Nearly $28 Billion Spent by Holiday Shoppers

Retail and online stores generated nearly $28 billion dollars from holiday sales from November 1 to December 27, 2007, according to ComScore.

With $730 million in sales Cyber Monday (November 26) once again surpassed Black Friday (November 23) by $200 million in sales. Yet both days failed to beat out Green Monday (December 10) which saw sales of $880 million.

Even after Christmas, consumers continued to take advantage of online deals, spending $545 million which is twice as much as last year.

Overall retail spending saw a twenty-one percent increase over 2006, according to ComScore.

So, the 28 billion dollar question is: What was your company's share of the $28 billion in spending? Stop watching other companies make money--resolve to market smarter in 2008!

Let Variable Thinking show you how to lower your marketing costs while more effectively reaching your target market. Get the word out about online and offline promotions to consumers most likely to buy your products and services.

Variable Thinking December Newsletter

Variable Thinking Wins International Award
Variable Thinking was announced as a winner in the 2007 Davey Awards by the International Academy of the Visual Arts. Variable Thinking was among those honored for the finest creative work from the best small firms, agencies and companies worldwide. The Davey Awards is judged by the International Academy of the Visual Arts (IAVA) whose members include: Yahoo!, Estee Lauder, Wired, Bath & Body Works, Brandweek, Polo Ralph Lauren, ADWEEK, Coach, MTV, HBO, and many others. Read more...

Trends in Marketing
Huge profit potential in travel industry for 2008! Read more...
Direct mail continues to grow. Read more...
Customer retention and market segementation are main focus for marketers.
Direct mail response rates increasing. Read more...
Car dealers can expect increased web traffic in 2008. Read more...
Green marketing continues to grow.
Gen X gaining ground as target market.


Partnering With Us is the Smart Choice
Busy CEOs and advertising executives know when they find an exceptional and dependable business partner to handle the smallest or most technologically advanced project, they've gained an advantage.

Here's what Owner & President of Mann Marketing Agency, Ed Mallof has to say about Variable Thinking:

“The PURL technology sends the leads directly to the appropriate sales rep. That means we get the customers when they are in “buy mode” and no time is wasted figuring out who will respond to the lead. The customer responses we receive allow us to better serve our clients now, and better market to them in the future. Where else can you find such a great return on investment?”

To improve your ROI, call today and learn the many ways Variable Thinking can make your business better. Request a call today!

Customer Spotlight
In a cooling real estate market, Variable Thinking's one-to-one marketing is getting hot results for mortgage and real estate clients, including Guaranteed Rate, one of the largest independent mortgage companies in the Midwest.

Director of Marketing for Guaranteed Rate, Cheryl Cepuran says, “After searching for several online marketing solutions we found Variable Thinking. Apart from their outstanding technology and creativity, their solution has incredible functionality. Now we track all campaign responses in real-time. The marketing dashboard is so easy to use and allows us to not only recap our campaign at the end of the promotion but to get real-time reports mid-campaign.” This could be you! Contact us today!

Free Webinar!
Learn how your company can maximize profits! Attend one of our free weekly marketing webinars held every Wednesday from 2:00 pm to 2:45 pm CDT, and enter to win a free three day/four night trip to the Grand Bahamas! Sign up now!

MARKETING SPECIAL
Personalized direct mail with PURL services come with free web analytics and lead generation including:

Free real-time reporting
Free real-time targeted lead generation
This quarter only!
Find out more!

