UK fashion brand Next has returned to using direct mail, after finding it gave them a key advantage over their competitors.
Chief Executive Officer and Executive Director of Next, Lord Wolfson said the company had eliminated direct mail marketing for six or seven years as consumers were receiving a huge quantity from other brands, making it ineffective. There were concerns that because people were receiving so much direct mail from companies that they were not bothering to open it, resulting in a significant proportion of companies’ marketing budgets being wasted.
However now that fewer brands are using direct mail marketing to engage with customers. Going back to using it as a key engagement technique has given Next a competitive advantage and helped them to increase sales.
Direct Mail Marketing – A Case of ‘Less Is More?’
With fewer brands using direct mail marketing these days, one would tend to assume that it is dying out and no longer a valid marketing channel; however the reality is that using direct mail to target customers now, could be the best marketing decision you ever make for your business.
Seeing as consumers are no longer getting inundated with piles of direct mail from brands, they are more likely to take note of a letter from a company they are interested in, when one is posted through their letterbox. Providing the direct mail has a professional look, engaging content and the letter has been personally addressed to the recipient; brands stand a high chance of inspiring consumers to complete their call to action and increase their conversions as a result.
Direct mail marketing myths
But if direct mail marketing is so good, why aren’t more brands using it? A valid question, yet one that can be easily answered.
We live in an increasingly digital world where brands are constantly being told that if they want to target customers, they need to do so online using E-Mail marketing, social media marketing and Pay Per Click (PPC). It is this increased use of digital marketing that has led companies into wrongly thinking that traditional marketing methods are no longer relevant. In a balanced marketing strategy though it is important to remember that people still like to interact with physical marketing materials and some studies have even suggested that they have more of an impact on the brain.
Another reason why brands aren’t utilising direct mail is because they wrongly assume it is expensive and that digital marketing campaigns can be better targeted. The truth is that direct mail is affordable for brands of all sizes (just ask our clients) and that providing you work with a professional company like Baker Goodchild, your direct marketing campaign will be targeted just as effectively as your other marketing campaigns. What’s even better is that results from direct marketing are much easier to track. It’s just about having the right knowledge and working with the right people.
Increasing profits for Next
The re-introduction of direct mail marketing at Next has meant that the retailer has needed to increase its marketing spend this year, however the increased spend has already helped to increase overall profits.
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If you have any questions about print, mail & post please call Baker Goodchild on 0800 612 1972.