Showing posts with label clean data. Show all posts
Showing posts with label clean data. Show all posts

Tuesday, September 21, 2010

Down in the Data Dumps

Data drives marketing. Without good data you got nuthin’. So having good, clean data is vital to having great results from your marketing. Strange isn’t it, then, that so many people spend so little effort to clean their data.

And yes, I’m talking to you. Lest you get cocky about how good your data is, consider these abysmal statistics:
  • 23.6% of all mail sent in the US is addressed inaccurately (USPS). At Paul&Partners we routinely NCOA our client’s data (ie run it against the National Change of Address databank). It’s amazing how much can go so terribly wrong in three little lines. Yet anyone who has ever had an NCOA knows there are 49 reasons why an address can fail. Failure should not be an option when a fix is so cheap and easy.
  • And it isn’t getting better. The quality of US addresses decline by 17% each year (USPS). So you don’t learn from your mistakes, huh? You keep sending out marketing materials to bad lists. That’s the classic definition of insanity: Doing the same thing and hoping for different results. ‘Nuf said.
  • Internal duplication rates of up to 20% are not uncommon (Dun & Bradstreet). Unless you’re as wealthy as Croesus, sending out duplicate messages is just plain stupid. Assuming you’ve got a limited marketing budget, wouldn’t you want to send your message to as many people as possible? Why irritate one person with two messages when you can irritate two people with your message? The very thought makes me irritable, too.
  • 42% of businesses make no effort to measure data quality (the Information Difference). 42% of you are staking your future on what is effectively a blind data date. You don’t ask and you can’t tell. Just think how much higher your ROI could be if you were approaching someone who wanted and needed what you had to offer. It’s simply common sense. But as someone wisely said, common sense is so uncommon.
  • US businesses waste more than $600 billion each year due to defective data. (TDWI)
    Let me count the ways: wasted postage, wasted printing, wasted labor, wasted click charges, wasted deployment fees. Squandered opportunity, over and over again. My Puritanical ancestors are spinning in their simple pine boxes.
C’mon guys. Get with the program! Reclaim your share of that $600 billion. No matter what vehicle you are using to distribute your marketing materials—whether by mail or by electrons—if it’s not going to the right people, you are wasting money. Your money.

Monday, May 18, 2009

Dear upset client...

Dear Upset Client,

I've gotten your envelope with the returned mail pieces.

Yes, we did run NCOA (National Change of Address software) against your data before we mailed the job for you. You thought it was unnecessary, but we insisted. “It’s my list. I know them. Been mailing to them for years!” you said. But it really didn’t matter. New USPS regulations say we must run NCOA on any presorted classification of mail that includes a recipient’s name. That means First Class Presort, Standard or Non-Profit. That means you.

So we NCOA’d your data.

We corrected your bad addresses where possible. Your data was ugly, frankly, and we corrected what we could for you. You’re welcome.

Yes, we did update the recipient’s address where possible. You hadn’t cleaned your data since the flood—OK, since 1953, but that’s an eon in marketing. Even the best NCOA list only goes back 48 months. 1953 is two generations ago!

And yes, we did delete a lot of folks. Not surprisingly, a huge number of your folks are dead. Let’s see, if they started donating in 1953 at age 50, they’d be 106 today. 106-year olds just don’t donate the way they used to.

Yes, it was a surprise to us, too, that 25% of your list was deceased. Maybe that’s why they left no forwarding address. Maybe that’s why your response rates have been going down the drain of late. Maybe that’s why you’re paying more in postage and printing and production and seeing fewer dollars back each year. Go figure.

We didn’t—but could have—run your list against a list of people currently living at government expense in Leavenworth, Kansas. Knowing your database, we didn’t think that was necessary.

We differentiated for you between individual moves (ie divorces, going away to school, moving to a nursing home, etc) and family moves and did as you directed us to do on each one.

And yes, we eliminated the folks who had moved overseas, addresses with fatal flaws, and businesses that had closed.

