Archive for Direct marketing

Make it successful … make it personalised

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Monday, July 5th, 2010

The majority of consumers are between five and ten times more likely to respond to properly personalised marketing offers compared to standardised or superficially personalised communications.

These were some of the findings of a recent study conducted by direct marketing specialist GI Direct.  The study, aimed at obtaining a basic benchmark for the uplift generally produced by highly personalised direct mail and direct marketing revealed some interesting regional variations.

Scotland and the South emerge as the greatest devotees of personalised direct marketing but, in contrast, East Anglia and the North West appear more jaded and less receptive to high levels of targeting.

• Across the country more than 70% of adults take more notice of mail that is aimed specifically and accurately at them

• Women are particularly keen on personalisation with 78% indicating a very significant response uplift

• Men still ranked highly with 65% giving the same answer

Patrick Headley, Sales Director of GI Direct said the research gave “hard evidence of the critical importance of targeted direct marketing in the current recessionary climate”.

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Nearly nine out of ten people open mail packs

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Sunday, March 7th, 2010

According to the recently published ‘Marketing Gap Report’ 2009, 85% of consumers say they open and read mail packs received.

This Gap Tracking Study has been compiled by fast.MAP in conjunction with the Direct Marketing Association (DMA) and is unique in tracking not only consumer usage of and attitudes to direct marketing, but also monitors how closely marketers are keeping in touch with changes in consumer motivation and tastes.

The results of the 2009 Study provides a snapshot of the UK market and how it has changed since 2005 and also gives marketers pointers on which marketing channel to use to contact both existing and new customers.

Key findings include:

• Consumer preference for e-mail from marketing companies they have an existing relationship with has dropped by 5% since 2008, whilst preference for direct mail has gone up by 6%

• Being called on their mobile or sent a text is the least popular method of communication

• Consumers are content to receive mail about local services, trade people and local shops, as well as catalogues and customer magazines

• Although consumers are happy to be mailed about supermarkets and stores they use, and local restaurants and services, marketers have underestimated this preference by more than 7%

So, whilst this study shows that consumer confidence in direct marketing is growing, there can be no room for complacency.  And the gulf between what direct marketers assume and what consumers actually do and think must be addressed … quickly.

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Direct Mail industry is optimistic about the future

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Thursday, January 7th, 2010

According to a recent ‘Direct Mail Attitudes Survey’ (October 2009), direct mail is still regarded as a valuable business channel by the boards and senior management teams of organisations.

The research reveals that 56% of marketers believe that direct mail has influence with the top executives or board members at their companies. However, 30% of respondents believe that direct marketing is not taken seriously at the executive levels of their companies.
Direct marketing basics such as targeting and measurability are still viewed as pivotal to commercial success. As a marketer from a large retailer reports in the survey: “Direct mail still provides one of the highest returns on investment when carried out in a targeted and controlled way.”
And another marketer from the financial sector adds “DM is often overlooked as ‘expensive’. But in terms of offering measurability of campaign and marketing spend effectiveness, it is second to none as a channel for customer acquisition.”
Marketing optimism is still holding up well with just 5% stating that economic climate has had a “very bad” effect on the industry, while 7% think that it has not been affected at all.
Other key findings from the survey include:
• 45% of marketers use interactive direct marketing methods, with 33% using physical direct mail and 22% using both together
• 42% consider a 5–10% DM response rate to be acceptable to their business… 34% are satisfied with less than 5%… and 2% demand an over 30% response rate
• In practice, just 22% see a 5–10% response rate, while 52% of respondents see less than 5% response rate to their direct mail
• Most marketers (38%) use DM as a “call to action”, 24% use it for new offers or discounts and 16% use it for general brand building duties.
• 61% believe that the Direct Marketing Association (DMA) should be in charge of regulating DM, 22% favour the Government, 9% think brands should self regulate and… 2% believe that Royal Mail should take on the role.
On the whole an interesting and encouraging survey which largely supports the medium of direct mail which can be so powerful in building relationships with consumers.
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Financial services organisation facing up to environmental responsibilities

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Thursday, January 7th, 2010
The Financial Services GreenScape Survey was conducted by Parallel Marketing with sponsorship secured via Sun Life Direct and the Gate (financial services agency)

88% of respondents (all of which are financial services practitioners) viewed the ‘environment’ as a low to medium priority.

But this wasn’t seen as a permanent situation with 67% agreeing that this would change within the next 18 months to 2 years… and 82% seeing it becoming a higher priority.

Some of the main findings were as follows:

• Cost savings and marketing efficiencies are a primary focus but are felt to be complimentary to ‘green’ initiatives

• Best practice direct marketing techniques are a win for the business, the customer and the environment

• The focus (at the moment) is the credit crunch but this is only short term – green considerations will always be part of the mix

• Certain suppliers play a key role in supporting and moving organisations down the environmental path.

Colin McDougall, Sun Life Direct (part of AXA) comments:

“Two distinct facts have emerged from the findings of this debut study.  Firstly the priority attached to the environment varies from company to company, but rarely ranks higher than third on the corporate agenda.  However, it is evident that addressing the effects of the credit crunch has pushed the environment down the ‘to-do list’ for almost every company; if the recession had not hit, then it is highly likely that the environment would be afforded greater priority.  Secondly, it seems that attitudes vary wildly as to the perceived cost of modifying business practices, as well as to the net value to the company of making these changes.”


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