As this summer was coming to a close, my daughter and I recently decided to hit the water for some fishing. As I watched her peer into the tackle box and inspect all of the various lures she asked, “What kind of fish are we going to try to catch, Dad?” After I replied, “try…?!” I thought about how the lure she chooses will depend upon the species we’re looking to catch. And, how picking just the right bait for the right fish increases your chances of landing many more. Not unlike adding personalization to your direct mail tackle box.
The Numbers on Personalized Direct Mail
Let’s start out by sharing a few results from surveys/studies associated with personalization compiled in a recent NAPCO research report, “Personalization Is Pushing the Envelope of Direct Mail Results:”
- 88% of U.S. marketers reported seeing measurable improvements due to personalization – with 50%+ reporting a greater than 10% lift. – Evergage
- Personalization delivers five to eight times the ROI on marketing spend and can lift sales 10% or more. – McKinsey
- 86% who have experienced some form of personalization say that it played a role in their purchasing decisions. – Infosys
These studies not only support the utilization of personalization (say that five times fast), but also appear to be breaking through the worry about appearing intrusive. Don’t get me wrong, within today’s data-driven marketing environment, you certainly need to balance the amount and type of information with the messaging, and can ill afford the Big Brother slant.
IWCO Direct believes that to be effective, personalized direct mail needs to be conversational. Consider a few examples that can help keep the personalization properly weighted:
- Cutting down data—for instance, only using the birth month and tying it with the offer, even though the data you have captured contains a customer’s full birthdate (MM/DD/YYYY).
- Leveraging the geographic area of your prospect’s residence and the distance to the nearest retail store.
- Using the recipient’s name throughout the messaging appropriately without overdoing it. (This one has earned our clients a lift in response of 15% or more.)
Recipients Expect Personalized Direct Mail Offers
Don’t forget that today’s consumer is receiving hundreds of messages on multiple devices each and every day. Wouldn’t it stand to reason that the more tailored and relevant your message, the better it will cut through all of this noise and clutter?
What if I told you that today’s consumer not only welcomes communications from brands they trust, but actually expects relevant communications from companies they do business with? According to a study from Columbia Business School’s Center on Global Brand Leadership mentioned in NAPCO’s report, even though consumers consider much of their data as sensitive, approximately 75% are willing to share it in exchange for a product or service they value. Have we broken through the intrusive perception yet? Hmmmm… product or service they value.
Reeling in on Relevancy
At IWCO Direct, we keep a tight line on “relevancy.” Google defines this as “the quality or state of being closely connected or appropriate.” Sound familiar? The definition of “relevancy” in the world of marketing might be: ‘Right customer. Right message. Right time.’
Relevant communications improve campaign results and retention. According to the NAPCO Research survey, when respondents were asked, “Are you seeing an increase in response from personalized printed marketing campaigns?” more than half from the agency, retail, and financial services vertical markets reported that personalization is increasing their marketing campaign responses, with retailers reporting the highest average increase of 17%. Additionally, PebblePost’s research shows 76% of shoppers discuss relevant mail from a brand or retailer they’ve purchased from in the past, and 61% of direct mail recipients indicate it influenced their decision.
Combine this data supporting personalization with the fact that direct mail is tangible, works well within an omnichannel environment, and is highly targeted, and we begin to understand why marketers continue to see that a digital-only strategy just doesn’t put fish in the boat. So what are you waiting for? Reach out if you’d like to know more about how IWCO Direct can help put more fish on the end of your line!
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