David Jefferies, Marketing Director, Pitney Bowes You Asked Is CRM the sole domain of bigger businesses? How can technology help SME's to build customer loyalty?

Building a relationship with the customer via the mailstream is becoming an integral part of any business proposition. While the importance of getting targeted communications out of the door has achieved mainstream awareness, there is still considerable potential for improved return on investment from CRM systems.

Arguably, the need for sophisticated mail has never been greater. Customer retention has become a major issue, with today’s multi-channel environment making it easier than ever for consumers to switch brand allegiance.

The theory that sophisticated direct mail is the sole preserve of large companies conducting bulk mailings, no longer stands up. Today, businesses of every size are realising that intelligent marketing to existing customers can have a profound impact on customer retention and customer growth. High volume prospecting activity has given way to tailored, targeted communications to existing customers – the first line of attack in the battle to stem customer churn rates. With an ever-increasing range of new marketing technologies available small organisations can reap the benefits of this cost-effective marketing medium.

For SME marketers, budgetary restraints necessitate a clever and efficient approach to campaign management if brand presence is to be established and sustained. Direct mail has long represented a cost-efficient means of generating response for astute SME’s. But until now, the technique has not been recognised for its brand-building qualities. However, this attitude is changing. Today, marketers recognise that cleverly targeted, professionally presented direct mail will generate response whilst also creating a favourable brand image. Undoubtedly, available print and mail technology has played an important role in boosting the status of this marketing technique.

At the SME level, folding, inserting and franking technology continues to move on apace. The best technology is developing in line with today’s increasingly liberalised postal market to offer users choice, convenience and professionalism.

Undoubtedly, automation of the mail operation has enabled many businesses to cut costs, eliminate errors and free staff to focus on core activities. But equally, forward-thinking businesses are demanding that this automation is coupled with the functionality to allow them to capitalise on the cost-efficient reach and influence of direct mail. Professional presentation of the mail-piece is every bit as important as mailroom convenience.

The ability to adapt to the changing postal climate is key. With postal rates frequently changing, marketers are turning to the latest intelligent franking machines which link to the web to provide downloadable postal rates and software rates. At the touch of a button, marketers can ensure that their campaigns are being despatched at the best possible price.

In turn, downloadable advertising slogans serve to transform standard mailshots into eye-catching marketing communications. Here, businesses can gain an important head-start over competitors through ensuring that any direct mail carries the brand message on the outside of the envelope, as well as inside. The communication does not even need to be opened by the recipient in order for brand value to be conveyed.

While the scale of investment into CRM technology will obviously be lower amongst SME’s, businesses at this level are certainly adopting the principles. Nowadays, data lists can be bought in smaller volumes or metered, database solutions are available off the shelf and barcode intelligence can be used to track responses. Data can be analysed and segmented, and messages personalised to a fine degree. The important point is that, with today’s mail technology – even at the lower-volume level - no compromise is necessary when it comes to delivering personalised mailings.

David Jefferies is Marketing Director for Pitney Bowes International. He has worked at Pitney Bowes for 5 years and was previously Head of Marketing for Pitney Bowes Document Messaging Technologies. Before that he worked in B2B marketing positions for both manufacturing and marketing services companies with increasing responsibility on marketing communications and product marketing. David is married with 2 children and speaks fluent French and German. Pitney Bowes