We also did an internal dedupe, so that you would send only one letter to the Smith household. When we started with your data clean up, the Smiths were getting 5 letters. One to Bob and Mary Smith, one to Robert and Mary Smith, one to Robert Smith, one to Mary Smith and one to Bob Smith. Remember we told you that 40% of your list was duplicate addresses? That’s what we meant. The Smiths were getting five letters from you each time you mailed!

So we did all this clean up for you, and then we gave you your data back. Ignore what we sent you at your peril. We don’t want to go through all this with you next time. It would be like taking the same hill twice.

I’m truly sorry you are disappointed that your list went from 136,000 people to 28,000. I think you’d be glad. Instead of mailing 108,000 bad and iffy addresses, you’ll be mailing to 28,000 good ones. If those 28,000 people give like they have been giving, your response rate will skyrocket even as your costs plummet. Now that’s a win/win in my book. Sorry you don’t see it that way.

Now about those 86 bad addresses you sent me.

In 100% of the cases, the yellow stickie labels say "Unable to Forward." They do not say the address was bad--which substantiates the value of the NCOA. They say "Unable to Forward."

In this economy people are moving in the dead of night. They simply leave the key in the mailbox and drive away. It’s one way to temporarily avoid creditors. Dying is another. Both result in “Unable to Forward” stickies.

Currently, 40% of those who move do NOT send their new address info to the Post Office which means that that 40% will not be caught on an NCOA.

Please contact me in a month when your campaign is running at full tilt.

I bet those 86 records that are aggravating you today don’t look so bad then.

Thank you.


43670 Trade Center Place, Suite 150, Dulles, VA 20166
Phone: 703.996.0800 Fax: 703.996.0888 1.866.365.2858
http://www.paulandpartners.net/ sales@paulandpartners.net

Monday, March 2, 2009

CLEAN UP YOUR NEXT MAILING!

Clean your housefile…Clean up on your next mailing!

Anyone who has studied Direct Mail 101 understands that mailing to a clean list is critical to the success of a project. A clean list reduces printing, production and postage costs…even as it increases percentage return.

Clean up your housefile and you’ll look like a marketing genius. I guarantee it.

Interested?

Consider this: 20% of the US population moves each year. Some marry and merge households; some divorce and split households; some die; some just move away. Thus consumer files can go stale quickly.

Or this: 20% of small businesses fail each year, and a somewhat smaller number of larger companies merge, get bought out, or move—sometimes “off shore.” Furthermore, the specific individual you want to target may be downsized or promoted, on maternity or military leave, retired or replaced. Organizations mailing into the government have an even greater challenge, due to personnel turnover.

Or this: maybe you are your own worst enemy. Maybe you have people listed multiple times on your datafile. Don’t deny it! I’ve seen databases just like yours. Duplicates everywhere. And that means wasted money…and upset recipients.

It is hard enough to find people who are interested in your message…people who are willing to buy from your company or donate to your cause. Staying in touch with them can be just as difficult.

You probably intuitively know that it is less expensive to keep customers or contributors than to replace them. Prospecting is expensive. And it rarely breaks even. So it only makes practical sense to periodically clean your housefile.

Yet so many direct mailers don’t take that one simple—and inexpensive—step. Instead, they watch as their list slowly atrophies and their return rates plunge. And they wonder what’s wrong.

The answer is simple: poor list hygiene. Cleaning a list is simply the best way to keep your customers and donors active and keep your prospecting costs down.

And list hygiene needn’t be a laborious process. There are several ways to clean your housefile.



The first method is to call everyone on your list before you mail to them. While your accuracy will be assured, you will never get anything into the mail because you’ll always be on the phone. Unless you have a staff of thousands with nothing better to do, try another technique.

A second method is to mail everything First Class. It’s effective: the Post Office will forward your information to your intended recipient. Voila’! Prime mission accomplished! But at a price. You are paying dearly for your postage, your intended recipient may get a package that has been handled so many times it is no longer readable and you may not get back needed corrections in a timely fashion.

