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White Paper
Contact Optimization for
Direct Marketers Brief
By Alterian in conjunction with the
Customer PartnershipWhite Paper
Contact Optimization for Direct Marketers Brief
Table of Contents
Page 1 Introduction
Page 1 What is contact optimization?
Page 4 A case study in contact optimization
Page 5 What is the impact of contact optimization on marketing business processes?
Page 6 How optimized plans can drive campaign management
Page 7 The dos and don'ts of making contact optimization succeed
Page 8 Measuring the impact of optimized contacts
Page 10 What are the technical dependencies of contact optimization?
Page 11 Appendix A: Self appraisal scorecard for introducing contact optimization
Page 12 About AlterianWhite Paper
Contact Optimization for Direct Marketers Brief
Introduction . Meeting minimum sales targets.In today's complex, constantly evolving marketplace, the need . Applying contact density rules over time.for the integration of marketing processes and channels has . Avoiding sending customers conflicting messages.never been more apparent. . Respecting minimum ROI rules.. Living within channel capacities.Changes in customer behavior, contact saturation, and the . Resolving which channel is best for whom.emergence of new digital channels are forcing marketers toidentify new ways to acquire, retain, and grow customers. At the Contact optimization applications work by processing inputs -same time, CMO's are under tremendous pressure from the including customer data, global business rules, contact policies,executive board to prove the value of their expenditures. predictive model scores, business constraints, and objectives - toidentify optimal solutions. Vendor approach varies, but, at aMarketers are looking to maximize the value of each and every conceptual level, the technology incorporates five key activities:customer interaction, be that inbound or outbound. Customer 1. All possible contacts are calculated based on model scores,analytics is a critical function in leading this change. business rules, and campaign data.Organizations that have embraced analytics to inform andevaluate campaigns, drive contact strategies, and ultimately 2. Contacts that meet set exclusions or suppression rules areenhance customer experiences have seen improvements in eliminated.overall marketing effectiveness and ROI. 3. The impact of each contact on business objectives andconstraints is calculated. This is expressed as a measure, likeA key discipline in managing the "Customer Engagement Cycle" profit or revenue.is the ability to communicate content that is that is highlytargeted and relevant to the individual. It's no wonder marketers 4. Mathematical techniques are used to identify the best orare drawn to the term "optimization" as they look to integrate closest solution in order to assign each customer to the righttheir off and online marketing activity. contact(s).5. The optimized lists of customers per identified contact areIf proof was required, Forrester's recent EMP Wave Report stated produced - and often handed off to a campaign managementthat relationship marketers are looking for marketing platforms system - for execution.that extend capabilities to offer personalization, dialogmarketing, event triggers, and contact optimization. What is the objective of contact optimization?The Forrester WaveT: Enterprise Marketing Platforms, Q1 2008 As an approach to resolving the complex problem of whomPublished January 17, 2008 should get which communication when, contact optimizationwas, in its early days, seen simply as a way of making moreThis paper has been developed by Alterian in conjunction with money, through increasing the contribution fromThe Customer Partnership. The theory and recommendations are communications.born out of a multitude of real life examples of contactoptimization in practice, and extensive experience in the But if we probe a little deeper, 'maximizing contribution' onlyprovision of contact optimization services and consultancy. takes on meaning when it is set in a business and consumercontext. To start with, there will be a budget to live within, andWhat is contact optimization? next, the more marketers spend on any communications activity,Put simply, Contact Optimization aims to get the best the lower the return on investment. Thus contributioncontribution from a direct marke... [download for more]
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