The soft buzz in the aisles at last week’s National Center for Database Marketing conference was about requests for proposals. They’re increasing, which according to one forecast means that the industry should see some movement, if not recovery, within the next six to nine months.
Further conference buzz indicates that some marketers already get it. AARP, for one, is going after ethnic populations it has traditionally undersolicited. Within the past two years the Washington, DC-based senior services and lobbying group has developed an effective control package geared at the Hispanic market. It’s also using its traditional mailer a lot more aggressively within the African-American community.
While prospecting isn’t as initially lucrative as relying on existing customers, once these markets are developed the campaigns will pay off – and keep paying off through the next downturn.
Bully for AARP. Since there ain’t nobody making money right now, they’ve decided to invest in opening up new markets. By not waiting until the upturn to test, they won’t have to lose months during the recovery period designing an effective control package.
In a way, it’s rather fitting: The organization closest to singing "We’re in the Money" when the current economic woes break serves people old enough to remember the song’s initial popularity.
To respond to the opinions in this column, please contact rlevey@primediabusiness.com
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In last week’s column (Loose Cannon: Under Chapter 11, Will Airlines Ditch Frequent Fliers, Dec. 6, 2002) I discussed potential problems airline loyalty program participants would face if US Air and United went into Chapter 11 protection. While United subsequently did file for protection on Dec. 9, US Air has been operating under Chapter 11 since Aug. 11. Both airlines assert that their frequent flier programs will remain intact.
