(Note: This post is really two stories in one. It was taken from my clients only newsletter which I publish monthly.)
A company I’m keeping an eye on called leadsift.com recently posted an article on their blog referencing a piece by the Economist (http://goo.gl/LuCdJ) that talks about direct marketing and social media. I’ll get to why I’m keeping an eye on Leadsift in just a moment. First I want to lambaste the Economist.
The Economist sinned in my eyes because they confuse the methodology of marketing known as “direct marketing” with the media of “direct mail”. A marketing methodology and a media are two completely different things my friends. They sinned again when they used a blanket statement to describe all direct mail and email as junk.
The thing they fail to realize, as most people do (just read the comments on the Economist’s article), is that a great number of direct mail pieces and emails are in fact highly profitable, highly targeted, measurable, welcomed by their recipients, and a huge money maker for their senders.
If you take a moment to read http://en.wikipedia.org/wiki/Direct_marketing you’ll see under the section Popularity of Direct Advertising that in 2010 direct marketing was responsible for “54.2% of all ad expenditures in the United States. Measured against total US sales, these advertising expenditures generated approximately $1.798 trillion in incremental sales.“
If all direct mail was junk it would be pretty hard to generate 1.798 trillion in sales wouldn’t it?
Now back to leadsift. In December I had a chance to meet with Leadsift’s marketing and sales manager while visiting my home province of Nova Scotia. As far as I know they’re still in Beta but I really like their approach and their goal of helping companies generate leads by analysing people’s interactions on social media platforms. Will be a very useful app if they can pull it off. This is the kind of thing that will make social media more useful to companies, instead of the loads of time being wasted tweeting meaningless posts day in and day out without any way to track and measure and profit from the activity. Check out Leadsift. I suspect you’ll be hearing more about them soon.