Robin Foote and Leo D'Acierno are Featured by OnSite Conference, Speak on Local Marketing Optimization

November 1, 2007

NEW YORK – The effectiveness of marketing, advertising and promotional activities can be dramatically increased by tailoring initiatives in accordance with the varying market dynamics and levels of opportunity in each locale the bank serves, said Robin Foote and Leo D'Acierno in a national webcast sponsored by OnSite Conference.

Managing Directors at Novantas LLC, Foote and D'Acierno led a session titled "Using Local Insight to Increase Marketing Effectiveness." Particularly in the current era of slowing conditions in retail banking, they said, institutions often are ill-served by broad-based marketing initiatives, which typically dissipate resources in low-potential areas while starving high-potential areas.

Progressive banks are learning to overcome this trap by adopting a methodical approach that deploys marketing resources where they will do the most good, said Foote and D'Acierno. They said institutions that master the new "precision model" for marketing initiatives take four major steps to improve effectiveness:

1. Leaders scientifically score markets to determine the likely revenue yield per dollar of marketing expenditure, and they identify "strategic" investments.
2. For each market, they methodically assess their own franchise strength and growth targets; market potential; and market prices for advertising and other vehicles. In turn, they use this information to develop integrated marketing plans, including campaign priorities and spending levels.
3. They are selective about mass media buys, and identify targeted local placement buys and other campaign and promotional activities according to strategy.
4. They treat marketing as an "investment;" rigorously track and measure returns; reallocate budgeted resources among markets within the year as warranted; and surgically trim spending in markets that are not performing.

By changing their approach, leaders have been able to reduce total marketing spend – in some cases by up to 15% — while improving results, said Foote and D'Acierno. But first, they said, banks must make a commitment to using analytics for decision–making, and develop the organizational skill needed to execute a precision approach.

Novantas is the acknowledged leader in customer science and revenue strategy in the financial services industry. The Firm specializes in investigating and interpreting customer needs, attitudes and behaviors in ways that help companies to refine marketing decisions, customer strategies, and sales and service activities.