Cross-media strategies. Gotta have 'em.

By Margie Church, Copywriter/Editor

Many times I've studied my marketing budget and compared it to my sales objectives. And groaned. How could I possibly achieve the aggressive sales goals with this tiny budget? I might take a five-minute trip to La-La Land where management would agree to a lower forecast, but reality awaited my return. Whether our budgets are tight or not, we all must be good stewards of the amount we're given. Creative, careful selection of the right cross-media tools is the only way to make the most of the budget and achieve objectives

Start Right: Data Modeling

Data modeling is the difference between buckshot and arrows. Using data modeling helps ensure the recipient is highly qualified and/or highly likely to respond the way you want. Append MCIF or Data Systems information to qualify recipients and you'll produce fewer pieces, and of those, fewer will be wasted efforts. This saves money and improves your ROI.

Give a Campaign Depth

Once you've paid for your design concept and copywriting for your primary piece, it's very inexpensive to resize logos, layouts, and shorten copy. The graphic and headline can easily be turned into all kinds of print and electronic banners. A letter can be remodeled into highlights for an ad, statement stuffer, or email for follow-up. Tweet about your newest campaign.  Put a link on your Facebook page, blog about it, and don't forget your newsletter.

Switching Things Up or Same 'Ol, Same 'Ol?

As a marketer, we sometimes do things the same way because it's a habit. When our jobs are busy, it's fast. We understand how to do the work. But putting ourselves in the members' shoes makes us look at their needs and reminds us we want to keep members for life. We must try to keep up with these communications trends and find ways to use them to appeal to our current customers and the ones we're trying to acquire.

Communications tools are changing. FAST.  Email campaigns remain highly effective. PURLs (personalized URLs) and GURLs (generalized URLs) for instant responses are very convenient. QR (quick response) Codes are the newest way to marry print and electronic communications. (If you need more information about what QR Codes are, click here.) 

Some credit unions say their members don't like email marketing, or electronic response tools. If that's true, then why is mobile banking gaining such momentum and acceptance?  In 2010, approximately 17.8 million customers used mobile banking, according to data from TowerGroup, a financial services research firm. That figure is expected to jump to 27.4 million customers in 2011. By 2013, it's predicted that 53.1 million consumers will adopt mobile banking. 

Startling isn't it? What's driving the high adoption rate? According to TowerGroup, it can be attributed to:

1. High smartphone penetration (wireless subscribers represent a mobile phone penetration of 90 percent of adults age 20 or older). It's not only the young crowd with these tools in their hands. It's also your core market, your most profitable segment.
   
   Consider that in the second quarter of 2010, smartphones represented 61.6 million (19%) of the 325.6 million mobile phones sold. This represents a sales increase of over 50% on the same time period in 2009. In addition, the Coda Research Consultancy predicts global smartphone sales of some 2.5 billion over the 2010-2015 period. This also suggests mobile Internet use via smartphones will increase 50 fold by the end of that same period.

2. Changing banking preferences. ATMs and online banking are popular self-service models of banking. Mobile banking goes even further to provide access anytime, anywhere. Do you know any credit union members who don't appreciate convenience services?
   
   
3. Faster networks, improved operating systems, and better interfaces add to the appeal of mobile banking services. Communications providers bombard consumers with the allure of high speed and reliable, time-saving connectivity. And it's cool. Judging by the number of smartphone sales and the ever-increasing speed of Internet connections, these providers are winning.

Repeated, Consistent Exposures are Crucial

Depending on which media you choose and your frequency, you might achieve awareness of your message in five to seven exposures. People might take action after 11 exposures. A combination of scheduling and media plays on the channel strengths, impacts your audience more effectively, and brings the highest response.

Confused? Let's say you sent a letter offering a fantastic auto loan rate. On the way through town, the member saw a billboard ad with the low rate. The next day, your CU's scrolling banner touted it again. A few days later, they received an email with the same fantastic offer.  In this scenario, you've achieved multiple impressions in different channels. This is likely to be more memorable than if the member had simply gotten three letters/postcards from you over the course of a few weeks or heard the same three radio commercials during the week.

