Combining direct mail with digital sees Gtech go from strength to strength

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If you were living in Britain in 2014 there’s a high chance you saw the Gtech AirRAM vacuum cleaner, or even own one. A consumer campaign that achieved a sterling result, it is one of the best integrated campaigns this country has seen in decades. The proposition was simple: a cordless vacuum that rivalled both price and technology of the leading manufacturers and home delivered, it was both back and time-saving. But how did Gtech do it?

The 2014 campaign won a silver DMA award. With a campaign budget of £3m, two thirds of which was allocated to TV advertising, direct mail and online and PR spend accounting for the remainder. Over the promotional period it made 39,000 sales, which generated £14.4 million in revenue and a net profit of £2.9 million. This is an impressive result for a little-known brand and a new entry in the market.

And the detail is even more compelling.

While the star of the campaign was television advertising and possibly the best way to demonstrate the vacuum’s effectiveness, it only had an ROI of 3:1 (£6.5 million sales). The support acts: direct mail, PR and online actually converted better and closed the deal. With a fold-out mailer sent to 700,000 homes, direct mail made half the sales of television with an eighth of the budget. ROI? 5:1. So you can imagine with an increased direct mail budget how much better the sales would have performed on a hugely successful campaign. It’s important to note that there’s a 20% uplift in conversion when campaigns are integrated, so suck up some knowledge from Gtech’s success and build a campaign to draw your customers in.

Using direct mail as a key part of their integrated direct marketing, they are receiving hundreds of orders a day. Their products range from £150 through to £1,000 in value.

The direct mail return of investment for Gtech is 5:1 and it’s an extra revenue stream that is creating more and more profits and product movement than just press, digital and DRTV alone.

Direct mail has allowed Gtech to build a stronger, bigger and better database with every mailing, and they began with only a data set of 20,000 prospects.

In just over three years this has grown year on year to significant mailings over each seasonal variation with considerable growth planned.

Needless to say, we all worked hard to achieve this success, success based on a brilliant product range, a great price and most importantly integrated campaigning, timed to perfection, to deliver the best results.

Gtech are going from strength to strength and just launched AirRam Mk2 last September.

Gtech work is currently running on our new Xerox Trivor 2400.

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A Guide to Testing in Direct Mail

Top tips on testing in Direct Mail for increased customer engagement and higher ROI

Many people aren’t aware of one of the most attractive features of direct mail: the ability to constantly test and refine your campaigns, ensuring your message is always evolving to maximise your reach and improve your responses. As direct mail experts, we have all the direct mail tools and expertise you need to successfully execute an A/B testing campaign.

See below our guide to testing in Direct Mail –

What is Direct Mail A/B testing?

A/B testing enables you to uncover what works best and what does not, continuously improving your ‘control’ pack. Begin your campaign with two alternative mailings, A and B. If possible make the test changes meaningful by which we mean clearly different e.g. one with a lift piece one without or one creative vs. another.

Build in a system that allows you to track the response from each of the two mailings. This could be a scannable barcode which indicates which mailing the response comes from or a unique customer code, for instance. Once responses start coming in, it becomes easy to measure and compare the response rates from the two mailings. Keep a daily record it will really help later on.

Find out more about A/B Testing.

 

What to test

Later when you have the confidence that you are achieving a Return on your Investment you might test out visual tweaks to your campaign: changes in colour scheme, images, layout and font. Changes in the envelope presentation, for example, or in whether key parts of the text or greeting are handwritten or typeset, can also prove significantly affect response rates. Valuable feedback can also be gained from testing changes to copy and the offer contents itself. You might shorten or extend the deadline on an offer, or trial a rebate scheme, for example, against a two-for-one offer. Changes in the target group (who you are mailing) are also great fodder for A/B testing.

 

One step at a time

Now, let’s imagine you’ve done your first A/B test—with varying offers, say—and evaluated the responses. For your next mailing, use the more successful offer from the first mailing for both your A and B groups, but vary something else—perhaps the layout or the greeting. This time, did group A or B yield a higher response rate?

Incorporate your results into your third mailing but this time test yet another variable. Monitor every response you receive daily so that you can forecast results, learn lessons and implement them, in realtime, without waiting until an offer ends.

 

Cut the cake into different-sized pieces

While the standard A/B test involves a 50/50 split, there might be other lower risk ways to trial a new campaign idea. Try a 70/30 or even 90/10 split for a new idea that might be high risk in a standard 50/50 scenario. Of course, the greater the difference in size between the “control” and the test pack, the larger the mailing may need to be to give meaningful results.

 

Please contact us enquiries@firstmove.co.uk or call 01494 539300 for more information.

