Direct Mail Chinmay Nagarkar Heajin Bae Rahul Dalai Yeji Kim
Transcript
Direct Mail Chinmay Nagarkar Heajin Bae Rahul Dalai Yeji
Kim
Agenda 1. Definition 2. Why direct mail? 3. Benefits of direct
mail 5. Role of direct mail in the marketing mix 6. Consumer
Behaviour 7. Creativity 8. Problems 9. Solution 10. Suggestions 11.
Conclusion
What is Direct Mail?
What is Direct Mail? Direct mail is a form of advertising that
allows businesses to communicate straight to the customer Direct
marketing by sending an offer, announcement, remind, or other item
to a person at a particular physical or virtual address
Why Direct Mail? 98% of consumers bring in their mail the day
it is delivered, and 77% sort through it immediately. 98% 77%
Why Direct Mail? 6,400 online shoppers receiving print catalogs
buy more often & spend more meaningful time at retail websites
The result held regardless of age, income, region, education
Why Direct Mail? On average, those who receive a catalog spend
28% more and buy 28% more items than those who do not receive a
catalog.
Benefits of Direct mail Highly targeted Personalize Tangible
Cost efficiency
Role of direct mail in the marketing mix Most suitable medium
for one to one communication: Ability to give something to the
recipient on the spot Able to reach to a person at a particular
physical or virtual address One gets updated with a specific offer
of service or product
Role of direct mail in the marketing mix One of most measurable
forms of marketing It is easy to record the number of mailers that
are sent Coupons or codes are used to record response rates
Personalize to select geographic, demographic or psychographic
target market
Role of direct mail in the marketing mix Highly effective with
the incorporation of Technology Marketers now use it by featuring
URLs, website links short animated clips, footages Allows viewer to
individualize their selection Deliver message at incredible speed
and lower costs
Role of direct mail in the marketing mix Using and delivery
data effectively Delivers the message and information in concise
form Connects and relates with the viewer Generates interest
through format
Consumer Behaviour It drives interest and curiosity about the
latest offer or scheme of the product or service Plays a key role
in purchase decision making process Persuades people through the
core information delivered to them Creates needs and
requirements
Consumer Behaviour Customers have a range to choose from based
on their likes and dislikes Builds loyalty and goodwill among
customers Makes consumers do a comparative analysis with all brands
Allows customers to give their feedback after purchase is made
Creativity Draws attention by presenting in a unique form. For
example, free gift and ask for feedback Vibrant use of colors and
photographs to catch the readers attention Creative format compels
the consumer to read the message Innovative activity makes readers
engage and view the content repeatedly
Problems
Problems Low Response Emphasis of more other channels leads to
low response May Offend Potential Customers Many consumers perceive
direct mailing to be junk mail A lot goes directly into the
garbage
Problems Expensive: The cost of designing effective direct mail
advertisement can be high Costs more in hiring photographers, copy
writers, artists Paying a printing company to produce fliers or
brochures can also be expensive If the direct mail is not sent to
the target group the advertising would be wasted
Problems Time: Lots of time taken in direct marketing It is
hard to get as immediate impact It takes time to reach consumers.
Alienation: Customers get annoyed due to continuous incoming mails
Prohibition act against companies takes place to stop the
service
Problems Limited Reach: Direct marketing has a limited reach.
There is an inherently limited geographic reach to direct marketing
involving fliers and street advertising Laws: Distribution of
Direct mail often prohibited by law in certain areas. Certain
customer bases will be unreachable
Solutions The fact that it is a measurable and discrete medium
should make it a hotbed of experimentation Simple direct mail sent
to interested customers is much more cost-effective than fancy mail
sent to unresponsive addresses KISS: Keep It Simple and Short.
Lists and bulleted items help quickly explain main points
Solutions Personalization: Personalization can increase
response rates up to 50%. Personalization also includes tailoring
the mail to the lifestyle, experience and interests of the customer
Budget: Budgeting can be made easy by knowing the quantity to be
mailed, using popular formats, anticipating inflation and testing
the direct mail campaign with small quantities before sending them
all
Solutions Response mechanism: The direct mail should tell
people how to respond. AIDA: Overall, direct mail packages should
get attention Arouse, Interest, Stimulate Desire and Prompt Action
Create an advertising curriculum that teaches as it sells
EDM (Electronic Direct mail) EDM is used to target a large
group of prospects, and is focused on building customer
relationships and generating leads Consistency is a key Call to
Action
Creativity
How to achieve success? Combination with Technology
Combination with Technology. 1. Video 2. QR code 3. Augmented
reality 4. Other technologies
Video Direct Mail could suffer as a stand alone When made part
of a multichannel strategy, it can become stronger
Video Video has been the hottest technology for years, shows no
signs of slowing down
Video
QR Code The most basic and inexpensive way to integrate video
into direct mail is through the use of QR codes
QR Code You can create immediate conversions As the user in
transported directly a custom landing page on their Smartphone
Augmented reality
Augmented reality Augmented reality (AR) is live, direct or
indirect physical view real-world environment whose elements are
augmented by computer-generated sensory input such as sound, video,
graphics or GPS data
Augmented reality Direct mail will greatly benefit from AR As
apps on a Smartphone are being developed at a rapid pace
Other technologies
Conclusion These suggestions can be as inexpensive or
expensive, as you choose Direct Mail is not Dead, An advance
towards the FUTURE