Craigslist Data Mining

While the search for customers in cyberspace back alleys may seem a bit daunting, taking the time to `datamine' for customers is easy to do and vital to your marketing success. Data mining is simply the process of analyzing data to identify patterns or relationships.

 

Find Your Target Region

In its simplest form, data mining is purely taking the time to assess patterns. One way of finding new customers is to expand the selling region. Data mining will allow the seller to gauge buying patterns between regions to best determine what services are most needed in a particular area.

 

For example, New York City is populated by hundreds of thousands of renters. A business that offers property management services would target customers differently in urban New York City than it would in a more suburban city. By data mining, the company would be able to obtain the following information about the New York market:

    · Customers want quick transactions

    · Knowledge of areas and boroughs

    · Competitive prices (due to abundance of similar services)

 

And don't forget the discussion forums! Take the time to review the discussion forums. Using the same example, a property manager in the New York market would find a number of postings from frustrated potential tenants unable to find an apartment.

 

This is a welcome call for services! The property manager could immediately post a reply, casually and with honest intentions. Simple! Market the services further by sending the potential customer a link to the company's Craigslist posting or website.

 

Information gathered from data mining can affect viral marketing strategies as well. Consumer to consumer marketing is one of the most effective ways to heighten exposure and engage new customers. Sellers can initiate viral marketing by requesting feedback from satisfied customers or even by joining a related discussion group. Customers who are able to attach a positive personal experience with the product or service are great resources to stimulate viral marketing.

 

Use information gathered from data mining to locate these customers and see how quickly business can flourish. Due to the lack of ads and banners on Craigslist, viral marketing is essential to generating interest and will directly contribute to Craigslist success.

 

By data mining, there are several ways to assess consumer trends on Craigslist. For example, a seller could track the purchases of a customer who repeatedly purchased wholesale couches. With this information, the seller could begin direct e-mail marketing to this customer with updates of new couch arrivals, or other products the buyer might be interested in (an end table for example.)

 

Searching

While it's impossible and even poor marketing to try and capture the entire Craigslist audience, there are strategies to narrow the marketing focus and direct one's efforts to produce hard sales and new leads.

 

RSS feeds will filter the massive amounts of new ads by using key phrases to only keep the ones that matter to the company the most. RSS has many meanings but the most common definition stands for "Really Simple Syndication," which is a format for delivering and obtaining online content from sources such as newspapers, magazines, and blogs.

 

Craigslist allows several sites to distribute feeds directly into the user's custom RSS page. This can easily overload one's custom page with unnecessary and time consuming ads. Fortunately there are a number of applications that can be used on your desktop or directly downloaded from major search engines like Yahoo that will sift through the blitz of postings, and keep only the ones you want by identifying key phrases. These applications are called RSS readers.

 

FeedDemon is one software program that effectively manages the RSS feeds obtained from one's desktop. FeedDemon is a Windows based program that's customizable and even has access to downloads, podcasts, and audio files. NetNewsWire is a great Macintosh RSS reader. RSS is also scheduled to be included in all major releases of web browsers including Safari, Internet Explorer and FireFox.

 

According to the company's website, FeedDemon will accumulate customized content and deliver it to users via their Outlook, Web browser and mobile-device, all which can be synchronized.

 

For an example on what a Craigslist RSS feed is, go to:

 

                http://www.craigslist.org/apa/index.rss

 

As mentioned earlier in the article, several companies are popping up that specialize in maximizing businesses' ability to sell on Craigslist. Wazee Marketing is one, and will track the performance of Craigslist ads, in addition to creating a free web account and determining which ads the leads are coming from.

You can learn more about Wazee Marketing at its website, www.wazeemarketing.com.

 

Recognizing a Scam Ad

`Accept cash only' `Must Meet in Person' `Request personal information' are all red flags in any online environment, including Craigslist. Despite the founders' intentions to keep the site honest and community oriented, scammers do find a way to work themselves in, as they do everywhere else.

 

In a recent article featured in the journal Editor and Publisher, Craigslist CEO Jim Buckmaster informed readers of common scams. Among the most common were "bait and switch" scams involving apartment brokers and landlords. Also, Nigerian money laundering and multi-level pyramid marketing scams infiltrated their way into postings as well. The site is committed to squashing any fraudulent activity and encourages users to report suspicious activity.

 

The following scenario is a typical scam that occurs on Craigslist and contributes to the approximately 200 complaints they receive a month:

 

Typical Scam: Fake Check Scam

 

A seller posts an ad for a $200 bed frame and receives a response from someone (generally out of state or outside of the country) who wants to buy the piece and pay for it by check.     The buyer then sends a check for a great deal more than what the item's listed at. Realizing the `error', the buyer then contacts the seller, apologizes, and asks to have difference wired back. The scam occurs when the seller complies and sends the wire transfer without waiting for the first check to clear...which it won't.

 

Despite the presence of scams on Craigslist, company employees and users are vigilant about dispelling anyone who misuses the site and have included warnings on all e-mails in addition to scam alert links.

