Pretest Tool Case Study - Finding a New Control

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This is a tool used BEFORE any live, direct mail testing to pre-identify the best test ideas, those most likely to compete with and beat the control. Non-profits greatly reduce cost by NOT mailing test packages likely to perform poorly and increase net revenue by increasing volume on likely winners. The pre-identification of likely winners and losers is done in two parts 1) First, surveying donors who are representative of those who will receive the actual mailing, showing them visuals of the direct mail package and measuring preference using a very specific and battle tested methodology. 2) Using the survey data to build a statistical model to assign a score to every single element that was evaluated. This methodology is well established in the commercial sector and used by large, consumer companies (e.g. Coca Cola, General Mills, Proctor & Gamble) to guide product development for many of the sodas, cereals and detergents on grocery store shelves. Building a successful direct mail package is conceptually identical to a winning tube of toothpaste with size, shape, message and color considerations to name but a few of the moving parts you need to consider. A midsize, non-profit in the disease and medical research sector, had an acquisition control package with a family (whose child had the disease) who no longer wanted to featured. The organization faced a serious marketing challenge, identifying not just a new family to feature but one that could compete with the current control. They had several different families open to the possibility and a wildcard option of a researcher in the field. The cost to live test all the possibilities plus the control, even with their relatively small panel sizes (10k per), was going to be $46,000 and they only had budget to test 2 concepts against the control. DonorVoice used the pretest tool with a sample of house file donors (to evaluate renewal implications) and a universe of donors representing their acquisition target. We evaluated all the test options and, because this survey testing environment can accommodate far more moving partsthan could ever be afforded or logistically managed in live testing, we also included prospective taglines the organization was considering as additional test elements.

Transcript of Pretest Tool Case Study - Finding a New Control

Page 1: Pretest Tool Case Study - Finding a New Control

This is a tool used BEFORE any live, direct mail testing to pre-identify the best test ideas, those most

likely to compete with and beat the control. Non-profits greatly reduce cost by NOT mailing test

packages likely to perform poorly and increase net revenue by increasing volume on likely winners.

The pre-identification of likely winners and losers is done in two parts

1) First, surveying donors who are representative of those who will receive the actual mailing,

showing them visuals of the direct mail package and measuring preference using a very specific

and battle tested methodology.

2) Using the survey data to build a statistical model to assign a score to every single element that

was evaluated.

This methodology is well established in the commercial sector

and used by large, consumer companies (e.g. Coca Cola, General

Mills, Proctor & Gamble) to guide product development for

many of the sodas, cereals and detergents on grocery store

shelves.

Building a successful direct mail package is conceptually

identical to a winning tube of toothpaste with size, shape,

message and color considerations to name but a few of the

moving parts you need to consider.

A midsize, non-profit in the disease and medical research sector, had an acquisition

control package with a family (whose child had the disease) who no longer wanted

to featured.

The organization faced a serious marketing challenge, identifying not just a new

family to feature but one that could compete with the current control. They had

several different families open to the possibility and a wildcard option of a

researcher in the field.

The cost to live test all the possibilities plus the control, even with their relatively

small panel sizes (10k per), was going to be $46,000 and they only had budget to test

2 concepts against the control.

DonorVoice used the pretest tool with a sample of house file donors (to evaluate renewal implications)

and a universe of donors representing their acquisition target. We evaluated all the test options and,

because this survey testing environment can accommodate far more “moving parts” than could ever be

afforded or logistically managed in live testing, we also included prospective taglines the organization

was considering as additional test elements.

Page 2: Pretest Tool Case Study - Finding a New Control

The results identified one test family with real potential to beat the control and another with a

chance to be competitive. Conversely, it identified the rest as likely “losers”, including the one the

organization staff considered to be best.

The organization, with only enough budget for two test panels, elected to believe in the voice of the

donor as represented in the pretest findings even though their own personal preference and

internal, conventional wisdom would have led them to test different families.

And the results?

The Pretest tool identified Test A (one of the families) having a high likelihood to beat the

control and it did.

The Pretest Tool identified Test B as being competitive with, but still behind the control –

exactly what happened in the live test.

Savings from not producing & mailing all 6 test packages against the control $46,000

Anticipated annual revenue increase with rollout of better performing control $72,000

Peace of mind with having a control beating, new acquisition package

that would NOT have been identified without the pretest tool Priceless

Contact info: [email protected]

www.thedonorvoice.com

“We are extremely pleased with the information gathered

from the DonorVoice testing, which allowed us to solve a

tricky marketing dilemma with a reduced level of risk”