# The handy guide to DRTV metrics – part 3

- Link: https://fundraising.co.uk/2015/06/16/the-handy-guide-to-drtv-metrics-part-3/
- Published: 2015-06-16T08:24:33+01:00
- Author: Howard Lake

Your last section of the guide has arrived! Missed part one on [How to ask and how much?](https://www.fundraising.co.uk/2015/06/02/the-handy-guide-to-drtv-metrics-part-1/)
or part two on [Turning a prospect into a regular donor?](https://www.fundraising.co.uk/2015/06/09/the-handy-guide-to-drtv-metrics-part-2)

## PART THREE: Metrics and DRTV

This section will cover insights to what specific metrics matter to DRTV and their
cost.

## What metrics matter for DRTV?

Typically DRTV, in common with most acquisition channels, is measured either by 
cost per lead or donor or 12 months return on investment (ROI). What makes DRTV 
different is that the upfront fixed costs can be high in comparison with variable
costs such as media and telemarketing. So the question arises how to treat fixed
costs? As we expect to be able to use the ad several times, we generally advise 
amortising the costs over the number of campaigns it is used. When reading the results,
we include the variable costs only, so that campaigns can be easily compared.

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So what is a reasonable ROI? Generally, depending on any payback rules applied by
the charity, an ROI of 0.4 will deliver payback in under four years. So the higher
the initial ROI, the quicker the payback. Get 0.6 ROI and payback should be achieved
in two years.

To make this happen, an active supporter development programme needs to be in place
as well.

Getting the balance right between actively engaging them and quietly leaving alone
is a hard one. TV donors behave somewhere between direct mail donors and direct 
dialogue ones. They are not as direct mail responsive as direct mail donors but 
more so than direct dialogue. This does not mean never mailing or emailing them.
It means choosing your moments, responsive times like Christmas or for important
appeals. They do respond well on the phone, so upgrade is best achieved by phone.

Attrition levels can be around 20% in year one and then steadily improving thereafter
and will be better than direct dialogue.

## Costs

As cost is always an important consideration for any charity, there are a number
of ways to reduce the upfront costs of a campaign.

• Many charities now have plentiful supplies of film, often created for other events
and purposes. Many successful hard working DRTV ads have been creatively put together
using existing footage.

• Music is hugely important for creating an emotional back drop and enhancing the
desire to respond. There are plentiful supplies of library music with no charges
for copyright or licences to be paid.

• Voiceover artists. Actors are often willing to forego royalty payments and may
donate their session fees too.

## Summary

Running a successful DRTV campaign is a complex exercise not least because the fulfilment
end of the campaign has several stages which can go wrong. Equally these many stages
can with careful planning bring even better results.

Dave Brailsford, coach of the British Olympic cycling team had a philosophy of ‘
the aggregation of marginal gains’. Improve everything by 1% and you have a winning
formula.

_**Gail Cookson** is Fundraising Director at [WPN Chameleon](http://wpnchameleon.co.uk),
where a highly talented team of 55 people operates across all areas of digital, 
direct marketing and DRTV. We work with a wide range of charities and commercial
organisations._

_Image: [As seen on TV](http://www.shutterstock.com/pic-86373466.html) by squarelogo
on Shutterstock.com_

 * **[Alzheimer’s Society uses integrated campaign to promote Memory Walks](https://fundraising.co.uk/2015/07/21/alzheimers-society-uses-integrated-campaign-to-promote-memory-walks/)**(
   21 July 2015)
 * **[DRTV: engaging, attention grabbing and for charities of all sizes](https://fundraising.co.uk/2015/08/14/drtv-engaging-attention-grabbing-and-for-charities-of-all-sizes/)**(
   14 August 2015)
 * **[Children’s Air Ambulance uses DRTV for first time](https://fundraising.co.uk/2015/10/21/childrens-air-ambulance-uses-drtv-for-first-time/)**(
   21 October 2015)