Interactive Marketing Offers a Measurable and Less Expensive Alternative to Postal Mail
May 10, 2010
The Ithaca Journal in Ithaca, New York looked to AIS Media CEO Thomas Harpointner for insight regarding the United States Postal Service and the decision to shut down the delivery of Saturday mail. His comments in the publication included:
“Adding an interactive element to traditional advertising “eliminates a lot of the guesswork” when it comes to the business determining its return on investment, he said.
With e-mail marketing, for instance, the business can measure how many e-mails are sent and opened and how many people click on them. Companies also can track which Web headlines are pulling users and which products are getting the most click-through’s, and apply that knowledge to traditional promotional campaigns, Harpointner said.
Given that return on investment is clear in these cases, the Postal Service needs to educate businesses and individuals on how they can get their best return by using Postal Service offerings, he said.”
Click here to read the full article: “Mail cut could save $3.5B yearly”
Harpointner’s Interview Points Included:
- Halt on Saturday Mail: Shutting down the Postal Service on Saturday will reduce the amount of money the USPS is losing. Consumer’s lack of use of the Post Office is causing inconveniences. Today’s consumers are conditioned to opening their postal mail over the trash and turning to their email and online billing to save time and money on postage.
- Update the Business Model : Facing a $7 billion deficit this year amid dwindling mail volume, the Post Office must make an adjustment in their business model. Now, the USPS is expected to decline another 30 – 35 %. As a whole – the USPS needs to reinvent themselves and implement smarter strategies and realize the customer holds the fate of the Post Office’s survival. Privatizing, restructuring and educating consumers on how to use the Postal Service effectively could be the only thing that saves them.
- Multi-Channel Strategy is Key: Single channel strategy isn’t effective today. According to a DMA study, customers who buy from two channels (vs. just one) are between 20 – 60% more valuable, while triple channel buyers are 60-125% more valuable. Studies show that the average consumer must be exposed at least 12 times to an advertisement before it becomes effective or is even remembered. When a customer can see a direct mail piece or email, and receive information at their own convenience it provides greater brand awareness and builds confidence in their customer.
- Interactive Marketing on the Rise: Interactive marketing has been emerging for 10 years now and is expected to double by 2014, reaching 55 billion dollars. Interactive marketing makes it easier for businesses to track and measure their return on investment (ROI) when visitors go to a company’s website.
- Educate the Consumer: The Post office has done very little to educate their users. The USPS needs to demonstrate how to better use their services and explain why it’s valuable. The Post Office must look for ways to help educate customers on how to leverage today’s technologies to maximize results of their services. Lastly, they need to know who is receptive to their services and align a solution with appropriate customers.
