Opening the Door to the Hispanic Market

6a00d834515c5469e201b7c72b276a970b-500wiThere is no doubt about it.  The Hispanic community has taken over a grand part of the ways in which the marketing industry has developed their campaigns.  Although it may not seem like much, “Hispanics now account for nearly 14 percent of the U.S. population,” (Armbruster 1).  In a country known as the melting pot of so many different cultures and races, this is a significant number.  This is where Power Direct’s door to door marketing proves that if a campaign is driven correctly, the outcome could be highly productive and pay great dividends.

It is important to note that the Hispanic community is highly influenced by the advertisements that they encounter.  In fact, “Advertising can dramatically affect Hispanics. 35 percent surveyed cited as a factor in selecting color cosmetics, compared with 8 percent of general-market respondents,” (Armbruster 1).  Power Direct knows that the greater the advertisement, the higher the chances the Hispanic consumer will respond to it. Power Direct’s data analysis team strives to provide the very best possible marketing campaigns to achieve maximum results and even greater payouts.  By using predictive analysis via demographic/census data, our team can target the  best possible target audience  which allows for maximum results..

In addition, Power Direct, along with our clients, “provide real value and credibility for Hispanic consumers to consider [their] product,” (Armbruster 1).  The Hispanic community is not easily driven toward a product unless they trust that there is true value in it.  The presentation of the product and the ways in which a program is being advertised becomes a strong component in the Hispanic communities’ willingness to respond. Power Direct’s marketing team ensures that the product is advertised in just the right way.  Whether through the use of a jumbo door hanger or by a customized die cut shape door hanger, Power Direct is sure to get the attention of the Hispanic consumer through their door to door advertising strategy.   Providing value and credibility is the primary goal because we know that this is the key element in a campaign’s presentation to create greater response rates from the Hispanic community.

Other techniques proven to work in engaging the Hispanic market community are by television ads and Power Direct has taken a strong lead in the marketing world working with various cable and television companies and proving themselves as a successful asset to clients.   To reach the Hispanic community, many cable companies have turned to marketing campaigns aimed toward Latin communities knowing that the outcome and response rate will be much greater.  At this very moment, “Spanish-language television is hot.  Last year the media registering growth was not the internet, but Spanish-language TV.  According to Neilson, Internet ad spending increased a relatively impressive 12.6 percent, while the major Spanish-language TV networks were up 15 percent.” (Armbruster 1).

Companies such as Telemundo and Comcast have turned to Power Direct to help generate marketing campaigns that will help boost their strategic modeling to improve revenue.  Power Direct runs door to door campaigns and is able to target any ethnic group individually.  These campaigns run across the nation, in various versions and offer great response rates.  Other than the advertisements placed on television, marketers must find a means by which to place advertisements for shows and television alike.  The Hispanic community is big on television and if the campaign is driven by a professional and well-equipped firm such as Power Direct, the final revenue potential for the client could be significant.

Advertisements offering group discounts or coupons can be highly effective for Hispanic markets as well.  It is said that “Hispanic consumers have a different shopping style than Anglo consumers.  Hispanics consumers often make shopping a family event and thereby will often shop in groups,” (Armbruster 1).  Integrating advertisements that would entice consumers to go shopping together as a group would give the Hispanic community a higher incentive to go to the desired business location.  This type of advertising can be easily integrated into Power Direct’s door hanger campaigns.  Since door hangers can be customized to print any coupon, graphic, or even shape, a client could easily advertise group rates or coupons into their advertisements.  The Hispanic community tends to do their shopping in groups or with family due to their strong family bonds.  For this reason, advertisements including groups of even families would be highly effective for this type of consumer as it would help spark their interest even further, showing that the company took a personal interest in their personal needs, wants, and values.

