best practices digitally enabled...

Best Practices

Maximize the customer catalog experience

HOW TO STAND OUT IN A CLUTTERED MARKETING ENVIRONMENTHighlights:-Know your customers to get results. p. 6

-Create urgency with the right promotions and calls to action. p. 21

-Encourage the catalog experience with an omni-channel approach. p. 8

Digitally Enabled Catalogs

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Best Practices

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STRATEGY6 PLANNING

7 DATA

8 OMNI-CHANNEL

10 APPEAL

LOOK AND FEEL11 BRAND

12 FORMAT

13 DESIGN

14 COPY

15 PHOTOGRAPHY

16 ORGANIZATION

EXECUTION17 ORDERING

18 TIMING

19 FREQUENCY

20 LISTS

21 PROMOTIONS AND CTAs

22 MEASUREMENT

WHAT TO AVOID23 STAY CLEAR

WHAT’S INSIDE

For more information on catalog best practices, contact your USPS Sales Executive today.

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Best Practices

Expertise Learn how to design and distribute a high-quality, highly relevant, and impactful catalog that acts as an effective trigger to digital experiences and that is a critical part of an omni-channel marketing strategy.

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Best Practices

Today’s marketing landscape is made up of numerous channels, presenting a wealth of opportunities and decisions for marketers. Determining how to best maximize and integrate these various channels can be a daunting task.

The good news is that marketers can glean deeper insights than ever before using sophisticated, rich data. The result: more personalized; connected; relevant; and, most importantly, actionable brand experiences.

Catalogs can be a strong vehicle for helping your customers discover, learn, and shop. When done right, they provide anticipated, emotional connections to your brand and act as highly effective triggers to digital experiences and in-store experiences, increasing their value. Today’s best catalogs enhance digital marketing in a powerful, measurable way that stays in sync with each individual customer’s unique interests and purchasing behavior. They also help lay a solid foundation for successful omni-channel marketing.

A well-constructed catalog acts as a channel that can inspire a leisurely, enjoyable experience. Whether customers are sitting down with a favorite catalog as soon as it arrives or with a cup of coffee on a Saturday morning, a good catalog can deliver a positive brand experience all on its own.

We’re confident that within the following pages, you’ll find everything you need to know about creating the optimal catalog experience for your customers.

Catalogs can be a strong vehicle for helping your customers discover, learn, and shop. When done right, they provide anticipated, emotional connections to your brand and act as highly effective triggers to digital and in-store experiences, increasing their value.

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1 7

E S S E N T I A L

C A T A L O G

B E S T

P R A C T I C E S

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Strategy

PLANNINGStart with the end in mind

As you evaluate and/or reevaluate your catalog strategy, consider how catalogs can help you achieve growth and increase revenue. Do you want to increase online shopping orders? Increase shopping frequency? Decrease calls to customer service? Are inspiration and customization important aspects of your campaign’s success?

If your goal is to increase loyalty, consider who your best customers are and how many catalogs per year they should receive. Customers trust shopping from catalogs more than random Internet searches, according to the American Catalog Mailers Association (ACMA).1

So consider modeling your acquisition list based on your best-customer profiles.

Setting goals up front will help fuel your catalog strategy and provide a good basis for measuring your results.

1

1. American Catalog Mailers Association Catalog Usage Study: December 2011/January 2012, FGI Research study presentation, American Catalog Mailers Association, 2012.

* The Pareto Principle.

If acquisition is your goal, it’s important to remember the 80/20 rule: 80% of a company’s business comes from 20% of its customers.*

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2DATALeverage customer intelligence for greater personalization and relevance

Analyze and understand customer data from all of your company’s marketing efforts to determine who your best customers are, their habits, and who might need more product or brand information. Identify opportunities for targeting new, valuable segments before taking action. The data you gain regarding shopping behavior (what they’re buying, how often, when) can make your catalog more targeted, relevant, and effective.

Modern production and printing capabilities have taken the cost and complexity out of versioning. This can give your catalog a competitive edge and help meet specific business objectives that other marketing channels cannot match in terms of specific audience targeting.

If a particular segment of your business tends to do exceptionally well with catalogs, consider creating a separate catalog just for that category. For example, Anthropologie* recently launched an extensive home collection catalog solely dedicated to home furnishings.3

Strategy

3. “Anthropologie launches home catalog,” Home & Textiles Today, September 17, 2014.

