Get Your PCRM On!
Never heard of PCRM? Well, that's because it doesn't exist—not yet, anyway. But it should. For those who are unfamiliar with Customer Relationship Management, or CRM, it describes a strategy for managing a company's interactions with customers and prospects. The key to any CRM program is that interactions are with your customers and prospects—and that means you know something, usually a lot, about them.
And as any experienced database marketer knows, knowledge means power—power to tailor the marketing message based on what you know or learn. Essentially, it's a marriage of marketing and data. Unfortunately, however, many CRM programs miss the boat when it comes to taking advantage of this fact, and fail to communicate with customers and prospects on a 1:1 basis. Hence the need for Personalized CRM, or PCRM, instead.
Personalization is important because, let's face it, we live in an age of information overload. According to an article in the New York Times published in 2007, at the time Americans were exposed to 5,000 ads a day—and it's safe to say that number has continued to climb since. And unless you've been living under a rock for the past 10 years, this fact has been painfully obvious. For marketers, it's meant a steady and inexorable decline in response rates across the board, in an increasingly futile attempt to get the attention of a distracted populace. How pronounced has the decline been? While a 3 percent response rate might have been the gold standard for a prospecting direct mail campaign 10 years ago, for example, today it hovers at around 1 percent, according to the DMA.
One effective strategy to cut through the clutter is personalization, or 1:1 marketing-a strategy you should be implementing across the board on all your CRM initiatives. Think about it: These are your customers and prospects, and you've captured tons a data about them. You know when they became customers, and how. You know what campaigns they've responded to, banners they've clicked, emails they've opened, and so on. You know their gender. You may even know their birthdays. So use this data to drive personalization!
Who’s Your Data? is a blog that aims to disseminate thought-provoking tips and techniques involving the use of data and database marketing to direct marketing professionals. Why should you care? Because implementing data best practices has been shown to lift response rates, improve analytics and enhance overall customer experience. Reader participation is encouraged!
Rio Longacre is a Sales & Marketing Professional with more than 10 years of experience in the direct marketing trenches. He has worked closely with businesses across many different vertical markets, helping them effectively leverage the use of data, personalization technologies and tracking platforms. Longacre is currently employed as a Managing Consultant, Marketing, Sales & Service Consulting at Capgemini Consulting, a premier management consulting firm. He is based in the company's New York City office, which is located in Midtown Manhattan. He has also previously worked as an online media buyer and digital marketing strategist.
Email Longacre below, or you can follow him on Twitter at @RioLongacre. Any opinions expressed are his own.