Marketers must also take Hispanic consumers’ personal interests into account when directing their campaigns and, for this reason, Power Direct uses data analysis and product modeling to evaluate further the market.  The Hispanic consumer is looking for more than the average product.  In fact, “Crossover Hispanic consumers often spend more than Anglo consumers on personal style items such as high-cost cosmetics and clothes making them ‘fashion-forward’ consumers,” (Armbruster 1).  The average Hispanic consumer wants the high-fashion item that will put them at the top of  the season’s latest trend.  Therefore, the Hispanic community is more likely to spend more than Anglo consumers because they simply want to be a step above the rest in their fashion purchases.  Again, this is an opportunity for yet an even greater revenue opportunity for companies and Power Direct stands by our clients providing the most efficient data provided by our professionally trained data analysts to create the best possible targeted campaigns. Through the use of predictive analysis, the Hispanic consumers’ needs, wants, and desires are met and applied through door to door campaigns.  Power Direct offers a strategy that brings an ad right to the very front door of the consumer, providing a personal connection.  By offering campaigns in the Hispanic market that are directly targeted toward high-priced, fashion forward items, the response rate is sure to be greater.

The Hispanic market has proven itself to be a profitable market to dive into due to their willingness to pay top dollar for fashion –forward items, but this phenomenon is spreading to  younger generations.  Not only have Hispanic adults made up a large portion of the consumer industry but  more often millenials  play  a substantial role in the market as well.  Latino teens have a large influence on the consumer market spending “about $20 billion a year,” (Armbruster 1).  Just like their parents, Hispanic teens are going into the market strong, proving that this community matters.  Whether age 16 or 43, the Hispanic community is hitting the market with a boom.   Power Direct uses data analytics to ensure that these target audiences are reached and that the right door hangers are brought to their very doorstep so as to provide exposure and higher response rates from the Hispanic community.

Even with its definite high value, Power Direct knows that the Hispanic marketing can be quite tricky since this particular community cannot easily be influenced.  This is to say that “Marketing to Hispanics cannot be turned on and off like a spigot.  It takes time to win trust from this closely knit community.  Don’t expect a miracle in a month.  Be committed and consistent,” (Armbruster 1).  However, as a client, one should not give up simply because it is a difficult market to conquer.  The Hispanic market has a lot to offer.  Once this market has been won over, they will begin to gain trust and are more likely to be loyal to brands and companies they trust and value.  To truly become successful in this market, those wanting to gain trust and profit must adhere and cater to the Hispanic community.  It is suggested to “make it a mission to hire capable and completely fluent bilingual receptionists, salespeople and service people,” (Armbruster 1).  Power Direct knows that trust and catering to their clientele is a critical element to a successfully run campaign.  Therefore, Power Direct has highly professional bilingual executives ready to answer questions at any time a consumer wishes to call.  Power Direct provides a phone number on every single door hanger they print for their clients, by which any consumer may call if they should have questions regarding the advertisement and they have hired bilingual staff to assist those in need of assistance.

Although it may seem to be a hard task due to its various elements of detail oriented and customization marketing techniques, routing campaigns toward the Hispanic demographic like Power Direct provides, could prove to be highly successful.  It is true, “a move into the Anglo-plus-Hispanic marketing can be daunting, when done properly it can bring exceptional plus-market share to business,” (Armbruster 1).  Whether the consumer is young or old, the Hispanic consumer is hitting the market with a bang.  It is up to companies to choose the right marketing firm like Power Direct to join together to help target the Hispanic Market and open the door towards creating campaigns that will engage, captivate, and continually peak the interest of the Hispanic community.

 

Works Cited:

Armbruster, Adam. “Add Hispanics Into Your Ad Mix.” Television Week 25.36 (2006): 11. Business Source

Premier. Web. 5 Nov. 2015.

The Benefits of a Door Hanger

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Improving Subscriber Acquisition with Front-Door Marketing

Driven by Competition, Cable Marketers Get Creative with Precise Targeting Strategies

Subscriber-Watching-TelevisionAdvances in cable television, broadband speeds and communications options are fueling the growth of today’s cable services industry. At the same time, economic issues and an ever evolving landscape are causing consumers to take stock and make choices carefully, evaluating not only varied options for telecommunications service – such as MSOs (Multiple System Operators), digital satellite providers and telephone companies – but also their choices within the preferred company’s menu of services. In this highly competitive space, cable operators have seen their subscriber counts drop 3.8 percent to 23.2 million in the top 15 markets during the first quarter of 2011, according to SNL Kagan.

