acculist | ROI

Fundraising Challenges Include Gen Z, E-mail, AI

February 15, 2019/in AI, Creative, Data Analytics, Donor Lists, E-mail Lists, E-mail Marketing, Fundraising, Generational Marketing, Landing Page, Mobile Optimization, Nonprofit Marketing, Online Giving, personalization, Predictive Analytics, ROI, Segmentation, Targeting, Uncategorized /by David Kanter

For AccuList USA’s nonprofit fundraising clients and fundraising consultants, 2019 will be another challenging year. Successful direct marketers will need to adapt to changes in demographics, technology and donor targeting, to name just a few trends recently cited by the Donorbox Nonprofit Blog.

Move Over Millennials; Here Comes Gen Z

Donorbox is sounding the alert ahead of the next demographic wave. While the Millennial generation is still the biggest cohort in the workforce, Gen Z is arriving. Born after 1996, they now make up an estimated 27% of the population and will account for 40% of all consumers by 2020. How are they different? The “2017 Global Trends in Giving Report” found that Gen Z members are interested in giving to many different causes, especially those involving youth, animals and human services. But to win the attention of these digital natives, messaging must be concise and engaging, offering an immediate experience that cuts through the marketing noise they routinely filter out. Gen Z is also the first mobile-only generation, so website, e-mail and donation forms must all be optimized for mobile. Plus, Gen Z likes visual-based platforms, so fundraising creative should use photos, videos and infographics to tell stories that grab attention.

Donors Expect Hyperpersonalized, Targeted Messaging

Accustomed to sophisticated digital technology that tailors messaging a la Amazon and Netflix, today’s donors expect a personalized, targeted approach that takes into account demographics, giving history and even psychographics. A generic appeal will fall flat. That means segmenting donor and prospect lists and using variable data printing to specialize messaging to account for generational differences and other demographics. It means tailoring the “ask” to the prospective donor’s income and giving history. It means refining giving/donation pages to highlight projects and wording that will resonate with the target donor group.

Donors Embrace E-mail Fundraising If Done Well

E-mail has gotten a bad rap recently because of crowded mailboxes, spam filtering and low response rates, but there is a lot to be said for revisiting e-mail strategy in 2019. For one, research shows that donors willing to donate through e-mail rose from just 6% in 2012 to 28% in 2018. Second, low-cost e-mail has an ROI of 122%, much higher than direct mail, social media and paid search. Finally, a backlash against social media abuses, including among the mobile-first generation, is improving e-mail’s digital appeal. But e-mail needs to be done well to deliver donors. Personalization and targeted messaging is expected, so, again, segment the audience by demographics, desired communication frequency, giving status, etc. Make sure there is a clear call to action, a compelling subject line, simple attractive visual design, and, most of all, impactful storytelling.

AI Can Help Turn Data Into Dollars

Artificial Intelligence (AI) is on its way to becoming ubiquitous in our society, and that will include fundraising. AI broadly refers to programs, computers and machines that perform “intelligent” tasks such as planning, learning, problem-solving, communication and more. AI can help nonprofits gather more data and use it better to advance missions and marketing. For example, one of the simplest uses of AI is a chatbot that interacts via messaging services like Facebook Messenger, Slack, Telegram, etc. A nonprofit can create a chatbot to handle donations, register members and distribute information about programs and services. AI also can be used to personalize donor journeys with tailored, personal messages based on real-time donor behavior and timed to encourage contributions. Finally, AI can weaponize data for more cost-effective donor development and marketing. For example, a donor’s giving and volunteering history, event attendance, affiliations, relationships, and data from wealth screening tools can all be analyzed to predict a potential donor’s likelihood to give a major gift.

