Rachel Quinn, Marketing Communications Manager – Small Business eircom

1. No Surprises – Best New Product Launch 25th June 2010 Rachel Quinn, Marketing Communications Manager – Small Business eircom Estelle Gorby, Managing Director – Acorn Marketing

2. Agenda • The Market Challenge • The Campaign Objective & Brief • Campaign Approach • The Creative • Results • Key Success Factors

3. About Acorn Marketing

4. Increasing market competition • eircom is no.1 provider of fixed line and broadband for business customers • In 2009 market environment changed when new players entered the fixed line market – Vodafone & O2 • New players had significant market share with their mobile base and offering aggressive pricing to gain market share • Also increased competition from other competitors including Imagine

5. Customer behaviour changed • Customers increasingly were looking for ways to control and cut their costs • Customer were more proactive and receptive to new deals/offers • Customer churn became an increasing threat to eircom

6. About Acorn Marketing

7. Overall Objective Overall campaign objective • Education of new proposition • Make customers aware of new way to control their monthly costs • Show eircom as offering equal value to competitors • Persuade customers to stay with eircom • Increase broadband sales/upgrades from bundle • Reinforce “Why eircom”

8. Campaign Brief to Acorn Campaign brief to Acorn • Target: “At risk” customers (high propensity to churn) • Launch new proposition to market • Get stand out and engagement from the campaign • Ensure cost effective retention of customers • Recover revenue through up-sell of additional products

9. About Acorn Marketing

10. Overall Objective Our approach: Target market • Analysed customers activity • Identified those with higher than average bills • Looked at their recent behaviour/activity & propensity to churn • Established a defined target audience  • Small Companies and higher than average spend

11. Overall Objective Our approach: Format/media • Direct Mail – Get Cut through with customer. No Clutter • Cost effective – focus on cost per piece • Effective doesn’t have to be Expensive or Plain • Leveraged lower postal rates and optimal size • Most effective combination - Self Mailer or Letter/Mailer/Envelope? • Ensured clear space throughout to deliver message in a clean and step by step format

12. Overall Objective Our approach: Message • Tell Me Quick. Tell Me True • Introducing a new way to control your bills and manage costs • Line Rental, Calls all for a fixed monthly fee (€32.99) • eircom has listened to customers – and responded • New Proposition is opportunity to save costs • Other reasons why eircom is right for your business

13. Overall Objective Our approach: Call to action • What is it you want me to do. • Immediate opportunity for your business to save. Act today • Strong Call to Action throughout – reinforced front and back. • Why not add broadband too.. For a total price of only xxx

14. About Acorn Marketing

15. Our approach: Creative

16. Our approach: Creative

17. Our approach: Creative

18. Our approach: Creative

19. About Acorn Marketing

20. Overall Objective Results • Exceeded expected volume of calls and sales • The highest response rate from any broadband/voice DM to date • Churn improved by over 50% with “at risk customers” • Cost per sale was much lower than expected • Positioned eircom as offering equal value to competitors

21. About Acorn Marketing

22. Overall Objective Key factors to success • Best Practice Customer Retention – Proactive and ongoing strategy • Adapted to market changes quickly and reacted • Positioned eircom as reacting to market conditions • Strong Uptake : Excellent cost per lead, cost per switch • Excellent Return on Investment

23. About Acorn Marketing