Furthermore, customer churn is an industry-wide problem, and new subscriber acquisition is a constant challenge for marketers. Advertising in traditional media like television, radio, and newspaper can be effective, but these methods are also overly broad and waste resources on audiences outside the subscriber footprint. Direct mail is inherently targeted, but can also be quite costly and not necessarily actionable. So what is the solution for marketers? 

Well, refining the direct option with response-driven front-door marketing is proving successful in meeting these challenges – leveraging improvements in data research, analysis and application for competitive advantage.  Today’s front-door marketing campaigns take a scientific approach that incorporates the same precise targeting methodologies as direct mail but remain focused on placing a relevant offer with only the most appropriate customers.

Tasked with growing their footprint while increasing their subscriber penetration, cable service providers are turning to this revitalized, grass roots medium. By leaving an ‘invitation’ at the front door, front-door marketing puts the message and corresponding offer directly in front of a captive audience – receptive and relaxed in their home environment where many purchasing decisions are being made. Additionally, the front door is distanced from the stacks of junk mail at the mailbox and the barrage of noise on the television and computer. With a targeted brand message and high-value offer in hand, subscribers are driven to give serious and immediate consideration to what has been presented.

Take the case of one of our telecommunications client whose regional team approached Power Direct to assist in promoting awareness of their branded fiber optics network among new and existing customers in two specific markets. Power Direct’s ability to quickly dispatch the campaign from start to finish within 14 business days was an important advantage for the cable service company. The recommended program delivered a printed 4-panel front-door media piece, which allowed the client to more fully convey the brand’s message and value proposition. Interested customers were then encouraged to call an 800 phone number printed on the inside. The client was also provided with a targeting recommendation that included targeting of zip codes with a high penetration of homes passed (homes within the cable provider’s footprint) to efficiently maximize the client’s reach.

What are your current media options for reaching new customers?

You may also be interested in reading more about our solutions for the Telecommunications industry here, or you can check out one of our case studies here.

3 Tips For A Better Hispanic Marketing Campaign

Targeting-Hispanic-Consumer-with-Power-DirectThe Hispanic market represents a huge potential and challenge for every marketer. As reported by AdAge, US Hispanic media spending grew faster than general market media, with a 4.6% growth in 2011. However, strategies and spending varied across the board for the 50 largest Hispanic advertisers, with some slashing budgets while others, including Procter & Gamble, Ford Motor Company, and Kraft, posted big increases.

With these varied results, how can marketers ensure their advertising dollars are maximized with the Hispanic audience? Here, we share 3 tips to get your best result:

1. Deliver cultural relevance.
As with any type of multi-cultural campaign, differences in dialects, food, acculturation level, and values can impact a marketing campaign and should be considered. For the Hispanic audience, whose constituents identify by country of origin (e.g. Mexico, Puerto Rico, Salvador, etc.), even idioms or local colloquialisms might not translate from one Hispanic subgroup to the next.

2. Reach consumers when they’re most responsive.
Hispanic shoppers are responsive to incentives and offers, and reaching these shoppers during the decision-making process is critical. As most purchase decisions are made even before a shopper steps into a store, marketers must make an effort to reach shoppers at home. With the increasing number of consumer touch points available to marketers now, care must be taken to rise above the ever-increasing ad clutter.

3. Create word-of-mouth to amplify impact.
Localized campaigns, like front-door marketing, that are relevant and include valuable offers can create greater traction by leveraging the natural word-of-mouth, large family size, and the close-knit nature of Hispanic communities. The key here is to focus on delivering a hyper-local advertising message that can be naturally shared by the Hispanic shopper and their immediate community and network.

To learn more about how front-door marketing reaches and engages Hispanic consumers through the front-door, check out this Portada article or read one of Power Direct’s case studies.

What other tips would you offer to maximize a Hispanic marketing campaign?

3 Steps to a Better Targeting Plan

Photo by cliff106We’ve talked about targeting in the previous post and how it’s done for a front-door campaign. In general, though, leveraging available consumer information, whether third-party or in-house, is one of the most important steps in a campaign.

Here, we share three steps you can take to creating a better targeting plan for your next campaign.
 
