While marketers have become laser-focused on the data-driven advertising campaigns enabled by digital channels that offer precise audience targeting, immediate metrics and omnipresence at very large scales, one of the least digital channels of marketing has not only maintained its place in the arsenal of both large enterprises and small businesses, but quietly become one of their most influential tools for driving bottom line results. Direct mail may be viewed by some as losing relevance in an increasingly digital marketplace; however, the data (and human psychology) say otherwise.
In fact, many marketing teams have discovered that combining the reach of digital campaigns with the impactful impression of direct mail can drive significant outcomes when targeting the same audience across both mediums. One of the leading platforms that helps brands integrate their digital and direct mail marketing is Taradel, which allows companies simultaneously reach highly targeted audiences both online and in their physical mailbox. Taradel's CEO, Jim Fitzgerald, helped us gain insight into why direct mail remains one of the most potent tools for customer engagement and where it fits into a digital campaign.
Direct Mail Has Unique Benefits Over Digital
It's clear that the digital landscape has become saturated with advertising and myriad marketing channels. In an age of unprecedented distraction, every marketer knows that capturing the attention of the consumer has become more challenging than ever before. "With so many advertisers competing for attention online, people are accustomed to tuning out, skipping, and swiping past ads with ninja-like precision," says Fitzgerald.
That has led many marketing departments to increase resources to channels with less competition. Direct mail not only circumvents the distraction in the digital ecosystem, but it also directly engages consumers in a way that is harder to ignore. "Direct mail is a truly invasive medium that delivers a tangible, meaningful experience that is free of distractions and next clicks," says Fitzgerald. "There is also growing evidence to suggest that humans are hard-wired for physical interaction. A neuroscience research group based in Canada found that direct mail motivated consumers at a 20% higher rate than digital ads."
Direct Mail Actually Outperforms Digital In Certain Industries
For consumer service industries looking for a competitive edge in an increasingly volatile market, direct mail could give them the tangible, direct impact on customers that is needed in a slower economy. A recent analysis by Taradel found that to be true for real estate agents, restaurants and medical practices. "Advertisers within these industries, and other segments that rely on building relationships within local communities, tend to find direct mail attractive," noted Fitzgerald. "There is quite a bit of research that suggests consumers, across generations, view direct mail as more personal and trustworthy than digital ads."
Taradel also noticed a growing trend of direct mail campaigns being utilized for recruiting and hiring over the past two years as job markets became hyper-competitive during the pandemic.
Tracking the performance of direct mail campaigns lends itself to providing a simple window into measuring ROI. "It's all about response rates," remarks Fitzgerald. "It's easy to track direct mail advertisements with the same accuracy as their digital counterparts." He noted that many advertising have integrated tools such as QR codes, call tracking phone numbers, landing pages, promo codes and more to enhance their performance metrics in an age of data-driven marketing.
Direct Mail Integrates Into and Enhances Digital Efforts
The integration of both digital efforts and a direct mail campaign targeting your audience can provide comprehensive omnichannel visibility that capitalizes on the unique benefits of each channel. "On the one hand, direct mail has the capability to deliver a clear marketing message with eye-catching visuals across a mass audience motivating response," explains Fitzgerald. "On the other hand, digital campaigns capitalize on shorter and sweeter messaging with cost-efficiencies regarding impressions and frequency, which are key for brand awareness and engagement."
Taradel has found that multichannel advertisers averaged 38% more conversions with only a 14% budget increase. Combining both approaches, direct mail and digital, delivers the audience reach as well as the multi-channel awareness and high frequency of touch points that produce both market awareness and sales leads.