PURL TESTIMONIALS

“The PURL technology has allowed us to gather more information and build a stronger database of our customers than we ever thought possible. In my 20 years of marketing I have never seen such valuable data. This is powerful stuff!” - Keith Lemay, President, LeMay Cadillac, Buick, Pontiac, GMC & Medium Duty

“We couldn’t be happier with the creative and fully customized pieces Variable Thinking designed for us. They really understand the marketplace and hit the mark with their solution. We recommend the Variable Thinking solution to anyone who wants to build stronger business relationships and automate the selling process.” –Lori Greenberg, Director, Atlantis Casino and Hotel

“Variable Thinking is devoted to revolutionizing the direct mailing industry. Their technology is just one aspect of a great solution. Their ability to integrate our recommendations into the development process has saved us valuable time and money. We couldn’t be happier.” - Paul Mailto, Branch Manager, Country Companies Insurance

“The PURL offers dynamic and exciting materials that reach to tech-savvy individual as well as the computer beginner. The process is very straightforward and trouble-free for the customer and has shown to be a very effective tool to reach our current and potential customers.” - Cheri Arnott, Corporate Vice President, Citicorp Cards Division

The difference between the marketing results you're achieving now and the results you strive for is Variable Thinking. Contact Variable Thinking today! For immediate assistance call 866/346-1400 or email sales@variablethinking.com.

Business Travel Expenses Take Off in 2008

Hoteliers and Tracking Tools Benefit From Historic Highs.

According to an October 2007 American Express Global Business Travel Forecast, air travel, accommodations, transportation and meeting facilities will see a sharp increase in demand for 2008.

Expect Travel Rate Increases
Business travel demands will continue to drive an increase in rates, including double-digit hotel increases in certain markets in the US, Europe and Asia.

This poses a challenge for business and travel managers. According to Vice President and Global Leader for American Express Business Travel Advisory Services, Mike Streit, the average domestic inclusive business trip (airfare, care rental hotel) will increase six percent, bringing the average price to $1,100 domestic and $3,171 internationally.

According to the American Express report, domestic economy travel rates are expected to increase five percent domestically and ten percent internationally. Hotel rates are expected to increase up to seven percent for mid-range hotels and up to eight percent for upper-range hotels in the US.

And That's Not All Folks
Due to the high demand and low supply, business travelers can expect changes in hotel terms as well as price. This may include a minimum or maximum stay requirements.

New Opportunities for Businesses
Due to the historic highs, stricter requirements, and challenges with keeping within a budget, travel and entertainment managers are expected to find ways to save money on meetings and events. This creates new opportunities for businesses that provide affordable travel and entertainment services, or who can offer cost saving conference or event services. Companies are also expected to increase their use of preferred suppliers to maximize benefits and savings.

The report also predicted a fifteen to twenty percent increase in the sale of compliance tracking tools, to help businesses save money.

To learn how to target this niche market and increase sales, contact Variable Thinking, or attend a free 45-minute webinar held every Wednesday from 2:00 to 2:45 pm CDT
To register visit: http://www.variablethinking.com/webinar.aspx

Read the entire American Express business travel report here: http://home3.americanexpress.com/corp/pc/2007/pdf/GBTF.pdf

Advantages of Personalized Direct Mail

Marketing gives a company visibility within a target market; it is how it attracts new customers and maximizes the lifetime value of existing ones. The ability to market a product or service is vital to a company's ongoing success-this is not a revelation. The struggle amongst marketing executives is never whether or not to advertise, but which marketing medium to make use of. With all the options that exist for marketing, consumers prefer personalized direct mail over other marketing options.

There are several advantages to using direct mail as your medium of choice to market your business. Direct mail is a cost effective way to target a specific market segment, while personalized direct mail adds to that medium an attention grabbing call to action.

Direct Mail and Segmenting a Market. [Read the entire article.]

Variable Thinking Newsletter, Oct.-Nov. 2007

Trends in Marketing

• Creating a more direct relationship with customers via your web or microsite.
  
• Delivering highly targeted leads to your sales department.
  
• Sixty-one percent of consumers prefer direct mail over any other marketing medium, according to a 2007 InfoTrends report.

