Database Marketing is gathering and storing of specific information about your prospects or customers. This information is usually stored in a database program on your computer. You would then use information to market and advertise to them. It can save you time and money because you can target your promotional efforts to your best prospects or customers.

The Types Of Information To Collect

The information will vary depending on product or service you're selling. If you're selling a product that costs $2 you wouldn't collect information about their yearly income. If you're selling web space you wouldn't collect information about what type of books they read. The basic information you need would be all their contact information, purchase history, and birthday. You will need to decide what other information would benefit your business.

How To Collect This Information Online

1. Stay in contact with customers on a regular basis. Offer them a free e-zine subscription. Ask customers if they want to be updated by e-mail when you make changes to your Web site. After every sale, follow-up with customer to see if they are satisfied with their purchase.

2. Create a customer focus group. Invite ten to twenty of your most loyal customers to meet regularly. They will give you ideas and input on how to improve your customer service. You could pay them, take them out to dinner or give them free products.

3. Make it easy for your customers to navigate on your web site. Have a "FAQ" page on your Web site to explain anything that might confuse your customers. Ask them to fill out an electronic survey to find out how make your web site more customer friendly.

4. Resolve your customers complaints quickly and successfully. Answer all e-mail and phone calls within an hour. If possible, you owner of business, personally take care of problem. This will show your customers you really care about them.