1. INTRODUCTION
7.1. MODEL COMPONENT WEIGHTING
7.1.2. The data extraction tool
7.1.3.1. Existing client campaigns
The matrix portraying the weightings for existing client campaigns is shown below in Matrix 7.1.
MATRIX 7.1: EXISTING CLIENT CAMPAIGNS WEIGHTINGS Customer
satisfaction Loyalty Client
acquisition Sales Cost Profit Reach and frequency
Creative quality
Public relations Customer
satisfaction 2.0 (3.0) 2.0 (3.0) (2.0) (2.0) 4.0 2.0
Loyalty 2.0 3.0 2.0 2.0 1.0 3.0 (4.0)
Client
acquisition 2.0 (2.0) (2.0) (2.0) 3.0 1.0
Sales 2.0 1.0 2.0 2.0 (2.0)
Cost 3.0 1.0 2.0 1.0
Profit 2.0 2.0 1.0
Reach and
frequency 2.0 1.0
Creative
quality 4.0
Public relations
The responses should not have a lower consistency rate than 90% for the model to function according to the objectives set (Saaty, 1980). The weightings and consistency are shown in Figure 7.1.
FIGURE 7.1: EXISTING CLIENT CAMPAIGN WEIGHTINGS AND CONSISTENCY
If one considers the ideal weightings in relation to the model’s primary objective, the model is only 80% consistent with the weightings shown in Figure 7.1. Expert Choice does, however, have the functionality to cater for a best-fit weighting score. This best-fit approach leads the researcher through a series of steps to attain the ideal consistency rate by replacing the most inconsistent weightings with ideal weightings. The following section details this best-fit process
Best fit step 1
The weighting with the most inconsistent score is changed to a best-fit score and portrayed in red.
MATRIX 7.2: EXISTING CLIENT CAMPAIGNS AFTER STEP 1 OF THE BEST-FIT PROCESS
Customer
satisfaction Loyalty Client
acquisition Sales Cost Profit Reach and frequency
The best-fit score in the weighting between creative quality and public relations moved from a 4.0 bias towards creative quality to a 3.7 bias towards public relations. Figure 7.2 shows the impact this change had on the consistency score.
FIGURE 7.2: EXISTING CLIENT CAMPAIGN WEIGHTINGS AND CONSISTENCY AFTER STEP 1 OF THE BEST-FIT PROCESS
With this one change, the consistency changed by 6% to 86%. The importance of creative quality has diminished significantly with this step, changing from .078 to .039, whereas the weighting of public relations increased from .121 to .146, which means that with this version (Figure 7.2), the emphasis on trustable, objective campaign support from media which hasn’t been paid for becomes much more significant in relation to the message tailored by the company and paid for by the company in the media.
The other themes generally maintain their importance, with small changes to the weightings across the board. This makes the shift in the creative quality and public relations themes the only but significant change.
Best fit step 2
MATRIX 7.3: EXISTING CLIENT CAMPAIGNS AFTER STEP 2 OF THE BEST-FIT PROCESS
Customer
satisfaction Loyalty Client
acquisition Sales Cost Profit Reach and frequency
Creative quality
Public relations Customer
satisfaction 2.0 (1.5) 2.0 (3.0) (2.0) (2.0) 4.0 2.0
Loyalty 2.0 3.0 2.0 2.0 1.0 3.0 (4.0)
Client
acquisition 2.0 (2.0) (2.0) (2.0) 3.0 1.0
Sales 2.0 1.0 2.0 2.0 (2.0)
Cost 3.0 1.0 2.0 1.0
Profit 2.0 2.0 1.0
Reach and
frequency 2.0 1.0
Creative
quality (3.7)
Public relations
The second step in the best-fit process reduced the bias of client acquisition towards customer satisfaction to 1.5 from 3.
FIGURE 7.3: EXISTING CLIENT CAMPAIGN WEIGHTINGS AND CONSISTENCY AFTER STEP 2 OF THE BEST-FIT PROCESS
This step didn’t have the significant impact of step 1 as showcased by Figure 7.2, as the consistency only improved by 1% to 87%. Public relations was further strengthened in this step, although not significantly, from .146 in Figure 7.2 to .148 in Figure 7.3. Client acquisition as a theme was impacted though, with a change from .108 in Figure 7.2 to .094 in Figure 7.3. This means that overall, when conducting a direct response advertising campaign to existing clients of the company, this theme becomes less important.
