Centralized Marketing StrategyCentralized Marketing Strategy
Utilizing central tools and partnerships to drive revenue and audience development across multiple markets.
Utilizing central tools and partnerships to drive revenue and audience development across multiple markets.
Consumer Marketing‐ Role
Operates in 430 Markets Across 27 States • Reaches over 10 million people on a weekly basis • Serves 128k Small & Medium Businesses
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“The centralized marketing department drives consumer revenue and audience development strategy across all locations. Our balanced approach utilizes a combination of centrally controlled tools and partnerships to set strategy and support locally executed initiatives”.
Peoria IL Canton OHSpringfield IL Utica NYRockford IL Norwich CT
Middletown NY Portsmouth NHPocono PA Stockton CACape Cod MA Victoville CANew Bedford MA Medford ORNantucket MA Providence RI
Quincy MA Fall River MABrockton MA Taunton MAFramingham MA Milford MA
Illinois New YorkMichigan Virginia‐ PPIPennsylvania W. Virginia
Kansas/CA Central MissouriE. Missouri Arkansas/LouisianaNW. Missouri Oklahoma/TexasSW Missouri N. Dakota/Minn.
Large Dailies
Local Media Group
New England
Community‐ East
Community‐ West
Consumer Marketing‐ Role
• Our approach balances centrally managed consumer marketing strategies with locally executed "feet on the street“ tactics.
• Established network of common vendors and partners enhances marketing strategy and maximizes economies of scale.
• Connections with key industry groups (AAM, SNA, NAA) support services and training efforts.
• We employ best practice sharing across groups and GateHouse divisions.
News Production
Central services
Vendor partners
Consumer Marketing
Advertising
AdvertisersConsumers
Consumer marketing strategy connects and services both internal and external customers
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Consumer Marketing‐Technology
• Gatehouse Media has over a dozen different circulation systems
• Some newspapers have fully staffed circulation departments, others don’t
• We look for solutions that we can scale across many publications
• Agency or self‐serve : can be administered centrally and locally
• Email Marketing
• E‐commerce platforms
• Pay wall solutions
• Print customization tool
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Consumer Marketing‐ Engagement/Retention
• The blueprint of the retention strategy is the timeline of subscriber lifecycle.
• The number of times we touch the subscriber has direct impact on minimizing churn.
• Like acquisition, diversity is key. We need a mix of touch points: phone calls, print pieces and digital
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Consumer Marketing‐ Acquisition
Reverse telemarketing
Local images
• Leveraging local relationships and community events maximizes sale presence at high traffic locations, builds long lasting marketing partnerships.
• Local businesses and vendor partnerships help diversify our tactics, ex…reverse telemarketing.
• Promotions model is strengthened utilizing more local content and art, demographic targeting and online tools.
• Effectiveness of campaigns is enhanced with better data, industry expertise and marketing partners.
Collaboration and strategic partnerships enhance acquisition tactics which include: Direct Mail, FSI, Ad notes, digital engagement.
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Consumer Marketing‐ Direct Response
• Given the high retention, maximizing the Direct Response channel is critical for driving long term ROI.
• Direct mail program regularly targets former customers. Strong response driven by strategic planning and list management utilizing central marketing’s MAAX.
• This creative line up is based mainly on the test results • Publisher’s letter – 2.3% response rate• Offer based package – 1.6% response rate• “This is The Place” self mailer – 1.3% response rate
Direct response is a key component to diversifying acquisition efforts. Direct mail is one of the more successful initiatives.
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Consumer Marketing‐ Acquisition
• Central marketing provides higher level acquisition and retention actions to complement locally executed efforts.
• Centrally managed channels provide a consistent and steady stream of starts while maximizing cost efficiencies achieved with the scale of the program.
• Digital tools combined with demographic data from MAAX provide a powerful and multi functional platform.
• Better control over the metrics enable enhanced tracking and reporting delivered to the local operators.
A key component of our acquisition efforts is centralized marketing function powered by the MAAX marketing tool
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Cent ra l i zed Di rec t Mai l Program
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•Our centralized direct mail program runs monthly and targets former subscribers. Our goal is to drive starts consistently throughout the year while maximizing efficiencies and low costs achieved with the scale of the program.
