A large regional financial institution had a new-mover acquisition program that was not performing as effectively as it had anticipated. The financial institution had struggled to identify and target the most receptive acquisition prospects in a timely fashion. Although the institution had some ability to identify attractive prospects, processing and production times hampered its ability to capitalize on the window of time following the move, when new movers are most likely to open new accounts.
Aware that the two key success factors in event-triggered marketing campaigns, such as new-mover acquisition programs, are audience selection and timeliness of the communication, the financial institution turned to Harland Clarke Marketing Services to improve its processes. Harland Clarke Marketing Services implemented a turnkey approach to processing data, introducing recurring automated updates to customer lists. These process improvements allowed for customer lists to be updated weekly, resulting in direct marketing programs that reached the financial institution’s target market at the time when financial decisions were being made.
Additionally, Harland Clarke Marketing Services worked with the financial institution to streamline processes to remove current customers from the list and target new prospects based on a geographic radius. As file processing speeds continued to improve during an 18-month period, Harland Clarke Marketing Services tested a variety of mailing frequencies to see which would be the most effective. Included in the test were single-contact, two-contact and three-contact approaches. It was determined that the two-contact campaigns outperformed the others as far as response rate and return on investment.
In addition to improving processing times and enhancing the analytics used to target new movers, customized creative was developed to capture their attention. The creative materials utilized digital printing technology to enable a high degree of personalization, including a competitive offer unique to new account holders.
During an 18-month period, the success of the program was measured using a test versus control methodology. The consumers who received targeted and timely communications, enabled by Harland Clarke Marketing Services’ acquisition program, consistently exceeded the acquisition of new accounts from the control group. The incremental response rate generated by Acquisition Accelerator has consistently ranged from 250 percent to 300 percent above the non-mover control group, providing a steady source of new households for the financial institution and reducing the cost of newhousehold acquisition by more than 40 percent.