Is there a role for Direct Mailing in the Is there a role for Direct Mailing in the Integrated Communication?Integrated Communication?

Enrico Barboglio Valentina Carnevali

General Secretary Xplor Italy Accredited Officer Xplor Italy

European ABOD Representative

The Electronic Document Systems Association

How has the consumer changed?

Has less and less time!!!

........ AND less time for the various media

Hard to catch

65% of consumers feel they are bombarded with advertising not relevant to them

61% perceive that advertising doesn’t treat consumers with respect

69% are willing to pay for products and services which could help to avoid or break advertisingSources: IAB, eMarketer, AAA, EAA (collected in North America & Europe)

Don’t replace one media with another one but increase the use of all of them

at the same time

Attention please

What else where you doing when you last…? %

watched

TV

listened

to the radio

read a newspaper

used the internet

talked on the

phone

watched TV * 9 38 17 54

listened to the radio 13 * 21 16 30

read a newspaper 43 21 * 2 14

used the internet 20 17 2 * 19

talked on the phone 57 25 14 18 *

Source: Forrester Research, North American users 2004

Other behaviours

74%

68%

61%

59%

57%

Consumer Reports

Non-car companywebsites

Advice from friends

Car companywebsites

Auto dealershippersonnel

Consumers have more trust in “non corporate” sources of information

Sources of information when buying a car

Source: Forrester data

Consumers are disloyal25% of purchases in large Distribution are related to promo activities (high level of brand switching)

Consumers are emancipated and evoluted

In US 10% purchasing through web40% self-organized tourism

How have the marketers changed?

66% of marketing managers believe the advertising industry lacks innovation

91% believe innovation is the key to increase or maintain ROI

78% notice a substantial decrease in TV advertising effectiveness over the last 2 years

79% believe direct media (including new media) have the greatest innovation potential

How have the media changed?

Media - Atomization

New media don’t replace old media

Integrated Marketing CommunicationCombined and synergistic use of different communication media

“The medium is the message”Herbert Marshall McLuhan

(1911 -1980, Canadian Sociologist).

Advantages of IMC

Positioning of Direct Marketing

9

Interactive communication: direct marketing

Target microsegments or single clientsselected on behaviouractive

Media narrowcasting modeltwo waypull

Message differentiated – personalizedon demand

Feedback directimmediatecontinously monitored

Interactive communication: direct marketing direct mail

85%

82%

66%

58%

50%

42%

33%

31%

11%

2%

Direct Mail

Internet

Response Advertising

Toll Free Number

Fax

Database Marketing

Multimedia

Telemarketing

Teleselling

Other

Why paper? Why mail?

Receiving a letter and opening it is usually a pleasant moment

Who opens letters at home is usually the purchasing decision maker

A letter is tangible, stays, lasts and…. make its reader think

It is more likely for a letter to be archived and/or read by more than one person

With a letter you can create emotions and relationships

3.4 – 4.2 minutes dedicated to read a letter

35% to 49% letters have created an interest

16% to 22% letters have induced to an actionGfK Eurisko, 2007. Survay on representative sample of the italian population aged 14 and over; total 11,500 inteview

Thanks for your attention

further information:

valentina.carnevali@xploritalia.it

www.xplor.it

Sources: Infotrends, DMAB, European Commission, Mintel Copermedia, DMA, Assocomunicazione, Forrester Research