Your budgets may be tight, but by slicing and dicing the delivery tools, you can make your campaign look bigger and you are likely to deliver a better ROI to your Board. Cross-media marketing is the way to go.

Think about it and then talk to us. We understand cross-media marketing and can help you with budget-friendly solutions.

QR Codes: The Next Best Thing

By Margie Church, Copywriter/Editor 
  

QR (quick response) Codes are the best thing that has happened to print in a long while. While the world embraced the immediacy of smart technology, in some cases, print advertising became less popular. However, QR codes are a new way to re-strengthen the link between electronic and print marketing communications. 

So what are QR codes?

They consist of modules arranged in a square pattern. Often the modules are black on a white background, but there are other options. The squiggly-looking box can even contain embedded images to reinforce your credit union brand. They act as a specific matrix barcode (two-dimensional code) and are readable by a dedicated QR barcode reader in a smartphone.  Generating the code is free and takes seconds. It never expires. 

The bottom line is a QR code is an information freeway.

With a click of a smartphone camera, a URL or text opens, packed with your message, formatted especially for mobile viewing. They provide convenient links to electronic tools your credit union already uses, such as PURLs (personalized URLs) or GURLs (general URLs). The link could open an application, coupon, prize, contest, video, newsletter or your credit union's home page. Your CU could create an entire campaign around QR Codes like a scavenger hunt. Wouldn't that make members get involved and position your CU as very cool? What an idea for new member onboarding! Plus, it's extremely affordable to add this component to a campaign and you'll be thinking it's a no-brainer once you have the details. 

Consider this: In the second quarter of 2010, smartphones represented 61.6 million (19%) of the 325.6 million mobile phones sold. This represents a sales increase of over 50% on the same time period in 2009. In addition, the Coda Research Consultancy predicts global smartphone sales of some 2.5 billion over the 2010-2015 period and also suggests mobile Internet use via smartphones will increase 50 fold by the end of that period.

Your credit union leadership might say its membership isn't that tech savvy. That may be true, but statistics such as these, and the explosion of social media use by businesses, including credit unions, tells us QR Codes is just one more powerful tool CUs need to put in their playbook now. 

Still need more convincing?

Global intelligence leader, the Nielson Company, says 25 to 54 year-olds comprise 70 percent of smartphone users. There are lots and lots of decision makers in that age range who have stable jobs and have put down community roots. In other words, they fit the profile of your credit union. Using QR Codes is one more easy way to reach them and help keep them as members.

Now get out there.

Print the QR Code on whatever you want, and take members to your destination of choice. Brochures, fliers, statement stuffers, posters, envelopes, newsletters, business cards, billboards, and banners are easy targets. Companies are silk screening codes on clothing and hats, stitching them into stadium blankets and scarves. Use the codes to subscribe to your newsletter and get a double-whammy – your e-mail list can also grow. Silkscreen it on your building. People can photograph the code while passing by and learn what you want them to know.

You can change the landing page or text message any time you wish without revising the code. Kind of exciting, isn't it? Kind of makes you anxious to smell ink again.

Our name, Pinpoint Direct Marketing, has never been more spot on. We're using QR codes for our own branding campaign and for our clients. Are you?

It's Time for a Better Auto Loan Strategy

 We're your pit crew for auto loan growth.

Automotive manufacturers have been advertising heavily since November. It's time to capitalize on this momentum and put your auto loan portfolio in overdrive.

How?

By appending your MCIF or DP information with other sources, such as NADA data, we'll develop a highly relevant, personal offer for members. We'll also position an offer to prospects for a well-rounded, irresistible campaign that brings in loans for purchases and refinancing.

Springtime is primetime for auto loan campaigns. Auto manufacturers are pouring on the ads. Sales are up, rates are down. Don't miss out. Click here to get started.