See the complete list of eight fundraising trends identified by Donorbox.

fundraising trends for success

B2B Gifting Survey Finds Personal & Memorable Score ROI

February 5, 2019/in B2B Marketing, Food and Wine Gift Market, Marketing Budget, Marketing Research, personalization, ROI, Uncategorized /by David Kanter

Acculist USA supports many clients marketing in the corporate gifting space, with a focus on food and wine gift baskets and catalogs. We recently ran across some interesting data from a study by Knack, a Seattle gifting company, that should help gift suppliers to craft the most appealing packages and business gift buyers to maximize gift effectiveness.

The C-suite Believes in Gifting ROI

The good news from the Knack “Business Gift Satisfaction Survey” is that corporate gifting works well when it is done well: 57% of respondents said that “gifts can impact their opinion of a business partner both positively and negatively.” In fact, over 80% of C-suite executives surveyed said they believe that business gifts generate measurable positive ROI in addition to intangible benefits. Since there’s a huge investment involved annually, with the market for non-cash business gifts estimated at $125 billion, getting the most positives and fewest negatives is clearly vital.

Well-Packaged, Personal & Memorable Score Best

Return-on-investment for a business gift to high-value targets, such as C-suite executives, is highest if the gift tells a story and facilitates a deeper personal connection, per the survey. Quality is more important than the quantity spent to achieve that personal connection; the survey finds that the right amount to spend per gift is between $50 to $150. What defines quality? The best impression comes from good presentation/packaging and the kind of personalization that logo items and gift cards lack, per gift recipients. A memorable gift will seem selected just for the recipient; will include a personal message and will have “value attributes,” such as a handmade/artisan item or a gift supporting an appropriate cause, such as ecological sustainability or made-in-U.S.A.

A Fail-Safe Business Gifting Checklist

Based on 1,000 business gift recipients’ responses, here is the survey’s checklist for fail-safe business gifting:

Give a useful item, something practical and that everyone can use.
Surround the useful item with shareable items, such as gourmet food in line with the gift theme. Stress quality over quantity.
Aim for a “value attribute,” such as made-in-the-U.S. items. Specific causes might be polarizing but “Made in USA” is universally favored as a top value attribute.
Spend between $50-$150. Spend for junior-level business partners in the $50-$65 range and for most clients and manager/director-level associates in the $75-$100 range. Spend up to $140-$160 for C-suite execs, VPs and most valued clients.
Always include a personally addressed note with the gift!

Get more details from the Knack study on corporate gifting.

Make Sure You Have a 2019 Data Hygiene Plan

January 30, 2019/in Automation, B2B Marketing, B2C Marketing, Data Appending, Data Capture, Data Cleaning, Data Hygiene, Data Management, Data Processing, Data Quality, Data Source, Database Development, ROI /by David Kanter

As marketers prepare to launch their 2019 campaigns, they should make sure that a complementary data hygiene plan is in place, and certainly AccuList USA data services stand ready to aid in ensuring the quality, up-to-date, enriched data essential for achieving marketing results.

Why Does Clean Data Matter?

Marketers don’t want to join the 88% of U.S. companies whose bottom lines are hurt by dirty data, based on Experian research. The top areas impacted by poor data practices are marketing (66% of companies) and lead generation (80% of companies), according to DemandGen. Dirty data leads to poor targeting and ROI for marketers, reduced revenue from customer acquisition and retention, wasted company resources and misdirected strategy. To avoid that fate, marketers need a plan to regularly fix any customer and prospect data that is incorrect, inaccurate, incomplete, incorrectly formatted, duplicated, or irrelevant, plus to enrich the database via appending of relevant but missing customer parameters.

Developing a Data Cleansing Strategy

Pete Thompson, founder of DataIsBeauty.com, has put together a useful primer for developing a data hygiene plan. Start with the basics: Decide what data is important for business decisions and estimate the ROI of data quality improvement. Then review existing data processes: types of data captured, where it comes from and how is it captured, the standards for data quality, how errors and issues are detected and resolved, etc. Other questions include the main sources of errors, methods for validating and standardizing data, methods for appending or combining multiple sources, automation used if any, accountability for data quality, and measurement of data ROI.

