A while back I read an article in Forbes that claimed industry forecasters were predicting 2015 to be a tremendous year for auto sales in the United States. In fact, it is believed that we could eclipse 17 million vehicle sales this year. Those are numbers we have not seen in ten years. When you consider how many fewer dealerships now operate since the “purge” that occurred as a result of the Great Recession, we should have some very happy dealerships at the end of this year.
I firmly believe that it will be the individual dealers who choose to market themselves strategically in 2015 who will ultimately receive the spoils. Direct mail, in particular, is one marketing channel that has allowed savvy dealerships to leverage data improvements and analytics to drastically improve their marketing effectiveness. Here are the top 5 reasons why auto dealers should be hitting their customers and potential customers with targeted direct mail:
Drum Roll, Please…
Direct mail is the preferred channel for receiving marketing from local businesses. Research from the Direct Marketing Association found that 79% of consumers will act on direct mail immediately, compared to only 45% who say they deal with email right away. (1)
Direct mail has the highest rate of success in new customer acquisition at 34% compared with other marketing channels. The response rate for direct mail to an existing customer averages 3.4%, compared to 0.12% for email.(2) Targeted direct mail even gives you the advantage of knowing exactly who you are communicating with and allows you to custom tailor your message.
Targeted direct mail accounts for the most accurate tracking and measurability compared to all other marketing channels. The analytic capabilities of direct mail allow for the most precise measure of return on investment.
44% of customers visit a brand’s website after receiving direct mail marketing and 48% of people have shown to retain direct mail for future reference. Even 92% of young shoppers say they prefer direct mail for making purchasing decisions.(3)
Recent studies have continued to confirm what we already know to be true – Direct mail (yes, snail mail) is still king. With an average return on investment ratio of 13-to-1, direct mail remains the most attractive business-to-consumer marketing channel. (3)
If your dealership would like to know how to market your store smarter and more efficiently using targeted direct mail, please visit www.acceleratedmktg.com.(1) 2012 DMA statistics. (2) June 2012, MarketingCharts.com http://www.marketingcharts.com/wp/traditional/b2c-marketers-say-direct-mail-delivers-best-roi-21278/ (3) DMR. Direct Marketing Statistics: expandedramblings.com/index.php/10-print-marketing-statistics-know/