Direct marketing, done properly, can still be one of the most effective marketing methods, even in this age of the Internet and electronic communication. Assuming the marketer has done all the proper planning – organizing the customer data, assembling the right materials, designing effective content with a compelling story, producing and mailing the piece efficiently – there’s still more they can do to make the message most effective.
But why invest in direct mail marketing at all? Here are some solid reasons:
1. Recipients spend more time with physical mail
E-mail marketing can be an effective tool, but it’s also difficult to manage with an ROI of around 20-27 percent. With direct mail, the open rate is 70-80 percent, even if the message is perceived as “junk.”
2. Direct mail spurs purchases and website visits
Email click-through rates hover around 4 percent. For mass mailers, that may be an acceptable response but for others, that’s still scattershot. True, it’s harder to prove the physical mail is opened, looked at, or considered. But, according to a study by the U.S. Postal Service, customers who receive direct-mail ads spend 28 percent more than those who don’t. If the mail lists a website, 60 percent will visit it.
3. Guaranteed brand exposure
The nature of physical mail means recipients will spend more time with it, including opening, reading, inspecting and even disposing of it. That is extensive brand exposure, especially compared to the fleeting glimpses earned by electronic media. With mail, you can expect more than a glance, and even minutes. The key is to have a well-designed mail piece targeted to the proper recipient; it’s less likely to be perceived as annoying if the message is relevant and engaging.
4. Marketers plan to increase direct mail spending by 2020
With a median ROI of about 16 percent, direct mail isn’t in danger of not being used in the near future; in 2014, it was a $1.39 billion industry. The Boston Consulting Group estimates spending will increase one percent in the next few years. Smart marketers also need to consider costs, too. Return mail alone cost businesses $4.2 billion.
To make direct mail more effective, layer your campaign with digital media. One product Darwill recommends is Household IP Targeting, where we send digital display ads to the recipients on your mailing list. For a broader impact, take a look at our Reverse IP Append service. This tool captures the IP addresses of website visitors, then appends the household address by matching to offline data sources. Marketers can now respond to a previously anonymous web visit by sending a direct-mail piece directly to individuals who have taken specific action, within days of the visit! This highly targeted approach creates a seamless consumer experience, and increases conversion.
Contact Darwill business development experts to help design your campaign.