Key Elements of a Data Hygiene Plan

Without going into detail, the basic steps of the data plan will start with creating uniform data standards, preferably applied at the point of data capture. Then develop a data validation process, applied either when data is captured or, if that is not possible, at regular intervals for data already entered. After data has been standardized and validated, you can append missing fields by cross referencing with multiple data sources. Streamline the process through automation tools and scripts, saving time and money and reducing human errors. However, while it may be tempting to start with automation, Thompson cautions against putting the cart before the horse; success requires having data standards and a proven validation process in place before automating. And then set up a monitoring system of the hygiene process, whether automated or not, via random test samples and back testing, and implement periodic checks.

For regular monitoring, or overall scrubbing without an automated regimen, experts suggest a quarterly hygiene review for databases of 100,000 records or more, and semi-annual cleaning for smaller databases. Based on our own years in the data business, we think the best advice from Thompson and other experts is to enlist the services of data processing pros when hygiene is due!

Check out more details from Thompson’s data hygiene plan.

Harness These 2019 Trends to Boost Social Media ROI

January 2, 2019/in AI, Apps, Brand Marketing, Content Marketing, CPM, Data Privacy, Influencer Marketing, Interactivity, Lead Generation, Marketing Technology, personalization, Real-time Marketing, ROI, Social Media Marketing, Social Sharing, Uncategorized, Video Marketing /by David Kanter

As social media marketing competition rises, organic reach dwindles and social ROI gets tougher, AccuList USA clients will need to hone their social media marketing data, targeting and creative strategies. Here are just a few big social media trends to include in planning for next year, based on analysis by Hootsuite and Social Media Today.

A Need to Re-build Trust and Transparency

Trust in social networks has declined. Edelman’s “2018 Trust Barometer” found that 60% of respondents no longer trust social media companies, and Facebook is among the hardest-hit, thanks to headlines about its role in 2016 presidential election interference, ongoing “fake news” abuses, and security breaches compromising user data, reports Hootsuite. Twitter has its own trust problems because of the use of bots and fake accounts. As a result, Hootsuite sees brands focusing less on maximizing reach and more on “transparent, quality engagement.” Instead of posting the same content across multiple platforms, marketers are more likely to favor context-specific and audience-specific messaging that reaches smaller but more valuable groups in 2019. The need to balance privacy demands with personalized treatment is also leading marketers to be more open about when and why data is collected and then to use only willingly shared information to create personalized one-to-one experiences and unique value offers. Yet personalization still drives success despite privacy issues. Social Media Today (SMT) reports that up to 96% of marketers surveyed believe personalization advances customer relationships.

Micro-Influencers Replace Celebrity Influencers

As the number of social media influencers has grown over time, prices for their services have climbed, and, at the same time, trust in celebrity influencers has declined, both Hootsuite and SMT report. One solution is to increase use of experts and employee advocates over celebrity influencers, notes Hootsuite. Meanwhile, SMT suggests more micro-influencer marketing. As opposed to major influencers, micro-influencers exist in every marketing niche. While they have followings of fewer than 10,000 people, most of the micro-influencers’ followers are genuinely interested in what they have to say. Since micro-influencers are not massively targeted by advertisers, they also are seen as trustworthy and down-to-earth, notes SMT.

Stories Format Challenges New Feed Use

Hootsuite predicts that “the news feed may be slowly becoming a thing of the past,” as social media users increasingly prefer content in a stories format. Certainly, the stories format has exploded on Snapchat, Instagram, Facebook and WhatsApp–and is even being tested by LinkedIn. In fact, Hootsuite cites a recent finding by consulting firm Block Party that sharing via that method is growing 15 times faster than feed-based sharing. One way marketers can ride the trend is to push intimate, less polished content in a stories format, suggests Hootsuite, although the company acknowledges that the stories format’s intimacy and spontaneity do not fit with all brands.

