Don’t Underestimate The Infrastructure


Speaking at the “Selling Subscriptions to Internet Content” summit today at NYC, Paul Pellman, VP of consumer direct marketing at Terra Lycos spoke on the infrastructural and database solutions which subscription sites need to keep in mid while developing their services. Now that we have moved beyond the obvious debate, it is time to do online marketing and promotions for your subscription services. That involves heavy use of online advertising, market research and database services, much on the lines of an ad serving/testing/feedback solutions media companies have been using for the last five years.

Goals for subscription business:

— improve your conversion metrics on subscriptions, and you need to know how to convert them in the first place

— anonymous visitor to registered conversion

— subscriber life time value (very important to know, and difficult to calculate)

External Messaging Campaigns: (promotions through your own site or other properties)

— segmentation marketing works: both explicit and implicit data

– integrated messaging works better than one-offs

— campaigns triggered off registration or enrollment date more effective than against the base: strike when the iron is hot

— significant open and CTR on e-mails, so use them as much as you can

— campaigns across channels are more effective than e-mail alone

— strict test and control cell treatment is critical

— offer and promotional tests are critical–use e-mail to test before rolling out on the site.

— if possible, test and confirm before investing in significant engineering resources

— direct marketing is throwing a lot of things to the wall and see what sticks: test around all kinds of ideas

–sign up for competitive services, and “role-mode” subscription services

The coverage is sponsored by Javien Digital Payment Solutions.

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