Achieve the marketing results you strive for!
Variable Thinking is a full-service direct marketing firm that conceptualizes, designs, prints, double bar codes, and tracks your targeted direct mail! Variable Thinking also offers strategic demographic lists and personalized URLs (PURLs/microsites) to further increase response rates. From start to finish, our 30,000 square foot facility is equipped to meet all of your marketing needs! Request a call today!

Customer Spotlight

While other mortgage companies struggle to allocate funds for advertising, one of our newest clients is gaining market share with personalized marketing and achieving a 3% (and growing) response rate!
This could be you!
Contact us today!

MARKETING SPECIAL: Variable Thinking's PURL Marketing

Personalized direct mail with PURL services come with free web analytics and lead generation including:

• Free real-time reporting
  
• Free real-time targeted lead generation
  
• This quarter only!
  
• Find out more!

The difference between the marketing results you're achieving now and the results you strive for is Variable Thinking. So what is stopping you from moving forward? Contact Variable Thinking today and be one step closer to marketing success. For immediate assistance call 866/346-1400 or email sales@variablethinking.com.

Learn and Win!

Attend one of our free weekly marketing webinars held every Wednesday from 2:00 pm to 2:45 pm CDT, and enter to win a free three day/four night trip to the Grand Bahamas!
Sign up now!

To receive this newsletter monthly by email, subscribe at: http://www.variablethinking.com/.

Variable Thinking Wins International Design Award

Variable Thinking was announced as a winner in the 2007 Davey Awards Tuesday by the International Academy of the Visual Arts. Variable Thinking was among those honored for the finest creative work from the best small firms, agencies and companies worldwide. The company's website at http://www.variablethinking.com, won a Silver Davey in the Website/Moving Images category.

The Davey Awards is judged by the International Academy of the Visual Arts (IAVA), an invitation only, 200+ member organization of leading professionals from various disciplines of the visual arts dedicated to embracing progress and the evolving nature of traditional and interactive media. Current IAVA membership represents a "Who's Who" of acclaimed media, advertising, and marketing firms including: Sotheby’s Institute of Art, Yahoo!, Estee Lauder, Wired, Insight Interactive, The Webby Awards, Bath & Body Works, Brandweek, Polo Ralph Lauren, ADWEEK, Alloy, Coach, iNDELIBLE, MTV, Victoria’s Secret, HBO, The Ellen Degeneres Show, Myspace.com, and many others.

“The Davey Awards exemplifies outstanding work among smaller agencies, and to be recognized for that is truly an honor,” said Variable Thinking's President and CEO, Ronald Leggero, Jr., whose vision drove the redesign of the company’s website. In addition to the Davey Award, Variable Thinking’s site is also the first to use iPhone-type technology online.

“The incredible quality and growth of entries again proves that creative excellence, fresh ideas and great conceptual execution is a hallmark of the best small agencies and firms” noted Linda Day, director of the IAVA.

Reach Customers on a Personal Level

Increase Direct Mail Response Rates Part Two

Personalizing direct mail pieces and offers are vital to achieving any increase in direct marketing response rates. Personalization gets your targeted market's attention and immediately answers the question “What’s in it for me?” by giving customers unique offers based on their wants and needs. With fully-customized direct mail, you can make a different offer to each person on your mailing list, even use different images and text, and all in one print run. Not all printers are capable of this, so look for one that uses variable data printing and imaging software with commercial-grade digital printers.

The graphics, offers and text of each direct mail piece can be customized based on your target market's gender, income, hobbies, age, homeowner status, location, career, interests, life goals and hundreds of other criteria. The more you know about your target market's habits, hobbies, and goals, the more you can customize offers and personalize images to grab their attention. Anything that is not grabbing their attention and driving them to act is a waste of money.

The easiest way to test customized direct mail is to add a personalized image to your existing static mailer. What is a personalized direct mail image? Enter your name in the demo box at this website to see a real-time example.

Increase Direct Mail Response Rates Part One

Direct mail advertising allows for cost-effective ads to reach a target market, keeping the ROI, return on investment, high. But, how can companies increase the response rate for direct mail advertising?

