eMarketer talks with Prospectiv's president and CEO, Jere Doyle, about how to reach new customers online.

eMarketer: Prospectiv focuses on connecting brands and consumers via online solutions. Let's start out by discussing how you define online customer acquisition, and how that differs from other definitions.

Doyle: First of all, we look at online customer acquisition as building a house file of customers or finding qualified leads for our clients. It is a comprehensive campaign that doesn't begin and end with the delivery of a list of names. It covers strategy, media buying, targeting, data collection and verification -- and delivering a solid return on investment. 

Also, the use of multiple channels is very important. In our campaigns we use email, paid search, vertically targeted properties, co-registration, brand specific microsites, surveys and polls, all with the aim of developing a database of profitable consumers who are really interested in our clients.

Finally, we focus on the idea of delivering the right customer. That's the way to acquire a customer and build a profitable relationship.

eMarketer: How is that different from other definitions?

Doyle: Our big difference boils down to media reach, technology and analytics. A big difference is how we target our offers. We believe in targeting customers using sophisticated optimization. In other words, we don't want people to sign up for offers from our clients unless they are genuinely interested in our clients' brands and products. Targeting customers based on their behavior and preferences ensures we find the right customers to register for our clients' offers. 

eMarketer: What do you consider critical success factors for effective online customer acquisition campaigns?

Doyle: Besides targeting, and using a multi channel approach, it's the trust factor. Consumers have to understand what they are opting in for. So, this means the brand, copy and opt-in statement must be clear and that consumers understand "what" they are signing up for and with "whom."

Another key is to begin the relationship by asking for the right type and amount of data. This helps the marketer deliver more relevant messages from the start. It also ensures that the customer is giving something as well as receiving something in return. I consider this a sort of "virtual handshake." It underscores the idea of a trust-based relationship.

Asking consumers for information at the outset also helps them remember, later on, that they have asked for the information and offers that they are receiving. When that first email arrives in their inbox, they remember that they have requested it. So it's key to have active participation at a personal level.

eMarketer: What are some of the industry trends you are seeing in online customer acquisition?

Doyle: "On demand" technologies, do-not-call lists and email filters have given consumers greater control over the media they consume, making it more difficult for marketers to reach them.

Therefore, it will be even more critical for marketers to build a house file of consumers who have requested to be marketed to and communicate with these consumers directly on topics they are interested in. It's the only way to ensure your message is getting through.
  
As a result, online marketing services providers are assuming responsibility for making online customer acquisition campaigns effective at building house files -- marketers pay only for success -- a pay for performance model.

Meanwhile, technology advancements have improved the effectiveness, quality and measurement of online customer acquisition campaigns. That means better targeting, improved quality of leads delivered, and more robust data analysis. That allows marketers to measure campaign effectiveness and helps them learn more about their target consumer and guide future brand communications.
 
eMarketer: What's next for the industry?

Doyle: First of all, we see continued growth for the online customer acquisition industry. Emailing your house file will remain a proven marketing tactic -- probably the best there is online. 

In terms of tools and trends, we expect additional opportunities for channels to emerge, including mobile and consumer generated media. Meanwhile, some interesting changes will occur as audiences continue to move from dial-up to broadband. That not only increases general usage, but it opens up opportunities with rich media marketing, which has proven effective. So marketers will increasingly adopt rich-media focused campaigns.

This interview is drawn from a new eMarketer white paper, "B-to-C Online Customer Acquisition: 10 Steps to Success," available free of charge on the eMarketer website.