* Inclusion of material does not constitute or imply any endorsement, affiliation, sponsorship, approval, or other relationship with the Postal Service™. Articles and materials are posted with permission of the copyright holder.

At a minimum, online registration forms are an easy way to capture new prospects. An enhanced targeting analysis using the RFM (recency, frequency, monetary) method can be used to quantitatively determine which customers are “best.”

FPO

SCAN AND LEARNMake catalogs your digital trigger by including emerging technologies like augmented reality

(AR) throughout your catalog.usps.com

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3OMNI-CHANNELEncourage the experience

To enhance their brand’s awareness and optimally reach their target audiences, marketers need to take advantage of the full range of marketing channels available. Leveraging the best attributes of each marketing channel to create a diversified, connected, customer-centric strategy increases the chances for successful customer acquisition.

Merchants still use catalogs, but their role has changed from mainly direct sales tools to mobile, website, and in-store traffic drivers, as well as customer retention tools. Think of a catalog as an economic driver; by encouraging a visit to the website on every page, you’re keeping traffic moving.

65% of those who responded to the 2015 DMA Response Rate Report use two or more media types in their marketing campaigns; 44% reported that they use three or more.1

The most common method of purchasing once a catalog was received was to look at the catalog, then purchase through the website (see chart below).2

QR codes, digital watermarks, and AR are also good ways of increasing interactivity and driving customers to online content. Printed catalogs are tactile, easy to flip through, and can be used to drive customers to a digital app, providing instant mobility and trackability.

Strategy

More digital ideas

- Promote your mobile app for product research and customer reviews.

- Enable product sampling with AR experiences.

- Enable one-click purchase to simplify the shopping experience.

- Make it easy to request your catalog on your website.

- Use USPS® Intelligent Mail® barcode (IMb®). USPS provides tracking data through IMb, allowing marketers to track catalog delivery so you can strategically synchronize the timing of your omni-channel campaign.

72%

55%

6%

49%

24%

0%

56%

24%

0%

13%

4%

4%

Looked then purchased through cataloger's website

Looked then called cataloger's toll-free #

Looked then ordered using mobile app/smartphone

Looked then purchased at company's store

Didn't really look, just reminded to shop

EverLast Purchase

51%

24%

0%

16%

3%

Most Preferred

3%

Approximately 2% also report using mail order/order form in the past.2

Other

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1. Susan Taplinger, “Data-Driven Marketers Diversify Across Channels,” Direct Marketing Association, April 2, 2015.

2. Kara Davis, Dino Fire, Hamilton Davison; Catalogs: The Consumers’ Point of View; FGI Research commissioned by American Catalog Mailers Association; 2012.

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Strategy

Williams-Sonoma* has created a true print-to-digital customer journey. Its print catalog drives customers online to an e-catalog. The online catalog incorporates the same elements as the physical version by letting customers browse and flip through pages. Customers can then purchase and track items directly from the website.4

After a five-year hiatus, J.C. Penney* recently brought back a smaller version of its famous catalog, as research shows that, particularly when it comes to home merchandise, customers prefer to browse a print piece and then go online to order.3

Sephora* has been rolling out 3D AR mirrors, which can also be accessed via mobile devices in stores.5 House Beautiful* and Glidden Paint* teamed up to create an ad that allows consumers to download color swatches and apply them to uploaded room photos.6 CoverGirl* ads utilized AR to help customers scan their own skin to find their perfect makeup match and virtually “try on” other products.7

FPO

SCAN AND LEARNMake catalogs your digital trigger by including emerging technologies like

AR throughout your catalog.usps.com

3. Sam Sanders, “J.C. Penney Brings Back Its Print Catalog, After A 5-Year Hiatus,” National Public Radio, January 20, 2015.

4. Laura Alber, “The CEO of Williams-Sonoma on Blending Instinct with Analysis,” Harvard Business Review, September 1, 2014.

5. “Try on Makeup Virtually with Sephora’s Augmented Reality Mirror,” Creativity, June 5, 2014.

6. Caitlyn Bohannon, “Glidden, House Beautiful paint the scene for redecorating shoppers with augmented reality,” Mobile Marketer, August 21, 2014.

