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Deliver®

A Magazine for Marketers


Volume 8

Issue 3

June 2012


Surround customers with your message


We’re not about subliminal messages to get our point across. We’re much more overt. Take our diner scene. It’s littered with the word “Deliver” throughout. How many instances of “Deliver” can you spot on the front and back covers?


Editor’s Letter


Put to the Test


Check one … check two … Say, is this thing on?


Ah, so it is. Nothing like a little test to make sure everything’s working properly.


To be sure, this same idea applies to direct marketing. With brands utilizing an ever-growing number of communications channels these days, it’s increasingly difficult for multichannel marketers to determine which media are working.


With that in mind, we’ve decided to take a closer look at the power of testing your marketing campaigns (“Test for Success,” p. 24). With budgets more heavily scrutinized these days, CMOs need to be able to have an iron-clad grasp on what’s working among their campaigns.


One campaign that was absolutely working was the winner of the second annual Deliver® Marketing Achievement in Innovation and Leadership (M.A.I.L.) Award. Strategist Barbara Sibley put together an amazing multichannel campaign on behalf of a beauty salon chain based in Florida (“Winning with [Hair] Style,” p. 14). We’re elated about her win and salute her fantastic effort.


In addition, our own Gary Reblin of the U.S. Postal Service® provides an in-depth view of how technological innovation — from digital watermarks to QR Codes — is adding more muscle to an already-powerful direct mail channel. Speaking of technology, don’t forget that the U.S. Postal Service is sponsoring its 2012 Mobile Commerce and Personalization Promotion in an effort to create more interest in the integration of mail and mobile technologies. Registration is open through Aug. 30. For more information, visit https://ribbs.usps.gov/index.cfm?page=mobilebarcode.


As always, there’s more in our magazine aimed at helping you win more customers, boost your bottom line and hurdle your marketing challenges. Enjoy!


Thomas J. Foti, Editor


Deliver

A Magazine for Marketers


Editorial Staff


Editor

Thomas J. Foti


Managing Editor

Lori Brown Savage


Contributing Editors

Darrell Dawsey

Kyle Martin Duda


Creative Director

Laura Rogers


Associate Creative Director

Todd Kraemer


Art Production Managers

Joseph Ferraro

Phil Foster


Editorial Director

Dan Grantham


Copy Editor

Sheila Walsh Dettloff


Production Manager

Lynn Sarosik


Publishing Staff


Publisher

Angelo Acord


Account Manager

Marie Danias


Associate Publisher

Julie Preston


Project Management Specialists

Mary Carlington

Kim Powers


Deliver is published six times yearly by Campbell-Ewald Publishing, a division of Campbell-Ewald, 30400 Van Dyke, Warren, MI 48093-2316. Tel: 586.558.5249. Visit Deliver at delivermagazine.com, or send us an e-mail at delivermag@usps.com.


Subscription requests should be sent to: Deliver, Subscription

Center, 30400 Van Dyke, Warren, MI 48093-2316. If you prefer not to receive Deliver, please visit delivermagazine.com and select Manage Your Subscription.


Manuscripts and photographs are submitted at the sender’s risk. Enclose a self-addressed, stamped envelope for return of material. Submission of material implies the right to edit and publish all or in part.


© 2012 United States Postal Service.® All rights reserved. TM – Trademark of the United States Postal Service. Your information is protected by our privacy policies. See usps.com for details. Unless otherwise indicated, the Postal Service does not endorse any individual or company, nor any service or product not offered by the Postal Service.


Contents

Volume 8 / Issue 3

June 2012


Features


14

Winning with (Hair) Style

Sibley Smart Copy takes home the second annual Deliver® M.A.I.L. Award in a photo finish.


20

Building a Buzz

Author and Generation Y expert Tina Wells shares her insights to help marketers connect with Millennials.


24

Testing for Success

Marketers are mixing classic testing techniques with new ones to get the job done.


30

Cultivating Contacts

Agribusiness leader Nufarm uses a mixed media campaign to identify potential customers.


In Every Issue


4 Postings

Bright smiles lead to big results. Plus, a look at DM trends for the rest of 2012.

8 Leader Column

ROI continues to be the measuring stick of success in the direct marketing world.


9 Demo Graphics

Arab Americans are a multifaceted group with spending power. Have you reached out?