ROI Gets Tougher, But Shopping Gets Easier

Social marketers who rely mainly on organic reach are behind the curve. The pay-to-play era is here and driving larger social ad budgets, Hootsuite notes, with “The CMO Survey” reporting a 32% increase in social budgets in 2018 alone. As the price tag for social ads rises, along with competition for audience, ROI is getting tougher. Hootsuite can cite the most recent “Internet Trends Report” from Mary Meeker, which found that while click-through rates on Facebook are up 61%, CPMs (cost per thousand impressions) have soared 112%. But good ROI is still attainable, especially as the gaps between social media and commerce narrow. For example, Meeker’s 2018 report also showed that 55% of survey respondents have purchased products online after social media discovery. Shopping is being made easier by technologies such as in-stream payment tools and video plugins along with social media special features such as shoppable posts, Instagram’s Explore shopping tab, Facebook Marketplace and Pinterest’s Buyable Pins. Video is especially effective in social ads, with a study by video marketing company BrightCove showing that 74% of respondents cited a connection between watching a social video and making a purchase.

Growing Real-Time Messaging and Listening

Messaging applications are becoming integral to social media business relationships. Hootsuite cites a survey from Twilio, which found that nine out of 10 respondents would like to use messaging apps to communicate with businesses. Plus a study by Facebook IQ finds that 61% of U.S. respondents used a messaging app to contact a business in the prior three months. The audience reach of messaging is undeniable. According to Meeker’s report, the top five messaging applications—WhatsApp, Facebook Messenger, WeChat, Instagram and Twitter—total some 5 billion monthly users. However, there are challenges, warns Hootsuite, such as messaging scale and using artificial intelligence in a way that avoids privacy infringement and unsolicited communication. The next step, predicts SMT, is use of social listening (monitoring) to actively generate leads and facilitate social selling. Social listening is the act of crawling the web and social media platforms to find all mentions of a brand (or keywords) on social media platforms, blogs, forums and news sites. Monitoring tools such as Awario, Brand24, Mention, Brandwatch, and Hootsuite now are used mainly for customer service and reputation management, but a few brands are already monitoring to find leads, and some monitoring tools are introducing features for lead generation!

Despite Doubters, 2018 Direct Mail Ups Response, ROI, Usage

December 4, 2018/in B2B Marketing, B2C Marketing, CPA, Direct Mail, Direct Mail Format, Direct Mail Lists, House List, Mailing Lists, Market Vertical, Marketing Research, Marketing Trend, Prospecting, Response Analytics, Response Rates, Response Tracking, ROI, Uncategorized /by Katherine Sharma

AccuList USA’s direct mail marketing clients received lots of encouraging news in the 2018 “ANA-DMA Response Rate Report.” Direct mail improved its usage ranking to tie with social media as the second most-used medium (57%), for example, and continued to deliver the best response rates of any medium. In fact, “snail mail” even improved on its response success by doubling median response rates over last year to 9% for house lists and 4.9% for prospect lists in 2018. Mail’s Return on Investment (ROI) also leaped by 12 percentage points to beat out online display this year.

While Marketers Forecast Mail Decline, Usage Tells a Different Story

The only negative in the report is that those surveyed continue to doubt the future of direct mail, with 19% saying they plan to decrease usage in the coming 12 months. But if the report participants follow their behavior after previous surveys, which similarly predicted mail declines, direct mail usage will remain buoyant, which allowed it to rise in 2018 despite planned cuts. One drag on direct mail continues to be its Cost Per Action/Acquisition, which is the highest CPA of any medium and puts budget pressure on mail volume, which did decline for both house and prospect lists compared with the 2017 study.

Direct Mail Usage Dominates Most Industry Segments

However, high response rates, competitive ROI, online tracking and print-tech advances are keeping marketers loyal to “traditional” mail in a digital world. In fact, direct mail usage for marketing campaigns equals or exceeds 50% for most of the 11 industry segments cited in the study. In usage, direct mail leaders were travel or hospitality (80%), nonprofits (75%), publishing or media (71%), and financial services/banks/credit (67%). Only Technology (44%), Retail (44%), and B2B Services (34%) came in below the 50% usage mark.