7. Rebecca Borison, “[P&G’s] CoverGirl simplifies skincare discovery with augmented reality,” Mobile Marketer, February 5, 2014.


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Strategy

Williams-Sonoma* includes recipes in its catalog, demonstrating what

can be achieved with its products and educating its customers.

4APPEALKnow your customers

When you understand your customers, you get a glimpse of their potential affinity for catalogs. Are they print traditionalists who value a hands-on experience or are they online shoppers who seek instant gratification? Do they value discovery, escape, and inspiration or do they simply want to get away from their screens from time to time? Do they use catalogs as a reference for gift-giving or other needs? According to an ACMA survey, two-thirds of catalogs received are opened and looked at, with half of respondents opening up and looking at all of the catalogs they receive.1

By developing the customer journey from awareness of purchasing habits, you gain understanding into how catalogs fit into their user experience. This helps you create the most relevant and actionable catalog possible.

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Look and Feel

5BRANDShowcase your identity

Wear your identity on your sleeve. Catalogs provide a great opportunity to extend the essence of who you are. A consistent style and tone between your brand and your catalog helps to put your company’s personality directly in your customers’ hands. Strengthen your brand’s identity by including brand names, trademarks, and logos that you use elsewhere.


AR throughout your catalog. FPO

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6Look and Feel

FORMATOne size does not fit all

While the size of your inventory may determine the size of your catalog, consider testing different formats, slim-jim to specialty sizes, different paper stocks, etc. Whenever possible, keep the weight under 3.3 ounces to optimize postage costs.

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7DESIGNMake a good impression

Look and Feel

Making your cover and your entire publication aesthetically pleasing

is important, but it should also effectively convey what’s inside.

Depending on the category, a special offer or hook can pique interest or

create a sense of urgency. The content should be well organized and user

friendly. For larger catalogs, consider using a table of contents or tabs to

make navigation easier.

Seasonally themed content throughout your catalog can increase relevancy and personalization.

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Clear and concise copy is a must. Keep it easy to read while educating and possibly entertaining your readers.

You can help avoid returns by ensuring users can easily find all the information they need to make the right purchasing decisions.

Along with compelling imagery, storytelling that connects with consumers on a higher level can highlight specific products and demonstrate how they fit into consumers’ lifestyles.

“Magalogs” are also popular. They are often used by retailers to present relevant, high-quality content in a magazine format with the intent of generating excitement without overt selling.

Try providing inspirational thought starters and ideas for using particular products. For example, planning outfits, home décor, or even adventure ideas.

8Look and Feel

COPYStay clear and concise

Use the real estate that you have to humanize your brand. Real customer profiles, blogger endorsements, and DIY examples can help connect customers with your brand.

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Best PracticesLook and Feel

usps.comFPO

SCAN AND LEARNBring your photography to life with an AR experience.

9PHOTOGRAPHYVisuals are key

Make your catalog visually pleasing. Thumbnails help too, but never underestimate the power of a big, pretty picture. Strong, revealing images bring your products to life, evoke emotion, and help prospective buyers eliminate the guesswork from their purchasing decisions.

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10ORGANIZATIONOptimize the experience

Use color-coded sections or organize products by theme along with depictions of how to use items in a larger context. Make sure pricing and sizing information is easy to find and clearly understandable.

Look and Feel

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11ORDERINGMake it easy

Use your catalog to provide multiple options for ordering. Include websites, QR codes, phone numbers, near field communication (NFC), or even mail-in forms. Listing and highlighting ordering options on every page can be very helpful.

Execution

PRODUCT CODES PHONE NUMBER

AR QR CODES NFC

WEBSITE

www.usps.com

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12Execution

TIMINGRemain relevant

According to an ACMA study, most catalog shopping is done during holiday periods.1 Catalogs are most often perused as soon as they arrive, so make sure they are relevant and timely.

Time of year consumersmost often catalog shop1

*Percentages add up over 100% due to rounding.

Other10%*

Holiday period (Oct–Dec) 49%*

Anytimeduringyear42%*


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When consumers mostoften look at catalogs1

AS SOON

AS THEY

ARRIVE

58%

20%16%

5%1%

WEEK-

ENDS

WEEK-

DAYS

ON

HOLIDAY

ON

VACATION

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13FREQUENCYStreamline your strategy

Review your customer intelligence and associated catalog behavior to streamline your catalog strategy. This can help you send fewer catalogs to those with lower purchase intent and more to those with greater intent. As mentioned on page 7, the RFM method can be used to quantitatively determine which customers are “best.”

