. “Paranormal Activity” is currently a trending topic on Twitter.

Lesson #3: Social Media is Not Just About Marketing

It’s also about market research, as Sarah Hofstetter of digital communications agency 360i noted in this article on the AdvertisingAge website: “Using social media as a marketing vehicle as well as a market-research vehicle is a major advantage. Not only do they know who’s interested in it from a geographic perspective, they can quantify the demand from a buzz perspective.”

How does this apply to what we do here at Dukky? At Dukky, we use traditional direct response, like direct mail, email and customer correspondence, as a jumping off point for social media-based sharing campaigns. We empower customers to share coupons and offers via social networking sites. Then, we use our analytics system to track the coupons and see who is responding, allowing our clients to create more targeted and effective future campaigns while drastically improving the performance of the current one.

How is your company using social media to connect customers?

75% of US Marketers Plan to Increase Social Media Spending in 2010

According to a recent survey, the realm of social media may play a key role in new customer acquisition. Good thing Dukky allows a seamless integration of social media into traditional marketing efforts.

Social media big winner in marketing mix

Marketers’ top priorities for 2010 will be customer acquisition and retention, followed by thought leadership, according to a survey by virtual events provider Unisfair.

Six in 10 marketers polled said acquiring new customers would be critical in 2010, while 48% would focus on retaining current customers—a particularly important effort in the recession.

Read more

Case Study: Cafe Express

CafeExpress Mail PieceObjective

Café Express, a Houston and Dallas based restaurant chain, recently expanded their menu to include pick-up and go breakfast items that are prepared using fresh ingredients.   Although the company already had a loyal following for their lunch and dinner menu, Café Express asked Dukky to help expand awareness of their AM Express breakfast offerings, particularly in Dallas where the company’s market share was not as strong.

Solution

To attract new customers, drive in-store visits and elicit brand feedback, Café Express was willing to offer 20K free breakfasts.   With Dukky, the offers were mailed in the form of a personalized gift card in the recipients’ name, which could be activated online through a personal activation site branded Café Express.  The activation site fed a real-time performance dashboard.

Results

Three weeks after the promotion launched, Café Express enjoyed 3,951 responses (17%) to their offer.   Using actual dashboard snapshots below, see the initial insights gleaned from the promotion:

Read more