10 P.O.V.

What other marketing channels do you mix with direct mail, and why?


11 Outside the Box

Digital innovations are making mail a platform for bringing experiences into the home.


12 Pushing the Envelope

A clever coconut mailer helps a company see a huge ROI .


35 Last Word

Stuck in a seven-hour power meeting? Pass the time with a game of Marketing Bingo.


Deliverables

A brief look at some big issues in direct mail


Prospecting


All Smiles

Dental practice grows clientele with family-friendly postcard campaign


Determined to bite off more business in 2011, Bonham Dental Arts in Largo, Fla., sank its teeth into a postcard campaign that continues to boost patronage at the family practice.


Disappointed with its previous direct marketer, Bonham Dental enlisted the PostcardMania direct marketing company to engineer a new mail campaign loaded with enticements. The face of Bonham’s new 6- by 8.5-inch cards featured a photo of a toothsome family framed by offers ranging from discounts for patients who refer friends to special promotions on Lumineers,® crowns, veneers and other services. The flipside offered coupons, including a $99 new patient special on an adult cleaning with X-rays. The coupons were complemented by comforting messaging about Bonham’s “No Pain, Low Anxiety Dental Treatment.”


According to operations manager Alvin Middleton, Bonham mailed out 50,000 postcards, with campaign costs totaling about $22,000. “Fortunately, we got one direct mail patient that returned that total investment in one treatment plan,” Middleton says. “Our return on investment was over $100,000 — a 5-to-1 rate.”


By the end of the second fiscal quarter of 2011, Bonham had attracted 47 new patients whose business the practice could attribute directly to its direct mail campaign. The campaign drew another 48 patients by the fourth quarter of that fiscal year.


For Bonham, the ongoing campaign has provided a lasting lesson in the effectiveness of intelligently conceived direct marketing. “Direct mail and our website continue to be our best ways to attract new patients,” Middleton notes. “In this struggling economy, direct mail has helped us maintain a steady flow of new patients to our office, something many practices are struggling with today.”

You Should Know


Marketing concepts and “big ideas” will always drive campaigns, but differentiation will emerge from optimization of data, insight and delivery (VCP , targeted advertising, etc.).

Winterberry Group – “The Future of Direct Mail: Outlook 2011”


By the Numbers


40%

Percentage of the world’s mail volume that was handled by the U.S. Postal Service® in 2011.1


10%

Percentage of B-to-B budgets that CMO s and other senior marketers allocated to direct mail last year.2


$11.9 billion

Amount that DM marketers are expected to spend on data in 2012.3


17.2%

The portion of polled consumers who in 2009 said they would respond to a postcard ad or request for donation.4


167.9 billion

The number of pieces of mail processed by the U.S. Postal Service in 2011.4


1 USPS Postal Facts 2012

2 DMA Statistical Fact Book 2012

3 Winterberry Group – “The Future of Direct Mail: Outlook 2011”

4 DMA Statistical Fact Book 2011


Paper


Print’s Charming

New site promotes the power of mail and other paper products


North American paper manufacturer Domtar has grabbed media attention for an ad campaign and website (paperbecause.com), which stylishly makes the case for paper products. Included is a link — titled “Paper Is Purposeful” — that leads to content that touts the countless virtues of direct mail, including cost efficiency, measurability and trackability. The site points to a variety of recent studies, including a stat revealing that 81 percent of consumers still read or skim their advertising mail. The campaign appears to be working. Domtar earned kudos for its 1950s-styled “Paper Because” print ads printed in a throwback issue of Newsweek.


Mail Volume


Vanilla Nice

Banks increase credit card offers via straightforward mailings


The financial services industry has been generating some sweet direct marketing headlines lately. According to Mintel Comperemedia, banks have boosted direct mail shipments of “plain vanilla” credit card offers — i.e., cards with no annual fees or rewards. Such offers accounted for 30 percent of acquisition mail volume in Q4 2011, compared to just 13 percent in Q4 2010.


Integration


TAG – you’re it!

Marketing program leverages the interconnectedness of mail and social media


In some ways, marketing is a glorified game of “tag,” with marketers tagging consumers with various offers and hoping those consumers likewise tag friends and family via word-of-mouth buzz. The SourceLink marketing firm hopes a new computer program will transform the concept into a mutually beneficial bargain for consumers and businesses alike.


