Businesses spend thousands on marketing each year and in the UK, advertising spend is forecasted to reach £24 billion by the end of 2021. The outbreak of the pandemic presented businesses with many challenges, one of which was finding new ways to reach consumers.
The cost of acquiring a new customer is high; it can cost six to seven times more to attract a new customer than it does to retain one. So, in an evolving landscape, how do businesses reach those most likely to convert?
Where do I start?
Determine your target audience. It may seem obvious, but identifying those most in need of your product or service is just as important as the tactics used to reach them. Creating hyper-targeted campaigns that are tailored to a specific audience will be the most successful and economical marketing strategy you can create.
How do I identify my target audience?
Data is key to identifying your target audience as it provides businesses with valuable insight. By analysing data, companies are able to create profiles for different demographics and in turn, create more compelling and relevant campaigns to interest them. For example, if the average rental contract in a given area is three years and you were a rental agent, you would want to target those living in rented accommodation who had signed their contracts two and a half years before.
Businesses that use Database Intelligence to inform their marketing strategies reduce budget wastage by avoiding targeting those that do not qualify and therefore will not convert. This will also increase your ROI as you will be targeting those most likely to convert.
At Address Intelligence, we take data insight one step further by creating a detailed targeting profile for each of your audience categories, and by using our life residential database, we are able find those individuals who fit into each category.
How do I reach my target audience?
There are many different channels when it comes to marketing but at Address Intelligence, we use direct mail as our main output as we find that a direct mail campaign can drive responses in a way no other channel can.
The Direct Marketing Association (DMA) found that direct mail generates a 4.4% response rate compared to average email response rate of 0.12%. Additionally, the average item of mail is interreacted with 4.5 times, which is at its highest level ever.
At Address Intelligence we can help get the most out of your direct mail campaigns. To find out how we can help, get in touch with our team.