Direct Marketing Initiative Denver Newspaper Agency

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Direct Marketing InitiativeDenver Newspaper
Agency
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Plan of Action

• Objective
• Increase Printing and Distribution by 5.5
  million
• To achieve this objective one of our action plans
  is to offer Direct Marketing at the DNA. This
  will enable the DNA to
• Offer strategic solutions to help our advertisers
  increase sales and be more competitive
• Take control of both newspaper and direct
  marketing budgets for our advertisers
• Partner with advertisers to build lasting
  relationships

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2002 Projected Denver Ad Spending
246 million was spent on direct mail in
Denver in 2002 Besides TV, Direct
mail is ourlargest competitorfor
Denveradvertising dollars. 2002 TOTAL
1,882,793
Source 2002 Midyear Ad Audit AdSpend Report
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Target Categories
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Print and Distribution Product Portfolio

• Custom Publishing
• Selling, creating, and implementing promotional
  materials for all types of companies.
• Inserts
• To subscribers by zip code
• Post-It Notes
• Poly-bags
• TMC
• Inserted in newspaper to subscribers and mailed
  to non-subscribers at the zip code level.
• AND NOW..
• Solo Mail
• Household specific targeting by geographic or
  demographic targeting.

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DNA Direct Mail Advantages

• Existing relationships
• Advertisers already trust us with their
  advertising and we are their primary media
  relationship, so they are willing to trust us
  with additional channels.
• Dollar Volume Contracts
• Direct Marketing revenue is counted toward any
  Dollar Volume contract
• Postal Discounts
• Advertisers get the benefit of postal discounts
  because DNA capabilities enable the advertiser to
  receive the lowest USPS discounts.
• One stop shopping
• Advertisers advertising needs are accomplished
  with one rep and one bill

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DNA Direct Marketing Capabilities

• Database
• Market Analysis
• List Selection
• Data Processing
• Data Housing
• Production
• Creative
• Printing
• Mailing/Distribution Services
• Response Analysis

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Database Marketing or The List

• The mailing list is the foundation of a
  successful marketing campaign, accounting for 40
  of your advertisers success.
• Direct mail lists are compiled in hundreds of
  ways from numerous sources.
• We have two ways of procuring lists
• using our internal database, which includes
  100,000 of current, relevant information from
  numerous sources
• buying outside lists from a list broker

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The DNA Database

• Denver Post and Rocky Mountain News subscriber
  data
• Private party classified data
• Equifax demographics and lifestyles
• Axcioms PERSONICX clusters
• Claritas PRIZM codes
• Voter registration data
• New mover data
• Subscriber data Denver Post, Rocky Mountain
  News, NY Times, WSJ, Barrons, Investors Business
  Daily, Financial Times, USA Today
• Colorado DO-NOT-MAIL list

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Data Sources Equifax

• Equifax, a 103-year-old SP 500 company, is a
  leader in information technology.
• Equifax supplies us with demographic and
  lifestyle information for the state of Colorado.

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Available Demographic Data
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Available Lifestyle Data
Only 10 of Households
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Data Sources PRIZM

• Claritas founded the first geodemographic
  industry when it launched the first PRIZM
  segmentation system in 1974.
• PRIZM is the original and most widely used
  neighborhood target marketing system in the U.S.
• PRIZM codes are assigned at the ZIP4
  (block-face) level.
• Claritas taps into over 1,600 government and
  private sources to develop current year estimates
  and five year projections of hundreds of
  demographic variables.
• Claritas focuses on domains of affluence and
  settlement density to create its unique clusters.
• We own PRIZM codes for the entire state of
  Colorado

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PRIZM Clusters
Urban
Suburban
City
Town
Urban
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Data Sources PERSONICX

• ACXIOM Data Corporation is a world leader in
  customer and information management solutions,
  specializing in advanced data integration and
  tools for managing customer relationships.
• PERSONICX is a new tool in consumer segmentation
  that places each U.S. household into one of 70
  segments based on its specific consumer and
  demographic characteristics.
• PERSONICX data is applied at the individual
  household level, enabling greater precision in
  targeting and marketing.
• PERSONICX is driven by Acxioms InfoBase
  household data, known as the most accurate,
  current source of consumer data in the industry.
• PERSONICX is based on the concept that households
  share more consumer similarities if they share
  the same life stage and similar socio-economic
  characteristics.

