From The Marketing Side
REGRESSION MODEL
Report Example
Decile
Schools Mail File
Count
Total
Resp
Overall
Unique
Resp Rate Schools
School School
Resp Resp Rate
Total
Revenue
Rev per
Pce Mld
% of Tot
Rev
Cume
Rev
1 11,700
73,403 3,173 4.3% 14,100 1,710 12.1% $2,552,085 $34.77 23.0% 23.0%
2 11,700
67,673 3,111 4.6% 14,885 1,469 9.9% $2,437,298 $36.02 22.0% 45.0%
3 11,700
60,338 2,798 4.6% 13,926 1,336 9.6% $1,643,036 $27.23 14.8% 59.8%
4 11,700
60,995 2,753 4.5% 12,606 1,204 9.6% $1,570,403 $25.75 14.2% 73.9%
5 11,700 61,693 2,230 3.6% 12,528 1,196 9.5% $903,833 $14.65 8.1% 82.1%
6 11,700 62,505 2,112 3.4% 11,443 1,050 9.2% $726,504 $11.62 6.5% 88.6%
7 11,700 59,995 1,762 2.9% 10,603 989 9.3% $606,045 $10.10 5.5% 94.1%
8 11,700 58,635 1,525 2.6% 10,000 886 8.9% $485,215 $8.28 4.4% 98.4%
9 11,700 55,791 946 1.7% 8,437 629 7.5% $128,261 $2.30 1.2% 99.6%
10 11,700 54,852 626 1.1% 5,385 356 6.6% $45,261 $0.83 0.4% 100.0%
615,880 21,036 3.4% $18.02 100.0%
Totals 117,000
113,913 10,825
9.5%
$11,097,941
Notes: Each decile contains 10% of all schools. Top 60% of schools yield 89% of revenue. Bottom 40% yield 11%.
Our industry is fortunate to have a
number of school and district databases
available to us. In fact, one could argue
that these databases may be too compli-
cated for the average school marketer.
For example, there are more than one
hundred ways to target educators. You
can qualify schools and districts by more
than 50 different criteria, and you can
qualify educators by another 50 differ-
ent criteria. That means you have up to
a total of 2,500 possible ways to select
educators in schools and districts.
Prospect More Heavily in
Customer Institutions
Fortunately, there are tools to
improve our targeting. One simple
approach is to “mark” the schools and
districts that purchase our products
and services. This enables us to select
educators in those institutions either
as leads for our sales reps or targets
for catalogs and direct mail. We can
also distinguish between the educa-
tors who are our customers and other
educators in the same institutions.
Often, for most products and ser-
vices, “other” educators in our cus-
tomer schools and districts will prove
more responsive than those in other
institutions. Why? If the institution
has purchased from us, we are an
approved vendor; at least one edu-
cator is using our product or service
and can act as a referral; and lastly,
the product or service is present in
the institution and available for other
educators to sample and review.
We call this process of marking
schools and districts that are our
customers “matching”. We can simply
match on the basis of whether or not
a school or district is a customer or we
can match on the basis of how “good”
a customer that institution is based on
how much they purchased from us or
how recently they purchased. While
this matching process is a better way
to target schools and districts it does
not differentiate schools and districts
relative to their return on our market-
ing investment.
essentials | www.edmarket.org 19