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Testing Times

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The e-medium is a direct marketer's dream come true and one of the most effective tools in the business of testing.  On average, 80% of responses come within 48 hours of the dispatch of the campaign, so it offers a cheap and efficient method of doing what every direct marketer loves to do best: TEST  

There is no limit to the variables that can be reasonably tested by email, but, like all other forms of testing, some key rules apply which, if overlooked can be disastrous. 

Segment Size 

The results on which you are basing your decisions must be significant enough to apply to your entire customer base, or at least a sizable proportion. Test cells need to be a minimum size to guarantee that the same result can be achieved when multiplied. 

 Keep It Simple 

It's easy to get carried away with testing and end up with a matrix so complicated that you no longer know what the results prove. Limit the tests to a few key variables each time - offer A versus B, active customers versus passive customers - and build up a test history over time.

Test And Roll-Out 

The main point of ongoing testing is to refine and develop targeting and messaging variations to find the best combinations to roll out to the entire audience. Don't lose sight of this and always ensure you constantly test new alternatives against the current best performer to keep pace with your customers. 

Profiling And Predictive Modeling 

Pareto's 80/20 rule implies that a small proportion of your customers are extremely valuable and require special treatment, while some cost more to service than they are worth. Profiling and predictive modelling can help early identification of potentially good and bad customers, prompting the development of differentiated offers to each segment. 

As your customer list grows, so does the potential for using past behaviours. Combine this with psycho-demographic lifestyle modelling to spot trends and apply appropriate contact strategies to maximise long-term customer value.

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