Direct Mail Vs. the Age of Digital Marketing

While digital advertising seems to be maintaining the top spot in a digital-led world, customers are starting to feel the fatigue — gravitating toward a marketing approach that some have called “dated.” That’s right, direct mail.

Direct mail never left. And there’s data to prove it. 

In a recent study published by the MIT Sloan Management Review, titled How Direct Mail Delivers in the Age of Digital Marketing, researchers measured direct mail’s effectiveness across 50 different campaigns. And the findings were equally surprising and unsurprising.

Here are two key takeaways:

• Direct mail delivered a 55% return on ad spend (ROAS), which is more than Google’s 21.4%, Amazon’s 15% and Facebook’s 4.7% combined.
• For every 1% increase in mailers sent, there was a 1.27% boost in revenue.

Beyond the ROI perks, shifting customer preferences also make the case for direct mail — as shown by the findings from a customer survey that was conducted alongside the direct mail effectiveness research. Here are the stats:

• Over 70% rated direct mail as either “very useful” or “extremely useful” in driving purchase decisions. Meanwhile, digital ads only got a 50% rating.
• 4 out of 5 people said they were more likely to visit a brand website or store after receiving a piece of mail.
• 18 to 34-year-olds were 25% more likely to convert after handling physical mail. Their top reasons included mail feeling more personal and less irritating than digital pop-ups.
• Close to 80% felt their online experience was oversaturated with digital ads and appreciated the freshness of receiving a printed piece.

What makes direct mail so attractive? 

Direct mail has something digital will never have: the touch factor. As cited in the study, being able to engage with a physical object can trigger stronger emotional responses and better recall among customers.

Additionally, good direct mail also has “staying” power, meaning it isn’t automatically thrown out and forgotten. It’s often left out on tables, desks or kitchen counters to be looked at again — and again. Think about it. Has there ever been a time when you were looking through your stack of mail and came across a postcard or promo or catalogue that you thought was interesting enough to hold onto? It’s a behavior we’re all guilty of.

So, you’re sold on direct mail. What next?

Well, we don’t recommend sending out mail willy nilly. But we do recommend weaving it into your marketing mix in a way that creates cohesion across your channels, inserts personalization in at the right moments and engages those who are on the verge of buying.

Like we mentioned before, good direct mail should have “staying power.” This means delivering a quality piece that doesn’t give off junk-mail vibes and provides something of value to your customer.

If you keep all that in mind, direct mail can quickly boost your bottom line.