These days it’s easy to feel like everything is digital. After looking at your inbox, you’d be hard-pressed to believe your mailbox was still a viable marketing channel.
In fact, direct mail is more than just alive and well: In 2023 alone, U.S. companies invested nearly $40 billion to reach people at the curb. Even Google, of all firms, is widely known to spend heavily on direct mail marketing.
So what gives? When email and other digital channels are so cheap, why are companies devoting significant portions of their budgets to one of the oldest forms of print marketing out there?
The answer is simple: Direct mail is highly effective.
When you look at the research, study after study proves that there’s something unique about direct mail marketing that’s great for getting recipients to engage and take action.
For example, in a study by Lob of 250 business professionals from North American companies with more than 1,000 employees, 74% said their firms use direct mail because it delivers the best response rates, conversion rates and return on investment (ROI) of any marketing medium.
SG360 saw a similar finding in their poll of 427 B2C marketing leaders and 1,257 multigenerational consumers: 76% of marketers said direct mail trumped all other channels in terms of conversion rates. Even the Association of National Advertisers, in 2022, found direct mail to have the highest ROI, at 43%, compared to email’s 32%; nearly 82% of surveyed marketing professionals also said they planned to increase their use of direct mail.
But why?
What makes direct mail such a good tool for target audience activation? Let’s take a look at some of its unique qualities.
- It’s a less saturated channel. Have you looked at your email inbox lately? How many messages have you read compared to the number you’ve ignored? In today’s digital age, spam is the new junk mail, and mail-mail has shifted course to become something people pay more attention to.
- It’s tangible. Physical mail creates a sensory experience that digital can’t replicate. In 2015, the U.S. Postal Service Office of Inspector General partnered with the Center for Neural Decision Making at Temple University Fox School of Business to study the neuropsychology of direct mail versus digital advertisements. Using scientific measurements, including examining participants’ brain waves, they found:
- Compared to email, subjects spent more time engaging with physical ads and were later able to recall them more quickly and confidently.
- Print ads generated a stronger and longer-lasting emotional response than email ads.
- Researchers at Canada Post came to a similar finding, when they uncovered that study participants asked to examine print and digital ads were able to recall brand names from the printed pieces much more frequently; 75% were able to remember the print ads, while only 44% could do so for digital.
- It feels personal. Compared to receiving an email—and especially compared to scrolling past a digital display ad—receiving a piece of physical mail customized with your name feels downright friendly and familiar. Similarly, people tend to trust direct mail more than digital media. According to Vericast, nearly two-thirds of recipients consider direct mail trustworthy; this increases to 67% when you compare it to digital’s privacy concerns.
- It’s less fleeting. The typical email lifespan is around two seconds. For direct mail, it’s 17 days. That’s a lot of time for a mail piece to sit on your counter and beg to be glimpsed at—which equals more impressions. On average, every piece of mail is looked at 4.2 times.
- It complements other methods. Omnichannel marketing—that is, reaching targets through a combination of channels that work together in synergy—is a hot topic in modern marketing circles and is increasingly becoming the industry standard. Direct mail is the perfect complement to an omnichannel strategy and has been shown to enhance the performance of digital channels like email and social media. Three-quarters of Lob’s surveyed marketing pros regularly combine direct mail and email, while research from the marketing group GoInspire has shown that combining the two generates significantly greater ROI than email alone.
Let’s get personal.
Finally, let’s discuss another thing that makes modern direct mail a whole different ball game than the mailers of old: variable data.
With the help of technology, today’s direct mail can be personalized to an unprecedented degree. Variable data printing allows marketers to customize each mail piece with the recipient's name, preferences and other personal details. This captures attention and fosters a sense of connection and personal investment in your brand.
In a world where consumers are bombarded with generic advertising, the personal touch of direct mail can make a world of difference. It can truly set your brand apart in the eyes of your audience, making them feel valued and understood.
