| One
of the oldest and most effective forms
of direct response marketing has been
the “per inquiry” (PI) model
of advertising. PI advertising has been
around decades before Google popularized
the model online. Simply put, with PI
advertising, the advertiser pays only
for qualified responses. What constitutes
a “qualified response” has
always been the tricky part.
While
technology has changed, the core model
of PI advertising has not. Therein lies
the problem. The success of Google’s
online advertising platform can be attributed,
in part, to its tool, which brought a
degree of transparency to the process.
| For
PI advertising to take it to
the next level, the industry
needs to go even further beyond
the high benchmark that Google
has set. |
|
Yet for PI advertising
to take it to the next level, the industry
needs to go even further beyond the high
benchmark that Google has set. What is
needed is a neutral player without any
conflict of interest to act as an intermediary.
Call centers have a primary job to answer
calls and are measured by their close
ratios. Therefore, call centers are not
an unbiased, independent source of verification.
Since reporting fewer calls increases
call centers’ closing ratio, it
would be in their interest to report less
calls to increase their closing ratio.
Radio and television stations naturally
want to report as many leads generated
as possible, thus they are not a disinterested
party.
SOFTWARE
IS A GOOD START
The only way to
establish credibility and trust in the
PI advertising industry is software, which
accurately reports on responses with the
ability to slice and dice according to
what is negotiated between a client and
agency. The software should record and
archive all phone calls for verification
purposes. Multiple filters should allow
the user of the software to segment based
on deal criteria. For example, unique
calls that last one minute or more and
haven’t called in the past 60 days.
This may be the agreed definition of a
“unique caller” between the
client, agency and media source (the TV
or radio station).
Log-ins are created
for clients, agencies and radio/TV stations
so all parties can access the information
in real time. No party can actually change
or tamper with call records. Data is reported
directly off the telco switches, ensuring
100-percent accuracy. Complete transparency
improves confidence in the process.
Thus, clients only pay for truly qualified
responses, which improves their sales
efforts and conserves their budget. Confidence
in the system increases the likelihood
of clients to advertise more, benefiting
agencies, radio/TV stations and call centers.
The industry as a whole will benefit from
improved verification and trust: a true
win-win situation.
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