B2B, B2C Split on Formats As Response Tracking Goes Digital

When it comes to direct mail creative format, postcards tend to produce the best overall response in combined B2B and B2C data, with a 13% median response rate for house files and 10% for prospecting files. Letter-size envelope formats turned in rates of 10% for house lists and 4% for prospecting, and oversize envelope mail garnered 11% for both house and prospect lists. Format results are different for B2B versus B2C, however. Looking only at B2B, limited data indicates the letter-size envelope format outperforms with a combined median response for house and prospect lists of 15%-40%, compared with postcards’ 14%-16%. For B2C, responses show oversize envelopes actually turning in the best 9%-12% median response for house and prospect lists combined, compared with postcards at 9% and letter envelopes at 4%. In tracking those response rates, marketers have definitely gone digital, with over half of surveyed marketers (53%) saying they use online tracking capabilities, such as PURLs, followed in popularity by the use of codes or coupons (45%) and call center or telephone inquiries (41%).

Shoppers Demand Seamless Omnichannel Retail Strategies

July 25, 2018/in Acquisition, Analytics, Buying Cycle, Catalog Marketing, Customer Service, Data Analytics, Digital Marketing, Direct Mail, E-commerce, Market Research, Mobile Marketing, Multi-Channel Marketing, Omnichannel, Response Analytics, Retail Marketing, ROI, Sales Funnel, Social Media Marketing, Targeting, Uncategorized, Video Marketing, Website /by Katherine Sharma

Omnichannel marketing is the rule for today’s retailing. While print catalogs continue as a vital merchant tool, with 42% of households reading catalogs per the U.S. Postal Service, integration of multiple channels–including online, mobile and social with direct mail–is now essential to our catalog and e-commerce clients’ success. Unfortunately, while the majority of consumers expect to shop seamlessly across all those channels, only 7% of retailers provide the unified “start the sale anywhere, finish the sale anywhere” experience that customers want, per the recent “2018 Customer Experience/Unified Commerce Survey” by BRP Consulting, a retail management consulting firm.

Omnichannel, Cross-Device Shopping Is Now the Norm

Marketers just can’t afford to ignore that the majority of shoppers now interact with promotions, educational content and purchase services via multiple channels and devices. According to the same BRP study, three in five (62%) consumers surveyed said they check online reviews/ratings before visiting a store, yet just 61% of retailers offer consumer product reviews for research! Shoppers now rely on mobile to continue the digitally supported buying process in-store, with nearly 60% of shoppers looking up product information and prices while using their mobile phones in stores, per Retail Dive’s 2017 Consumer Survey. Also per BRP, nearly three out of four (73%) of consumers want the ability to track orders across all points of interaction, going beyond an estimated delivery date to include when the order is being prepared, date shipped from the warehouse, etc. Plus customers expect an automated return process, with 68% of consumers surveyed telling BRP they are more likely to choose a retailer offering an automated returns process.

Analytics Need Complex Channel/Device Attribution

Merchants can leverage customers’ cross-device penchant to optimize acquisition and conversion, argues a Direct Marketing News article by Pierre DeBois. But they must keep in mind that, while the opportunity to boost ad frequency and content persuasion across channels is huge, smart management is required to avoid turning targeted promotion into a bludgeon. As Bill Kee, Google’s group product manager for attribution, highlighted at the 2017 Google Marketing Next conference, “If I am on three devices, and if I see your ad five times, it means you’ve reached me 15 times…believe me I get it.” The first place to start is good omnichannel analytics to understand the contribution of each channel to ROI and its place in the customer journey. Only then can merchants cost-effectively tailor targeting and investment to maximize sales. One useful analytics tool is Google’s Unique Reach report, which displays digital ad frequency metrics across devices, campaigns, and formats to measure how many times a person views a given ad, and combines attribution influences from AdWords, DoubleClick, and Google Analytics, suggests DeBois.