Know Your Customers—And How to Reach Them
The first step to increasing direct mail response rates is to segment your existing customer database. Market segmentation narrows your mailing list to a more specific group of individuals that have enough in common to warrant a like-response to your ad. Companies report their highest response rates usually when a personalized direct mail piece is sent to a highly segmented mailing list. By putting your customers into groups based on interests, hobbies, gender, geography, and lifestyles you can customize offers based on their unique needs and increase sales.

Market segmentation has several benefits:
A. You identify your core customer. The person who is most likely to buy your
product or service.
B. You can spot new trends, and opportunities, within the market.
C. You can see gaps in the database and focus on which mailing lists to rent.
D. You can increase sales, and the lifetime value of customers, by creating
custom offers for specific segments.

Other segmentation criteria can include trends, employment status, payment method, industry, family status, and buying frequency among others.

Stay tuned...more tips for increasing direct mail response rates to come.

Direct Mail Brings Five Percent Increase in Sales

According to the Direct Marketing Association’s yearly report, The Power of Direct Marketing, direct marketers could realize up to a 5.2% increase in sales, which is 1.5% lower than the growth realized in 2006, due to the continuing economic slowdown. Direct sales could hit $2.025 trillion in 2008.

To what is this continued growth in direct mail attributed? It’s felt that marketers continue to source money in to direct marketing due to its ROI when compared to other forms of advertising. With an economy that is continuing to lag, direct mail marketing allows companies to see hard results for their advertising dollar. While many industries continue to see an increase in their direct mail marketing investment, there are still some that are cutting back their direct mail advertising.

According to the direct marketing report, manufacturing, financial banks, and education services are among many industries that continue to put significant money into direct marketing advertising. Lags are seen in areas like petroleum, real estate and furniture industries.

Dr. Peter Johnson, the Direct Marketing Association’s research strategy and platforms vice president, and lead author of the report notes that direct mail marketing will “continue to help sustain the overall US economy.” This estimation is based on the fact that as much as 10.2% of the US GDP, or $1.41 trillion of demand is represented by direct marketing.

Employment in direct marketing in 2007 is responsible for 10.6 million jobs. A prediction of a 2.2% increase is expected for next year. Internet marketing has predicted expenditures of $23.6 billion in 2008, which is almost a $4 billion increase from 2007.

Despite this growth, many company’s marketing departments are concerned about the state of the economy. If the housing market continues to stagnate and fuel costs keep climbing, it is possible that overall marketing expenditures could be adversely affected. Considering direct marketing’s effect on our GDP this year, a decrease in its economic viability is something to be concerned about.

Direct Mail Continues to Grow

According to the Direct Marketing Association’s yearly report, The Power of Direct Marketing, direct marketing is anticipated to grow in all areas, including expenditures, return on investment (ROI), sales and employment for 2008. This is despite an economy that is lagging in most areas.

“For the first time ever, direct marketing represents more than 50 percent of total advertising expenditures in the US, growing faster than total advertising spending and the US economy as a whole,” said Dr. Peter Johnson, the Direct Marketing Association’s research strategy and platforms vice president, and lead author of the report. “Marketers are moving dollars into direct marketing because of its higher ROI relative to other forms of advertising. This makes ‘direct’ a more reliable engine for sustaining sales, incomes, and jobs at a time when the mortgage and energy markets are heightening economic uncertainty.”, as noted on the DMA website. “Overall,” said Johnson, “business performance in 2007 is likely to be measurably brighter than it would otherwise be, thanks to the effectiveness of direct marketing.”

The direct mail market predicts $173.2 billion in advertising expenditures’ by the end of this year, showing a 4.4% increase over last year. The ROI for these expenditures is $11.69/dollar spent, when taking into consideration the two trillion dollars in subsequent sales this year. The final numbers for 2006 were affected by the steep decline in the housing market, increases in energy costs as well as a decrease in auto sales. Up to a 5.5% increase in response rates is expected in commercial email, Internet marketing and direct mail.

