reaching consumers with direct mail
DESCRIPTION
Reaching Consumers with direct mail. Contents. Recent trends in direct marketing and direct mail Mail trends in the letterbox Reaching the consumer in the information age Impact Mail. Background - Media Landscape. Media fragmentation Hike in media rates while audiences reduce - PowerPoint PPT PresentationTRANSCRIPT
Mail Marketing
Reaching Consumers with direct mail
Mail Marketing
Contents
• Recent trends in direct marketing and direct mail
• Mail trends in the letterbox
• Reaching the consumer in the information age
• Impact Mail
Mail Marketing
Background - Media Landscape
• Media fragmentation• Hike in media rates while audiences reduce• Changing consumer behaviour
– Know marketing tactics– Discerning, experienced consumers - they interpret brand from their
experience (the moments of truth), not from the brand expression.– Simultaneous media consumption– Time Poor
Mail Marketing
Background - Media Landscape
• Marketers have more confidence in the ability of direct mail to achieve results than any other medium. (Fin Review, Boss Marketing Directions).
• The direct marketing industry is growing at a rate of 17% a year and it now represents over 50% of all media spend CEASA Report, 2002.
Mail Marketing
Source: USPS/Royal Mail
So what are the opportunities for us here in Australia?
Mail Marketing
UK recorded 5% growth in 2002
Netherlands also achieves similar volumes to UK35
190
330
Aus UK USASource: USPS/Royal Mail
Addressed DM Pieces Per Head Per Annum
Mail Marketing
5%
13%
19%
Aus UK USASource: USPS/Royal Mail
Direct Mail as % of Ad Spend
Mail Marketing
26%
47%
55%
Aus UK USASource: USPS/Royal Mail
Direct Mail Vol as % of Total Mail
Mail Marketing
Personally addressed mail has cut through
4%
8%
45%
49%
4%
4%
14%
4%
17%
18%
13%
2%
1%
0%
39%
23%
Throw it away w ithoutopening/reading it
Glance at it
Read it
File it away/keep it
Give it to someone else
Fill incoupon/form/questionnaire
Throw it away afteropen/glance at/reading
Not stated
Addressed mail
Unaddressed mail
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% likely to respond
8%
18%Percentage ofconsumers whostated they werelikely to respond
to theadvertising mail
they receive
Addressed mail
Unaddressed mail
Mail Marketing
Reaching Consumers In the information age
Marketing and Promotional Communications
Mail Marketing
The Research
•Reaching Consumers in the Information Age
•Independently researched by TNS, 3rd largest marketing information company in the world
•Qualitative & quantitative study surveying 1001 consumers
•Reports on how and when they prefer to receive messages from Australian businesses
Mail Marketing
Research Scope
Customers’ preferred media for receiving business communications
•Marketing & promotional information
•Essential, e.g. bills, annual reports
•Includes preferred frequency of communication
CustomersNon-customers
AcquisitionBusiness process/
billing
Drivecustomerrevenue
Mail Marketing
Research Scope
Preferred media for marketing communications by:
•customers / non-customers
•industry sector
•and demographic information
Includes summary charts and analysis of each of the findings
Mail Marketing
Advertising & Promotional Material
29%
16%
6%
30%
16%
7%
6%
15%
3%
1%
8%
1%
1%
1%
1%
10%
Television
Newspapers
Magazines
Mail (personally addressed)
Unaddressed Mail
Radio
Catalogues
Unaddressed Catalogues
Websites
Telephone
SMS
Outdoor Billboards
Inserts With Bills/Statements
Other
None
Don't Know *
• Mail preferred channel
• 36% prefer mail when addressed catalogues are included
Base sample 1001
Mail Marketing
Loyalty Programmes
3%
3%
1%
71%
2%
1%
1%
1%
2%
9%
3%
11%
2%
1%
Television
Newspapers
Magazines
Mail (personally addressed)
Unaddressed Mail
Radio
Catalogues
Unaddressed Catalogues
Websites
Telephone
SMS *
Outdoor Billboards *
Inserts With Bills/Statements
Other *
None
Don't Know
• Mail clearly preferred channel, by nearly three quarters of consumers
• With many loyalty schemes trying to migrate customers to online channels it’s interesting to note only 9% prefer email and 1% prefer websites
Base sample 1001
Mail Marketing
Club or Membership Newsletters
6%
5%
2%
62%
7%
1%
1%
2%
2%
1%
12%
1%
1%
2%
10%
1%
Television
Newspapers
Magazines
Mail (personally addressed)
Unaddressed Mail
Radio
Catalogues
Unaddressed Catalogues
Websites
Telephone
SMS *
Outdoor Billboards
Inserts With Bills/Statements
Other
None
Don't Know
• Although some organisations may be tempted to send electronic newsletters mail is preferred to email by 5:1
Base sample 1001
Mail Marketing
New Product Announcements
44%
19%
10%
26%
11%
9%
4%
12%
3%
1%
8%
1%
2%
2%
2%
5%
Television
Newspapers
Magazines
Mail (personally addressed)
Unaddressed Mail
Radio
Catalogues
Unaddressed Catalogues
Websites
Telephone
SMS
Outdoor Billboards
Inserts With Bills/Statements
Other
None
Don't Know *
Base sample 1001
• TV preferred but mail cannot be overlooked
• Mail and catalogues combined equals to almost a third of consumers
• Strong argument for integrated campaigns when launching new products
Mail Marketing
In Essence
the consumer is telling us …. Send us mail!
Mail MarketingResearch tells us that….
89% of ad agencies surveyed would increase their use of Direct Mail if they could send non-rectangular pieces
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IMPACT MAIL
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Creativity with direct mail shapes enables highly targeted messages that differentiates your mailing with instant impact
DM with Bite
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Benefits of Impact Mail
Creative Freedom – Colour, shape, size and style are all open to your own interpretation.
Almost anything goes…! Australia Post strongly recommends that only paper based card stock is used. However other material may be accepted subject to approval prior to lodgement.
Mail Marketing
What is IMPACT Mail?
Impact Mail Product Overview
• Impact Mail is a service that will provide for the delivery of customised shaped articles through Australia Post.
• Unlike existing Bulk Letter Services Impact Mail will not require articles to be rectangular or oblong.
• Impact Mail will accept items of any shape up to the maximum permissible dimensions
Mail Marketing
Opportunity
A new service to:
Generate improved response rates
Demonstrates the power of instant shape recognition
- No limits & unique
- Very high readership
- Enable users to go the next step…
Mail MarketingWhy?
• Grow promotional mail
• Improve the ROI by meeting a need for a creative, tactile promotional medium
Mail Marketing
In Summary
• Local and international figures tell us that Mail as a marketing medium is under utilised in Australia
• Promotional mail is enjoyed by the consumer
• More importantly promotional mail has cut through and the consumer wants to receive it regularly
• Now Australia Post have provided Marketers with the opportunity to produce customised shapes through the mail in order to allow for greater creativity as well as an increase in response rates.
Mail Marketing
Thank you
Visit www.auspost.com.au/mailmarketing and download the full research report
Other reports also available as well as further details on the Impact Mail Product.