Email Databases: Managing, Updating and Analysing Data
As outlined in the DMA Best Practice Guidelines there are clear policies governing the collection and management of customer data. As email is now a well established tool for both prospect and customer communication and brands have amassed large volumes of data, it's imperative that organisations put measures in place for managing, updating and analysing customer information. This not only ensures that brands stay on the right side of the law; it significantly contributes to the success and profitability of the communication strategy. Storing customer details Given that a customer can have multiple points of contact with an organisation, there are many ways that their personal details, including email address, can be captured. This could be via the phone, a warranty card, as part of a transaction, a booking form, or as an entry into a competition. Data could also have been sourced via a third party. It's therefore important to ensure that the data, source and permission status is recorded for each individual on the database. If the email address was obtained as a result of product purchase or sale negotiation and the consumer was offered an opt out, the soft opt in exclusion can be applied. However if the data has been obtained from a third party for marketing purposes, then it's imperative that positive consent has been gained from the individual to receive unsolicited commercial email messaging. Full details on opt in and opt out can be found in the DMA's Best Practice Guidelines. A key consideration is also the age of the email and contact information stored on the database particularly that which was captured before the new Electronic Communications Regulations came into force in 2003. Ideally such individuals should be segmented by those who have provided positive consent, those whose were obtained as part of a sale, and those who fall into neither and consideration be given to update their details and their preferences. Regardless of when and how data has been collected, it's recommended that the date and source for each individual record is recorded on the database. As customers, our lifestage, interests and habits change over time. So therefore we may choose to opt out of communication for products and services that are no longer of interest. Therefore it is a requirement to develop a policy that can effectively process this and manage reply handling. Opt outs should not be deleted, rather suppressed as these individuals may at some point in the future choose to opt back in. Equally insight can be gained from identifying who and why people opt out - are there certain similarities in profile that will enable organisations to predict other customers who may be likely to opt out and therefore is there the potential to reduce churn? Customers may also choose to opt out of some services but not others. Organisations have to consider how they manage preferences. So if a consumer opts out of a promotion for a specific product, does this mean the customer is flagged as an opt out for this product alone, or from all email marketing communications from the company irrelevant of product? For those organisations with multiple products or services, the challenge is to decide on how to manage permissions, whilst avoiding over-complex and time consuming data extraction processes. Keeping incorrect and out of date addresses to a minimum Managing bounce backs is essential maintenance for any email database, given that consumers change email, work and house addresses. And whilst most organisations will be suppressing invalid email data, it's just as important to check the changes to the postal address, particularly if your organisation sells localised services. So, cheap flights from Southampton Airport, no longer becomes a valid email if the customer has moved to Edinburgh. By applying some of the established DM suppression files, it is however possible to track change of address, and this provides an opportunity to re-confirm and communicate with the customer. There are many online data cleaning tools on the market that can audit and clean data quickly and cost effectively. Building Customer Knowledge Customer databases may range from containing an email address only, to a sophisticated transactional database rich in customer information. What's important is to ensure that the database contains relevant and actionable insight which is critical to delivering effective marketing communication. The very nature of email means that it is a cost effective and quick method of collecting additional essential details about the customer during the course of ongoing communication. So for a company offering gardening and household goods, it's of interest to understand more about the type of household and size of garden to ensure the relevant products are targeted at the customer. Gaps in customer knowledge are often created by poor data collection methods. By providing clear and easy layouts, with compulsory