Tuesday, April 3, 2012

Marketing Essentials: Is Direct Mail Dead?

Is direct mail dead in terms of its ability to reach today's consumer? Has it been replaced by other marketing strategies, ones that are much easier to track and simpler to manage? More importantly, has it reached its limitations in terms of how well it can incentivize a company's customer base? In order to answer these questions, think about how today's consumers are constantly on the move. Think about how companies must continually raise the bar with respect to their marketing initiatives. Think about how they must come up with creative ways to reach a mobile customer base, one that is constantly bombarded with marketing messages. Finally, think of how often today's consumers are exposed to advertising, and how a company's marketing message must make an immediate impression. Today's marketing strategies focus on using mobile marketing campaigns, email campaigns, and online pay-per-click campaigns. These inbound marketing strategies have become the preferred method of increasing a company's market share. However, is there still a place for direct mail campaigns?

All of these aforementioned strategies are focused on building the company's online presence. All are considered inbound marketing strategies and all focus on growing the company's market share by increasing its website's PageRank. However, does this mean that direct mail can't work? Well, not exactly. Direct mail works best when it's combined with those previously mentioned inbound strategies. So the question remains, is direct mail dead? Far from it! Here are some simple and straightforward strategies to make sure that next direct mail campaign is successful.

- Liquidate Outdated Inventory: One of the more proactive ways to use direct mail is to use the marketing strategy to liquidate slow-moving inventory. A number of companies use their direct mail campaigns to offer existing customers an opportunity to buy product at a reduced price. It's a fantastic tool to build brand loyalty amongst customers.

- Ensure Customer "Buy In": Direct mail works when its recipient is anticipating vital information. Customers must feel compelled to act when receiving a company's direct mail campaign. Customers are more likely to make that all-important purchase when they are eagerly anticipating an offer. Direct mail ensures the customer becomes an active participant in the buying process.

- Create a Customer Reward Program: The best direct mail campaigns guarantee success by using customer reward programs. Customers are engaged through the direct mail campaign because they have an immediate interest in the company's offer. Using customer reward programs is not only a great way to close a sale, but it's also a fantastic way to improve customer retention.

- Right of Last Refusal: Every customer wants to feel like they are part of something special, or put differently, that they are appreciated and needed. Providing the right of last refusal implies that a company will match any competitive bid for the same product offering. However, it's never simply about making this promise, but ultimately about backing up that promise with a guarantee. Put it in writing. Make sure customers know that they have the right of last refusal on any and all competitive bids.

Direct mail is still alive. It is still a viable marketing strategy. Regardless, it must be part of a company's overall approach to market. Rarely does it work on its own. It is always most effective when combined with other marketing initiatives. Companies that have a coordinated marketing strategy are able to combine the same message through multiple marketing platforms. This is ultimately why direct mail is still highly regarded as a viable tool to increase market share.


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Jon McCulloch is Europe's preeminent direct mail advertising specialist. Visit http://www.jonmcculloch.com now and help yourself to his free direct mail resources. There is nothing to purchase on his website - nothing but free small business marketing ideas to help you grow your business.


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