Direct Marketing Campaign

By Simon Hemsley
Paul Lewin
Charlotte Speller
Ruiqiao Wen
 Objectives for Presentation
• Background of Company
• SWOT – aligned to current PEST climate
• AIMRITE
• Campaigns
• Conclusion
• Recommendations/Reflections
 Background
• 10th Largest Building Society in UK

• Over 50 Branches located in East Anglia and

surrounding counties.

• Offers a full range of banking services

• 430,000 Customers
 Mission Statement
• To be more than just a building society •Challenge the conventional banking
model
• To be the preferred alternative to the big
•Explain how our customer can get the
banks
most from there money

• To offer the best Personal Financial Services •Transparency and trust

in the East of England.
•To make meaningful contributions to
• To make a real difference to our members the local community
lives

• To instil pride and commitment in all our

staff.
 Strengths
• Personalised service

• Local Area - East Anglia

• 88.1% customer satisfaction

• Trustworthy alternative to Big Banks

• Responsible Lending
 Weaknesses
• Size

• Mortgage standard variable rates rising

 Opportunities
• Recession

• Disillusioned customers e.g. Bank charges

• Lower (BOE) interest rates

• Taking advantage of Community Spirit

 Threats
• Inflation

• Unfair Competition

• Interest Rates

• Levies
 Objectives
• Build upon Local Relationships

• Build non-financial Competitive Advantages

• NEW CUSTOMERS IN CREDIT AND CURRENT

ACCOUNTS

• NEW CUSTOMERS IN SAVINGS

 Options
N&P Canary Card Family Savings Accounts

• Norwich City Credit Card • Aimed at Families / Parents

• Aimed at NCFC fans with Young Children
• Donations given to Club • Savings for Childs Future
• Free Child’s Gift
 N&P Canary Card

• 15.9% APR typical rate (variable)

• 0% on balance transfers for 12 months (3% handling fee). All you have to do is make
sure you transfer the balance within 90 days of account opening.

• 0% on card purchases for 3 months from account opening.

• Earn 1 Canary point per £1 Spent, to earn money for club and entry into NCFC Prize
draws.

• Average Profitability =
 Telemarketing Campaign
AIMRITE

• Audience
- 90,000 NCFC fans with telephone numbers opted into receiving telemarketing messages

• Impact
– Hard to ignore, response is guaranteed.
– Tolerance due to relationship with football team

• Message
– Most effective when awareness is high.
– Message will be from a NCFC fundraising perspective

• Response
– Everyone must respond.
– Those rejecting can be talked round or asked why?
– Those who are unsure can be contacted at a later date

• Internal Management
– 100 staff can make up to 5,000 calls per day.
– We are able to schedule two weeks in order to complete the project.

• The End Result

– Telephone Marketing can give high response rates
– Long Term nature of Customer relationship with their banks makes high costs justified.
 Target Audience Segmentation
• Database of 90,000

Season Ticket Holders 20,000

PLUS Remaining ABC1s 39,200
LESS those who attended less than
¼ of home games in last season (12,400)
TOTAL 46,800

• Telemarketing costs of £6,000 per ‘000

• Total Telemarketing Costs £282,000
 Pre-Campaign
• Quote – Telemarketing brings higher response rates if it makes sense to consumer and they
have some prior knowledge of product.

Details Costs £ Customer

Response Rates
Website setup 500 N/A
Free phone Setup
(X3 Months) 20 N/A
Free phone call costs 45 N/A
Banner Ads x (2months) 950
Creative and Design Cost 150 150
Programme Full Page Ads
X4 2400
Creative and Design Cost 400 320

TOTALS 4465 470

• £4465 / 470 = £9.50 per person.

 Telemarketing Response Rates
• Average Responses around 10-20%
• A recent telemarketing campaign to sell wills using the same database generated a
29% response rate.

Response Rate 46,800 Contacted £282,000

10% – Worst Case 4,680 £60.25 per person
15% - Unlikely 7,020 £40.17 per person
20% - Likely 9,360 £30.12 per person
 Schedule
• Begining of league football 2nd weekend of August 2010.

Week Web Programme Telephone

# Campaign
1 H X X
2 A X
3 H X X
4 A X
5 A X X
6 H X X X
7 A X
8 H X X
 Campaign Overview
Detail £ Cost Response
Data Costs 23,400
Pre campaign 4465 470
Telemarketing Campaign
20% 282000 9360

Total 309865 9830

• £309865 / 9830 = £31.52 per Acquisition

 Campaign Overview
Detail £ Cost Response
Data Costs 23,400
Pre campaign 4465 470
Telemarketing Campaign
15% 282000 7020

Total 309865 7490

• £309865 / 7490 = £41.37 per Acquisition

 Campaign Overview
Detail £ Cost Response
Data Costs 23,400
Pre campaign 4465 470
Telemarketing Campaign
10% 282000 5150

Total 309865 5620

• £309865 / 5620 = £55.14 per Acquisition

Recommendations
Conclusions