IDM Business Performance Award 2000: finalists
Three very different fields—TV licensing, fleet management and publishing—were represented by the finalists for the 2000 Award.
What they had in common was their clear demonstration of how strategically applied direct marketing can build businesses, shape products and improve services.
Client: Envision Licensing
Agency: OgilvyOne
Campaign: TV licensing
Evading payment of the TV licence fee is a criminal offence, but one that is committed by one in 20 households in the UK. A new licence fee collection consortium applied data analysis techniques to the identification of non-payers. Through applying the effectiveness and cost-efficiency of its communications, follow-up activity significantly increased. As a result of applying a scorecard to communications in year one, a response rate of 16 per cent from the evader population was achieved. Just less than 250,000 previous non-payers were encouraged to pay for their TV viewing.
Company: PHH Business Solutions
Agency: Not applicable
Campaign: AllStar fuel card
Changes in the fleet management sector are being wrought by new taxes and environmental controls. To maintain growth and protect market position, the company developed new branding, introduced direct marketing techniques for the first time and focused on added-value product options. Incremental card sales rose by 49,000 in one year, producing a 21 per cent rise in revenue from a marketing budget of £125,000. A lifetime value calculation, based on current attrition rates and incremental revenue, showed the new sales to be worth £120 million.
Company: Penguin Books
Agency: Not applicable
Campaign: Puffin Book Club relaunch
Following the move in-house of the Puffin Book Club in 1996, it was recognised that a major overhaul was required to ensure this long-running programme realised its potential. In 1999 a dedicated in-house department was established, with its own staff and database. Growth targets were set and direct marketing campaigns refocused, with a strong emphasis on service. As a result, average order values doubled, new members were recruited, lapsed members reacquired and increased direct mail made possible within existing budgets.
| All coverage of the IDM Business Performance Award 2000 has been reproduced with kind permission from Marketing Week. |  |
