A M A R K E T S E G M E N T S E R I E S

• Catalogs • Digital Packaging • Direct Mail • Marketing Service Provider • Photo Publishing • Publishing • Transactional Marketing • Triggered Direct Mail

Transactional MarketingAn Opportunity for Growth

2

Marketers and their partners have long understood the benefits of maximizing the messaging space on transactional “must read” documents.

Even if you are already well established, this guide will provide new insights into the market landscape, as well as information you can use to enhance your strategic partnership with your clients.

3

1 Keypoint Intelligence – InfoTrends, 20182 Annual State of the Transactional Communications Market Survey, InfoTrends, 20183 DMNews.com

23% of statements carry advertising or personalized cross-selling messages.3

Transactional mail has an open and read-through rate of at least 95%.1 And the average amount of time consumers spend with a transactional communication is 3 to 5 minutes.2

Transforming everyday customer communication materials — like bills, statements, invoices and other transactional documents — into effective marketing vehicles gives companies a powerful edge.

Innovations in production inkjet technology, workflow automation and personalization are expanding print service providers’ ability to up-level these transaction jobs so they can become important parts of improving each customer’s experience.

Transform a Critical Customer Touchpoint

4

66% of household bills and statements were mailed in 2018.3

• 47% Hard copy for records2

• 37% Reminder to pay2

• 23% Security precaution2

Over 88% of the consumers surveyed still want paper versions of transactional communications.2 Top three reasons include:

1 U.S. Digital Production Printing Application Forecast: 2016–2021; InfoTrends, 2017 2 Annual State of Transactional Communications Survey, InfoTrends, 2017 3 InfoTrends, 2019

29B+ pages

To benefit from this market opportunity, it’s critical that you understand the power and potential of transactional marketing to extend and add value to critical communications.

In the United States alone, digitally printed transpromotional pages are projected to surpass 29 billion in 2021, representing a CAGR of 3.5 percent.1

Looking at the Numbers

5

S TAY AT T H E F O R E F R O N T O F I N N O VAT I O N A N D

E X E C U T I O N F O R T R A N S A C T I O N A L P R I N T I N G

How your customers view your role as their print provider is changing: 31% expect strategic help with evolving communications, 39% expect help with data analytics and customer segmentation, and 14% expect you to become a full-communications service provider.

L E V E R A G E D A T A T O E N H A N C E

C U S T O M E R R E L A T I O N S H I P S

Today’s consumers value choice. Though transactional print is still the preferred vehicle, complementing physical bills and statements with digital channels gives consumers more options for engagement. Leveraging data to add value to the communications, such as account history, status, etc., assures consumers they are valued. XMPie® software can manage the data logic and templates for personalized, multichannel bill and statement creation and delivery.

D O M O R E W I T H L E S S

Bills and statements provide a targeted, cost-effective way to deliver marketing promotions and increase sales. By treating statement white space as a billboard, complementary products and services can be promoted, which elevates the value and effectiveness of transactional communications while reducing mailings and costs.

U N T A P N E W R E V E N U E S T R E A M S

Business owners are focused on finding ways to better manage costs. By including marketing messaging into transactional communications already destined for the mail stream, they’ll reduce mailings and save money.

D R I V E A C T I O N M O R E E F F E C T I V E L Y

With 100% full-color data and graphics, personalized bills and statements, your clients can drive their customers to action more effectively. Statement white space can be leveraged for 100% personalized content. And by managing both print and email statements, you can help your customers better meet their consumers’ preferences.

Marketers are always looking for ways to simplify operations, streamline production, manage costs and bring value. Here are some conversation starters to convey the value you can bring to your clients’ business.

Playing to Win

John Mary

6

Annual State of Marketing Communications Business Surveys; Keypoint Intelligence – InfoTrends, 2018

Improving targeting and personalization is the

second most popular priority

for enterprises’ overall marketing

communication strategies.

of consumers are frequently or very frequently receiving highly personalized digital marketing messages.

