Blind Data Anyone?

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Posted: Mar 18 2010

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Sun Tzu, the famed military general and strategist, cautioned in 481 B.C. , “The enlightened ruler lays his plans well ahead. The great leader cultivates his resources.” As marketers venture boldly into 2010, excitement levels around the first  World Cup to be held in Africa are high. Do you have a clear strategy for 2010? When was the last time you looked at your greatest resource? Without a doubt, that resource is your brand.

The Direct Marketing Association of South Africa (DMASA) has a clear agenda – in order to be a proud African marketing practitioner, we all need to adhere to legislation to uphold the integrity of the brands that we’ve so painstakingly created.

Brian Mdluli, CEO of the DMA, recognises that ‘never has one industry (marketing) been hit by so many laws’. He is at the forefront of mobilising direct marketers in South Africa with regards to self-regulation, ensuring and protecting consumers from unethical or ignorant marketing practitioners. An affable personality, Mr. Mdluli paints a grim but realistic picture of the direct marketing scene in South Africa and indeed on the continent. With  R8,7 billion spent in 2007 on direct marketing, he is increasingly confident that marketers are learning to be mindful of the new laws and legislation in place. “Previously, it would have been a near impossible task to govern the marketing that takes place in this country, but as more members join the fold of the DMA, we are empowering a growing base of marketing professionals to promote their brands in an ethical and regulated manner. This, in turn, improves the perceptions of the brands that commit to adhering to these standards. We have in excess of 250 members and are growing rapidly,” says Mr. Mdluli.

Direct marketing has been tainted with a bad reputation. From marketers who unwittingly violate privacy laws, to those who purchase illicit databases unknowingly; the general consumers have been inundated with service or product offers that they have no need and no use for. The DMA offers lectures on the current legislation: Protection of Personal Information, The Promotion of Access to Information Act, to name but a few. At each session, it is interesting to note how many marketers are unaware of the implication of their every day actions, e.g. sending out a text message to a minor, parameters of e-mail marketing, etc. These actions can easily cause significant damage to our brands.

Data provision is an example of a misunderstood and under-utilised facet of direct marketing. Data profiling is not an exact science. While there are many companies that profess to understand their consumers well, there are very few companies in South Africa are actually supplying marketers with the right data  at the right price. 
Gary Berman, MD of Plum Solutions, a leading data provider, points out that “most companies think that going ‘mobile’ via bulk SMS or MMS is enough. But we focus on delivering the right message to the right audience. We consult extensively with the brand managers, clearly defining their objectives, and only then do we produce and implement campaigns.” Sex, age, income and location are critical demographics. Beware of obsolete or undated data. Mr. Berman continues, “It’s about understanding the needs and wants of your client. Price is one of several considerations. Anything less, you might as well be going on a blind date. You never know what you are going to get!”

It is only when marketers cultivate their brands in an ethical and knowledgeable fashion that the standard of marketing experienced by the consumers increase. As the Protection of Personal Information Bill is anticipated to be ratified in parliament by the first half of 2010, many brands will be facing increased pressure to create an “opt-in” database that they can communicate with. Are you already laying your plans well ahead?

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