“This online retailer… achieved a healthy 24% increase in ROI by incorporating T/O’s analytic direct mail solutions.”

The Challenge:

A young online retailer unveils thousands of fresh merchandise options in family apparel, accessories, home decor and more every day. The company is 100% online retail with no brick-and-mortar ‘shop in store’ option. They are completely acquisition based and had been using email as their main form of marketing while dabbling in crosschannel broadcasting. They tested small quantities of direct mail that they had produced at a local print shop and then sent to a regional area. They were seeing the value that direct mail could bring to their marketing mix and wanted to expand their reach to a wider audience. They trusted T/O to guide them in the right direction.

The Solution

Our strategists brainstormed with the customer to decide how best to meet their expectations for direct mail. It was decided that they would begin by testing a colorful 6” x 9” postcard with quantities under 100,000.
Our data analytics team assembled a list of prospects and customers. The prospect list was primarily a compilation of age, income and presence of children segmentation. They
tested several strings that included:

  • National Moms
  • National Non-Moms
  • Metro Moms
  • Metro Non-Moms

Testing quickly expanded to 700,000 mail pieces.

The Results

This online retail customer quickly discovered that direct mail was a much greater value than broadcast marketing. They achieved a healthy 24% increase in ROI by incorporating our analytic direct mail solutions. Segmenting and targeting customers with insights gain from data analytics strengthened the bond between their brand and their customer, resulting in more online purchases.

They expanded their program from a small local audience to a much broader North American reach with quantities growing to over 4 million pieces. Due to the continued success of this program and ongoing quantity increases, direct mail production has outgrown the current print facility and is currently transitioning to our and our micronetwork production facilities with larger capacity to meet their needs.

Our business is governed by multiple levels of sales prevention tactics (also referred to as MNDAs and NDAs) so we can’t share with you our client names or the exact tactics they have leveraged to achieve these results. What we can do is share with you all of the tools in our tool box and help you leverage the same so you may achieve the results you are looking for.

Highlights


Industry

Retail

Solution

Data Analytics Strategy Consulting
Segmented variable data color 6” x 9” postcard test to 700,000 recipients

Impact

>24% increase in ROI by incorporating analytic direct mail solutions
>Increase in online purchases due to segmentation and targeting customers with insights gained from data analytics
>Program quantities have grown to over 4 million pieces

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