A third solution is to use endorsement lines (such as “Address Forwarding Requested.”) Depending on the endorsement you select, you will get predictable results. In one instance your mailing will be forwarded to your recipient—new yellow stickers and accusatory pointing finger stamps and all—and you get a photocopy. In another instance, the package comes back to you with the correct address (if known) noted so you can send out a fresh piece. But again there are downsides. Sometimes you can’t read the photocopied forms. They are too light or have a sticker over a crucial piece of information. If you get the piece back for remailing, then you’re paying twice for postage. It can take weeks or months to get your information back. And, unless you’re mailing First Class, you have to pay a price for this service—but only on the pieces returned. So using endorsement lines can be expensive.

A fourth method is to NCOA your file before you mail. NCOA—or National Change of Address—is a software solution to updating your datafile. An NCOA service provider like Orion Direct can check your existing database again a Post Office master database. If an entry has changed, your database changes. It’s that simple.

Or not.

You need a provider like Paul & Partners that can help guide your list through this process. The list has to be modified to NCOA format...then run against the NCOA list...then returned to your native format. You truly need a professional like Paul & Partners on your side. It will make your life--and your list--so much happier.

So what is an NCOA file?

NCOA files are maintained by the Post Office. (Remember the last time you moved? Remember that yellow Post Office form you filled out with your old and new address? You intended the postal service to forward your Time Magazine properly, right? Well, they did forward your Time Magazine to you, but they also put your addresses—both old and new—into a database. And then they made that database available to mailers to confirm address accuracy.)

Upon running your housefile through the NCOA process, you are awarded a certificate. That certificate allows you to mail First Class Presort, Standard Presort, or Nonprofit Presort (NCOA certification no older than 90 days is required for all presort categories of mail) should you wish. It also shows the Post Office that you are concerned about list hygiene and doing your part to keep your list clean. Call it “good will” if you wish. More practically, it updates your file and reduces your outlay for non-deliverable packages. NCOA certification is valid for 90 days.

Upsides: It’s fast: an expedited NOCA can happen in a couple of hours. And it’s cheap. NCOA processing will also catch incomplete addresses (i.e. missing apartment/suite numbers) or mismatches between states and zips, or incorrect addresses (no such street number). It will tell you if someone has moved, and if so what their new address is. It will tell you if someone has moved overseas (no luck on that address, though). And it will tell you if the person is gone with no forwarding address (best to check Heavenly Acres for current residence status). So you can fix your list and get in the mail faster with cleaner information. That means more positive results faster.

Downsides: Did your recipient fill out his/her yellow moving form legibly? If the input keypuncher can’t read it, the entry may be wrong in the database. Mail could be misdirected. So there is a small element of human error involved. And about those incomplete or incorrect addresses: NCOA processing probably can’t fix them for you. It can pinpoint problems, but you have to make the fix later.

Also, an NCOA of a company file can not pinpoint if your specific recipient is still employed in his/her position; it can only tell you if the company address is still viable.

Bottom line: For speed, accuracy, cost and getting your corrected information back in a timely fashion, no other list cleaning technique equals an NCOA.

Direct mail marketing is tough enough. Mailing to people who no longer live where you think they live only makes it harder and more expensive.

Make it easier on yourself—and your organization’s pocketbook. Keep your data clean, eliminate duplicates and kill the “deadwood.” But get a professional like Paul & Partners to guide you. Professional help costs nothing more than the NCOA fee. But get that NCOA done. You’ll be surprised at how much your return rates will improve on your next mailing! Best yet: your boss will think you’re a genius.

Now that’s a win-win!

43670 Trade Center Place, Suite 150, Dulles, VA 20166

Phone: 703.996.0800 Fax: 703.996.0888

http://www.paulandpartners.net/ travis.boaz@paulandpartners

Our Services Include: mailing services, bulk mailing services, direct mailing service, printing and mailing services, mass mailing services, buy mailing lists, mailing lists, buy mailing list, mailing list service, mailing list, direct mail mailing list, direct mail post cards, direct mail house, direct mail programs, direct mail printers, direct mail solutions, direct mail cost, direct mail advertising services, direct mail post card, direct mail marketing services, direct mail companies, direct mail postcards, direct mail advertising, direct mail marketing, direct mail