Best fit step 3
MATRIX 7.4: EXISTING CLIENT CAMPAIGNS AFTER STEP 3 OF THE BEST-FIT PROCESS
Customer
satisfaction Loyalty Client
acquisition Sales Cost Profit Reach and frequency
Creative quality
Public relations Customer
satisfaction 2.0 (1.5) 2.0 (1.1) (2.0) (2.0) 4.0 2.0
Loyalty 2.0 3.0 2.0 2.0 1.0 3.0 (4.0)
Client
acquisition 2.0 (2.0) (2.0) (2.0) 3.0 1.0
Sales 2.0 1.0 2.0 2.0 (2.0)
Cost 3.0 1.0 2.0 1.0
Profit 2.0 2.0 1.0
Reach and
frequency 2.0 1.0
Creative
quality (3.7)
Public relations
This step reduced the bias towards cost to 1.1 from a previous weighting of 3.
FIGURE 7.4: EXISTING CLIENT CAMPAIGN WEIGHTINGS AND CONSISTENCY AFTER STEP 3 OF THE BEST-FIT PROCESS
With this change in weighting, the consistency changed to 89%. Customer satisfaction as a theme increased in importance from a weighting of .120 in Figure 7.3 to .129 in Figure 7.4.
This implies that it is a very important factor when targeting direct response advertising to existing clients. Cost decreased in importance from .141in Figure 7.3 to .122 in Figure 7.4, as direct response advertising campaigns aimed at existing clients generally are not dependent on public domain advertising support, which is expensive in relation to personalised material designed to entice a response from a specific person in the company’s existing client base.
Best fit step 4
MATRIX 7.5: EXISTING CLIENT CAMPAIGNS AFTER STEP 4 OF THE BEST-FIT PROCESS
Customer
satisfaction Loyalty Client
acquisition Sales Cost Profit Reach and frequency
Creative quality
Public relations Customer
satisfaction 2.0 (1.5) 2.0 (1.1) (2.0) (2.0) 4.0 2.0
Loyalty 2.0 3.0 2.0 2.0 1.0 3.0 (4.0)
Client
acquisition 2.0 (2.0) (2.0) (2.0) 3.0 1.0
Sales 2.0 1.0 (1.5) 2.0 (2.0)
Cost 3.0 1.0 2.0 1.0
Profit 2.0 2.0 1.0
Reach and
frequency 2.0 1.0
Creative
quality (3.7)
Public relations
This step in the best-fit process saw a change from a sales bias towards a 1.5 cost bias in that weighting dynamic.
FIGURE 7.5: EXISTING CLIENT CAMPAIGN WEIGHTINGS AND CONSISTENCY AFTER STEP 4 OF THE BEST-FIT PROCESS
The importance of sales decreased from .096 in Figure 7.4 to .082 in Figure 7.5. The nature of direct response advertising aimed at existing clients is to target specific individuals with a specific and personally relevant message. This means that small clusters of clients are included in the campaign to optimise efficiencies in conversion ratios. A knock-on effect of campaigns aimed at existing clients is the relationship building and loyalty effect it has, as more engagement with clients builds stronger long term relationships.
With this step, the ideal weighting was achieved with a consistency score of 90%. This consistency measure is used to screen out inconsistent responses from respondents in the survey (Cheng & Li, 2001). For large matrices, such as the one in this study, a consistency ratio of .10 is necessary for the results to be meaningful and valid. This means that this version of the model (Figure 7.5), is the one that will be used when planning, managing and measuring the eventual success of a campaign aimed at an existing or affinity base of clients.
Themes such as creative quality, sales and client acquisition receive the lowest weightings, and public relations, loyalty and customer satisfaction receive the biggest weighting.
This means that the respondents of this study believe that clients respond more to independent and objective views, rather than company endorsed messages in the broader media. Client satisfaction is also important, as bad news travels quickly through the virtual
grapevine (social media play a big role in shaping perceptions about products and companies), and clients are reticent to invest further in a company and its products if it has a reputation for poor or unfair treatment. In the researcher’s experience, it is very difficult to persuade an existing client to buy more products if the current service experience is poor.
Loyalty as a theme stayed consistently strong throughout steps 1 to 5, which showcases that, in the opinions of the respondents, it has a huge impact on purchasing or engaging behaviour.
In the researcher’s experience, it is easier to engage with and sell to customers who feel loyal towards a company and its products. It also becomes somewhat of a self-fulfilling prophecy, as clients gain loyalty by purchasing more products. It becomes increasingly challenging for a client to leave a company if a large portion of the wallet is spent or invested there.