1. Start with the right strategy
Take a moment to understand how you are reaching your customers. If it’s through the front door, then evaluate whether your message will resonate in the same way that it does via a television commercial. Ask questions: What do we hope to achieve? Can we make a unique, high-value offer specifically for the front door? Is the offer compelling enough to drive ideal customers to action?
 
2. Leverage existing customer information
Many brands already have well-developed customer profiles, created from either internally managed sources or response data from previous campaigns. Leverage this information to create a unique profile for your campaign. Doing so will allow you to identify any new learnings from the campaign and enables you to track these customers and their behaviors more accurately. Furthermore, data modeling of this customer data can help find “look-alikes” and even predict future behavior.
 
3. Add other quality data sources
If you don’t have years of curated internal customer data, then use third-party resources. Resources like Nielsen Claritas, Simmons, and the US Postal Service provide demographic, behavior, and purchasing data that helps you further understand your target audience. Also, be certain to use up-to-date information, such as in the case of the Census demographic information.
 
What are some other ways you’ve improved your targeting plan? Share with us your ideas in the comments below.
 

Are You Targeting At the Right Level?

A look at  DMA, zip code, and block group level targeting

Can you visualize who receives your marketing message? Is it 10,000 people or just 100?

Prior to the skillful targeting capabilities applied today, front-door media, like other many other media, was delivered based on zip code or even DMA market saturation. That meant everyone within a zip code (approximately 13,000 households) or a market would receive the same media message regardless of demographic importance or project objective. However, by abandoning this type of approach and moving to the use of US Census block groups — census-defined territories consisting of 100 to 400 households–marketers can now define and execute extremely targeted distributions.

How targeted are we talking about? Here’s a simple map illustration of the difference between targeting at the DMA, zip code, or block group levels.

DMA-ZipCode-Block-Group

And here’s a more detailed look at the difference between the zip code and block group levels.

Block-Group-ZipCode

How are you currently targeting your ideal customers? Is your message targeted enough to help achieve your marketing goals?

5 Terms to Help You Evaluate Your Front-Door Program and Partner

Defining-Front-Door-MarketingOver the years, we’ve worked with a multitude of clients within various industries, all of whom have needed some education, in some form, in front-door marketing. Instead of providing all of our sales collateral and presentations, we’ve listed five key terms (and their definitions according to PowerDirect) to help you frame a better understanding of front-door marketing, and how to evaluate future front-door partners.

1. Front-Door Marketing
(noun) A highly specialized and measurable discipline that uses creative, precisely targeted media to reach and engage consumers through one of the last uncluttered environments — their front door.

Contrary to popular opinion, front-door marketing isn’t just door hangers. Polybags, boxes, and express envelopes are among the different print materials and construction that can be delivered to the front door. In front-door marketing, the focus is on the uncluttered space, rather than the media type. Your front-door partner should be able to develop any type of front-door program for you — and not just using door hangers.

2. Block Groups
(noun) Formally known as US Census Block Groups, these are Census-defined territories of approximately 100 to 400 households, and typically smaller than a zipcode, which includes approximately 13,000 households.

Block group targeting and delivery is unique to front-door marketing because it allows for extremely targeted and efficient distribution, while still providing enough market coverage. Ask your front-door partner at what level they target and deliver (DMA, CBSA, zipcode, or block group) to determine overall program efficiency.

3. Reco or Counts
(noun) Short for “recommendations” and “household counts”, these data sheets outline the program’s targeting recommendation based on specific consumer demographics

Recos and counts are a good demonstration of a partner’s targeting capabilities and experience. What typically happens in the targeting analytics process is that the front-door partner will rank all the block groups in your desired market based on your ideal customer profile (or specific demographics) and select the “best block groups” for your campaign. Ask your front-door partner for counts or recos in a specific market; your front-door partner should be able to provide you with recommendations that include not only demographic, but also psychographic and expenditure information.

4. GPS Delivery
(noun) Delivery that can be tracked and verified via a global positioning system

The use of GPS technology varies across the front-door marketing industry. What doesn’t vary is the back-end reporting and analysis of the GPS “maps”, which log GPS coordinates and movements on a satellite map image. Ask your front-door partner to provide you with a post-campaign GPS map and analysis. Their GPS teams should be able to provide you with information on how fast the delivery occurred, any indications of abnormalities in delivery, and a grade for the overall delivery.

