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Direct Mail in a Multimedia World

Direct Mail in a Multimedia World. Darrell Edwards VP of Marketing Mspark. Advertisers Still Prefer Direct Mail. Annual U.S. Advertising Expenditures (in billions). The effectiveness of Direct Mail is measurable, more so than for any other media listed. Broadcast TV. Direct Mail.

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Direct Mail in a Multimedia World

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  1. Direct Mail in a Multimedia World Darrell Edwards VP of Marketing Mspark

  2. Advertisers Still Prefer Direct Mail Annual U.S. Advertising Expenditures (in billions) The effectiveness of Direct Mail is measurable, more so than for any other media listed. Broadcast TV Direct Mail Internet Cable TV Radio Newspaper ROP Inserts Out-of-Home News Online $49.6 $14.3 $6.7 $3.4 $45.2 $36.6 $24.4 $15.7 ** Newspaper ROP/Inserts includes National and Retail expenditures, and does not include internet advertising expenditures. ***Out Of Home replaces Billboards, to include billboards on buses, etc… Source: Winterberry; TVB; NAA; CAB; RAB; IAB/PricewaterhouseCoopers; OAAA

  3. Who Says Direct Mail is Dead? "Our industry needs to give all marketers a sense that mail can be used in new ways," "We need to drive a better understanding of the value mail brings to integrated marketing campaigns. Mail is the most effective channel for driving customers to a retail location and for driving customers to websites." “But these print channels rarely stand alone. Many of the brands that use print media within their direct marketing efforts weave digital tightly into their campaigns. This approach is becoming a must .” “Those marketers who still fully embrace traditional marketing tools such as print catalogs and direct mail have an opportunity to stand out to consumers bombarded by digital pitches.” "We're seeing mail being used in some tremendous new ways—especially as part of integrated marketing campaigns," "You can use mail to launch a video on a smart phone, or to make quick purchases out of a catalog or a flyer. We're now able to measure and analyze all of these interactions—that's adding value for senders and causing marketers to give mail a fresh look.“ Using direct mail as a foot into the consumer’s door—and then inviting them to connect via another channel—makes great sense. - Patrick R. Donahoe, Postmaster General

  4. Direct Mail Works Until you see the USPS cutting down the mailboxes in your neighborhood…. Direct Mail is Very Much Alive !!

  5. Direct Mail Works • According to Direct Mail News, in 2012 the average response rate for direct mail was 4.4% for both business-to-business and business to consumer mailings—considerably higher than industry expectations, and surging past electronic mail’s response rate of just 0.12%. - See more at: http://www.onlinemarketinginstitute.org/blog/2013/06/why-direct-mail-still-yields-the-lowest-cost-per-lead-and-highest-conversion-rate/#sthash.fpueaFcu.dpuf • According to the Direct Mail Association (DMA) Factbook for 2013, 65% of consumers of all ages have made a purchase as a result of direct mail. - See more at: http://www.onlinemarketinginstitute.org/blog/2013/06/why-direct-mail-still-yields-the-lowest-cost-per-lead-and-highest-conversion-rate/#sthash.fpueaFcu.dpuf • And what about ROI? • Source: DMA, 2012 Response Rate Report

  6. Media Penetration

  7. Readership & Response Ads looked at or made purchase from in the last 7 days Readership % of HHs that read print ads 7 out of 10 read Shared Mail Response % of HHs that made one or more purchases as a result of print ads 4 out of 10 purchased from Shared Mail Source: Advertising Readership & Response Tracking Study, TNS Custom Studies, NFO WorldGroup

  8. New Normal = Coupons Still Very Popular Do you redeem coupons in any of the following ways?(Check all that apply) Cut them out from advertising inserts (0% change) Cut them out or bring them in from other sources (-3% change) (e.g. newspaper, magazines) Print them out from an email (-3% change) Total Adults Print them out from a website (-2% change) Traditional Media Digital Media Download them to my frequent shopper card (+6% change) Source: BIGinsight MBI, 12.13 Scan them on my smartphone at the checkout (+10% change)

  9. More Direct Mail Coupons, Please

  10. Bridging to Digital Media

  11. Print Drives Digital Response 58% of people said they were more likely to click on a search link for a company if they’re received something in the mail. 67% refer to physical mail when searching for a new product or service online. Direct mail can also improve the performance of other channels. For example, the TV component of campaigns is 37% more effective when direct mail is in the media mix. In the report Tess Alps, chief executive of Thinkbox says: “Direct mail can satisfy those appetites that TV provokes.” Source: Mail Media Centre Report

  12. What Does It All Mean? Direct Mail: Remains a Strong Media! Deals: Digital or Traditional, deals are still a big deal Multichannel: Optimize the path to purchase

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