INTRODUCING PROGRAMMATIC MAIL: SEE HOW BEHAVIOUR-TRIGGERED DIRECT MAIL CAN BOOST MARKETING EFFECTIVENESS OCTOBER 2017
Introducing Programmatic Mail: See how behaviour-triggered direct mail can boost marketing effectiveness A thought piece by Simon Foster, MD of Muse, Part of the MC&C Group Both digital and direct mail have fantastic strengths. Digital media permits targeted, real time, relevant and measurable communications, whilst web sites give us online shops and almost limitless resource for discovery. Direct Mail (DM) provides physical one-to-one communication; giving brands impact and stand-out on a highly personal one-to-one level - in the home, where the message can be kept, shared, re-read and dwelled upon. Now, new programmatic technology is allowing advertisers to bring digital and direct mail together as one with digital behaviours triggering DM at key points in the customer journey. This new technique is called Programmatic Mail and it presents a remarkable opportunity for marketers to combine all the things that are powerful in one-to-one communication; targeting, speed, customisation, relevance and impact. Programmatic mail involves using automated technology to trigger the sending of direct mail as the consumer reaches different parts of the sales funnel. So, how does this work? The technology that underpins programmatic mail allows content viewed on a website to be repurposed directly into direct mail. This means the last products or services viewed by a site user can be captured, turned into physical direct mail and sent to that consumer automatically; no list planning or selection, just a timely DM intervention sent in response to a specific type of on-site consumer behaviour. 2
The tight targeting, physicality and creative opportunities presented by DM in both consumer and B2B markets mean programmatic mail can be a powerful aid to online campaign activity. When such integrated personal level campaigns are run, the overall results are likely to be better than when online runs alone. DM can be integrated with online in several ways: Offering additional information, such as a physical catalogue, to site visitors Helping to reduce ecommerce basket abandons Sampling Helping to reduce churn by increasing win-back rates for potential churners Let s look at some of these examples in more detail. Ecommerce: In this scenario, online visitors are viewing a brand s products and services but they are not progressing further into the purchase funnel. Provided the site visitor is logged in, the webmaster will most likely have access to their address details. A simple more information about this product message can be displayed with an option to receive a special offer or catalogue. A tracked promotional redemption code can be used to monitor whether the DM has been used to trigger redemption of the offer. Basket abandonment: Here, the visitor to an ecommerce site logs into make a purchase, gets to the checkout and then abandons the purchase in the last few moments of that path to purchase. All the effort that goes into targeting the prospect, providing the right content, and gently ushering them into the sales funnel goes nowhere in terms of revenue generation. This basket abandonment and the task of increasing ecommerce completions is a perennial problem in ecommerce. 3
Programmatic mail can be specified to be sent at precise points in that funnel, reminding the consumer of what they were about to buy and what they might be missing. Sampling: Bridging the gap between the virtual and physical worlds can be a vital part of the marketing process. Sampling typifies this transition and programmatic mail is ideally placed to capture information at the optimal moment and get a physical sample into the hands of the consumer. A simple click, address match and permission begins the process that allows the sample to be delivered. CRM win-back: A SaaS subscriber exhibits potential churn behaviour by visiting the how do I close my account page. To prevent customer loss, a win-back programme can be initiated which includes a piece of DM containing a bespoke winback offer. The key to win-back is speed and personalisation, so a personally targeted piece of DM will give you three bites at the cherry; personalisation and physical impact delivered within 48 hours. 4
Case Study Initial tests demonstrate that programmatic mail is going to be a powerful addition to the marketer s armoury. JD Williams have tested programmatic mail extensively, using direct mail pieces with messaging and imagery based on the last items viewed in a site user session. When programmatic mail was introduced into the purchase funnel, sales completions increased by 14 percent. For an ecommerce business with revenues of 10m that increase in conversions could be worth 1.4m. Marc Nohr, CEO Fold 7 states, Whether you call it programmatic mail or just joined-up marketing this makes sense. To the consumer, if you get the permission bit right, it's value added service. And to brand owners, it's an opportunity to integrate channels and have them play to their strengths. Mark Cripps, EVP, Brand and Digital Marketing, The Economist Group adds, Programmatic mail is an exciting new development for marketers. It enables digital and direct mail to work seamlessly together and combines online and physical channels in a way that is likely to significantly improve ROI. 5
So, which sectors stand to benefit? All sectors that have digital engagement with consumers can potentially benefit from programmatic mail. This includes the vast majority of sectors, ranging from airlines, automotive, entertainment, e-retail and leisure to financial services, telecoms and travel. The opportunities for FMCG brands to link online browsing activity to offline sample distribution are considerable. Programmatic mail can make a valuable contribution to increasing marketing effectiveness and ROI. Improving efficiency within the sales funnel is high on every marketer s agenda and there is no doubt that well targeted, relevant and personal DM interventions can improve sales funnel ROI. If I were a Marketing Director tasked with improving online effectiveness, I d be eager to test this exciting new opportunity. For more information please contact Simon Foster, MD Muse, Part of the MC&C Group on 0207 307 6100. Royal Mail Market Reach mailmen.co.uk/programmaticmail 6