What is included?
Make sure you know what type of direct marketing list you are buying. Does the list include names and addresses? Are phones included? What about emails? Don’t assume that because you requested a mailing list, phone numbers or emails will be included. Some mailing lists will include phone numbers, but many will not. Mailing lists do not typically include email addresses, but many mailing lists do have email addresses. It is very, very important that you and your list broker are clear about what type of direct marketing list you want to use.
You should also know what “picks” are offered. A selection is an item that can be used to further target a direct marketing list, such as geographic areas, job titles, industries, age, marital status, and more. Depending on how the data for the lists is collected, it will be determined which selections are available. Some lists will have myriad selections that you can apply to the list to narrow your target, while other lists will not be able to offer any.
How are they obtained?
It is important to know where the information in your marketing lists comes from. Obviously, you want to know that the information is legitimate and compliant, but did you know that your response rate can vary depending on the source of the listing? There is a big difference between direct marketing lists that are derived from actual shopping behaviors and lists that are compiled from public records.
The source can be classified as responsive or compiled. Each type has its advantages and disadvantages.
- Answer – These are people who have freely provided their contact information. They are typically collected through sources such as previous magazine subscriptions, catalogs, and direct marketing responses. These lists are usually more expensive than compiled lists, as the information is self-reported and often very specific. These lists can be sorted by interest, family income, marital status, and other factors.
- Compiled – are made up of people with similar interests, such as real estate agents or dog breeders. These lists are compiled using a variety of public sources, including government databases, vehicle records, credit card lists, and telephone records. These lists tend to be less expensive than response lists, as they are easier to keep up to date and the available selections are not as refined. The domestic or business contacts on these lists can be classified by geographic location, gender, ethnicity, income, and age.
Your list broker should be able to guide you on which list source would work best for your direct marketing campaign.
What is the real cost?
Understanding the cost of your list is crucial. You don’t want to be in a position where you think you know what the cost of the list will be, only to find that it is not what you expected and is now over budget. Your ROI depends on your list The broker should provide you with a data card or a complete proposal that explains the total cost of your list. If you don’t understand what your listing agent is offering you, or if you have any questions, ask! You cannot afford not to know what you are buying.
Direct marketing lists will generally have a base price, with additional picking and shipping costs.
The base cost of a list is calculated as a cost per thousand, which means that you are charged a certain amount for every 1000 contacts that you would like to use. The cost per thousand is expressed as “/ M”.
Depending on the listing, there may be additional fees for adding phones or emails. It is very important to make sure you are aware of these charges.
The selected cost is also displayed as a cost per thousand. The more selections you apply to your list, the more specific your list will be and the better the results will be. However, it will also add to the total cost of your list.
Processing and shipping charges are a flat fee charged by the listing owner for the data to be formatted and delivered. Costs vary from owner to owner and can range from $ 25 to $ 100.
So if the base cost for a listing is $ 95 / M and you are looking for 5,000 records, your base cost would be $ 475. If you want to target homeowners within a certain area and phones will be included, there would be additional costs. Selecting owners only will cost you $ 10 / M, geographic location will be included, and phones will cost an additional $ 30 / M. This makes it $ 525. Add $ 50 for processing and delivery and your cost will be $ 575. Your listing broker should be able to explain all the costs involved.
Please note that many lists have minimum volume requirements. If the number of records you need is below the list owner’s minimum, you may be charged an additional fee. In contrast, many list owners will offer volume discounts if the number of contacts on their list is large.
Lastly, make sure you know what currency the listing is trading in. There are list owners all over the world who work in different currencies, do not assume that it is quoted in the currency of your country.
How current are they?
How old is the list and when was it last updated? Direct marketing lists deteriorate with age. People or companies move, contacts leave or change departments, people die, etc. There is no shortage of circumstances that will affect the contact information in a listing. Most list owners will run a standard update every 30 days removing the wrong entries. This ensures that the data you are using is accurate and deliverable. There is no point in using a list if the information it contains is not accurate, so make sure your list is up to date.
Do they comply with the standards?
Email and telemarketing lists must adhere to the CAN-SPAM Act and the National Do Not Call registry, respectively. If you are planning a direct marketing campaign outside of the United States, you must ensure that the list complies with the rules and regulations of that country. The responsibility lies with you, the end user, to ensure that you are complying. Being sold a bad list is not a defense, and fines for violating regulations can be stiff. Ask the broker on your listing to confirm that their listing is a complaint.
There are many list brokers who are only interested in getting your money. They have cheap direct marketing lists that are out of date and non-compliant. Protect yourself from these shady list brokers by asking the right questions. If they can’t or won’t answer your questions, stay away from them. A legitimate listing broker will have no trouble answering any questions you may have.