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Business to Business DataDUN Bradstreet

• Dun and Bradstreet is a premier source of
  business data lists in the U.S.
• We have access to their U.S. database of
  businesses
• Lists can be selected by
• type of company
• number of employees
• revenue/sales
• location (ZIP, county, radius)
• year the business was started
• Information provided includes
• name and address of company
• key decision makers
• phone numbers
• latitude and longitude
• Price quotes available on request

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Database Marketing Services

• List Selection
• Your client can choose the list they want to
  deliver to based on the variety of data in our
  comprehensive, up-to-date database containing
  2.1million addresses in Colorado

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Database Marketing Services

• Market Analysis
• Customer database profiling
• Basic demographics
• Lifestyle codes
• Customized database development and management
• Development and housing of customer database

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Example of Customer Database Analysis
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Database Marketing Services

• Data Processing
• List hygiene and address standardization (CASS
  certification)
• Merge/purge of multiple lists

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Work Flow
Database Rep fills out list request. DB
determines quantity and pricingfor list.
Client Meeting Sales rep andDM rep and DB
person (if needed) meet with client to
determine goals and complete needs
questionnaire.
Proposal DM rep develops printproposal
Printing/Mailing DM rep gets bids frommail
houses/printers
2nd Client Meeting Rep presents proposal and
gets written approval.
Database Advertiser provides list. DB generates
list, analyzes andexports customer database.
Mail House Printing Assembling Addressing Mail
Preparation Postage
CreativeRep works with client to identify
offer. Creative dept creates artor it is
outsourced.
Production Rep completes productionorder and
confirmation
Billing
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Training

• All PD AEs will attend Direct marketing Basic
  Training, Postal Forums and tours of all
  cooperative facilities and departments, including
  database, creative houses, print shops and mail
  houses and the post office.
• Training Curriculum will include
• Direct marketing overview manual
• DNA benefits and advantages
• Developing a DM proposal
• Database - Available data Department process
• Printing - soliciting print bids
• Mailing options
• Post office
• Margin Worksheet
• Billing procedures

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Initial Projects

• Coldwell Banker Premier Properties Magazine
• John Atencio Jewelers
• Automotive Avenues Profile
• National Jewish

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John Atencio Jewelers

• Target Prospective customers for expensive,
  custom jewelry
• They supplied us with a list of 35,000
• We profiled their customers using PRIZM codes and
  then identified 15,000 additional for them with
  similar characteristics
• Lessons learned Pricing was revised from a flat
  fee based on their input. Also acquired Colo.
  Do-not-mail list after this mailing due to
  complaints they received.

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Coldwell Banker

• Target 15,000 prospective buyers of million
  dollar homes
• They were to supply realtor lists and we were
  going to add to it
• The SEQ( ( NO ( COLDWELL.ID gt 0 ) ) OR ( ANY (
  PERSONICX.CLUSTER IN ( "01" , "03" , "02" ) ) AND
  ANY ( ADDRESS_MASTER.PRIZM_ZIP4 IN ( "01" , "02"
  , "06" ) ) AND ANY ( DEMO.INCOME_PREDICTOR IN (
  "9" , "a" ) ) ) OR ( ANY ( ADDRESS_MASTER.PRIZM_ZI
  P4 "14" ) AND ANY ( ADDRESS_MASTER.COUNTY_CODE
  "069" AND ADDRESS_MASTER.STATE_CODE "08" ) )
  AND NO ( DONOTMAIL.ID gt 0 FALSE ) )
• Lessons learned Dont depend on realtors to
  supply you with their lists. Save your stuff and
  run your export as soon as possible. Keep notes.

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Automotive Avenues

• Hesitant to use us for direct mail, but
  interested in a profile
• Target Profiled their different credit union
  customers that flow into their database, so they
  could use different creative for each group
• Lessons learned Client loved the profile and is
  now considering us to do their printing and
  mailing. Good way to get our foot in the door.

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National Jewish Hospital

• Target People with asthma or other respiratory
  disorders for studies
• Had to go outside for the list
• Results Loved presentation, impressed with
  list. Recommending a direct mail buy to all
  departments.
• Lessons learned Clients often dont know how to
  obtain lists on their own.