Questions to ask your listing broker

What is included?

Make sure you know what type of direct marketing list you’re buying. Does the list include names and addresses? Are phones included? What about emails? Don’t assume that because you’ve requested a mailing list, phone numbers or emails will be included. Some mailing lists will include phone numbers, but many will not. Mailing lists don’t usually come with email addresses, but many email lists will have email addresses. It is very, very important that you and your list broker are clear about what type of direct marketing list you want to use.

You should also know what ‘selections’ are on offer. A selection is an element that can be used to further target a direct marketing list, such as geographic areas, job titles, industries, age, marital status, etc. Depending on how the data is collected in the lists will determine which selections are available. Some lists will have countless selections that you can apply to the list to narrow down the target, while other lists may not offer any.

How are they obtained?

It’s important to know where the information in your marketing lists comes from. Obviously, you want to know that the information is legitimate and compliant, but did you know that your response rate can vary depending on the source of the list? There’s a big difference between direct marketing lists based on actual buying behavior and lists compiled from public records.

The source can be classified as responsive or compiled. Each type has its advantages and disadvantages.

• Response – These are natural persons who have freely provided their contact details. They are typically collected through sources such as magazine subscriptions, catalogs, and past direct marketing responses. These lists are often more expensive than compiled lists, as the information is self-reported and often very specific. These lists can be sorted by interests, family income, marital status, and other factors.

• compiled – are made up of people with similar interests, such as real estate agents or dog breeders. These lists are compiled using a variety of public sources, including government databases, vehicle registrations, credit card lists, and phone records. These lists tend to be less expensive than response lists, as they are easier to keep up to date and the selections available are not as refined. Household or business contacts on these lists can be sorted by geographic location, gender, ethnicity, income, and age.

Your list broker should be able to guide you as to which list source would work best for your direct marketing campaign.

What is the actual cost?

Understanding the cost of your list is crucial. You don’t want to be in a position where you think you know what the listing cost will be, only to find out it’s not what you expected and now you’re over budget. Your ROI depends on Your listing broker should provide you with a data card or full proposal explaining the full cost of your listing. If you don’t understand what your listing broker is providing, or if you have any questions, ask! You can’t afford not to know what you’re buying.

Direct marketing lists will generally have a base price, with additional picking and delivery costs.

The base cost of a list is priced at cost per thousand, which means that you are charged a certain amount for every 1,000 contacts you would like to use. The cost per thousand is expressed as “/M”.

Depending on the list, there may be additional charges for adding phones or emails. It is very important that you make sure you are aware of these charges.

The selected cost is also displayed as a cost per thousand. The more selections you apply to your list, the more specific your list will be and the better the results will be. However, it will also add to the total cost of your listing.

Processing and delivery charges are a flat fee charged by the list owner to format and deliver the data. Costs vary from owner to owner and can range from $25 to $100.

So if the base cost of a list is $95/M and you are looking for 5,000 records, your base cost would be $475. If you want to target homeowners within a certain area and want to include phones, there will be additional costs. Selecting only homeowners will cost you $10/M, geographic information will be included and phones will cost an additional $30/M. This makes it $525. Add $50 for processing and delivery and your cost is $575. Your listing broker should be able to explain all the costs involved to you.

Please note that many lists have minimum volume requirements. If the number of records you need is below the list owner’s minimum, you may be charged an additional fee. Conversely, many list owners will offer volume discounts if the number of contacts on their list is large.

Lastly, make sure you know what currency the listing is quoted in. There are list owners all over the world who work in different currencies, don’t assume that you are trading in your country’s currency.

How current are they?

How old is the list and when was it last updated? Direct marketing lists break down over time. People or companies move, contacts leave or change departments, people die, etc. There is no shortage of circumstances that will affect the contact information on a listing. Most list owners will run a standard update every 30 days removing bad entries. This ensures that the data you are using is accurate and deliverable. There is no point in using a list if the information it contains is not accurate, so make sure your list is up to date.

They are compatible?

Email and telemarketing lists must comply with the CAN-SPAM Act and the National Do Not Call registry, respectively. If you are planning a direct marketing campaign outside of the United States, you must ensure that the list complies with the rules and regulations of that country. You, the end user, have the responsibility to ensure that you comply with the regulations. Being sold on a bad listing is not a defense and the penalties for violating the regulations can be severe. Ask your listing broker to confirm that your listing is complaining.

There are many listing brokers who are only interested in getting your money. They have cheap direct marketing lists that are non-compliant and out of date. Protect yourself from these shady list brokers by asking the right questions. If they can’t or won’t answer your questions, stay away from them. A legitimate list broker will have no problem answering any questions that he may have.