Essential Guide to Lists and Databases: Investor's Business Daily: New Strategies For Growth
With this growth came a reliance on the mail plans of several major mailers. In assessing the company's future needs, it became clear that IBD had to expand rental of its lists beyond its main markets. By focusing on its strong demographics and applying proven sales techniques, IBD has seen growth in several secondary categories.
New pricing was implemented to attract out-of-market testing. With 800,000 addresses available, lower base rates were released for fundraising offers, catalog mailers, credit cards and political fundraisers.
The most common first question from our brokers these days is "What's new?" The interest level in our industry for new lists, selections and pricing incentives has never been higher. Faced with rising production costs, declining response rates and shrinking list universes - not to mention postal rate increases - brokers and mailers are working harder than ever to make the right test decisions.
This repositioning of IBD worked well in this business environment. Once viewed as strictly interested in investment and financial offers, these affluent individuals have proven to be caring donors, active catalog buyers, frequent travelers and avid readers.
With the introduction of new pricing, a promotional campaign launched to bring new awareness of this growing file. As any list manager will agree, usage helps sell more tests - and as these secondary categories were developed, other mailers grew more interested.
Promotions included e-mails, faxes, space ads, telemarketing and broker/mailer meetings. Data card changes occurred as well, including a full selection of IBD files with interest enhancements.
As a result, market growth is up considerably in a list economy best described by many as "flat is the new up." Testing is up over the past few years and shows signs of continued growth.
IBD is happy with the growth in its list rental program, not only in its core markets but also in important secondary markets. The success with these secondary markets will help meet 2006's goals, as IBD already has seen for 2005.
These growth strategies can be applied to your list rental program as well. Use all the aspects of your reader profile and capitalize on every opportunity to reach outside markets.