Using Images and Chat to Direct the Customer Journey

Good omnichannel analytics also can improve use of image and video content to maximize the proven effectiveness of image/video in digital engagement, to answer the customer demand for education, and to direct prospects through the sales funnel. However, quantities of images bombarding customers across multiple channels can overwhelm and confuse, so both media curation and a content mapping strategy aligned to the customer journey are needed. One example of a targeted image strategy is use of an “image story” feature on a social media platform to orchestrate images and/or a short video, notes DeBois. Pinterest Lens, Instagram Stories, and Twitter Moments are all image story features. Because the majority of consumers research products and services online now, marketers also can gain an edge over competitors by offering customer-facing elements such as chatbots. In contrast to apps, which may be used only for a few discrete tasks and then ignored, a chatbot’s programmable assistance can provide both engagement and continuing response performance improvement.

For more, see the Direct Marketing News article.

Smart List, Mail Design Choices Help Save on Postage

July 16, 2018/in Data Hygiene, Data Quality, Direct Mail, direct mail creative, Direct Mail Format, Direct Mail Lists, Mailing Lists, Mailing Services, Merge-Purge, NCOA, Postal Rates, Predictive Analytics, Profiling, Response Rates, ROI, Segmentation, Targeting, USPS, USPS Discount /by Katherine Sharma

Direct mail has higher average response rates than digital choices, but maximizing mail ROI requires cost efficiency, especially in the postage realm. Good list selection and hygiene are key to avoiding mailing waste, and this is one area where AccuList USA’s expertise in targeted mailing lists selection and data services can certainly aid clients. Another important factor in controlling postage costs is mail package design. An article by Target Marketing magazine’s Summer Gould offers a great summary of how smart choices in lists and design can add up to savings.

Targeted, Clean Lists Cut Postage Waste

If you are sending mailings to the wrong people, people unlikely to be interested in your offer, lower response rate and cost inefficiency will be reflected in poor ROI. Using tools from predictive modeling to customer profiling to segmentation can improve list choices and targeting parameters. Plus, AccuList USA’s proprietary list research can help clients find the top-performing lists for their specific vertical market. But no matter how data is targeted, dirty data with duplicates, errors, invalid addresses, and old demographic or purchase history information will create costly delivery failures and misdirected waste. That’s why AccuList USA goes beyond list brokerage to provide expert merge-purge services that combine and standardize data in order to eliminate duplicates, identify and correct old or undeliverable addresses, verify zip codes, and maximize postal discounts. In fact, by comparing names and addresses to real-time information on multiple public and private databases, AccuList USA offers an advanced hygiene regimen that is able to identify and correct twice as many addresses as standard USPS FASTforward and NCOALink use, which only represent a portion of U.S. movers and undeliverables.

Careful Design Wins Postage Discounts

USPS offers postage discounts to mail pieces that are not only addressed correctly but also designed for processing on automated equipment. For mail to qualify for the lowest postage rates, the mail piece needs to be at a letter size, which is a minimum of 3 ½” high by 5″ long and a maximum of 6″ high by 10½” long. Larger mail pieces fall into the flat category, which can cost more than twice as much per piece as a letter. Plus, to take advantage of automation, the piece must by rectangular, with an aspect ratio (length divided by height) of 1.3 to 2.5. Mail pieces outside those ratios could cost twice as much in postage. Then the addressing and barcode block on letter size mail must fit into the USPS OCR read area to avoid additional postage. For tri-folded self-mailers, the address must be on the center panel to qualify for discounted automation postage. Naturally, weight matters. Keep the weight of a folded self-mailer under 1 ounce; if the piece weighs over 3 ounces, it must go in an envelope. Thickness counts, too If a mail piece is less than 0.009″ thick, it costs more in postage. On the other hand, the maximum thickness for letter size mail is ¼” and for flat size is ¾”. The best advice is to consult with your mailing service provider about any new design in advance. For more, see https://www.targetmarketingmag.com/post/save-money-postage/