•The program is fully automated and is supported by 1 FTE.
•We produce over 1 Mil direct mail pieces per year through MAAX and more outside of MAAX
•Given the high retention of Direct Mail (our retention after 52 weeks is 77.1%), this program is critical for driving long term ROI
•We went from one dimensional program outside of MAAX, to two dimensional program early on with MAAX, to three and maybe even four dimensional program in 2014
L i s t Test ing
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Reverse Model ing
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• The test identified two lower performing lists: formers who stopped 6 months ago or longer and non‐pays.
• Applied a series of variables to the original list and indexed response rates
Ref in ing the L i s t
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• Remove lower performing segments (anything indexed under 50%)
• Other variables to consider: tenure and geography
Creat i ve Test
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•Overall publisher’s letter outperformed the self mailer•Self mailer had a strong performance in some target groups•Importance of having a variety of creative in the market, not only offer‐centric pieces
Offer Test
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• 10 cell test using an offer‐centric piece
• 3 tiers of discounts: 25% off, 50% off and 66% off.
• 3 terms: 13 weeks, 26 weeks and EzPay
• Different presentation of the same offer
• Custom 6x9 window envelope: offer shows through the window
Offer Test Resu l t s
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•3 for the price of 1 outperformed other offers• Factors that improved response: Leading with “Weeks Free”, “Savings Off Newsstand” and lower priced weekend offer helped improve response•Factors that depressed response: lower discount, longer term and EzPay
Offer Test
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•3 for the price of 1 outperformed other offers• Factors that improved response: Leading with “Weeks Free”, “Savings Off Newsstand” and lower priced weekend offer helped improve response•Factors that depressed response: lower discount, longer term and EzPay
Gatehouse Corporate Program 2014 ‐2015
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To maximize yield, revenue and retention, we need to target the right segment at the right time with the right piece and the right offer
•Each Former customer receives a number of mailings in the first 18 months after stop.•Depending on the stop reason, customers will receive different creative at different times
General formersNon PaysMovers
•Creative line up is based on the test results •Ongoing list improvement. •Recent mailings:
•Community division 1200 starts, 5.7% $8 CPO•LMG mailing 905 stars, 2.3% $20•Providence Journal 500+ starts, 4.2% $10.85 CPO
Consumer Marketing‐ Reporting
EXECUTIVE DASHBOARD Week Ending 7/27/2014 ENTER WEEK # 30
GATEHOUSE MEDIA LARGE DAILIES TOTAL ENTER PERIOD # 7