And after you've finished with making one of the smartest decisions of the first quarter, have a little fun with us, too. Here's one of our favorite Super Bowl commercials. And here's another. Enjoy!

Drivers, start your engines.

By Margie Church, Copywriter/Editor

Is it time to test the water with a new car loan promotion? Possibly. Is it time for spring auto loan campaigns? Absolutely.

In January, Americans showed higher than anticipated confidence than the economy, though it's far from being pronounced "healthy." Plus, the average auto loan for new car purchases carried an interest rate of 4.16% in December. This was the lowest level since the automotive research site, Edmunds.com, began tracking data in 2002. Granted, luxury car sales dominated the market and the most qualified buyers got the lowest interest rates. However, deep incentives likely contributed to strong auto sales at the end of the year. Industry wide, U.S. auto sales rose 11% in December, capping the best quarter since the third quarter of 2008, according to sales tracker, Autodata.

Push this a little further, and consider that automotive manufacturers around the world, are throwing record levels of money against the Super Bowl. As many as nine of them are giving the traditional top ad spenders a real run for their money. GM is reappearing after a two-year absence. Hyundai and Kia are in the lineup. BMW slides in cue for the first time in a decade, while Mercedes-Benz makes its debut. In other words, positive things are happening in the automotive world and a renewed commitment to advertising in general signals optimism about our economy.

Even if your service area still seems a bit too wobbly to put strong effort against new car loans, what's to say an auto loan campaign isn't right for your CU? Why not ride the coattails of post-holiday and Super Bowl awareness, and blast out a great campaign that shows off your fantastic auto loan rates and terms? April is a traditional time for CUs to do this anyway. With the manufacturers already pumping up enthusiasm for a new car purchase, your credit union can benefit. Lots of times "new to you" is just as wonderful as brand new. And there's always that "new car scent" air freshener available if car buyers need a mental boost. Tell members and prospects to refinance to your credit union and save money. All good strategies.

We're creating auto loan campaigns all over the U.S. What's going on in your CU's service area? Can we help you formulate a great auto campaign? Tell me about it.

Pinpoint Direct Marketing: Grabbing Prime Targets

Pinpoint Direct Marketing: Grabbing Prime Targets: "By Margie Church, Copywriter/Editor Cost efficient, profitable marketing begins with understanding who your core customers are. That shou..."

Grabbing Prime Targets

By Margie Church, Copywriter/Editor

Cost efficient, profitable marketing begins with understanding who your core customers are. That shouldn't be surprising news, but sometimes when things aren't working the way we expect, or the market feels more volatile, we need to reflect. Especially at the start of a new year, a fresh reminder provides an opportunity to check your thinking before too much time, money, and effort are spent on marketing that may deliver less than stellar results.

Reading your original charter should provide good information about your core customers. We all know that over time, credit unions, like the members they serve, change.  Unforeseen growth opportunities arise. These issues can distract from your purpose, and cause frustration and wasted marketing expense. Using data modeling is the efficient way to refocus.

Honing in with Data Modeling

Every now and then, we'll ask a client to define their core market and they can't do it. You may be surprised to learn many businesses never take the time or make the investment to succinctly define their most profitable customer. Having this information helps ensure you're protecting your core, and spending appropriately for future growth.

Marketing Customer Information File (MCIF) data is a fantastic tool that many credit unions use. If your CU is one of them, we applaud you. By appending MCIF data, you'll get a very robust description of your optimal member. To get there, choose a combination of markers such as: 

• Credit score
• Number of years of membership
• Products currently used
• Products/services previously used
• Months before loan is satisfied
• Deposits/investments
• Proximity to branch
• Property taxes
• Age
• Gender
• Marital status
• Homeownership status
• Profession
• Income

Your Data Processing (DP) system can also provide some reliable insights to who your best customers are. If you're using only your DP system, we recommend making a firm commitment to mine this information for common traits among your members and organize the information for direct marketing.

