Good morning

Pieter C. van den BuskenExecutive Chairman

InterDirect NetworkActive in 46 countries

International Network of IndependentDirect Marketing Agencies

Our InterDirect member in Romania:

MH Media SolutionsBucharest

Subjects of today:• Where did DM come from and why?

• A look at our Marketing Communication World of today.

• DM: is that all there is? Why a Multi-Channel approach?

Where did DM come from?and why?

Marketing was an easy job.

One-to-one marketing.

Mass Production.

Producers created names and brands.

Advertising was very much oriented to the message about brand and product, very low

focused on reaching specific customer profiles.

Doubts about the effectiveness of mass marketing and advertising.

General advertisingto mass markets.

Mass Selective

Selective marketing and communications.

Client and database driven direct communications.

Lifetime value of a customer relationship.

Direct Marketing is NOT a tactic, it is a strategy.

Continuing process of finding prospects, making them customers

and keeping these customers.

It is all about putting the customer in the center of all your marketing activities and

marketing mentality.

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How to handle the complex world of marketing

communications today.

Is it a problem or a challenge?

For the advertisers (the “Senders”):• Chaos• Complex• Untransparent• New Media/Channels• New Techniques• Constantly changing behaviour of consumers

For the consumers (the “Receivers”):A 24/7 daily bombardment of impressions,

everywhere, always!• more messages via existing communication channels

• via more and new communication channels

• via more and new (e- and mobile) techniques

• faster and faster changing, quicker and shorter “flashing” messages

• fragmentation in content of the messages by continuously changes in concept, visuals and copy to get attention

What is happening?• Consumer is King: “I decide, NOT you!”

• Disloyalty to companies and brands

• Big decrease of the impact and use of “traditional” media, like TV, newspapers and outdoor

• Strong increase of the impact and the use of the new media and techniques (interactive e- and mobile communications)

Wake up! If you don’t, you’ll die in marketing.

What’s the Big Change in our Marketing Communications World?

The traditional MarCom stream from the “Sender” to the “Receiver” is turning around!

The “Receiver” is now the “Searcher” and the “Sender” has the new role of the “Receiver”.

Waiting and hoping to be found by the “Searcher”.

Sender Reciever

How did our Marketing Communication world looked like 15 years ago?

Print adver-tising

RTV

Outdoor

Instore

Etc.

DM

And how 5 to 10 years ago?

Print adver-tising

RTV

Outdoor

Instore

DM

And how is it today?The WEB is the Winner!

More than 80% of all marketers in Holland consider the web as the center of all their marketing communications!

Print adver-tising

RTV

Outdoor

Instore

DM

E-media

What is the effect to us as marketers?Our Target Group takes the lead and action in marketing communications and…

Protect and try to hide themselves from other “unasked” MarCom impulses.(Do not call, mail, e-mail, etc. lists)

Sender Reciever

Is this a problem or a challenge?It’s up to us how to tackle this.

We have to be smarter:• in finding a new style of marketing communication: from “hard selling” to “friendly positive information”. (From a friend to a friend)

• in placing our messages in the right context through the right channels on the right time to the right individuals. (Fine tuning data, media, timing and messages)

We have to be smarter:• in building an ongoing “dialogue” with our target individuals, from the first contact to a long lasting relationship. (From 1 “shot, one way” to “continuous, two way” communications.

• in being innovative, surprising and attractive and creative in the way we bring our messages. ( From boring “Buy or I shoot” to “Selling by entertainment”)

BiologicaAdopt a chicken

• This foundation promotes biological agriculture and: needs donors for the foundation

• Sell more eggs from biological chickens• Store traffic to 230 biological food stores• More donors for the foundation.

Case

Target:

Consumers can adopt a biological chicken in 3 ways:

• Adopt a chicken for one year.• The "Chicken-Gift", a present to other people to

adopt a chicken for a half year.• "Chicken-and Egg" bankaccount at the green

Triodos bank No interest from your money, but you get biogical

EGGS, for 5 years. Adoptants/attendents are automatically donors of

the foundation

Campaign:

Target: 17.500 donorsResult: 32.000Sales of biological eggs + 27%

Results:

Multikabel Homework for schools

Case:

• Multikabel is a Dutch supplier of internet connection on a glassfiber network, targeted to schools.

• Their competitor NL Tree was the monopolist in Holland till 2005.

