The Challenge
A Time Warner Cable Division wanted to maximize the efficiency and effectiveness of its direct mail marketing. By targeting specific market segments with demographically relevant images and messaging (Fig. 1), Time Warner hoped to reach customers on a more personal level and increase response rates. To ensure its budget was spent wisely, Time Warner also needed a way to determine which segments and messaging provided the greatest return on investment.
The MainTrax Solution
MainTrax assigned each segmented mailer a unique toll-free number in order to track and measure the responses of each targeted demographic. Within days, MainTrax informed Time Warner precisely which market segment generated the lowest response rates (Fig. 2) and highest cost-per-call (Fig. 3). Armed with this information, Time Warner Cable strategically redirected its marketing by replacing an underperforming segment with a new target group before sending all segments a Last Chance postcard.
Results
The new customer group responded to the marketing effort at a rate of 1.76%, an increase of 49% from the previous segment's response rate. As a result, Time Warner received 480 new calls that otherwise would have remained unsolicited. By leveraging MainTrax data, Time Warner Cable increased its marketing agility and maximized its ROI.
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