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Welcome To ACCM 2009Welcome To ACCM 2009
Vice President, Catalog and Multichannel SegmentsDirect Marketing AssociationVice President, Catalog and Multichannel SegmentsDirect Marketing Association
NEIL O’KEEFENEIL O’KEEFE
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Welcome To New OrleansThe Crescent CityWelcome To New OrleansThe Crescent City
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New Orleans HistoryWars And DisastersNew Orleans HistoryWars And Disasters
Jean Lafitte - 1805
Great New Orleans Conflagration -1788
Hurricane Katrina - 2005
Battle of New Orleans -1814
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Another Long History:Catalog And Multichannel Merchants
Another Long History:Catalog And Multichannel Merchants
Montgomery Ward “Modern” Mail Order Catalog
1872
Ben Franklin1st Catalog 1772
AT&T Toll Free 800
Numbers 1972
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2004
Another Long History:Catalog And Multichannel Merchants
Another Long History:Catalog And Multichannel Merchants
Montgomery Ward Online - 2009
1983
1994
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Today Everyone Is A Multichannel MerchantToday Everyone Is A Multichannel Merchant
You must be, because customers, donors and prospects clearly hold the power today, and multichannel choices are what they want
People avoid marketing because of a cluttered advertising environment and a shortage of time
New technologyhelps consumerscontrol media andallows them tocreate personalmedia content
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Everywhere In MarketingThe Lines Are BlurringEverywhere In MarketingThe Lines Are Blurring
BETWEEN MEDIA…Radio DVD Streaming Web Audio/VideoTV Podcasting
Radio DVD Streaming Web Audio/VideoTV Podcasting
…AND BETWEEN MARKETING DISCIPLINESProduct Mgt. Advertising Catalog Brand Mgt. Direct Mktg. Customer Relationship Mgt.
Product Mgt. Advertising Catalog Brand Mgt. Direct Mktg. Customer Relationship Mgt.
BETWEEN CHANNELS…Telephone Mobile Cable/DSL/SatelliteBroadcast 3G/WiMAX
Telephone Mobile Cable/DSL/SatelliteBroadcast 3G/WiMAX
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Direct Marketing: A Multichannel ProcessNo Longer A Single Industry
Direct Marketing: A Multichannel ProcessNo Longer A Single Industry
•Direct Mail, Catalog Direct Mail, Catalog •DR DR
TV/Radio/Magazine/NewspaperTV/Radio/Magazine/Newspaper•Internet/Email, Internet/Email,
WWW/EcommerceWWW/Ecommerce•Addressable Digital Addressable Digital
Cable/SatelliteCable/Satellite•MobileMobile
•Teleservices, Insert media, Teleservices, Insert media, OtherOther
•Ad agenciesAd agencies•Analytics servicesAnalytics services•Contact center servicesContact center services•Creative Creative •Data compilingData compiling•Display/digital mediaDisplay/digital media•Email/Search/Web Email/Search/Web
marketingmarketing•List List
brokers/managers/ownersbrokers/managers/owners•Marketing database Marketing database
solutionssolutions•Mailing/fulfillmentMailing/fulfillment•Printing/Variable data Printing/Variable data
printingprinting•Social media, Mobile, Social media, Mobile,
OtherOther
DIRECT MARKETINGPROCESS
MARKETSCustomers,
donors & prospects
MARKETSCustomers,
donors & prospects
INTERACTIVE
CHANNELSINTERACTIVE
CHANNELS
MARKETERSEvery
industry & segment
MARKETERSEvery
industry & segment
DIRECT MARKETING SUPPLY CHAIN
DIRECT MARKETING SUPPLY CHAIN
DIRECT MARKETINGPROCESS
DIRECT MARKETINGPROCESS
MARKETSCustomers,
donors & prospects
MARKETSCustomers,
donors & prospects
INTERACTIVE
CHANNELSINTERACTIVE
CHANNELS
MARKETERSEvery
industry & segment
MARKETERSEvery
industry & segment
DIRECT MARKETING SUPPLY CHAIN
DIRECT MARKETING SUPPLY CHAIN
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Prevailing TrendsIn A Paradigm ShiftPrevailing TrendsIn A Paradigm Shift
Marketing budgets have been reduced at 75%+ of ANA Surveyed marketers
Marketing dollars are shifting from advertisingto direct marketing
Direct mail dollars are shifting to emerging media
Marketers are increasingly turning to integrated, multichannel direct marketing
Overall, advertising and Overall, advertising and marketing budgets are marketing budgets are
down significantlydown significantly
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Each Direct Marketing Channel Is LargeTogether They’re A Powerhouse
Each Direct Marketing Channel Is LargeTogether They’re A Powerhouse
DRIVING $2.0578 TRILLION ANNUAL US SALESDRIVING $2.0578 TRILLION ANNUAL US SALESDRIVING $2.0578 TRILLION ANNUAL US SALESDRIVING $2.0578 TRILLION ANNUAL US SALES
Source: The Power of Direct Marketing 2008-2009 EditionDirect Marketing Association
Direct Mail (Catalog)
Direct Mail(Non-Catalog)
OtherInsert MediaDR Radio
Internet Marketing(Non-email)
CommercialEmail
DR Magazine
DR Television
Telephone Marketing
DR Newspaper $166.1 B$166.1 B
$363.8 B$363.8 B
$547.7 B$547.7 B
$154.7 B$154.7 B$481.5 B$481.5 B
$155.3 B$155.3 B
$28.0 B$28.0 B
$90.2 B$90.2 B
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2008 Direct Marketing Expenditures $176.9 Billion With $11.63 ROI (Average)