 

Competitive Analysis

Craigslist sellers foam at the mouth knowing Craigslist receives over two billion hits a year...a number equivalent to India...and CHINA's population! The challenge that poses itself is not finding the customers, as they're already there, but finding a way to stand out and maintain a steady presence on the website.

 

Whether you have a franchise, a startup business, or working freelance, there are strategies to help promote the products and services offered and stay ahead of the competition. Customer information is readily available on the Craigslist website, and people are eager to share their opinions. Take advantage of Craigslist's emphasis on open communication and get to know potential customers. Developing a relationship is the first step. The exchange of personal information can be kept to a minimum, which is probably in the best interest of both parties. One can effectively establish a connection with potential customers by casually offering advice and knowledge that subsequently ties into his or her business or service.

 

While it would be costly and not efficient time wise to reach out only to individuals, the potential for those individuals to share positive information with others regarding your recommendation is what viral marketing is all about. Not to mention online discussions take place regularly for the entire world to see, so even if you don't receive a ton of responses to you ad, take the time to spark some interest by participating in a Craigslist discussion, or even frequently contributing to a business related topic.

 

Cross-promotion is another effective marketing strategy that can be employed on Craigslist. Start by searching for products or services that are similar or relevant to your own. For example, if you sell furniture, seek out ads from a moving company (just make sure it's credible) or an upholsterer. Be sure to choose legitimate companies that are reputable and have a professional presence. The purpose is to spread the word about your business, which you don't have to do all by yourself!

 

            MARKETING TIPS & TRICKS: DUMMY POSTS

             Savvy sellers can create a dummy post to gain competitive

             information. Essentially, users can post a dummy ad

             that will attract a similar buyer for the seller's services

             marketed. Sellers can act as a `fake' customer. By doing

             this, sellers can determine who their competition is, how

             they respond and how to use that information to be better,

             more succienct and competitively priced.

             It is NOT recommended that users employ this method

             often as one does not want to compromise his or her

             access to Craigslist. This dummy technique works best

             when determining how a new metro, category or product

             will be marketed.

 

Ad Response Etiquette

Craigslist is choc full of customers requesting a specific item or service. Case in point, a quick scan of Craigslist Cleveland wanted ads produced over three hundred listings. Take into account the multitude of job postings, volunteers, and community forums, to name a few categories where customers can be found. Responses to specific categories do not have to be individually tailored. There are basic principles to follow to ensure you are taken seriously and professionally

 

By following a basic e-mail etiquette format, customers will take note of the professionalism and quality of product when direct e-mails are constructed the same.

 

Businessknowhow.com listed the following five important steps to remember when constructing the e-mail, (http://www.businessknowhow.com/internet/bizemailet.htm):

 

   1. Get to the point.

   Don't drag out your message. A long email can be very

   discouraging to read. It also has a greater chance of the

   customer just skimming through it or deleting it all together.

 

   2. If you are replying to a customer, answer all questions

   asked. If you don't answer all of the customer's questions in

   the original email, rest assured you'll most likely receive more

   emails regarding the questions you left unanswered! This wastes

   your time and the customer's time. Also, it could frustrate your

   customer and you may possibly lose them.

 

   3. Try to anticipate questions in advance.

   Offer a little more when replying to your customer's questions.

   If a customer asks if you accept credit cards and which cards

   you accept, in your reply answer both questions and add how

   they may order from you. Not only will your thoughtfulness

   and customer care be appreciated, you will have shown you are

   willing to go beyond just the basics.

 

4. Use correct spelling, punctuation and grammar.

This is definitely a biggie. What's worse than trying to acquire a

customer through an email full of typos, bad grammar and even

worse punctuation? Your email message will go straight to the

trash bin. Bad punctuation will not only make your email hard

to read, but may also change the meaning of your text too. Run

a spell checker and re-read your message before you send it.

 

5. Personalize it.

Personally address your email message, if possible,

and customize the contents to be as personable as

you can make it. This puts the customer at ease and

you'll greatly increase the chance of having your email

read more thoroughly and landing the customer.

 

As you know by now though, Craigslist is unlike any other site in terms of communicating with your clients and potential customers. Keep the aforementioned steps in mind, but refer to the following templates when constructing your response to customer seeking ads.

 

    Dear {insert Name, include Mr., Miss, Mrs. If known},

    I saw your ad on Craigslist, {title of ad}. {Description of service/

    product needed}. {Your availability and pricing to provide the

    specific product/service requested}. {Address any requirements

    from the ad ­ timeframe restrictions, budget, background, etc}

    {Brief background information about you and your

    company}. {Past customer comments}.

    {Contact Information including e-mail, telephone,

    address (if applicable) and website.}

 

Note: Remember to use the same words to describe the product/service as the ad to

increase interest.

 

       It's important to find the balance between casual and

       professional. Take advantage of Craigslist's informal

       atmosphere and deliver your message conversationally.

 

 
Craigslist Selling Tips