Once you have a clear definition of your most profitable customer, you can design communications that appeal specifically to their needs. We believe that relevant, personal, and timely communications will boost your success every day of the week. The recipient won't feel they're receiving junk mail or that you're out of touch with what's going on in their lives.  You'll have greater confidence and gain credibility that the marketing you do will be more successful than a program based on assumptions that may be outdated or off base.

Three Components of a Target Market

1.       Your core or primary market already has a strong affinity to your credit union's services. Consequently, appealing to them is the least expensive, easiest, and most profitable.  By gleaning key attributes of this group, you'll be able to tell whether a second mortgage, or a second home could be in their sights. Are they trading in the sports car for a family vehicle or downsizing completely? You'll know whether they are approaching their peak of profitability with your CU, or moving out of it. You've got the information needed to provide timely, relevant, and personal communications to retain their membership and business.

2.       The secondary target has many of the traits of the core target. These secondary members may be younger, single, and on the leading edge of financial stability and need. In time, and with focused effort, these people can mature into the profile of a core member. By staying true to your data-driven efforts, you'll know when they move into that sweet spot of profitability. Formulate an acquisition strategy promoting products and services they've never tried.

3.       The tertiary target matches the fewest markers in your primary or secondary membership profile. Pursuing them isn't a complete shot in the dark, but this reactionary segment is easily the most expensive to reach and the hardest to hold on to. They may join through persuasive advertising, including word of mouth (testimonials), and enticing offers. They're likely to take advantage of an offer only if you happen to get their attention at the precise moment they need it. They may be shopping for the best deal on a vehicle purchase, or become fed up with their current financial service provider. Your goal is to create awareness, so your CU's name floats to top-of-mind at the magical moment. 

A prospecting strategy is needed in the open market to attract those who might be well-served by your current offer. By keeping in regular contact with those who snap them up, you can urge these people into the secondary group. It'll take time. How successfully you communicate with them during the first six months of membership is likely to determine whether you've got a member for life, or a dormant account waiting to happen.

Pinpoint Direct Marketing believes highest success is achieved when retention, acquisition, and prospect offers are present in every campaign.  If you've been investing money and effort in marketing, with poor returns, I challenge you to examine who you're marketing to and why.

We'd enjoy hearing whether you use data in your marketing efforts and how it's affected your marketing results. What do you recommend?

Colorful Impact

A product has one-twentieth of a second to halt the customer’s attention on a shelf or display.¹ That’s a blink of an eye. Research conducted by the secretariat of the Seoul International Color Expo in 2004, documented that 96.6 percent of respondents said visual factors were most important when deciding whether to purchase. Color evokes action.

Colorful Consistency

We’re big fans of consistency. In fact, we urge you to resist trendy fonts, colors, and layouts for your advertising materials. Think about the big brand names in the marketplace. You recognize their logos and advertising styles because they’re consistent. The company may change design elements—photos, banners, call-outs, etc., but their overall color scheme, layout, logo placement, font selection, and slogans—their brand identity—remains unchanged. A University of Loyola, Maryland, study determined that color increases brand recognition by up to 80 percent. Color is powerful.

 

As employees, we get bored with what we think is “same old, same old” long before the member does. The threshold to memory is three views of printed material. If you’re communicating with your members on a monthly basis or even less frequently, it takes even longer for them to recognize the communication comes from My Credit Union. Dramatically changing colors and layouts destroys any brand equity you’ve built in terms of audience recognition. Essentially, you’re starting over. In a competitive marketplace, that’s a serious consideration. Color is memorable.

Colorful Conclusions

When you spread out your recent advertising materials on your desk and they don’t look like they all came from the same company, it’s time to talk to us. We can evaluate the strengths and weaknesses of your current designs and recommend changes. We’ll create layouts that are flexible enough to accommodate changing messages but build brand identity for you. Doing this also takes the guesswork and cost out of your production process. If color can increase readership by 40 percent, and you bolster that with a consistent layout and branding scheme, you’re on your way to building a powerful, memorable market identity. Color has impact.

1. Color Matters, Jill Morton, 2005.