SourceLink’s TAG — short for “Targeted Account Generator” — elevates the tag concept by blending direct mail and digital. The process starts when TAG identifies select groups of “influencers”— i.e., shoppers who have demonstrated a knack for selling friends on new products and services. SourceLink then mails the influencers a postcard offer on behalf of an advertiser.


When the influencer visits the microsite referenced on the postcard, he or she is offered the opportunity to give friends and family the same offer through a link on social media sites. The sharing process allows exponentially greater exposure, with TAG gathering valuable data through the use of demographic questionnaires and polls.


SourceLink says that one national advertiser used TAG to produce a 280-percent lift in response, with 40 percent redemption. “TAG is an effective way to integrate the marketing message between both direct mail and digital,” boasts Rich Pocock, vice president of Agency Services. “It really helps clients build their brand.”


Research


A Vintage Year

Direct mail volume and expenditures grew in 2011


As the post-recession recovery continues, Georgia-based AccurateLeads direct marketing firm is partially attributing the direct mail surge to the ability of mail to couple with various digital channels, creating multichannel initiatives that can efficiently saturate markets. According to new studies, consumers received 5 billion pieces of direct mail in 2011, compared to 3.6 billion in 2010. The Direct Marketing Association says expenditures for direct mail grew to more than $50 billion in 2011, translating to a 4.6-percent industry increase. The DMA also forecasts that mail sales will continue to rise at a rate of 2.4 percent over the next two years.


Multichannel Marketing


Click Trick

Ricoh enhances print marketing with “Clickable Paper”


Seems the gulf separating traditional and digital marketing media narrows by the day. In what promises to be a boon for print marketers of all stripes, Ricoh recently demonstrated a new product that company officials have dubbed “Clickable Paper.™”


Described as a “new planned cross-media service,” the product enables consumers to locate online content quickly and easily. All anyone has to do is point an iPhone or Android smartphone at any printed surface. From there, the customer will be dispatched to related web content.


Ricoh, one of the world’s largest printing companies, claims the technology is applicable to any kind of printed media. Company representatives are quick to point out its potential in direct mail, newspapers, magazines, books, brochures and posters.


What’s more, Ricoh says that all types of digital information or services can be leveraged using Clickable Paper, as the app allows consumers to link to multimedia content, websites, e-commerce services and social networks.


Talking Heads

Business pros share smart marketing solutions


Shari Silberstein

Executive Director, Equal Justice USA

Brooklyn, New York


As part of its quarterly mailings, nonprofit social activist group Equal Justice sent 3,000 customized holiday cards to supporters at the end of 2011. The appeal doubled the anticipated funding. Says Silberstein: “We wouldn’t survive without donations we get through the mail; it’s also an important way that we send personalized, handwritten notes, photographs or stickers that help get the message out.”


Terry Allen

CEO, 1016 Media

Dallas, Texas


As a local marketing company for the international “Real Men Cook” Father’s Day Celebration, 1016 Media sought to increase preregistration in 2012, hoping to deliver early returns for sponsors. Targeting caterers, chefs and nonprofits, Allen this spring mailed 1,500 postcards with photos depicting food and fun: “We got 50 calls within a week. More than 20 caterers called to request information.”


Melody Rouse

Marketing Director, Sheridan Realty & Auction Co.

Mason, Michigan


A 550-acre farm was the big-ticket item early this year, and Sheridan’s job was attracting possible buyers. About 14,000 poster-size flyers were mailed, drawing 260 bidders from as far away as Texas and Florida. The auction’s gross take was just short of $2 million, says Rouse. “We are convinced that direct mail is one of the best ways to reach potential bidders,” she adds.


Robert J. Lembach

Dentist

Fallston, Maryland


Seeking to attract new patients, Dr. Lembach reached out to PostcardMania. The company suggested a mailing list of couples and individuals, ages 28 to 55, with incomes at or over the $50,000 mark. After a five-month blitz of 3,000 monthly postcard mailings, a payoff stream began late last year. “We’re getting 20 new patients a month from the mailings,” says Lembach.


Looking for more? Check out our Talking Heads section. It’s a collection of smart solutions from big thinking marketers — delivermagazine.com/talkingheads/.


Leader Column

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