Episode 77 - Direct Mail & Testing Strategies

Step-by-Step Tutorial: Direct Mail & Testing Strategies

Introduction:

1. Listen to the Magnetic Marketing podcast episode titled "Direct Mail & Testing Strategies" hosted by Dan Kennedy.

Understanding the Importance of Testing:

1. In direct mail marketing, testing different variables has always been crucial.
2. Variables to test include envelope size, color, teaser copy, headlines, images, and more.
3. Testing multiple variables simultaneously can lead to complex test matrices in direct mail.

Online Testing for Offline Results:

1. Online testing can significantly improve offline marketing results.
2. Online testing is quicker, cheaper, and easier compared to offline testing.
3. Utilize websites, SEO, and paid traffic for marketing purposes.
4. Refer to case studies like the one published by Wired Magazine for insights on AB testing.

Case Study Analysis:

1. Analyze the case study involving the Clinton Bush Haiti Relief Fund website.
2. Six AB tests were conducted to optimize the fundraising site's performance.
3. Variables tested included page layout, image placement, form design, font size, and button text.
4. Positive results ranged from 2% to 16% increase in donations, while negative tests showed reductions.
5. Implement successful AB test results to enhance site productivity.

List Segmentation Strategies:

1. Refer to Bob Stone's book "Successful Direct Marketing Methods" for foundational knowledge on list segmentation.
2. Understand key questions for list segmentation like customer behavior, purchase patterns, and retention strategies.
3. Segment lists based on criteria such as mode of payment, geography, product type, and frequency of purchase.
4. Tailor marketing strategies based on segmented lists for more effective communication.

Premium Offer Testing:

1. Test different premium offers to determine the most effective incentive for your target audience.
2. Premium offers can range from informational bonuses to tangible products.
3. Conduct AB tests to identify the premium offer that resonates best with your audience.

Tracking and Data Analysis:

1. Track customer value over time rather than just focusing on initial transaction data.
2. Analyze total customer value over months or years to understand the long-term effectiveness of marketing strategies.
3. Avoid the mistake of only tracking initial transaction data, as long-term customer value is crucial for decision-making.

Conclusion:

1. Emphasize the importance of continuous testing and data analysis in direct marketing.
2. Implement AB testing for various variables such as messaging, premiums, and customer segmentation.
3. Utilize online testing to optimize both online and offline marketing strategies.
4. Stay informed about industry best practices and case studies for valuable insights.

Additional Resources:

1. Explore more direct marketing strategies in Dan Kennedy's resources and newsletters.
2. Visit nobsletter.com to access free resources and subscriptions for further learning.

By following these steps and implementing the strategies discussed in the podcast, you can enhance your direct marketing efforts and achieve better results in both online and offline campaigns.