2008 Direct Marketing Expenditures $176.9 Billion With $11.63 ROI (Average)
Internet Marketing
Email Marketing
Catalog
Telephone Marketing
$21.3 Billion 1.8% CAGR $ 7.28
$35.2 Billion 1.4% CAGR $ 15.55
$24.1 Billion 13.4% CAGR $ 19.94
$42.5 Billion < 1% CAGR $ 8.55
$ 0.6 Billion 17.7% CAGR $ 45.06
2008-13 Growth(Projected)
Source: The Power of Direct Marketing 2008-2009 EditionDirect Marketing Association
2008 ROI(Average)
Direct Mail (Non-catalog)
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Mobile Platform Will Further EnableEvery Direct Marketing Channel
Mobile Platform Will Further EnableEvery Direct Marketing Channel There are more mobile devices in use today
worldwide than TVs and PCs – combined
Over 86% of US population has at least one mobile device
More than half (52%) of mobile subscribers use text messaging regularly
27% of mobile subscribers use web on their phone regularly
MOBILEMOBILEPOSTPOST EMAILEMAILPHONEPHONE CABLECABLE
DRMEDIA
DRMEDIA CATALOGCATALOGINSERTINSERT WEBWEBCONTACT
CENTERCONTACTCENTER
DIRECTMAIL
DIRECTMAIL …X n
DIRECDIRECT T
ORDEORDERR
DIRECDIRECT T
ORDEORDERR
FUND-FUND-RAISINRAISIN
G G
FUND-FUND-RAISINRAISIN
G G
GENERAGENERATETE
LEADSLEADS
GENERAGENERATETE
LEADSLEADS
RETAILRETAILPURCHAPURCHA
SESE
RETAILRETAILPURCHAPURCHA
SESE
SOCIALMEDIASOCIALMEDIA
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Nonprofit FundraisersLead The Way With Mobile Giving
Nonprofit FundraisersLead The Way With Mobile Giving
$5 DonationText KIDS to 90999
$5 DonationText HUMANE to
20222
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DMA Provides National AdvocacyOn Issues That Matter Most To Marketing
DMA Provides National AdvocacyOn Issues That Matter Most To Marketing
DMA GOVERNMENTAFFAIRS
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Viability Of The US Postal Service:Key Issue For All Multichannel Marketers
Viability Of The US Postal Service:Key Issue For All Multichannel Marketers
Source: United States Postal Service
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More And More Issues Arising In State CapitalsMore And More Issues Arising In State Capitals SSUTP (Streamlined Sales
and Use Tax)- DMA’s IA actively lobbies in
strong opposition SSUTP instate capitals
- Significant cost burdens on businesses located outside the state
State Do Not Mail- Six bills proposed so
far this session in fourstates: CT, FL, NJ, NY
- DMA-led Mail MovesAmerica coalition spreading the wordabout the economicimportance of mail
AOL Amazon AT&T Comcast
eHarmony Experian IAC Intuit
United Online VeriSign Yahoo!
AOL Amazon AT&T Comcast
eHarmony Experian IAC Intuit
United Online VeriSign Yahoo!
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Giving Consumers ChoicesBuilds A Bridge Of Trust For Marketers
Giving Consumers ChoicesBuilds A Bridge Of Trust For Marketers
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Hot Issue For Marketing Behavioral AdvertisingHot Issue For Marketing Behavioral Advertising
FTC report calls on Internet companies to ratchet up self-regulation of privacy practices
Coalition composed of AAAA, ANA, DMA, IAB and CBBB is develop common guidelines to be followed by all
DMA will synchronize with NARC and administer self-regulation and enforcement as part of ongoingEthics committee processes
““They invite legislation if they don’t do a good job at self-regulationThey invite legislation if they don’t do a good job at self-regulation.”.” FTC Commissioner Jon Leibowitz, NY Times, Feb. 14, 2009 FTC Commissioner Jon Leibowitz, NY Times, Feb. 14, 2009
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Multichannel MerchantStrategic Advisory BoardMultichannel MerchantStrategic Advisory Board
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Thanks To This Year’sACCM Program Advisory Committee
Thanks To This Year’sACCM Program Advisory Committee
Lawrence Becker-The Darden School of Business,University of Virginia
Lois Boyle-Brayfield-J Schmid & Assoc. Inc.
Coy Clement-ClementDIRECT
Melissa Dowling-Multichannel Merchant Magazine
Lauren Freedman-the e-tailing group
Pinny Gniwisch-ice.com
Jeff Govoni-America’s Gardening Resource
Mary Ann Kleinfelter-Marketing, L-Com
Heather Lloyd-Martin-Successworks
George Mollo-GJM Associates, Inc.
Sucharita Mulpuru-Forrester Research
Glenda Shasho Jones-Shasho Jones Direct, Inc.
Charlie Silver-Consultant
Linda Spellman-Hickory Farms
Gina Valentino-Hemisphere Marketing
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Today’s Keynote SpeakerClaire SpoffordToday’s Keynote SpeakerClaire Spofford
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Profitability in Times of Turmoil:Appleseed’s And Orchard Brand’s Measure for Success
Profitability in Times of Turmoil:Appleseed’s And Orchard Brand’s Measure for Success
CLAIRE SPOFFORD
PresidentAppleseed’s Holding
Inc.
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Questions & AnswersQuestions & Answers
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Energy Break In The Exhibit HallEnergy Break In The Exhibit Hall
Please Join Us in Hall D
11:00 - 11:45 AM
Concurrent Sessions begin at 11:45 AM
Please Join Us in Hall D
11:00 - 11:45 AM
Concurrent Sessions begin at 11:45 AM