Target:Generate contacts with schoolsSell contracts to schools.

Campaign:

Multikabel sent 2 mailings in the size and format of a classical school exercise-book.The text was hand written.In the first mailing they explained the offer and offered a discount if the school replied for the deadline.

If people did NOT reply before the deadline they received an exercise-book with 20 lines with the same text as a"punishment" for not responding on time.

Results:First Mailings sent: 600Contracts: 50Second reminder mailing sent: 500Contracts: 119

MiniNOT for sale!

• How to create more new, refreshing ideas to promote the whole year through the Mini cars.

Target(s):

Generate leads to Mini dealersCommitment/Involvement of Mini owners

Campaign:All Mini owners received an email, with the message:print the poster "This Mini Is Not for Sale. Go to the Mini dealer and buy one yourself”.Mini owners and Mini dealers were requested to make a photo of the poster on the car or showroom windows and send the photo to the "Mini action website"Senders had the chance to win a prize.

Results:Lot of free publicity and positive reactions from Mini owners.70% of all emails to owners were opened.7% sent in photo'sAnd … a very low budget!

Who the hell is Hans Ubbink?

Case:

• The clothing industrie is having heavy times.

• Retail outlets do not want to buy more fashion design "labels"

Target(s):

• How to get sales leads from retail-outlets which want to sell the (young) Hans Ubbink fashion?

Campaign:

Hans Ubbink is the designer himself.He is not very well known yet.

The direct mail campaign had 3 mail shots:

1. Box with T-shirt: "Who the hell is Hans Ubbink?" plus a personalized letter from Hans.

2. Box with the "Holiday Do Book of Hans Ubbink", for addults. Designed and developed by Hans.

3. Box with mobile phone.

With a voice mail from Hans "Please come to my fashion show". The recepient could speak his/her message to Hans as a reply.

Results:

Mailed: 50 pieces Response for new contacts: 36%

Golf on Spot

How to introduce a new medium:Hole in one!

Case:

• How to introduce a complete new medium: folders/cards in a display on golf courses

Target:

• Getting sales leads from the top 25 media buying agencies.

Campaign:

Promoteams glued stickers with (half) golf balls on all cars parked at the top 25 media buying agencies on the front window screens of cars.

With a leaflet behind the whipers. It looked if a golf ball really has hit the window of the cars

Results:

Orders from media-buying agencies in the first 3 months: 320% higher than the target.

With an extremely low budget: 6.000 Euro!

How to get the data of the interests of your target individuals

to reach them one-to-one?

Tie them in like slowly catching a big fish! Step-by-step.• Start to get the most basic details

• Build up trust and relationship and ask more data

• Tell them why you want it

• Ask them what they want

• Set up an ongoing dialogue communication based on the interests of the individual

• Show and proof in each step that your target individual REALLY gets benefits out of this relationship! Offer special, selective offers in price, services, etc.

• Your target individual wants: special ATTENTION! Being somebody, not everybody!

One of the new ways of getting new and more data by “interesting entertainment”:• Viral marketing

QuickTime™ and aTIFF (LZW) decompressor

are needed to see this picture.

Direct Marketing.Is that all there is…?Why Multi-Channel?

All methods and tactics in marketing and communications need each

other

Today's world of marketing and communications looks like

an orchestra.

A strong vision and mission is necessary

What’s the problem?

10 Golden Rules1.Test2.Test3.Test4.Test5.Test6.Test7.Test8.Test9.Test10.Test

We call ourselves Direct Marketers.

Focused on one-to-one marketing and communications.

Are we really?

Let’s be honest and confess what we really do in practice in most cases. We send out large numbers:• to large groups with the SAME - not very specified- profile • with the SAME general approach and message• using the SAME techniques• at the SAME time• with the SAME, etc., etc.

Should we call this Direct One-to One Marketing?

It’s waste of money!Spend MORE time and money on finding out before we start:

WHO, wants WHAT, WHY, WHEN and HOW?

We should NOT look at this time and money, as COSTS.

This is an INVESTMENT in your optimal future results!

The knowledge and techniques are here and now!

How to test concepts and offers and reach the different target

groups with varieties in direct mail printing or direct e-mail.

Then you turn Direct “Mass” Marketing into

“Individualized Dialogue” Marketing.

Thank you for your attention.

Pieter van den Busken.