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Cross Media targets homebuilders with a cost-cutting, web-to-print solution
Residential home building is a multi-billion dollar market. Its success depends partly on the idea that people outgrow their homes and move into bigger ones. Contractors and community management companies such as Calabasas, Calif.-based Ryland Homes want homebuyers to be repeat customers later in life.
Despite the inherent incentive to build and maintain relationships with their customers, the home building market is notoriously behind in adopting 1-to-1 marketing methods. “A lot of them are focused on the lifetime of the customer—from the first home until they buy up—but they have no real way of keeping track of customers or nurturing them through that lifecycle,” says Jeff Bradford, CEO of Cross Media, a Dallas-based printer. “Historically, home builders are very good at mass marketing and primarily have used radio and billboards to market their homes. With the new media channels now available, they’re focusing more on individual home buyer.”
Ryland Homes’ Dallas operation oversees 42 communities. Providing collateral to the sales force took the marketing coordinator five to six weeks at a time. Furthermore, she was working with multiple vendors and spending a lot of money. A Cross Media sales rep approached Ryland Homes with a web-to-print solution designed to streamline the ordering process, reduce costs and facilitate target marketing. “The first objective was to streamline what they already do,” says Bradford. “The second objective was to help them market better locally.”
After the solution was implemented, delivery time for collateral dropped to one week, and the marketing coordinator was no longer devoting all her time to managing the process. “Now their marketing department can focus on generating sales and leads,” says Bradford. He estimates that total cost reductions for Ryland Homes reached a total of $100,000 the first year.
Cross Media begins with a basic web-to-print platform and customizes it for individual accounts. It worked with Ryland Homes ahead of time to determine which products sales reps could purchase, including direct mail, brochures, letters, post cards, customized neighborhood newsletters and employee retention programs.
Of the items available, some can be purchased by the sales reps immediately. Others, says Bradford, are designated as requester items and must be approved by the corporate office before the order is released.
“A lot of [homebuilders]
are focused on
the lifetime of the customer—from the first home until they buy up—but they have no real way of keeping track of customers or nurturing them through that lifecycle.”
Jeff Bradford, CEO
Cross Media, Dallas
The Ryland Homes sales reps were trained on the system when it was implemented. Each rep was given an unique user ID. When they log into the website, they see only information and products pertinent to their locale. For direct mail, reps can purchase a mailing list directly through the system or upload their own lists. They sign off on an electronic proof, and the file is forwarded to Cross Media. The printer uses offset and digital equipment to produce the pieces. “We outsource things that don’t make sense for us to print, and we’re looking for partners across the country as we take this program nationwide,” says Bradford.
“The most difficult thing with these sites is getting the customer organized and planning ahead, because you have to get a lot done up front,” he says. For example, he had a web-to-print customer with branch locations around the world. The corporate office had never compiled the branches’ addresses and phone numbers into a single list. It took weeks to compile the information, says Bradford. Other decisions clients must make include which products to allow, which design elements remain static or variable, and pricing.
“The process does help them get streamlined,” says Bradford. “I tell people that the cost of the printing is only one-tenth the cost of the document. The other 90 percent is in the supply chain.” Cross Media is working with Ryland Homes to create even more sophisticated “touch” marketing programs. For instance, when prospects visit model homes, they often describe to sales reps what their ideal community would include, whether it’s a pool or golf course. Sales reps now can follow up with personalized marketing materials that respond directly to prospects’ needs. “They can start talking to them in the tone and manner in which they want to be addressed,” says Bradford, and the pieces are still branded and corporate-approved.
Cross Media started as a printer, but Bradford initiated a sea change eight years ago. He named the company Cross Media in 2004 to reflect the company’s new concentration on marketing implementation through value-added products and services. “Our focus is on helping corporate marketing professionals,” he says. “We take headaches away from them by handling all the details of a marketing campaign. Once they have their design and brand, we help them implement and improve it.”
Bradford cautions printers who consider altering their business model in a similar way. He says it’s not without challenges. Initially, members of his sales force didn’t appreciate the concept. It took time and the creation of two separate sales groups to overcome some reps’ initial resistance. “The solution sale is such a longer cycle,” says Bradford. “It takes longer than I thought to get customers moving and to generate the kinds of dollars you need to fill up a plant. Companies just don’t move that fast.” He recommends maintaining a mix of solution-based sales and simple printing orders to keep the presses running.
—Andy Brown