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It's Time to Be Direct

Posted by Brian Jones on August 11, 2023

Here we are…

Smack-dab in this uncertain economic landscape.

These are the kind of economic times when businesses tend to trim their marketing budgets, focusing on strategies that offer top return on their marketing investment. In fact, a recent study involving 43 global companies by the World Federation of Advertisers, as reported by Insider Intelligence, revealed that almost 30% of participants are reducing their 2023 marketing budgets, with 74% attributing this decision to the economic downturn.

Regardless of the girth of your marketing budget, a renewed emphasis on judicious spending has been amplified.

Interestingly, this heightened attention on budgets and the bottom line has resulted in an unexpected shiftiStock-1290259708 toward more traditional advertising methods, allowing marketers to cut through the clutter of digital techniques.

Among these strategies, direct mail has earned some well-deserved prominence as a means for not only brand awareness but also a way to capture customer attention and get them to engage.

Reasons for Think About Adding Direct Mail

The digital hellscape out there pummels consumers with never-ending advertising messages on every device we have. Delivering your marketing message to the right person at precisely the right time has grown challenging due to rising advertising costs and intensifying competition.

72% of Gen Z respondents eagerly anticipate discovering what the mail brings each day

But physical mail holds a unique appeal. A survey conducted by USPS demonstrated that 72% of Gen Z respondents eagerly anticipate discovering what the mail brings each day. Additionally, 38% of participants reported visiting an organization's website after receiving relevant direct mail. Around 70% of Gen X survey participants believe that mail holds a more personal touch compared to digital communications.

This personal connection seems to lend credence to the success of physically mailed items, especially within iStock-1326217696-1B2B contexts where ongoing personal relationships are crucial. In these scenarios, your emails might end up in spam folders or ignored. A Lob and Comperemedia survey of 2,111 U.S. consumers found that 50% of consumers aged 35 to 54 regard direct mail as more significant than emails from brands.

Another advantage of direct mail is the absence of an "opt-in" requirement, unlike the digital realm. This places greater importance on the content you send to ensure a positive interaction.

The Significance of Customer Retention

While customer acquisition is crucial for long-term business growth, it often proves more costly than engaging and retaining existing customers—a challenge exacerbated by shrinking marketing budgets. Acquiring new customers is estimated to cost five times more than retaining current ones. Amidst limited budgets, focusing on customer retention can maximize the value of existing customers and significantly enhance annual recurring revenue.

Gen X participants believe that mail holds a more personal touch compared to digital communications

And direct mail offers that personal, relevant engagement with current customers, delivering a one-to-one touch that consumers of all ages love. Here's how to keep it personal:

  • Personalization through data: Similar to your digital marketing endeavors, direct mail should be data-driven. From prospects to leads, tracking intent, needs, and personal attributes helps with follow-up. Whether through surveys or sales conversations, monitoring interests helps tailor your messages.

  • Integrated marketing approach: Direct mail should seamlessly integrate into a multi-channel, data-driven marketing strategy. Effective tracking mechanisms include unique URLs, action codes, or QR2_05-300x277 codes, connecting offline campaigns with digital efforts by way of your CRM.

  • Hit them at the right time: Personalized data is only half the battle; leveraging it to time communications optimally is the other half. Rather than inundating recipients, drop direct mail at specific milestones in the buyer's journey,

In a landscape marked by reduced marketing spend and a saturated digital arena, the simplicity of a mailed piece can be a potent marketing tactic. In the upcoming months, you'll have a number of opportunities to engage current customers and introduce your brand to prospects. Seize those opportunities.

50% of 35 to 54-year-olds regard direct mail as more significant than emails from brands

How To Get Started

Are you looking to use direct mail in your next campaign? Or maybe you’re looking to improve the performance of a program you’re already running. Well, J&C has over 40 years of experience and would be happy to learn more about your company and your objectives. Contact J&C today. That way, we can give you an honest assessment of how direct mail can work for you.

Topics: Direct Marketing, Direct Mail, Creative

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