5. Overages
(noun) Block groups that are similar to program-selected block groups, and have been identified as “contingency” zones in the case that program-selected block groups cannot be delivered to.

Overages are basically contingency areas. Most front-door marketing companies recognize that not every city is a perfect delivery zone. Geographical limitations may prohibit delivery in certain block groups; thus, overages will address this challenge. Ask your front-door partner what limitations they have on delivery and what their policy is to address these limitations.

Are there any other front-door marketing terms you’ve encountered and don’t have a definition for? We’ll be happy to help you define them; just leave your comments below!

Understanding Diminished Response to Brand Marketing

Reasons why your marketing ROI may not be what you expect

Media-Clutter-NoiseMarketing to today’s consumer has become more complex. The communications landscape of today is busier and unlike anything ever before, with information and messages coming from mail, email, telephone, Internet, radio, television, mobile, social, even outdoor communications. Consumers are facing a surge in information that has the potential to, at best, overwhelm and, at worst, alienate. While marketers do calculate their targets, targeting may be too broad or a single consumer may represent the sweet spot for any number of target groups. As a result, that individual walks away unresponsive and feeling as if bombardment really is the name of the game. 

The New Normal
Broad-sweeping financial, economic and even political issues have had impact on the lives of Americans today. There is in effect a new normal, defined as permanent changes in consumer thinking based on the recession and economic challenges. Seeking value as a priority, paying cash for necessities, foregoing credit cards, searching for discounts and putting money in the bank have become the rule rather than the exception. And while the recession may officially be over, some economists say many of these changes in spending habits, initially seen as temporary, have taken hold for the long haul. This economic trend represents a significant opportunity for marketers, going beyond the sole purpose of grabbing someone’s attention, and instead delivering usefulness and value.

Feeding Fragmentation
At the same time consumers are overloaded with marketing messages that may or may not be applicable, marketers are dealing with increasing audience fragmentation. There was a time — a very short time — when a television ad could reach 70 percent of the viewing audience. Nowadays, network television has given way to an army of terrestrial, cable and now digital broadcast options offered by satellite, cable and fiber optics. The Internet changed the world and reaches anyone and everyone. Traditional print media — whether it be newspapers, magazines or direct mail — adds to the list of individual options for viewing information and interacting with commercial messages.  

Social media, email, print, radio and television all play a role in this deluge of information which continues to grow.  Marketers are seeing less favorable returns on their marketing investments and in turn must buy and manage communications strategies over a much greater number of channels.

Consumers in Control
Further, there is a marketing savvy present in today’s consumer that has grown out of this experience. Faced with a barrage of marketing messages and brand choices, it’s easy for consumers to believe that everywhere they look, everywhere they go, someone wants to sell them something. 

That growing media noise has taught consumers a new skill — that is, shutting down messages that are neither of interest nor meant for them specifically. Tuning out non-essential communications is a phenomenon that has dramatically reduced overall response rates,  even in the face of more and more and more communication and outreach from marketers. 

Marketers are determined to be heard over the noise but are ultimately only feeding the problem by buying more ad space and airtime, sending out more direct mailers, making more cold calls, and posting more tweets and Facebook updates. The good news is that consumers don’t inherently hate ads. They just hate bad ads that don’t bring value or otherwise matter to them – those are the messages that drive consumers away feeling alienated and are the type of tactics that skilled marketers need to sidestep.

The challenge for marketers is to understand that brand loyalty is being replaced by the pursuit of straight-up value, and take that concept further and determine new methods and channels for delivering on the consumer’s expectation of brand value and personal relevance. In our downloadable white paper (name and email required), we explore more about this issue and possible ways to improve ROI and motivate consumer action.

What other reasons or events have affected the response to your brand marketing efforts?

10 Simple Ways to Improve Your Direct Response Campaign

Leverage strategic thinking and execution to improve direct response campaigns

10-Simple-Ways-Increase-Direct-ResponseReaching the right consumer is becoming more difficult with the increasingly cluttered media landscape. Consumers are also becoming more accustomed to marketing messages, and their filters are more discriminating. However, this challenge is also an opportunity for marketers to win customers by delivering relevance, value, and, ultimately, engaging the customer.