While some mortgage companies struggle in this lagging economy, one marketing firm is helping its mortgage clients gain market share and achieve a 3% (and growing) response rate! Before starting your next direct mail campaign, attend a free webinar with Variable Thinking, and learn in under one hour how you can achieve higher response rates and sales. Attendees are entered to win a free three day/four night trip to the Grand Bahamas!

Chicago Direct Mail Agency Achieves First Online

We are proud to announce that our newly redesigned website (http://www.variablethinking.com/) is the first to integrate iPhone-like technology online.

This new technology allows visitors to grab and drag images in our portfolio with their mouse, or control the movement of images with a scroll bar at http://www.variablethinking.com/PortfolioFlash.aspx.

Variable Thinking is known as being a creative leader in the industry and is praised for its forward thinking marketing solutions. The company was the first to offer the entire marketing solution under one roof from graphic design to direct mail fulfillment and tracking.

About Us
Variable Thinking is a full-service direct marketing firm that conceptualizes, designs, prints, double bar codes, and tracks your targeted direct mail! We also offer strategic demographic lists and personalized URLs (PURLs/microsites) to further increase response rates. From start to finish, our 30,000 square foot facility is equipped to meet all of your marketing needs!

PURLs (Personalized URLs) Statistics

For your information: Random quotes and statistics about Personalized URL (PURLs), microsites, and VIP landing pages.

Forty-Three Percent of Consumers Prefer to Respond Online
According to the Direct Marketing Association (DMA) 43% of consumers prefer to respond to an advertisement online.

30 Percent Returns are Possible
According to the article "PURLs of Wisdom", “Personalization allows direct mail, which traditionally has less than 2 or 3 percent returns to obtain returns greater than 5 percent. Some of the more effectively designed programs can achieve returns of 20 to 30 percent.”

Behavioral Marketing to Reach 3.8 Billion in Three Years
More than thirty-three percent of websites offer behavioral targeting—or relevant offers, according to “Behavioral Targeting: Advertising Gets Personal” by eMarketer.com. The same report forecasts that spending on targeted marketing will jump from 575 million in 2007 to 3.8 billion in just three years.

PURLs Plus Email Marketing Equals Huge Results!
According to a Jupiter Research report, incorporating web analytics into email campaigns increases response rates by up to 5% and open rates up to 13%!

PURLs Help Maximize Customer Value
It pays to build relationships with and market to your most profitable clients. Unisys’ top 50 clients generate 80% of the companies revenue, according to Ellyn Raferty, the VP and general manager-worldwide marketing.

Free Marketing Webinar

Event: Free One-to-One Marketing Webinar
Date(s): Every Wed.

Time: 2:00 PM - 2:45 PM CDT

Event Details: Are you ready to implement a personalized marketing strategy that generates long-term results? Confused how to start? Variable Thinking will show you how! Attend our weekly 45-minute webinar and walk away with a clear vision on how to increase response rates and revenue while lowering your marketing costs. Learn the ins and outs of one-to-one marketing with Variable Thinking, the definitive worldwide leader in marketing technology and services.

Our complimentary webinars are held every Wednesday from 2 p.m. to 2:45 p.m. CDT. All attendees receive valuable one-to-one marketing resources.

Reserve your space now! http://www.variablethinking.com/webinar.aspx

How to Choose a Solution Provider

If you search the phrase "marketing solution" on Google you'll be smacked with 167 million indexed pages (SERPs) that include everything from email, SEO, direct mail, and ministry marketing solutions. You'll be attracted to the pages because "marketing solution" will be all over the content and in page titles, but you'll never actually find an explanation of what a "marketing solution" is. That is why it's important to ask yourself if you're looking at a true solution--or a service.