Only 37%

Relevancy Improves Customer Experience

Consumers spend an average

4.1 minutes sorting and

7.4 minutes reading and opening their mail.2

1 Consumer Actions Online Survey, 2018 2 USPS Customer & Market Insights, 2018

Of those who receive bills by email,

only 43% go online to review transaction details.1

of those who receive paper bills by mail review transaction details.1

78%

Paper Still Dominates

S T A T E O F T H E I N D U S T R Y

Critical Insights You Need to Know

50

25

0

75

Mary

50

25

0

75

7All data: Consumer Action Report 2018–2019

57% of respondents would consider switching to an alternative organization or service provider if forced to go paperless.

Email-Only a Deal-Breaker for ManyPaper Bills Preferred by Most

70% of consumers surveyed feel it’s easier to track their expenses and manage finances with paper bills and statements.

Paper Makes Tracking Easier

S U R V E Y O F M A R K E T E R S

51% internet service bills

56% monthly household bills

61% credit card bills

63% utility bills

69% motor vehicle renewals

71% property taxes

74% medical bills

How can you tap into this profitable business opportunity? Here are four critical must-haves.

I N T E L L I G E N T D O C U M E N T D E S I G N S K I L L S

Develop or partner with a firm that has deep expertise in color and transactional document design to drive the most effective use of transactional communications and production inkjet technologies.

D A T A T H A T D E L I V E R S

Acquire a fundamental knowledge of how to work with data in many formats. By having a clear understanding of how to use data strategically, you can help improve bottom line results for your customers.

O P E R A T I O N A L E F F I C I E N C Y

Create an operational efficiency with an end-to-end approach driven by automation. This means removing as many steps as possible, starting with a white paper-in approach, which saves money versus creating — and warehousing — offset preprinted shells. And it also enables full-color, high-speed, dynamic printing and automatic comingling, sorting, trimming, finishing, and inserting documents into envelopes.

A C O N S U L T A T I V E A P P R O A C H

Ensure success of a transactional marketing communication program by acting as the glue binding all owners and stakeholders in the value chain, such as finance, legal, marketing and IT.4

321

Getting in the Game

9

a PDF input process, they went from transactional documents with inserts to transpromo documents, which are more attention-getting and cost-effective. GISA now produces prefilled forms, making account renewal easy. And has eliminated excess preprinted inventory, waste and storage costs and streamlined workflow with roll-to-cut capability.

“ Our new print facility harnesses incredible, state-of-the-art technology from Xerox and their partners, which helps our clients get highly personalized transactional and marketing communications to the right customers or prospects — first time and every time.”

Manfred Philipp, Bereichsleiter Outputmanagement, GISA

O P P O R T U N I T Y

GISA was ordering promotional inserts printed on offset equipment through a separate commercial printer. Quantities were ordered and warehoused and the pieces lacked personalization. GISA recognized that the traditional model of ordering preprinted stock, outsourcing promotional inserts and overprinting commercially printed shells was no longer sufficient to meet changing demands.

T R A N S F O R M A T I O N

GISA turned its print operation into a true white paper factory, replacing two cut-sheet monochrome devices with the Xerox® Rialto® 900 Inkjet Press. By bringing the work in-house and transitioning the workflow to

More Color, Shorter Runs and Faster Turnarounds

GermanyGISA

www.gisa.de

Statements are designed to inspire specific and desired actions to drive better financial results for the healthcare provider and provide a better patient experience. On the average, Apex customers on this platform increase electronic revenue by 350% over previous statement products, increase overall cash yield by 10% and reduce costs by 10%.

“ Our approach is not only innovative, it’s proven. We clearly differentiate the value we provide to the market, which is fuelling our business growth. Most importantly, with Xerox® technology and workflow, we deliver this product to patients every day to help them find better, more appropriate payment solutions.”

Patrick Maurer, President, CEO, Apex Revenue Technologies

O P P O R T U N I T Y

In the wake of regulatory demands, the healthcare industry is also dealing with dramatic changes in the way customers select and pay for their services. Recognizing traditional, static patient billing was no longer sufficient, Apex Revenue Technologies transitioned to production inkjet technology to create a more dynamic transactional statement platform.