Format Drives Differences in Direct Mail Results

June 5, 2018/in Acquisition, CPM, Direct Mail, direct mail creative, Direct Mail Format, Direct Mail Lists, Marketing Research, Marketing Trend, Response Rates, ROI /by Katherine Sharma

In planning direct mail campaigns, marketers often turn to standard industry benchmarks courtesy of the annual “Response Rate Report” from the Data & Marketing Association (DMA), soon to be a division of the Association of National Advertisers (ANA). However, while general direct mail response rates for house lists (5.1%) and for prospect lists (2.9%) far outpace those of digital media, the mailing piece format selected can make a key difference in expected results.

Mailer Format Shifts Response Metrics

For example, an oversized flat envelope package tends to deliver the highest response rate: 6.6 % for a house file and 4.9% for a prospect list. Next most effective in terms of response are postcards, with a house file response rate of 5.7% and and a prospect names’ response of 3.4%. At the tail end, but still far above digital efforts, comes the standard letter format, with a 4.37% response rate for house names and a 2.5% response for prospecting.

Balancing CPM & ROI in Format Selection

Some marketers hesitate over the more expensive oversized flats, which have the highest cost per thousand (CPM) among formats at $481 for house files and $467 for prospect files. Which is why postcards continue to win fans among B2C and B2B marketers, with the lowest CPM among direct mail formats benchmarked. However, despite their higher CPMs, the solid response rates of flats mean they can deliver the highest ROI (37% and 30% for house and prospect names, respectively). Postcards and letter packages, meanwhile, are tied in terms of ROI, with house mailings garnering a 29% ROI and prospecting turning in 23% ROI.

Purchase the whole report or see a free summary article for more data.

Case Studies Showcase Zoo & Museum Direct Mail Strategy

March 8, 2018/in Agency, Case Study, Creative, Direct Mail, direct mail creative, E-mail Marketing, membership marketing, Museum & Zoo Marketing, Nonprofit Marketing, ROI, Seasonal Marketing, Targeting, Uncategorized /by Katherine Sharma

AccuList USA provides mailing lists and direct marketing support for a growing number of museum and zoo marketers. We thought our museum and zoo clients, and other nonprofit marketers, would be interested in recent case studies of how combining direct mail with digital marketing can successfully drive gift membership purchases. The case studies were presented by The Lukens Company, a nonprofit agency, for the American Museum Membership Conference.

Postcards-With-E-mails Strategy Addresses Flagging ROI

Seattle’s Woodland Park Zoo was concerned that its costly traditional direct mail letter package promoting gift memberships was experiencing declining ROI and relied on a complex process for signup. Tasked with finding solutions, the agency came up with a new two-drop postcard combined with a three-part e-mail series timed after a Cyber Monday campaign. The campaign directed recipients to an online signup with a promo code to track gift sales. Targeting prior gift membership purchasers and offering a standard $15 discount, the new approach resulted in a 173% increase in number of purchases and 88% increase in revenue.

Energizing Existing & New Audiences

A similar strategy provided positive ROI results for a gift membership drive by the San Francisco Museum of Modern Art (SFMOMA) in its first holiday season after reopening following a three-year closure. Marketers faced a dual challenge: fatigue of the traditional direct mail package to the existing gift membership audience, plus a new audience unfamiliar with SFMOMA gift membership offerings. Seeking to energize both targets, the agency’s creative shifted from the traditional package to a two-drop postcard and five-part e-mail series, directing recipients online to a new custom landing page, along with phone and onsite support. Mailing to current members, lapsed members, and general admission and event ticket buyers, the campaign offered 10% off gift memberships for members and prospects who became members.