 

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Direct Mail Ideas – 5 Campaigns Done Right

Looking for inspiration for your next direct mail project? In this article we showcase some great Direct Mail Ideas to get you thinking about your next campaign

We all suffer from information overload—phone, voicemail, email—and in such a data-driven world, it’s easy to feel overwhelmed. Making your message heard has its challenges, but with direct mail, there is great opportunity in presenting something physical and tangible to your prospects.

With printed matter comes incredible scope for creativity, meaning that you can deliver your message to your audience in a way that is bound to be noticed.

Direct mail is far more than an envelope and some inclusions. It’s about perfectly executed timing, a solid and targeted database, and strong and engaging creative. Here are five examples of some great direct mail ideas that should inspire your next campaign.

Kitty Mail

CatNip

 

If your cat was sniffing around the mail slot, then there’s a possible explanation. Vancouver-based Rethink created a mailer that was soaked in catnip to advertise Bulk Cat Litter Warehouse’s product. The result? Cats going crazy over the mail and a high engagement with pet owners.

 

IKEA 

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IKEA is known for its flatpack furniture convenience, so what could be more demonstrative than a self-assembling version of one of their most famed tables—in miniature?

 

ADT Security

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If you walked into your front door and saw a large cube sitting by the door, you’d reconsider your home’s security, and that’s just what ADT did with their cube that would open once put under the door or in the mail slot.

 

GGRP

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With all that is digital these days, sometimes it’s worth stepping even further back in time for a little creative inspiration. This mailer opened to reveal a real record player that would work by the included record on a pencil!

Business In The Community (BITC)

0d65132b-e299-4a5e-bd4e-a3317d540bd1And finally a homegrown example and DMA Awards 2014 Grand Prix winner that’s perhaps a little more serious, but no less creative. BITC’s challenge was to encourage employers to remove the the tick box from job applications requiring prospective candidates to reveal their criminal past. To combat prejudice and perpetual unemployment, they distributed mock CVs with impressive qualifications that soon turned to doubt from the perspective of the employer’s internal monologue.

These were distributed to HR departments of UK employers (along with a supporting digital and advertising campaign), with a resulting 17 companies removing the mandatory requirement from their forms, including presitigious law firm Freshfields÷Bruckhaus Deringer LLP.

The result? 627 former offenders have now found employment, which translates to a saving of approximately £29.5 million to the UK economy. Now that’s an impressive direct marketing result.

So be creative, or let us be creative for you…let us get our thinking caps on and give you some of our great direct mail ideas.

Find out more about our creative direct mail services.

 

Contact First Move today on 01494 539300 or email enquiries@firstmove.co.uk for help with your Direct Mail campaigns.

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Award Winning Direct Marketing

Award Winning Direct Marketing

HOW WE HELPED TO PROVE
THE GTECH AIR RAM IS THE BEST
VACUUM CLEANER EVER.

Last month we told you how we took home a silver DMA Award, but how did we do it? Our client Gtech and their direct mail campaign has revolutionised the cordless vacuum marketplace. In short, turning a general loathing of vacuuming into a love of vacuuming for thousands of consumers. But how?

Gtech couldn’t rely entirely on the short narrative of TV and page advertisements to tell the whole story. By taking data of previous Gtech carpet-cleaner customers and testing alongside external prospect lists, it enabled Gtech to redefine their customer base and grow their direct sales.

One of the key factors to our success has been our constant measurement and refinements of campaigns. When testing new media, we employ order tracking tools, unique phone numbers on TV and codes in press and direct mail. We then measure response against web traffic, calls and sales data. We profile all customers’ sales by postcode region and map this within TV regions, which provides valuable demographical insights and is critical to identifying ROI and value for money against a traded CPM.

While vacuuming could never be called glamorous (unless you do it in an evening dress or a tuxedo) we took Gtech’s new AirRam vacuum, designed a unique, lightweight, simple, clean mailer, that was low-cost to post, while displaying the proposition without unwrapping and delivered it to over 1,500,000 British homes via the Royal Mail.

Our campaign made use of press coverage, specifically the Daily Mail, and leveraged their claim, “Is this the best vacuum cleaner ever?” By placing the proposition with a great exclusive offer and imagery of the cordless vacuum, one’s curiosity could only be piqued.

And it was. With a whopping 4.3% conversion to sale.

One of the challenges of the campaign came from the relative obscurity of Gtech and how exactly to convince the consumer of their reputation. Through the campaign we delivered resolutions to any hesitations by putting them in the mailer and by helping establish Gtech as the market leader.

So why not have a talk to First Move about how we can create a similar campaign for you with such impressive results? While vacuum cleaners might, direct mail certainly does clean up, awards and all.

 

Please contact us enquiries@firstmove.co.uk or call 01494 539300 for more information.

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First Move direct marketing orders 1st Xerox Trivor™ in the UK