PODI defines a solution as, "A repeatable combination of core products, services and unique knowledge that improves the economic performance and delivers ongoing value." In other words, solution providers are long-term partners who understand the needs of your business.

A true marketing solution must achieve at least one of three things: 1) fulfill unmet marketing needs; 2) provide a unique technology you can't find elsewhere; 3) offer services that would be unaffordable elsewhere.

When looking for a solution provider, it's important to make sure the company understands the needs of your company and helps you acquire, retain, and grow customers. Another important question to ask when researching companies is whether or not the solution can be replicated, or if individual services can be purchased when needed.

One example of a complete marketing solution is Variable Thinking’s Integrated Marketing Solution. All of the services are offered individually, but are most effective when used as a "solution" that includes: database marketing, personalized direct mail and email, personalized landing pages (PURLs), digital printing, direct mail fulfillment, real-time sales leads, and response tracking.

Another question to ask is if the "solution" is outsourced or provided under one roof. Variable Thinking is the only company that can provide the entire marketing solution under one roof, meaning you’re only communicating with one business partner.

Estimating Response Rates for Relevant Marketing Campaigns

Many companies know that personalizing their direct mail will increase response rates and customer loyalty, but have no way to estimate to what extent.

During the Q&A session of a recent digital printing seminar discussing personalized direct mail, a participant asked if companies experienced an average response rate increase when they switched from static to personalized direct mail.

According to James Mekis, the Director of Technology for PODI, companies are experiencing a 50% increase, or doubling response rates when they make the switch. PODI’s own data indicates that (for a relevant, personalized campaign) typical response rates range from over 3% for direct sale to 13% for loyalty campaigns.

But it takes more than personalized marketing to increase response rates and ROI. You need a relevant offer sent to a targeted mailing list. What is a “relevant offer”? According to a 2007 W. Caslon and Company report titled, “Response Rate Report: Benchmark Information for Relevant Marketing Programs” a relevant marketing piece is defined as:

“…a message about a product that the recipient needs, delivered when the recipient is ready to receive it.”

According to the Direct Marketing Association, static mailers to an existing customer database generate a 1.75% response rate on average. The next time you send out a direct mail piece to your database, why not send half static pieces and the other half personalized offers. This is an excellent way to see how one little change in your direct mail can greatly impact your bottom line.

According to PODI, “If you put together a great concept, a great design, and a great list, and make the offer really relevant, response rates can go through the roof.” Variable Thinking can help you achieve those results. Join our free strategic marketing webinar every Wednesday from 2:00 -2:45 p.m. CDT.

To register for this, or future webinar’s visit http://www.variablethinking.com/webinar.aspx.

All participants receive a free marketing toolkit which includes lead generation workbooks, personalized marketing PDF books, and other valuable resources for free.

Attend the webinar and learn more about how Variable Thinking can help you achieve:

• Higher response rates
• Greater satisfaction rates
• Faster response time
• Higher average order value
• Higher participation rates
• Higher conversion rates
• Reduced customer service complaints
• Greater understanding of product and service benefits
• Increased sales or donations

What is Relationship Marketing

Studies show that improving relations with existing customers costs about 90% less than acquiring new customers!

Relationship marketing, as the name implies, is a strategy for growing, improving and maintaining relationships with customers. The objective of relationship marketing is to build long-term relationships with existing customers, or those most likely to purchase your goods and services, and then maximize their lifetime value. In addition to increased sales revenue, companies benefit from word-of-mouth advertising and lower administrative costs. Relationship marketing focuses on the unique characteristics, lifestyles, and needs of customers and tailors the marketing campaign based on how their product or service can meet those criteria. This personalized message is communicated over several channels and encompasses not only advertising and marketing, but sales, customer service, and any touch point between the customer and you.

Relationship marketing is not a one-time service, but a long-term marketing strategy. Variable Thinking is the only long-term business partner that can provide the entire relationship marketing solution, from database marketing to response tracking, under one roof.