Holiday shoppers are in the mood to spend this year. The National Retail Federation expects holiday sales to jump 3.6 percent, reaching an estimated $655.8 billion this year. That's great news for businesses looking to cash in on the holiday season.
In today’s digital age, it seems natural that most businesses would turn to online marketing as their go-to strategy. However, research shows direct mail outperforms digital channels.
Direct mail response rates are three percent higher than all digital channels combined, according to the Direct Marketing Association. Take a look at the chart below that shows response rates by media type:
Why direct mail is perfect for the holidays
Just like eggnog and reindeer, direct mail is a holiday staple. Here are three reasons why so many businesses rely on it:
Customers want direct mail
Many companies worry that their customers will consider their postcard or personalized letter junk mail, but research shows 56 percent say receiving mail from brands is a pleasure.
Mailboxes beat inboxes
Inboxes are flooded. Americans deal with 205 emails a day, but there's much less clutter in a physical mailbox. Americans receive two to three pieces of mail a day for a total of about 16 pieces a week. Simply put, direct mail stands out.
Direct mail gets results
Direct mail recipients purchase an average of three items, spend an average of $80 and represent a 65 percent revenue lift compared to customers that don't receive direct mail, according to USPS.
Print ideas for your business
Aren't sure what to print and send your customers for the holidays? Here's a quick list of ideas that you can customize to fit your business and customer base:
- Postcard-sized coupons that can be used in-store or online
- Coupon package or newspaper inserts
- Personalized letter thanking customers for a great year
- Invitation to an open house or a holiday sale
- Holiday cards
- Custom wrapping paper and gift tags
- Thank you cards paired with appreciation gifts
- Calendars
- Banners and signage for your office or store location
- Year-End newsletter or magazine highlighting your company’s achievements
- Catalogs
Catalogs are making a comeback
We just mentioned catalogs as an idea to print and send to your customers this year. Why? Catalogs are making a comeback.
Remember when kids waited for their favorite toy catalog to arrive so they could circle all the toys they wanted for Christmas? Those days aren't lost. In 2015, companies big and small mailed 10.6 million catalogs, according to the USPS.
Companies are returning to the tried-and-true holiday catalog, but they're adding a modern twist. Many catalogs are meant to complement online sales by including a coupon that can be redeemed online, or an NFC tag that connects a smartphone user to a specific product page.
Last year, big retailers like JCPenney resurrected its catalog, and even online retailers like Birchbox and Bonobos sent holiday print catalogs to customers.
Research shows these catalog-sending companies are onto something. USPS conducted a study and found 60 percent of current customers, 61 percent of past customers and 67 percent of new customers visited a company's website because of a catalog they received in the mail.
What's better is that catalog recipients purchased 28 percent more items, and spent 28 percent more than customers that didn't receive a catalog. Overall, catalog recipients represent a 163 percent lift in revenue compared to those that didn't receive one.
