As I was preparing for today's class. I found something interesting--syndicated service research firms. According to the text book, these firms gather consumer and trade information, which they sell for a fee. This remind me of a Taiwanese company I have been working with before, DDIM (鼎鼎聯合行銷).
DDIM is known by its famous point card, HappyGo, which customer can collect point each time they show the card when they purchase in convenient store, department store, etc. With the points in customer's cards, they can have either discount or small gift from the shop.
What makes this company unique is that it does not only profit by giving out the cards, but also by selling the customer information to companies which need an overview of the potential market. Since there are over 9 million card holders who can use the HappyGo card in over 10 thousands stores in Taiwan, DDIM has huge data of the customer's shopping behavior.
Moreover, DDIM provide customized service, Gosurvey to companies who wants to reach as many potential customers as they can. GOsurvey helped companies to create questionnaires and deliver them to HappyGo card members. Those who reply the survey can earn extra HappyGo card points. With deliberate questionnaire design. Usually the survey turns out to be another kind of EDM. And in fact, as the EDM readers reply the survey, if they fill in their personal data, companies can collect and use them to conduct second-time marketing, such as calling or mailing.
According to my working experience, the result of Gosurvey EDM is not satisfying at all. More and more customers neglect the EDMs, though GOsurvey provide HappyGo card points as reward, customers either neglect the mail or fill in survey in few seconds.
The business trick is here, why companies keep signing contract with DDIM even though GOsurvey usually shows poor feedback?
related links:
HappyGo (English introduction page): http://www.happygocard.com.tw/official/english.do
PS: HappyGO is a subsidiary company Far East Group (http://en.wikipedia.org/wiki/Far_East_Group)
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