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Relationship Marketing Q&A

  •   What is the best combination of channels for relationship marketing? Does the best combination depend on the type of drug being promoted?

    Answered April 2nd, 2009 by Expert: Jay Bigelow

    In my opinion, there is no one best combination of channels. And yes, the type of drug being promoted does influence the mix of channels, although there are other considerations as well.

    When we do connection planning (the art and science of figuring out the best way of reaching a target audience) our first step is to get inside the head of our intended customers. Where they are mentally is as important to know as how to reach them physically. Mindset determines receptivity to what’s being communicated as well as the best way to frame the content for maximum impact (we call that content in context). It also informs when the customer might be most open to receiving information and who would have the greatest impact in delivering the information. Behavioral science overlaid with good connection planning is how we select the best mix of channels for relationship marketing initiatives.

    For example: One of our clients has a hyperphosphatemia product that is critical for dialysis patients. We knew through basic research that these patients spend several hours over multiple days each week inside
    dialysis clinics. The significant behavioral insight we uncovered was the depth and trust of the relationship built between dialysis patients and renal dietitians. With that “aha” we discovered an ideal place (both physically and mentally) to activate a meaningful conversation around successful treatments and long-term management of hyperphosphatemia. This effort is primarily an off-line one based on reach and demographics parameters.

    Of course, cost also needs to enter into the channel mix/planning process. Ideally, a well-thought-out audience segmentation strategy will include a predictor of monetary value (i.e. lifetime value - both
    current and future). Again, by leveraging behavioral science we are able to identify appropriate segments, predict which segments are more likely to increase in value, and isolate which channels offer the best way to
    engage each segment. For example, we know that as a general rule women are more engaged in the healthcare system than men and more willing to join (opt into) a support network. So for one of our clients with a product used for children, we’ve had great success engaging moms through online communities.

    In summary, while the best combination of channels is strongly influenced by the brand, it is equally and vitally important to identify - through behavioral insights - the best way of engaging those customers in a meaningful dialogue with the brand.

    2 comments
     

    2 responses to to “What is the best combination of channels for relationship marketing? Does the best combination depend on the type of drug being promoted?”

    1. Stephen Salant asks:

      “Nowadays, consumers are in control - how has that influenced relationship marketing?”

      Here is Jay’s answer:

      “Good relationship marketing has always been about getting the right message to the right audience at the right time. In the past, this has resulted in a ‘push’ mentality, with marketers focused on sending brand-centric messages to their target audiences. With customers now in control, a smarter approach is to find new and innovative ways to create a ‘pull’ approach, in which customers take an active role in seeking information, requesting more (and more specific) information and providing feedback so marketers know what was useful and what wasn’t.

      For example, one of our clients wanted to introduce a new therapy approach that meant asking a group of physicians to fundamentally change the way they practice medicine. To encourage this change in behavior, we created a physician-centric web experience that provided a comprehensive range of news and information – all in one, easy-to-use place – that physicians said they needed and wanted to know.

      To develop this program (and others like it), we gave customers information we knew they needed, but also asked them what additional information they wanted (while of course staying within the bounds of legal, regulatory and copyright laws).

      Programs like this require both brand building and sustaining more open and honest dialogues with customers. Allowing customers to interact with the brand and providing direct and meaningful input about what they want from the brand and the brand experience is vital.

      When using this approach effectively, it’s critical that the brand be perceived as both personal and trusted. This means finding ways to earn the customers’ trust and building advocacy for the brand, especially If customers can go elsewhere for their information.”

    2. How exactly do you define CRM? How is it differentiated from other digital promotional communications and/or activities? Is there a standardized definition that is in use?

      Debbie, here is your answer from Jay:

      “There are many definitions of the term, depending on your perspective or bias. Although the concept of customer relationship management is self explanatory, (i.e., establishing and managing the relationship with the customer), several technology vendors (mainly Siebel) usurped that textbook definition years ago to mean a software platform.

      For us, however, CRM is a marketing strategy based on the belief that by having an honest dialogue with your customers and by building trusting, ongoing relationships, a brand can better meet the needs of its customers and thereby increase sales, create more loyal customers, and ultimately help foster brand advocates.

      It’s important to recognize that CRM is a marketing strategy, and as such can be (and in some cases must be) conducted via multiple channels – not just a digital one. While digital channels offer excellent ways of building engagement and furthering relationships, customers interact with brands through a myriad of connection points (like Websites, direct mail, e-mails, retail locations, blogs, advertising, collateral, etc.). If marketers want to multiply the impact of their CRM efforts, they must therefore take a more holistic view. The requires developing a complete marketing program in which specific communications that use specific channels fit into a larger, more interactive and comprehensive program that is both mutually beneficial and long lasting.”

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