Customer Speak – A Marketing Blog from Bridgz Marketing Group


The Netflix Effect
December 31, 2009, 6:56 pm
Filed under: Marketing Theory | Tags: , ,

The death of direct mail has been greatly exaggerated. It’s not dead, but like most every other marketing medium, it has been redefined in the digital world as a much smaller yet still integral part of our complex multi-channel delivery and communications infrastructure.

Currently, however, it is the delivery utility and not communications that is keeping the USPS alive (though just barely with a reported loss of $3.8 billion this year).  Like most organizations the USPS will have to continue to downsize and further reduce its cost structure while redefining service levels in order to survive in the new market order. The core focus going forward will be parcels and packages, competing with Fed Ex — all that stuff sold at Amazon has to get shipped.  That could be an opportunity for direct marketers to break through the mailbox clutter, when there isn’t as much clutter.

The letter side of the mail system has obviously been eroding for years as email has displaced personal correspondence and bills/statement continue to migrate to electronic payment. And so our mailboxes will be noticeably emptier as mail volume continues to decline (25 billion less pieces were delivered in 2009 than in 2008). We’ll still be getting our fair share of junk mail, but less of it. Even at reduced volumes, there is a very good reason direct mail will continue to be a viable medium for companies that can use it effectively as part of a cross media marketing strategy — because people like it.

Numerous research studies have shown that in fact the vast majority of people actually look forward to getting their mail every day. It’s a physical medium in an increasingly virtual world and a long-standing part of our social and cultural heritage. We enjoy sorting through the mail and pulling out the new Netflix movie. We set aside the bills and scan the junk mail on the way to the garbage can. When compared to email solicitation and annoying telesales calls, it is one of the least intrusive mediums.

It is because direct mail is less intrusive that it’s often less effective, but let us not put the blame on the medium. The problem is that most companies have not learned to use direct mail effectively.  As with all media, it is the content that drives value, not the delivery channel.


Leave a Comment so far
Leave a comment



Leave a comment
Line and paragraph breaks automatic, HTML allowed: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <pre> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>