T R A N S F O R M A T I O N

To address the market need, Apex produced an intelligent, dynamic communications engine (Apex Connect™) that leverages patient data to compose statements from content stored in messaging libraries.

Dynamic Transactional Statements Drive Patient Financial Engagement

United StatesApex Revenue Technologies

www.apexrevtech.com

Transformation in Action

10

Xerox® Trivor® 2400 Inkjet PressXerox® Rialto® 900 MP Inkjet PressXerox® Baltoro™ HF Production Inkjet Press

Empowering Transformation

• Xerox® Trivor® 2400 High Fusion and High Density Inkjet Presses maximize productivity within a small footprint with a 20” roll-feed single engine duplex design. The highly flexible system can be configured in monochrome or color and with a choice of inks to support a full range of coated and uncoated papers. Built-in scalability protects your investment for the future.

• Xerox Nuvera® Production Systems offer industry-leading black-and-white quality and reliability in a variety of modular configurations.

Visit www.xerox.com/production.

M A R K E T - L E A D I N G T E C H N O L O G Y

• Xerox® Baltoro™ HF Production Inkjet Press, a cut-sheet inkjet device, is ideal for those looking to capitalize on the economics of inkjet printing but require all the versatility of a cut-sheet package..

• Xerox® Rialto® 900 MP Inkjet Press, with the world’s first fully integrated, narrow web, roll-to-cut-sheet design, is for those seeking a smaller footprint and lower entry point into production inkjet technology.

With a robust portfolio of digital technology, automation offerings and business development support, Xerox is driving transformation in the transactional communications market. Here’s just a sampling for your consideration.

See more at www.xerox.com/production.

11

Xerox Nuvera® Production Systems

B U S I N E S S D E V E L O P M E N T A N D P R O F E S S I O N A L S E R V I C E S

The Xerox® ProfitAccelerator® program, with a portfolio of 100+ tools, resources and training services, is designed to support your efforts from sales and marketing, business planning, operations and new application development.

Other services help to:

• Identify integration opportunities with current print operation support systems

• Assist in the migration of legacy applications

• Provide education for creating effective digital color communications

• Design an optimized workflow tailored to your requirements

Visit www.XeroxDigitalHotSpot.com.

W O R K F L O W A U T O M A T I O N

With our award-winning Xerox® workflow portfolio and working collaboratively with our partners, we have assembled the industry’s most comprehensive array of workflow solutions to help you improve how you process transactional communications.

• Xerox® FreeFlow® Core automates and integrates the processing of print jobs — from file preparation to final production — for a touchless workflow that reduces time and costs.

• Xerox® FreeFlow® Variable Information Suite of variable data tools allows you to personalize your communications quickly, cost effectively and automatically — all while driving your print engines at rated speeds.

• For input data streams, composition, prepress and more, you’ll find solutions from GMC, Chemistry by Solimar and Compart to fit your specific needs and unique business environment.

Visit www.xerox.com/workflow.

©2019 Xerox Corporation. All rights reserved. Xerox®, FreeFlow®, ProfitAccelerator®, Rialto®, Trivor®, Xerox Nuvera® and “Baltoro” are trademarks of Xerox Corporation in the United States and/or other countries. XMPie® is a trademark of XMPie, A Xerox Company. 06/19 PN03469_607 BR26279

Invest with confidenceCount on future-proof technology and support that lets you adopt to industry change while covering you, every step of the way.

Expand beyond commodity printingTake advantage of new growth opportunities and position yourself for the long term.

Automate your physical and digital workflowOptimize and automate physical and digital processes to be more efficient and productive.

We’re Xerox.

Xerox helps print providers work better by combining people, processes and technology in more efficient and cost-effective ways.

To find out more, visit www.xerox.com/production.

This series provides insights and practical advice on how to thrive in eight business-boosting markets for print providers. See more at www.xerox.com/applicationseries.

MarketingTransactionalPublishingPhoto PublishingMarketing Service Provider

Direct MailDigital PackagingCatalogs

Discover more opportunities in this Market Segment Series.