Execution

According to Direct Marketing News, Silver Star Brands, a leading cataloger, discovered that 50% of new customers place orders in response to the second or third catalog they receive; fewer

than 9% of new customers place their first order after receiving their eighth catalog.2

usps.comFPO

SCAN AND LEARNMake catalogs a digital

trigger by including emerging technologies like AR.2. Eric Krell, “Customer-Centric Marketing Is Profitable Marketing,”

Direct Marketing News, April 3, 2015.

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14Execution

LISTSIt’s all about quality

To ensure that you are reaching your existing customers, keep mailing lists up to date quarterly using the National Change of Address (NCOALink®) database. Consider partnering with a list broker to ensure a high-quality and precision-targeted acquisition list. It also helps to mirror your best existing customer profiles and to test your lists continuously to measure which are most effective.

According to an ACMA survey, among those who don’t receive catalogs, 60% have received catalogs in the mail prior, and 40% have not.1

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1. American Catalog Mailers Association Catalog Usage Study: December 2011/January 2012, FGI Research study presentation, American Catalog Mailers Association, 2012.

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15Spur your customers to action with limited-time offers, and reward them with promotions. For example, you could offer free shipping for a limited time. You could suggest they spend over a certain amount to get a free gift, that they could order before a certain time to get a discount, or that they can buy one and get one free (one of direct mail’s most effective offers).

Encourage repeat purchases with loyalty programs and word-of-mouth promotions with peel-off coupons for both the addressee and a friend. Your phone number, directions for downloading the mobile app, and QR codes and/or your website URL should be displayed prominently within your catalog.

PROMOTIONS AND CALLS TO ACTIONUrgency and strength matter

Execution

FPOSCAN AND LEARN

Create a strong sense of urgency with a digital trigger.

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Receives Catalogs

YES

92%NO 8%

Ever Purchased

13%

37%

30%

20%

Receives Catalogs and Made Purchase

More than 6 months ago

Between 1 and 6 months ago

Between 1 week and 1 month ago

Within past week

Last Made Purchase

16MEASUREMENTMake it work

Catalog marketing allows marketers to accurately measure results. Telephone, mail, online orders, and even special promotions can easily be tracked using codes. Testing variables and collecting data is a continuous process. If your current catalog isn’t meeting your goals, you can adjust inventory, copy, visuals, offers, and digital drivers when needed. You can also conduct A/B testing.

Many retailers are syncing their online customer databases with their catalog data so they can test what happens with and without catalogs and what happens when catalogs are paired with other marketing channels.1

Execution

usps.com1. Denise Lee Yohn, “Why the Print Catalog is Back in Style,”

Harvard Business Review, February 25, 2015.

American Catalog Mailers Association Catalog Usage Study: December 2011/January 2012, FGI Research study presentation, American Catalog Mailers Association, 2012.

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17STAY CLEARWhat to avoid

- Cluttered pages

- Thin, flimsy, “cheap” paper

- Excess, unnecessary packaging

- Impersonal relevance in product selection

- Cliché or overbearing marketing-speak

What to Avoid

10 BIGGEST MISTAKES IN CATALOG MERCHANDISE PRESENTATION2

1. Mediocre or poor photography

2. Busy backgrounds and surfaces

3. Disorganized presentations

4. Weak selling efforts

5. Lack of product detail

6. Poor propping or styling (overuse of props, cheap props, unrelated props)

7. Poor model selection

8. Underestimating merchandise shot size

9. Lack of appropriate aspiration in presentation

10. Inadequate or inappropriate copy (“fluff” copy, missing information, lack of “voice”)

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2. Glenda Shasho Jones, “The 10 Biggest Mistakes in Merchandise Presentation,” TotalRetail, September 1, 2006. http://www.mytotalretail.com/article/the-10-biggest-mistakes-merchandise-presentation-36526/

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Best Practices

Work together with your USPS Sales Executive to implement these best practices, enhancing your catalog strategy for the most effective long-term results. You can also learn more about omni-channel marketing and get a FREE analysis of your media mix.


AR throughout your catalog. FPO

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