Page 5: Developing a direct marketing approach
The primary direct marketing tool which Heinz has Follow-on-Milks, with coupons and samples. used, is its consumer magazine called Heinz 'At Home'. This magazine is published several times a year and mailed to households from a database of over four million names. The names and addresses of these households were collected using an existing database of consumers who had responded to previous Heinz promotions and through other commercially available sources. This is a very important approach and demonstrates an exciting way of using information technology as a marketing tool to meet customer requirements. One of the key benefits of the programme, for both Heinz and consumers, is that the company is able to channel offers and promotions to the appropriate people. Tracking is an extremely important procedure.
Heinz monitors which households have redeemed which coupons in order to continue to offer consumers attractive, personalised offers on the products they want. Through this mechanism Heinz develops a clear picture of how individual consumers in their database are responding to the offers they are making. If the Jones family of Tennyson Avenue, Horsforth, is one of the four million households in the database, it is possible to check on which offers the family has taken up from the Heinz magazine. Heinz is then better placed to build an ongoing relationship with this family. This is a particularly powerful way of finding out how individual households are responding to new lines and promotional offers. Database marketing gives the marketer far more information than ever before.