B2B Junk Mailers Threaten to Cripple DM Industry

LONDON, February 4 - A recent study by myb2bonline.com, the online business-to-business
subsidiary of data asset management specialists, The REaD Group plc, has
thrown up some shocking results at a time when the Direct Marketing Industry
is facing one of its toughest challenges to date.

The study, which analysed the DM activities and attitudes of over 300
small to medium sized companies (SMEs), found that despite the well
publicised best practice guidelines set out by the Direct Marketing
Association, B2B marketers are not spending money on updating their company
data and are opting to flood the market with tonnes of 'junk mail'.

These frightening statistics suggest that best practise sits at the
bottom of their list of priorities; a risky and highly irresponsible strategy
that could see tough legislation being imposed upon the industry as whole.
This is particularly bad news for B2C direct marketers who are working hard
to 'up their game' in response to government and consumer pressure.

As consumers we have become highly vocal about direct mail in recent
years, particularly when it is poorly targeted and has become 'junk', but UK
businesses remain tight lipped on the subject despite receiving approx 1
billion items of direct mail every year, 184 million of which is being sent
to companies that have moved or ceased trading. One reason for this is that
incoming business mail goes through a more complex mail filtration process,
which sees stern receptionists or disillusioned mailroom clerks binning
incorrectly directed DM almost as soon as it has come through the door.

Technology is one way to combat the problem and though fewer suppression
products exist in the B2B market, the tools are available to assist companies
in their bid to save cash and the planet. Marcus Oxlade, Business Development
Manager of myb2bonline explains "Using a suppression product like
www.myb2bonline.com will deliver the same response rate whilst
realising a greater return on investment. In addition there would be a drop
in the amount of direct mail going to landfill and mailers would comply with
best practice guidelines. B2B is a potentially lucrative market for those
brave enough to make simple cost effective changes that could make all the
difference to the success of a campaign."

As well as cleaning their data, SMEs need to execute more dynamic DM
campaigns that adopt a multi channel approach consisting of mail and email in
a bid to eliminate waste and increase profits. "Single channel 'economy of
scale' direct marketing campaigns are no longer sustainable" says Iain Lovett
of Blue Sheep, a leading provider of marketing services including business
data and market analysis "clients of ours who have invested in the data to
undertake a true integrated approach of email, mail and telephone have
experienced performance uplifts as high as 300% and an overall cost reduction
of 30%. The facts speak for themselves that this is the future of direct
marketing."

Without naming names most people in the workforce today know the worst
offenders but there are those who are blazing a trail and setting standards
of excellence in B2B Direct Marketing and cowboys and small fries should take
note. Andy Bridges, Data Quality and Supplier Manager at Groupe Aeroplan,
owner of Nectar and the global leader in loyalty management, says: "Data
accuracy is fundamental to everything we do at Groupe Aeroplan. I believe B2B
best practice should stem from the learning experiences of the B2C data
market as they self regulate.

It is essential for both B2B brands and the B2B market place to try and
follow best practice. Groupe Aeroplan sends a number of highly targeted
communications to customers and we find it difficult to imagine trying to
manage a nationwide loyalty scheme without accurate data and effective
suppression management.

We regularly use commercially available suppression files and best
practice to ensure the Nectar Business cardholder experience is as seamless
as possible. I would hope that the small to medium businesses would
prioritize their DM strategy as 'high priority', to help regulate this market
place and help eliminate the term 'junk mail'"

    For a free data health check visit www.myb2bonline.com.

    For media enquiries contact:
    Elise Rappoport
    PR Manager
    The REaD Group plc
    T +44(0)1732-467-955
    E elise.rappoport@readgroupplc.com

For media enquiries contact: Elise Rappoport, PR Manager, The REaD Group plc, T +44(0)1732-467-955, M +44(0)7786-545-008