Database marketing involves collecting and storing information electronically (in the database) of current, current, and future customers (potential customers). Specific databases include customer’s past purchase details (“buyographic” data) and other relevant types of information (demographic, geographic, and psychographic data). The information is used to create customer profiles and to develop effective and efficient marketing programs by communicating with individual customers and establishing long-term communication relationships. Visit our website to know more about database marketing.
Although database marketing and direct marketing are not the same, the more sophisticated database marketing encourages more use and more effective direct marketing. Moreover, indirect marketers have also increased the application of database marketing.
In simple terms, database marketing involves collecting all the company’s contacts and compiling them into a database containing all the necessary information about each customer or prospect.
Most companies have customer information networks, not least direct customers. In the business world, we must have details about what customers buy, when, and at what price. With good and appropriate software, it is not difficult to create product type preferences and to identify the order patterns of this information.
Successful mail delivery requires that a database is in the computer. The addresses contained in the database must be active so that it can be contacted (addressability). The database enables contact with existing or prospective customers accessible. Compared to broadcast advertising, database advertising does not relate to customers as a mass but creates individual relationships with each customer or prospect.
Up-to-date databases are assets and provide benefits to firms in case:
– Seeking direct marketing advertising to the people who are the best prospects for the offer.
– Offers a variety of messages to different customer groups.
– Creating long-term relationships with customers.
– Increase the productivity of marketing communications.
– Provide the value of a customer or prospect.