DATABASE SCREAMS!
The DMSI e-NEWSLETTER... Rants and raves from the database pros at DMSI.

In This Issue:

Dear Friends,

Thou shalt not attempt an Integrated Marketing campaign without an Integrated Database! This is the first of the Ten Commandments presented in this issue - agree or disagree as you wish.

Also, we present the latest news on CRM software - specifically Salesforce.com and other ASP solutions. We also highlight the newest member of the DMSI WiseGuys user community. Finally, look below for tips on recognizing a true Database Marketing application when you see one! Please let us know how we can fit into your Database Marketing planning!

Bruce Gregoire,
President and founder,
Desktop Marketing Solutions, Inc (DMSI)

Adjunct Professor, Marketing Information Systems
Johns Hopkins University Graduate School

CRM On Demand or "You bet your ASP": Another Integrated Marketing Solution (Second in a series)
This month we welcome a guest contribution from David Lee, CEO of Vertical Marketing in Manassas, VA. David shares his thoughts on the emergence of Salesforce.com and other competitive marketing applications.

The latest fad in the customer relationship management (CRM) world is the Application Service Provider (ASP) model. The "Application" is the software, and the "Service Provider" is the firm who gives you internet access to the system without your having to purchase the software.

The attraction of this model is the low initial investment: For monthly fees ranging from $50 to $90 per user, and a startup time of a few weeks, you get "instant CRM." No wonder that the ASP market share is growing.

Salesforce.com is the leading ASP provider. Supported by the most effective sales force and most polished sales process in the industry, Salesforce.com is ringing up sales at a dizzying pace. If you try their online demo, they will follow up with exactly the right sales techniques, never being pushy but still providing frequent "touches."

Salesforce.com has also addressed many of the problems encountered by other ASPs. They offer a "local" workstation version, so that you can work offline, synchronizing your data when you get back online. They can share some data with your main office systems. Their features and functionality, while below the standards of the best traditional systems, has grown impressively.

• Siebel: The second-place ASP provider, Upshot, has been purchased by Siebel and renamed. With the Siebel name and marketing muscle, Upshot will be a powerful competitor.
• Microsoft CRM: This .NET, web-based system can be deployed as either an in-house or an ASP system. With the Microsoft name, and the ability to take the system in-house at any time, this too is a powerful competitor.
• ACCPAC CRM: A powerful competitor in Europe and Canada, this application has gotten a strong foothold in the US. Like Microsoft, it can be deployed as an ASP or an in-house application.

A final thought: Don't believe the hype from ASP vendors about "easy implementation". Spend time defining your sales and marketing processes, and configuring your system (even your ASP system) to properly support those processes. Otherwise the system will not work well for you. This is reflected in the biggest problem resulting from the ASP model: They don't retain their customers well.

Learn More: For more info on this article, contact David Lee at Vertical Marketing, Inc., dlee@vermar.com For additional info on the pros and cons of ASP based CRM,
see "CRM: Should you implement or be hosted?"
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PC/Nametag Gets Smarter With WiseGuys^TM
The newest member of the DMSI WiseGuys software community is PC/nametag, a midwestern supplier of meeting products to the convention industry. PC/nametag installed the WiseGuys RFM and Lifetime Value modules to get a better understanding of their customer base. And the installation was completed in less than a day. Here is what Melissa Anunson, Marketing Manager, had to say about WiseGuys: "Our current catalog system is really not a marketing database. Adding WiseGuys provides a solution that is easy to use and super fast!"

Learn More: See how WiseGuys can help you understand your customers better. For complete details, Pricing and FAQ, download WiseGuys FAQ in PDF format.
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5 Ways to Determine an Authentic Database Marketing System
Why is it that so many software vendors claim to have Database Marketing functionality, and tout their "Marketing" module as the complete answer for marketers? With the glut of SFA, CRM, e-commerce, and Data Mining packages available, it has all become quite confusing. If you are looking for a true Database Marketing solution, here are the 5 minimum requirements that you should look for:

1. Source code(s) - preferably two. It is surprising how many sophisticated systems do not capture source code data. Source codes tell you where your customers and orders come from.
   • An "original source code" describes the source of the introduction of a customer or prospect to your enterprise. This is most likely a prospect list or media code.
   • A "last source code" describes the most recent source for an order - from an existing customer or prospect. This is most likey the key code from your recent mailing.
2. Analytics: Look for marketing analytics that help segment your customers, a fundamental principle for marketing. They may also assist in scoring your customers (e.g. RFM analysis), calculating response analysis, calculating Lifetime Value, and so on.
3. Easy of use: Look for a marketing system that is meant to be used by marketers, not by IT staff. This means point and click database queries, not writing SQL statements, and a limited need for IT tech support.
4. Proper relational structure: If you are a B-B organization, do not try to use a consumer package. Look "under the hood" to be sure the marketing software has the correct relational structure. It should be a relational database that links organizations/companies to people/contacts.
5. Ease of integration: No marketing system can operate in isolation - most are fed by data sources in another database system. Therefore, be sure that the marketing database software can integrate easily with other software. Also, confirm that you can attach a report writer (e.g. Crystal Reports) to create customized reports. You may want to enlist DMSI staff to help with this evaluation.

Learn More: Need a thorough evaluation of your marketing database needs? DMSI can perform an inexpensive Requirements Audit for your organization. We'll point out potential problems with your current approach to Database Marketing - and offer solutions that can save you big dollars and lots of headaches. Contact us directly at (703) 941-8109.
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On the Lighter Side.. DMSI's 10 Commandments of Database Marketing
Letterman has his Top 10 - we have our 10 Commandments. Break them at your own peril!

1. Thou shalt not attempt an Integrated Marketing campaign without an Integrated Database.
2. All customers are not created equal (thus, you need to score them).
3. Thou shalt not covet prospects when your loyal Customers already are more likely to worship (and buy from) you.
4. Honor thy customer's preferences for receiving marketing communications.
5. Honor thy customers' channel preferences for purchasing.
6. Beware of worshiping false Gods (especially pricey CRM software vendors).
7. Thou shalt remember that it is easier for a camel to pass through the eye of a needle than for IT staff to understand your database marketing needs.
8. Thou shalt resist all leaps of faith when renting a prospect list.
9. Thou shalt preach the word that database cleanliness is next to Godliness.
10. Thou shalt not kill the messenger when you are told your database marketing initiatives are failing. Fix them!

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How Desktop Marketing Solutions, Inc. Can Help You!
DMSI is a full-service resource for database marketing software, programming, installation and applications. Whether you're considering a new software system or just need help assessing your current one, DMSI can help. The staff at DMSI offer the rare combination of database know-how and direct marketing expertise. Our niche is small to mid-size organizations who need the power of advanced database techniques to grow their business. We provide software product installation and customization for "best of breed" marketing database and CRM packages.

And now, pick up the phone! One call gets you 15 minutes of Free Database Advice
Step 1: Call DMSI offices anytime at (703) 941-8109
Step 2: "Ask the Experts" at DMSI - give us your toughest database question.
Step 3: No charge - no obligation. 15 minutes may be all the help you need to start solving your marketing database problem.
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