Customer Respect Will Deliver Success
30 Nov 2018
Almost six months after the introduction of the GDPR, most marketers will by now be on top of the legal issues. They will also be conscious of how they need to respect the personal data of customers and prospects in order to earn or keep their trust.
They may even have begun to re-evaluate their media mix, prioritising channels that are both safe and welcomed or trusted by consumers. Brands whose communications demonstrate respect for their consumers will be the ones that succeed.
In my previous post, I wrote about how the GDPR was a moment for mail. Research shows that mail is trusted, welcomed, leads customers to take actions, and improves ROI.
This time I’m going to look at the role mail can play at different points of the customer journey.
Before I get into the detail, it’s worth standing back and reminding ourselves of some of the areas that distinguish mail.
First, it offers a uniquely creative canvas. It has both the power of touch and the opportunity to use stimulating visual imagery. Mail’s tangibility helps make it memorable.
Second, mail celebrates long copy. Other media eschew long copy, but we know it drives attention and engagement. Nearly two thirds of mail recipients say they are more likely to give advertising mail their attention, versus 35% for email.
And third, it works with digital. After receiving mail, 70% of people go online to search, research or buy.
In this blog, I’ll focus on three customer journeys – acquisition, conversion, and welcome – and show you an example of how a brand successfully used mail for each.
In an acquisition journey, you may not have all the personal data you would like. But you may be able to find relevant data points or build look-alike models from existing customers, for example using your knowledge about messages or offers that have worked with existing customers. Mail is an effective way to communicate this relevancy, which may also include geography, postcode, lifestyle or life stage data.
For example, challenger energy brand Ovo wanted to convert pay-as-you-go (PAYG) users to its service. Ovo built a look-alike household database from multiple data sources. It identified 4.2 million households by postcode and energy usage and targeted them with a combination of Door Drops and regional TV. Phasing the Door Drops three weeks into the campaign increased the response rate by 35%.
Overall, the campaign generated a response almost double the industry standard and a cost-per-acquisition 9% lower than target.
In today’s multi-touchpoint world, consumers can engage with your brand in a variety of ways without committing. Mail can close the sale by focusing on relevancy – timeliness, a special offer or a focus on specific product benefits – before the prospect loses interest or goes elsewhere.
For example, to convert pet owners from enquirers to customers, insurance company SunLife mailed online and phone enquirers a ‘smelly pack’ containing pet treats. Its aim: convert the pet, not the owner.
Treat packs were digitally printed with the pet’s name. Peppermint scented for cats, bacon for dogs.
SunLife achieved a response rate of 7%, almost twice its target. Sales rose 21% and the ROI was just under 4:1.
Buyers sometimes experience purchase dissonance. ‘Should I have bought this? Is this the right product for me?’
A welcome pack as you on-board a new customer is an ideal way to dispel this feeling and show how you value them. It can also keep your brand top of mind and can give them reasons to engage or take further actions.
For example, mail order house JD Williams created a VIP club to reward its top 100,000 customers with exclusive benefits and discounts. It mailed VIP members a premium-feel welcome pack, complete with gold-bow design and a message - ‘We’re inviting YOU In’ - conveying exclusivity.
The pack generated a response rate of 22.5% and incremental sales worth £3m.
The GDPR is an opportunity for brands to show how they respect their customers’ data, and earn their trust.
The customers you can contact now are the ones you should be investing in.
Our latest guide - GDPR. The Moment For Mail – is available now and shows the different ways you can use mail in your customer journeys.
Download the guide at www.marketreach.co.uk or call us on 0800 030 4483
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