More Ways DM Can Drive Online Action

Based on its results with its postcards-with-e-mails campaigning, The Lukens Company suggests additional ways to boost online results via direct mail: 1) include URLs in all direct mail pieces, especially typing-friendly, memorable URLs; 2) encourage online renewals (“go green”) in early direct mail and e-mail renewal notices; and 3) offer specific online-only incentives for renewing early. See actual creatives, and more case studies of direct mail for onsite action, at http://americanmuseummembership.org/uploads_ed/files/Using%20Direct%20Mail%20to%20Drive%20Action_AMMC%202017.pdf

Making the Case for Direct Mail Power in Multi-channel Marketing

November 27, 2017/in Acquisition, Digital Marketing, Digital2Direct, Direct Mail, E-mail Marketing, Mailing Lists, Marketing Plan, Multi-Channel Marketing, Response Rates, ROI, Social Media Marketing, Uncategorized, USPS /by Katherine Sharma

As our multi-channel marketing clients polish their 2018 marketing plans, it’s a good time to remind them of the continued value of direct mail in this digital era. A recent infographic from direct marketing agency US Presort puts together data from The Data & Marketing Association (DMA), Social Media Examiner, Epsilon, Experian and Marketing Sherpa to make the case for a direct mail commitment.

Why Connect Digital & Direct Mail?

The majority of marketers (71%) say they believe in an integrated multi-channel approach. After all, a smart multi-channel strategy can combine the pervasive impact of digital (96% of consumers say they were influenced online in making a purchase decision) with the effectiveness of direct mail (digital can’t beat mail’s 80% open rate or its consumer trust rating of 76% compared with 61% for Google search, 43% for social and 39% for online ads). And marketers who combine direct mail and e-mail in a single integrated campaign report better results than when running standalone efforts, with overall response increasing by 35% or more. So why are so few marketers (just 29%) actually implementing those integrated multi-channel campaigns?

Addressing Direct Mail Myths

Lingering misconceptions may cause some marketers to hesitate over integrating direct mail with digital. As the infographic points out, direct mail has a high perceived cost. Yet while direct mail costs more to produce and distribute, its response rates are also much higher than other channels, so its ROI remains competitive. For example, per the DMA’s 2016 data, direct mail response rates averaged 5.3% for house lists and 2.9% for prospect lists, compared with online display ads at 0.9%, e-mail at 0.6% for house files and 0.3% for prospects, social media with 0.6%, and paid search at 0.5%. As a result, median ROI for direct mail, while behind e-mail, is on par with social media at 29% and 30%, respectively, and ahead of other digital channels such as mobile, search and online ads. Others assume difficulties in connecting and tracking combined paper and digital promotions. But technology and U.S. Postal Service discounts are making direct mail easier and cheaper to integrate with digital via mobile device-scanned coupon links, QR codes, PURLs (Personalized URLs), and landing pages. Plus, direct mail is now much easier to track in real time thanks to the U.S. Postal Service Intelligent Mail Barcode that lets marketers follow every single piece from the postal DSCF unit to the prospect’s door.

Making Direct Mail Part of a Multi-channel Solution

Successfully leveraging the power of direct mail in a multi-channel strategy requires a few key steps. As suggested in the infographic, include the USPS Intelligent Mail Barcode on all mail to track delivery and coordinate with other channels, and then gather measurable response from multiple channels via tactics such as reply cards, 800-number call tracking, as well as mobile-scanned QR codes and PURLs. Create campaign-specific landing pages and make sure they are mobile-friendly. Integrate e-mail and direct mail messaging and lists, and coordinate e-mail blasts with mail delivery; plus create Facebook ad campaigns to target the same audience as your direct mail lists (see our Digital2Direct programs). Finally, consider IP Direct Mail or Web Direct Mail to target the same mail audience on Google with coordinated ad banners.

To share the full infographic, go to https://www.uspresort.com/posts/direct-mail-how-to-succeed-in-digital-era