Showing posts with label American Red Cross. Show all posts
Showing posts with label American Red Cross. Show all posts

7/06/2020

PenFed Credit Union: Not Military Precision

I recently received this solicitation from PenFed Credit Union, whose formal name (according to Wikipedia) is Pentagon Federal Credit Union -- a name that aligns with the company’s pentagon-shaped logo

The solicitation letter is pretty typical for mid-tier credit card providers: window envelope with teaser; letter with Johnson Box; clear Call to Action; Schumer Box; buckslip insert reinforcing benefits and the call to action; and required credit prescreen opt-out notice.


PenFed Federal Credit Union






The first line of the disclosure on the front of the letter reads, “To receive any advertised product, you must become a member of the PenFed Credit Union.” I originally thought this might be a Fail for Targeting since I have never worked in the military services or at the Pentagon and thus, I thought, would not be eligible for membership. The letter itself does not mention membership criteria, and I also could not find a mention on the main pages of their website or their sitemap. I did, however, find some information about membership eligibility from third-party websites such as on WalletHub; from there, I returned to a page that listed Affinity Partners

On affinity partner pages such as this one related to the American Red Cross, there is some copy that reads:

"Congratulations! As an employee, retiree, or volunteer of the American Red Cross you are eligible for PenFed membership! How does PenFed define volunteer? A volunteer is anyone who provides time, talent, or treasure. Time is the hours volunteering for the organization, talent is the unique skills a volunteer brings to the organization, and treasure is both financial and blood donations."

Aha! I am eligible for PenFed Credit Union membership because I supported the American Red Cross. Perhaps the Red Cross shared my contact information with PenFed in hopes that I would become a member and the Red Cross would receive some benefit for the referral. If I am correct -- and, perhaps even if I'm not -- the letter merits a Fail for Creative because the letter lacks an explanation of membership eligibility. 

The letter should explain membership eligibility and how broadly they define it. Even a couple lines along the lines of "We support people who serve the military but also offer membership benefits to tens of thousands of other people who support the military or one of our affinity partners." Or, if I received this offer because of my history of American Red Cross support, why not call that out? Touting affinity relationships helped make MBNA America successful -- perhaps that approach could work for the credit union.

At the very least, PenFed should add a page on its website explaining membership criteria -- a page that is indexed by Google, easy to find and easy to understand. This easy-to-find page on Affinity Federal Credit Union's website is a good template.

Also, is this offer a Fail for Timing? According to CNBC and other news sources, many banks are cutting back on balance transfer offers during these extraordinary times. Perhaps the credit union has a contrary view of where the economy is headed. Or, maybe it has reviewed its current membership pool and credit prescreen criteria and has taken a different view of credit default risk. Or, maybe the credit union had planned this campaign long in advance, and just decided to move forward.

Lessons:
  1. If soliciting members for your credit union's credit card, include language that suggests the person is not only eligible for the credit card, but also eligible to join the credit union.
  2. Membership eligibility for a credit union should be easy to find.
  3. Consider whether a pandemic is a good time to offer 0% balance transfers.

3/01/2020

American Red Cross: No longer blind


A little over two months ago, I wrote about receiving a solicitation from the Red Cross in a blind envelope right in the middle of the traditional giving season. Last week, I received a similar solicitation but with a corporate envelope.

Where the envelope in December had no hint of branding, this envelope is unmistakably from the American Red Cross. The teaser message reminds me that my donation helps the Red Cross respond to more than 60,000 disasters a year.

American Red Cross
Red Cross Solicitation:
Fully Branded Outer Envelope
The letter inside is exactly the same as the December letter. The only update is the mailing date.

Red Cross Charity Solicitation Letter
Donation Solicitation Letter front
multichannel engagement
Donation Solicitation Letter back
Request for email address circled

As a direct marketing professional, my gut tells me that the blind envelope was part of an A/B Test and this is the Control, but that is just a hunch. Perhaps the plan was for the holiday solicitation to be blind to differentiate it from the multitude of charity mailers that typically arrive in December. The mailbox is not as busy in February, the thinking would go, so now is time to show that logo again.

I wonder if it is also time for increased multichannel engagement. This is a direct mail letter requesting a mailed-back, completed response form. There is also an online donation option; however, the mention of that is in small type.

No one wants to mess with a successful Control package (if this is it); however, it may be time to consider that the internet is useful for many things, including donor engagement. Buried on the back of the form  below the input field for credit card information  is a request for email address. Instead, why not, on the front of the form, ask all donors for their email address to share stories of the Red Cross coming to the aid of disaster survivors? Rather than treating this solicitation as solo mail in a vacuum, include a link to the American Red Cross YouTube channel or the local Red Cross as a means of encouraging engagement?

Business Reply Envelope

Perhaps that could be their next A/B Test.



Lessons:

1.      Test your most successful direct mail packages. Let new presumptions challenge your assumptions.
2.      We live in an omnichannel world. Don’t use direct mail in a vacuum – integrate it with your other engagement channels.

12/18/2019

American Red Cross: Is a Blind Envelope Prudent?

You are one of the largest charities in the United States, with over $3 billion in annual expenses. According to Charity Navigator, only one other charity is followed more. When there is a natural disaster, you are there. Your logo is considered one of the most recognizable, one of the best in the world. So why are you hiding your logo?



Blind Outer Envelope
Red Cross Solicitation:
Front of Outer Envelope

That’s what I’m asking myself after receiving this charity solicitation from the American Red Cross. Every other charity solicitation I have received this holiday season included a message on the envelope -- what is known in industry jargon as a teaser. However, this Red Cross solicitation not only did not include a teaser, the envelope was completely blind. There is no indication that this is from the Red Cross, not even a return address.
Back of Outer Envelope
Is this a Fail for Creative? I don’t know. Intuitively, I think so. But I can’t be a focus group of one because I'm so enthusiastic about direct mail marketing, I open and read everything I receive (besides, the concept of being a focus group of one is dangerous). 

There are several schools of thought on whether teasers make sense. Some POVs from people with non-profit direct mail experience include this blog post suggesting that, because most teasers are simply not very good, a non-profit is better off without one. A similar POV from Mary Chalane suggests that, if a non-profit uses a teaser, it needs to be worthwhile. 
Donation Solicitation Letter front

Donation Solicitation Letter back
I agree with these opinions conceptually -- a bad teaser is worse than no teaser -- but couldn’t Red Cross creatively develop a good teaser? If not, shouldn’t Red Cross at least include its well-known, appreciated logo in the outer envelope return address area? 


BRE
Front of Business Reply Envelope
includes branding in color


Back of Business Reply Envelope

Perhaps Red Cross A/B tested the blind envelope against one with a teaser. Perhaps it tested against several teasers and an envelope displaying only their logo, and the blind envelope kept winning. If the test took place in the summer, perhaps it should try testing against a holiday-themed envelope in December when consumers’ hearts and checkbooks are more likely to be open.

My creative intuition could be right, or it could be wrong. The only way to know for sure is to test. Happy holidays.


Lessons:

  1. Know your strength of your brand.
  2. Maintain a Control package, but test against it at times relevant to your audience.