Subscriptions Total Last Week Variance Percent Starts Week PTD LY Variance PercentTotal Active Subscribers 169398 169653 ‐255 ‐0.2% Telemarketing 380 1121 686 435 63.4%Total EzPay Subscribers 42016 40043 1973 4.9% Crew 7 59 565 ‐506 ‐89.6%Percent EzPay 24.8% 23.6% Voluntary 222 935 652 283 43.4%Subscribers in Grace 13511 13421 90 0.7% Direct Mail 48 283 653 ‐370 ‐56.7%Percent Grace 8.0% 7.9% E‐Edition 0 0 0 0 #DIV/0!Subscribers by FOD Field 4 198 6 192 3200.0% 7‐Day 119944 120032 ‐88 ‐0.1% ROP 0 6 2 4 200.0% Sun Only 20837 20901 ‐64 ‐0.3% Kiosk 133 604 813 ‐209 ‐25.7% Sat‐Sun 6797 6825 ‐28 ‐0.4% E‐Mail Marketing 16 118 62 56 90.3% Fri‐Sun 1411 1415 ‐4 ‐0.3% Web 23 72 173 ‐101 ‐58.4% 6‐Day 2741 2749 ‐8 ‐0.3% Upgrades 37 307 177 130 73.4% 5‐Day 1836 1837 ‐1 ‐0.1% Stop Saver 14 65 98 ‐33 ‐33.7% Tue‐Sun 5591 5608 ‐17 ‐0.3% Sample 0 0 0 0 #DIV/0! Fri‐Mon 4344 4397 ‐53 ‐1.2% Single Copy inserts 25 74 71 3 4.2% Thur‐Sun 3078 3080 ‐2 ‐0.1% Payment Restarts 0 0 0 0 #DIV/0! Other 284 284 0 0.0% Other 94 399 1868 ‐1469 ‐78.6%Total 166863 167128 Total 1003 4241 5826 ‐1585 ‐27.2%Subscriber Tenure Stops Week PTD LY Variance PercentTenure Less Than 6 Months 5826 5914 ‐88 ‐1.5% No time 135 554 656 ‐102 ‐15.5%Tenure 6 to 18 Months 5921 5921 0 0.0% Papers piling up 12 34 55 ‐21 ‐38.2%Tenure 18 Months + 157603 157777 ‐174 ‐0.1% Can't afford/Bill Problem 36 191 313 ‐122 ‐39.0%Emails Service 35 182 243 ‐61 ‐25.1% Active/Future 69301 69300 1 0.0% PBM suspends 547 2230 2968 ‐738 ‐24.9% Formers 76747 76567 180 0.2% Moved 75 302 383 ‐81 ‐21.1%Total 146048 145867 Product 20 82 130 ‐48 ‐36.9%Start/Stops Death/Medical 51 226 298 ‐72 ‐24.2% Starts 1003 1344 ‐341 ‐25.4% Never Ordered 24 80 83 ‐3 ‐3.6% Stops 1127 1139 ‐12 ‐1.1% Switched to another paper 0 1 8 ‐7 ‐87.5%Difference ‐124 205 FOD change (downgrade) 69 267 419 ‐152 ‐36.3%Mather No Renewal 24 98 115 ‐17 ‐14.8% Starts 2432 1558 874 56.1% Miscellaneous 126 456 1273 ‐817 ‐64.2% Stops 240 262 ‐22 ‐8.4% Total 1154 4703 6944 ‐2139 ‐30.8%Vacation Starts/Stops Critical Complaints 160 840 1175 ‐335 ‐28.5%Vacation Stops 1348 1420 ‐72 ‐5.1%Vak Paks 396 383 13 3.4%Vacation Donations 338 356 ‐18 ‐5.1%Vacation Starts 2168 2051 117 5.7%
Key metrics‐ Executive Dashboard
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Consumer Marketing‐ Reporting
Key metrics‐ retention by source
PERCENT ACTIVE
Started 3 months ago or less
Started 3 to 6 mo ago
Started 6 mo to 1 yr ago
Started 1 yr to 64 wks ago
Started 54 to 76 wks ago
Started 76 wks to 2 yrs ago 2 TO 2.5 YEARS 2.5 TO 3 YEARS
Crew 97.5% 62.5% 31.9% 17.9% 13.9% 11.5% 8.4% 10.4%Direct Mail 95.5% 82.0% 81.9% 62.0% 62.4% 59.3% 49.4% 47.5%Email 94.6% 79.4% 61.6% 60.0% 63.3% 54.0% 52.4% 45.9%Field 59.4% 93.5% 28.6% 10.4% 64.9% 63.8% 38.7% 25.7%Kiosk 80.1% 56.9% 44.6% 31.9% 30.6% 30.5% 23.0% 24.6%Retention 85.0% 78.1% 75.4% 65.8% 58.6% 51.1% 42.5% 39.4%ROP 97.3% 82.1% 80.9% 100.0% 61.1% 61.2% 41.2% 60.0%Sample 75.0% 50.0% 0.0% 9.6% 11.6% 6.7% 15.4% 66.7%SC Insert 92.4% 83.4% 71.2% 54.6% 52.6% 49.9% 44.9% 40.0%Telemarketing 84.2% 61.7% 44.5% 42.5% 39.9% 31.6% 26.1% 24.6%Voluntary 93.8% 82.6% 75.1% 68.3% 64.0% 57.2% 55.2% 51.8%Web 94.8% 77.4% 66.4% 54.3% 50.5% 43.9% 38.4% 33.1%Other 88.2% 76.3% 66.8% 57.2% 53.5% 53.2% 48.0% 63.3%TOTAL 89.3% 74.0% 62.7% 48.4% 47.0% 43.3% 38.3% 45.6%
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Consumer Marketing – Sales Mix Calculator
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