The key distinction between direct online marketing and conversion marketing campaigns is the focus of each message. Direct marketing efforts center the focus on the product, while conversion marketing focuses primarily on the recipient. “Buy this item now”, versus “You will find what you are looking for here.”
Once we make that distinction, the way we measure the results clearly changes. For direct marketing campaigns, the first 48 hours are crucial in evaluating the success of a campaign based on its open and click rates.
For conversion marketing on the other hand, the time span we are monitoring increases. We become interested in things like customer satisfaction, repeat visits and total number of purchases. (Excess Voice 2007)
The majority of the results of direct marketing campaigns can be measured 24 - 48 hours after a launch. Measuring the success of a direct marketing effort boils down to the bare numbers. They are deliverability percentages, open rates, and click through rates. And perhaps most important of all, it is the cost of the effort versus your return of investment (ROI).
Even if only one person opens your campaign, clicks through to your site and spends $100 on a campaign that cost you $25, you have a successful direct marketing campaign; your ROI outweighs the cost.
For conversion marketing things get a little trickier. Part of the reason is the time frame we are working with. Conversion marketing takes time. The very nature, and purpose, of conversion marketing is creating a long-term relationship with the recipient. And like any relationship, it takes time and commitment.
In conversion marketing it is all about the customer lifetime value. While we are still concerned with deliverability, open rate and click through rates, we also are looking at behavioral matrices. We are now concerned with the individual recipient and how he/she is responding to what we are sending, and what exactly the recipient is responding to.
Personalized interaction is the key in a successful conversion marketing effort. Again, time comes into the equation as we start to examine the behavior of a recipient and gather more behavioral and demographic information on specific recipients.
Over time, as we use this information for more precise targeting and segmentation, we will achieve better response rates and higher conversion, the success of a 1:1 relationship we have built with our customer.
Source: Topica's Online Marketer Newsletter