Business Services Industry

Mail-Order Math.(Brief Article)(Statistical Data Included)

Target Marketing, July, 2001 by GELLER, LOIS K.

What you need to know before you get creative WHEN NEW CLIENTS come to our agency, they often will start a meeting by discussing creative possibilities: "What do you think the ads should look like?" "What do you recommend for direct mail pieces that really jump out and excite prospects?" "Should we test a direct response commercial?" Usually, I suggest that before we discuss creative, we find the marketing allowable.

And usually they'll reply, "What do you mean?" I explain that we have to know, at the beginning of the process, how much we can spend to acquire a customer. We call this our marketing allowable. As we've seen from many recent dot-com failures, sacrificing profitability in the name of customer acquisition is a formula for...

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