Data Brokering is King
Introduction
I often feel that data brokering does not receive a great deal exposure as a viable marketing resource. The over riding reason for this is that generally businesses who obtain access to a database are disappointed with the resulting direct mail or email activity.
This report outlines a clear strategy for getting results from your data broker marketing and discusses methods for getting results over an above more typical marketing activity.
Big Players
There are a number of large data organisations that nurture a massively profitable business model for selling information and marketing research. Some examples include Dunn & Bradstreet, Datamonitor and Experian. These organisations promote their data selling business model behind a mask of better customer relationship management, market research and other high end, blue chip service provision but the basic principles are the same – that dealing directly with your target audience can yield results and the best and quickest way is acquiring a database to market too.
Cost Effective Data Brokering
In the UK and US a lot of data brokers operate on behalf of list organisations such as Yell and Thomson and on behalf of membership organisations such as the Institute of Chartered Accountants, Bankers etc. These brokers are governed by a high level of data protection and rightly so and access to these databases will be by third party and for a one time usage. This offers little chance of integration with existing marketing strategy, lead generation and leaves many organisations with a sense of loss rather than gain.
I have dealt with a number of overseas providers of databases. In fact many of these providers have contracts for data cleaning and data verification for Dunn & Bradstreet, Datamonitor and more. Why wouldn’t you outsource a labour intensive task to a more competitive employment landscape? It is possible to go direct to source and work with an overseas provider of information. This will give you overall responsibility for the information you acquire but also all of the lead generation benefits.
Data Brokering Versus Advertising
A typical trade press advert in a financial sector publication could set you back £8,000 to £15,000. For that same price you could acquire a database for £1 per record and as many as 20,000 business professional representative of your target audience. What is the readership and circulation of this trade press publication, does it have a circulation audit, and does it have a print audit? There are a lot of grey areas and always a certain ‘leap of faith’ that applies to trade press advertising. With your own database and total control of the resulting activity you can really start to build a tangible marketing strategy with clear return on investment.
Effective Use of Your New Database
As ever there are two different stretches of activity to consider – Brand Marketing or a Call to Action. Any newly acquired information can be added to your outbound marketing initiatives to ensure your brand reaches new areas and as ever will only be as trackable as your standard email tracking and direct response initiatives.
The best way to try out your new information is with a genuinely attractive call to action i.e. a personal invitation to attend an industry event as your guest, free services on a trial basis, exciting viral marketing initiatives. These types of initiatives will add a real boost of exposure to your marketing effort and give you a unique opportunity to speak to new responsive clients.
A Word on Responsible Marketing
Be sure to use all information responsibly. If a contact no longer wishes to receive information from you add them to you exclusions lists and work hard to guarantee they never receive information again. No one wants the reputation as a ‘spammer’.
Darren Henwood,
Director,
HeirQ Marketing Consultancy,
darren.henwood@heirq.com,
http://www.heirq.com
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