Database marketing is like a direct marketing which
uses customer’s database to make the list for direct marketing communications.
This databases consists customers name, address, phone number, e-mail and many
other information that are collected from different sources such as application
forms, warranty cards of products, credit cards and contest entry forms. These
databases produce the list of such customers who are interested in purchasing
your products or purchased and want to promote your products. And in this way these
database lists helps and allow business to communicate and identify the
customers for marketing.
Most of the businesses use database techniques for
their direct marketing and finance campaigns. This database marketing mostly
used for large businesses and firms, which have large number of customers and
also can make a huge amount of database list. If your initial data and
information is large then you will get more opportunities to find the group of
customers and communicate them. Large companies and businesses attend direct
marketing campaigns to improve their database marketing for the communication
with their customers.
As customers are the most important part of direct
marketing so it is very necessary to find the interest of customers. And
customers must show their interest by sending the mail or comment for the
products and to promote the products. The customers who are taking interest in
any type of information and promotion of products are the most responsible
customers.
Some database also generates such lists of customers
that show response to some specific information and for a particular message.
The main purpose of database marketing is to make the strong communications
with the group of customers who are really interested in this marketing
campaign. You have to maintain this communication between you and your
customer. If your maintenance is proper and regular then you can also delete
such customers from your list who are not taking interest in your business
campaigns.
As the name show that database marketing starts with
data. If the data you have is very useful then your campaign must be effective.
This data can be collected from large number of sources such as campaigns of
free products, credit cards and purchase histories. You can also get
information from customer service.
Larger companies manage their collected data through
a data warehouse. This data warehouse permits to process new data for business
again. If you have a large number of data then you have greater opportunities
to communicate with different customers. This database generates such data that
is more effective and actionable. At this point the purpose of database marketing
is done.
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