Here, we’ve outlined the ten simple steps to improving your direct response campaign and your perceived relationship with your customers.

1. Think globally, but execute with precision
In today’s jam-packed direct response landscape, broad targeting can alienate. Reinforce your brand relationships and deliver on value expectations with precision targeting instead. Doing so will put you at the top of the consumer’s consideration list.

2. Execute today based on what you need to achieve tomorrow
Base your efforts on what can help you grow your results tomorrow and beyond. Capitalize on what you’re doing well and expand your strategies to include more than “just more” of the same.

3. Avoiding message clutter maximizes results
Take a savvy approach to your campaign by combining technology and a range of channels as well as grassroots communications such as front-door marketing. Remember: the only real difference between alternative and traditional media is perspective: the right channel is the one that reaches the responsive customer with the right message at the right time.

4. Customers expect you to know what they need; don’t show up empty-handed
Your brand message should always be persuasive, and give customers a genuine reason to respond and a high-value offer delivered in a useful, convenient way.

5. The path to purchase starts at home
Understand what makes your customers tick and meet them early on their path to purchase. While there are many elements that influence purchase decisions, perhaps none are stronger than experiences that start in the comfort of the home.

6. Science and technology drive results, but only if you stay close to the data
Integrate data about your customer into every campaign stage and use the data to support your plans rather than reshape them.

7. Don’t waste resources: targeting is the name of the game
Use factors such as demographics, lifestyle segmentation, consumer behavior, ethnicity, and consumer buying power as the starting points in your campaign’s targeting. Don’t forget to refine your ideal customer profile as the campaigns progress.

8. Test, evaluate, and adjust – learn something from every campaign
Always be prepared to re-prioritize data points that may unexpectedly impact your response rates, such as weather, geography, timing. Be further prepared to make adjustments with secondary campaign executions, such as increasing the frequency or value of your offer or shifting resources into a less cluttered channel.

9. Tracked results validate efforts and help expand targets
Direct response campaigns have the advantage of trackability, so keep a close eye on your campaign, budget, and results. Implement tracking and campaign management tools to help you close the loop on your investment, and when results are validated, use assumptive data modeling to build on what worked.

10. Even class direct response strategies can benefit from a fresh approach
Marketing budgets are tight and campaigns need to deliver, so develop a process for every campaign. Compare channel and results and think of ways to connect media touch points to maximize your efforts.

What are some other tips you would recommend for improving a direct response campaign?

So Long Average Joe, Hello Targeted Consumer

Segmentation and Targeting Make the Most of Today’s Diverse Audience

The term ‘Melting Pot’ has been used for some time to describe the makeup of the United States but has never before been more descriptive of today’s diverse population. With 2010 Census figures released this summer, many are speculating the growth of various ethnicities, age groups, familial status, etc. For marketers, this means figuring out what the new data will mean and how it will affect marketing efforts for years to come.

Effective data targeting can help you find your best prospects in a sea of consumers.

One thing is clear – ‘one size fits all’ messaging has no place in achieving real marketing goals. Census data and obvious societal changes over the last half-century represent not only the demise of the ‘average American,’ but also the resulting critical focus on segmentation in effective marketing. Knowing all there is to know about your customer is what it takes to be relevant with messaging and find the best ways to reach an audience.

Thoughtful analysis of segmented data predicates development of defined target groups that take into consideration not only who your best prospects are, but where they live and the probability that they will be moved to purchase your product or service. 

With PowerDirect’s front-door marketing approach the best prospects are identified and used to determine the most effective distribution strategy.  Geo-demographic clustering information and complex data are applied to identify and further segment the best prospects.  These groups can be targeted in much smaller units, based on “block groups” of about 400 households instead of entire zip codes.  Digging even deeper, custom profiles can be created using Census data, purchase behavior and lifestyle segmentation to identify clusters of homes that will in turn deliver the highest response rates on a campaign’s objectives.

Are you still trying to reach the ‘average Joe’ or are you honing in on your true targets? Are you taking advantage of segmentation methods that can be used to pinpoint your ideal customer’s front door?