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Pilot Project Clothing Store Essay

1221 words - 5 pages

To: Dr. Andrew Hardy, CEO

From: ky

Date: February 22, 2011

Re: New List Source for the Summer Catalog Mailing Memo

It has been brought to my attention in our weekly meeting that the children’s clothing (infant to age 13) catalog division has saturated the current mailing list. As of today, the catalog has been mailed to customers who were listed on the response list which is the direct mail buyers of similar products. So, I am embarrassed to say this but our department has exhausted the list choices, and now we are faced with the decision to go beyond the response lists and we must develop a new compiled list to test in the summer mailings. This list must be complete and ready ...view middle of the document...

The data is compiled from public sources (Census Bureau or internet) and surveys or other self-reported sources. In establishing the target market, which is women from ages 27 to 65 or the Gen Y, Gen X and Boomers will be translated into an actual list or a set of lists that will be use to provide contact information for the direct marketing department (


In developing the kind of list to test, our divison has decided to use two types of list strategies. They are the renting mailing list from or Experian and self compiling from out special events data base. It is important to evaluate the productivity of the company who rents you the list. Our staff will review the response rate, revenue or profitability in relationship to the cost of the list because this can be very expensive and possibly disastrous for our bottom line (Hardy, 2010). But I feel that the best list for our company to investing the funds and time into is the self compiling or lead generated list. Lead Generating is when our division will set up their own activities to get the information that is needed for the target market. Gaining this type of primary data is essential because our company can control the type of information that is used on the list and questioning. Lead Generation can lead to great referrals and contact information.
Testing the list is arguably the most important variable in direct mail and e-mail marketing (other strong candidates would be price, offer, format, sales appeals, and envelope teasers. In making the new direct marketing list more accurate and useful, I will use the same quantity of names for every list that is tested and all names that are tested are completely independent of the size of the total list. By taking a small segmentation and sample of the list to test in the market will eliminate time in making the selection and will not waste time and money on bad list (Hardy, 2010). Because our department wants to learn from each and every campaign we will want to identify a few lists where we can create test segments. One segment is both direct mail and email; another gets direct mail only; and the third gets email only.

The big payoff will come from applying a multi-channel approach to new direct marketing campaign. It’s not just email. It’s not just direct mail. It’s the combination of these two channels that can take our marketing campaigns to the next level. ...

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