Financial Direct Mail Marketing a Hit With Millenials

Data from the research company Competiscan found that direct mail has shown increases in custom acquisition rates, particularly within the financial services sector.

The millennial generation represents those born between the years 1980 and 1999. They currently represent consumers in a highly sought after target demographic market of between the ages of 20 and 39. This news may come as a surprise to some Atlanta advertisers, as the millennial generation is often considered one that prefers to communicate or view advertisements via e-mail and on the computer only.

The study found that companies in the financial services sector, such as banks, credit card companies and investment firms, are also increasing the amount of direct mail sent to millenials. In 2014,financial service businesses sent an estimated 10 percent more direct mail to millenials than they had in 2010. Financial companies are seeing the growth opportunities for this market as an estimated 40 percent of their direct mail efforts are directed at this key age group.

blog-4

Not Just Business as Usual

One of the reasons why the financial sector is increasingly utilizing direct mail marketing efforts is they have found ways to integrate e-mail and online marketing campaigns more seamlessly with direct mail marketing opportunities. The messages are also directed at an audience that may not download an app, but instead prefers to conduct their financial business in a face-to-face environment. For example, many advertisers opt to give clients a unique computer link to information about a particular special offer. This allows the advertiser to track just how many customers are paying attention to the mailer and acting on it.

Other companies use direct mail to highlight all of the different ways a person can complete a credit card application. This includes via phone, smartphone or in person to apply for a credit card.

Direct mail serves as the key that unlocks the door to a potential customer acquisition. The direct mail advertisement introduces a particular theme, product or development, then gives the recipient the opportunity to explore other more common and comfortable methods of communication, such as e-mail. Even if a recipient does not make immediate use of a particular offer, they have started to familiarize themselves with a company’s branding and product. The next time they see this logo or offer, they are more likely to recall the company and its purpose.

A Generation of Influence

Millenials’ and advertisers’ utilization of direct mail has shown that sometimes the oldest methods of advertising remain the best. Even for a technology-friendly generation, direct mail still has power and usefulness in getting media messages through.

Millenials also have a relationship to direct mail that they may not feel with e-mails or digital advertising communications. Millenials find direct mail to be more reliable and less intrusive than an e-mail clogging their inbox. According to a 2012 study from the research firm ExactTarget, people of all ages said that direct mail does not seem as improper as a cold call or other unsolicited message.

Source:
http://www.businesswire.com/news/home/20150204005940/en/Financial-Services-Sector-Sets-Sights-Digital-Savvy-Millennials#.VOyPJcY5lMY