Why Include Direct Mail In Optichannel Marketing?

Direct mail is highly effective on its own; however, when you combine it with other marketing channels, it gets even better. Demand Metric, in partnership with PFL, conducted a benchmark study, “Multichannel Marketing Maximizing Program Engagement and ROI”. The optichannel marketing research is meant to understand the importance of multichannel marketing and the power of intentional, coordinated marketing efforts.

The goal of the study was to collect data to identify best practices and help marketers know how to reach specific audiences, and when to use particular tactics within their multichannel campaigns. The results indicate that direct mail needs to be a part of your optichannel marketing strategy.

Key findings:

• When direct mail is personalized and tightly integrated into the channel mix and campaign technology: Average response rates improve significantly, with a 62% increase in those reporting good or very good response rates. The ROI of multichannel campaigns improves significantly, with an 80% increase in those reporting good or very good ROI.
• Just over half of this study’s participants include direct mail in their multichannel campaigns, and 80% of them report that direct mail improves multichannel campaign performance.
• The executive, or C-Suite, audience is the most sought after by study participants. Events and direct mail are the most effective channels to reach them.
• While postcards are the most frequently used direct mail format, the dimensional format does the best job of representing the brand.
• More channels produce higher response. Respondents using seven or more channels in their mix are 26% more likely to indicate their multichannel programs produce good or very good response.

Respondents use a multitude of channels that include:

1. Email: 91% usage
2. Social Media: 81% usage
3. Events: 73% usage
4. Display Ads/Remarketing: 60% usage
5. Direct Mail: 56% usage
6. Search/PPC: 51% usage
7. Outbound Business Development/Sales Development: 47% usage
8. Content Syndication: 35% usage
9. Other: 5% usage

Most marketers are using between three and five channels on any given campaign, but results show that you should consider adding more channels. When marketers use seven or more channels, they report a 77% "very good" or "good" response rate. The report also found that marketers are not consistently using the most effective channels. The top three most effective channels are: events at 83%, integrated and personalized direct mail at 78%, and Search/PPC at 73%. What are you using?

Direct Mail Needs More Attention From Marketers

The report shows that marketers are most familiar with postcard and letter formats, and report that they use those formats most. Postcards are the least expensive direct mail format. Many marketers favor postcards because there is nothing to open: the message is easily visible. Dimensional mail formats are a close third in usage. This format includes pieces that are not flat, like the other types, but have an element of depth to them. A dimensional mail piece is often sent in boxes or tubes, and its very form invites opening it. These pieces evoke natural curiosity and tend to drive higher response rates. Have you tried dimensional mail?

According to study participants, direct mail clearly enhances multichannel campaign performance. In this study, 52% report a moderate to major improvement in campaign performance when direct mail is one of the channels. When direct mail is part of the channel mix, campaigns have slightly better response rates. Personalized direct mail generates significantly better response rates to multichannel campaigns. Are you using direct mail enough?

As you can see, adding direct mail to your optichannel marketing campaigns is significant. The more personalized and integrated it is, the better your response rate is going to be. Are you ready to get started with more personalized direct mail?