Variable Data Case Study
CLIENT
A professional basketball franchise and a member of the National Basketball Association (NBA).
SITUATION
This franchise had struggled establishing a credible ticket package renewal program and were looking for a direct marketing effort to help drive ticket renewal packages.
The team's typical response had been in the mid-teens in recent years, reaching only 12% last season. The NBA average is in the teens to low 20s.
A 30% renewal rate was set, which many saw as too lofty. The target audience included 2,300 account holders with partial season-ticket packages and 2,200 account holders with full season tickets. The average account holder purchased four tickets per game.
METHODOLOGY
The team was focused on renewing as many ticket packages as possible and was open to new and creative approaches. They enlisted DDB Direct, a direct marketing division of DDB Seattle, who enlisted the services of DCG for the overall production of the program.
The solution was personalization. DDB devised a piece that featured the back of a team jersey on the envelope. But instead of a jersey with a player's name, the last name of the recipient was printed on it. The bottom-right hand corner of the envelope read: "Guess who we'd like to sign to an extension."
The other side of the envelope included the image of a T-shirt, which was touted as a "Thank You" gift for being a season-ticket holder.
The pitch letter mentioned: "Many season ticket holders choose to buy incremental ticket packages for a collection of big or weekend games to accommodate a larger group near their seats." A 16-game pack with two bonus games and two six-game packs, each with one bonus game, were offered along with the fact that packages would be offered to the general public.
The piece also included an insert that listed opponents, dates and times for each of the three plans along with a seating chart and ticket prices that ranged from $129 to $17 per seat per game.
Recipients could order via phone, by web address or by mailing a form in the enclosed business reply envelope.
The same creative approach with a different pitch letter was used for the team's acquisition package, for which results have not been totaled. About 48,000 past single-ticket buyers and others identified as NBA fans were targeted with direct mail pieces going in multiple drops.
The expense for both the renewal and acquisition efforts was $20,000 to $50,000 with the free T-shirt not included in the total cost.
RESULTS
The response rate was 41%, exceeding franchise management expectations.
WHY IT WORKS
Strong Creative Approach. The creative stood out. Franchise fans asked to be included on the mailing list so they could have "their name on the back of the jersey".
Personalization. The 1:1 sales approach created an immediate bond with the target audience and made them take notice of the offer.
Digital Print Technology. DCG utilized its digital print equipment to provide a high-quality, cost-effective job.