Print-Plus: Focus on an Incremental Break-Even Point

The chart below shows how prospect lists should be ranked based on revenue per catalog (RPC). NextAction (now DataLogix) is close to the $1.14 incremental break-even point; Z-24 falls short. This data can be used to improve models and forecast future results.

Online marketing often leads to a positive profit contribution and overhead on initial purchases if you don't overspend on keywords. But it's tough to gain enough new buyers online to grow housefiles. The lifetime value of a web buyer often isn't as great as a print buyer.