In a world where digital marketing dominates, it can be easy to forget the power of traditional marketing methods.
But according to marketing expert Dave Fink, sometimes the old ways are the best ways. Dave is the CEO and Co-founder of Postie, a mission-driven company aimed at reinventing direct mail marketing for the digital age.
Dave brings to the table over 20 years of experience in generating hundreds of millions of dollars in advertising revenue, powering viral sensations like Dollar Shave Club and helping launch celebrity startups.
Dave joined the Banking on Digital Growth Podcast to talk about the importance of direct mail in a digital world and its potential growth opportunities when combined with digital channels.
Where Does Direct Mail Fit in a Digital World?
Postie's mission is to make direct mail behave as dynamically as the best digital marketing channel. He believes that the best-kept secret in marketing is hiding where you least expect it - in your mailbox.
By integrating direct mail with digital channels, financial brands can create a more comprehensive and personalized customer experience that can drive growth and engagement.
Sometimes the old ways are the best ways.
Dave has been involved in marketing since the early days of the internet, and has seen the transformation from traditional media to digital firsthand.
And the key to successful marketing is identifying common patterns that cause people pain and presenting a narrative that offers a solution. This can be achieved through direct mail, which provides a tangible piece of media that can be well-designed and reinforces a brand’s story.
However, direct mail has not seen the same level of technology and innovation as digital channels.
Dave believes that this is a missed opportunity, as direct mail has proven to be performant when executed correctly. By bringing the same technology and tools used in digital advertising to direct mail, marketers can create a deeper level of targeting and measurement, leveraging data and insights to optimize campaigns.
Direct mail allows for a direct line of communication between the brand and the consumer, without relying on third-party channels like retailers. This gives brands greater control over their message and allows for testing and optimization through addressable marketing strategies.
The financial services industry, in particular, has been a dominant player in the direct mail industry due to their access to unique data through credit bureaus.
Direct mail is a valuable channel for marketers looking to diversify their marketing strategies and control their message.
He suggests that in a world dominated by Facebook and Google, it’s important to look for other channels that can provide the same level of power and distribution without the same level of cost.
By embracing direct mail and bringing the same level of technology and innovation used in digital advertising to this channel, marketers can unlock its full potential.
As Dave notes, “the mail box is the new inbox,” and marketers who embrace this idea can unlock a wealth of new opportunities.
How Direct Mail Can Help Financial Brands Grow in a Digital World
One of the most significant challenges for financial brands is the abandoned shopping cart.
Someone gets to the bottom of the funnel, they click the apply button, they start the application, and then because of the complexity of the application, they abandon it.
Marketing automation can help recapture between 10-25% of those who start the application but abandon it.
However, direct mail can be used for retargeting and website retargeting, making it a perfect opportunity for financial brands.
Dave suggests thinking more broadly about becoming more insightful and knowledgeable about customers and prospects.
One of the greatest values of being in the digital age is that we have the ability to engage with consumers and prospects through our websites and apps, learning how they're engaging with us and what content they're engaging with.
By analyzing data and leveraging that insight, financial brands can make better decisions about where in their sales funnel they are losing people and why they are losing them.
Direct mail can also be used in re-marketing, which is the practice of re-engaging with people who have shown an interest in your brand but have not yet converted. Direct mail can be a powerful tool in re-marketing, with a response rate of 3.7% compared to email at only 0.2%.
In addition, direct mail can be integrated with other marketing channels, including email, social media, and mobile, to create a multi-channel marketing campaign.
By creating a consistent message across multiple channels, you can increase the chances of converting prospects into customers.
Direct mail is a valuable marketing tool for financial brands in a digital world. By leveraging data and creating a multi-channel marketing campaign, financial brands can recapture lost prospects, convert them into customers, and grow their business.
For more about digital transformation, reach out to James Robert Lay at the Digital Growth Institute.
This article was originally published on May 5, 2023. All content © 2023 by Digital Growth Institute and may not be reproduced by any means without permission.