York University and Canada Post
Direct Marketing Presentation
November 10th 2010
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Topics for discussion
The DM Advisor role at Canada Post
Direct Mail in the Marketing Mix
•
Why DM – research highlights
•
Case Study
•
New Products and Services
•
CPC Resources
Q&A
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What’s new?
CPC’s organizational structure
Canada Post
Corporation
Transaction
Mail
- LetterMail
Direct
Marketing
- AdMail
Canada Post placed a greater
importance on Direct Marketing.
Canada Post realigned to build a
dedicated direct marketing
group to support
Parcels
—
Product innovation
—
New product solution take to
market strategy
—
DM Case Study library across all
industries and other online tools
Strategic initiatives
Canada Post Advisor
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Why Direct Mail?
The Top 3 Direct Mail Advantages…
93% Canadians read their mail the same day
You can be creative, including sending oversized
postcards for awareness building to complement
your media mix
You can reach 100% residences and businesses,
including all multi-unit business buildings with
your Executive Program Message
Source: Household Mail Preference Telephone Study, Pitney Bowes, 2005.
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Research: Consumer Attitudes towards Direct Marketing
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Consumer Attitudes towards Direct Marketing
Consumers attitudes towards Direct Marketing – Study Overview
Objectives
•To continue to measure consumer attitudes towards direct mail for
advertising purposes.
•To track any significant changes from previous waves of research.
•To obtain feedback on potential Canada Post mail management services.
•New for 2009 was the addition of;
•Emerging media such as social networking sites (SNS) and
mobile/text messages (SMS)
•Traditional media such as radio, television, newspaper,
magazine, outdoor and yellow pages
•Additional questions about receiving promotional emails.
Methodology
•Questionnaire completed by 1,048 Canadians during the period November
13th to December 7th, 2009.
•Close to half completed it online (501) and the rest (547) completed a mail
back questionnaire
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Welcomeness of Direct Marketing – By Age and Income
Age
Net: Welcome
(very/somewhat)
Household Income
Total
(%)
18-34
35-54
55+
Under
$35K
$35K $80K
$80K+
Direct Response Television
36
49
39
23
33
38
44
Addressed Direct Mail
32
34
37
26
31
32
37
Shopping Channel
31
39
34
22
29
33
34
E-Mail
22
28
23
15
20
23
26
Unaddressed Direct Mail
20
22
22
15
20
19
21
Banner Ads
20
27
22
10
19
19
23
Ads on social networking
sites
15
22
19
6
13
19
14
Text messages/ Voice mail
4
8
3
1
6
3
4
Telemarketing
3
5
4
2
5
2
4
Base: Total Respondents (n=1,048)
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Attitudes Towards Direct Mail
Net: Agree strongly/somewhat
2007
2009
Most Direct Mail ads I receive don’t offer anything that interests me
69
69
I wish it were easier to unregister from mail offers
69
67
I only like Direct Mail when I am looking for something specific
57
56
I am more likely to read DM from companies that inform me of
changes and upgrades to products and services that I have purchased
52
53
I enjoy receiving Direct Mail for products and services that interest me
44
48
I enjoy receiving Direct Mail about additional products and services
from companies that I already buy from
43
47
I read most mail promotions just in case something catches my eye
43
45
I am more likely to read Direct Mail if I have seen the same concept
on TV or heard about it in another promotion
41
44
Direct Mail is a great way to find out about new products or
promotions
40
41
I always browse through my Direct Mail
39
40
I receive too few mail offers and promotions
18
18
9
12
I often buy things advertised to me through mail
Q: Please indicate to what extent you agree or disagree with each of the statements below.
Base: Total Respondents (n=1,048)
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Likelihood of Opening an Item by Mail Feature or Relationship
% Very/somewhat likely
95
93
You have asked for it
94
93
You do business with the company
91
89
It looks official or important
Have a loyalty card with the company
90
Not asked in 2005 and 2007
90
89
You recognize the sender
89
85
It looks interesting or intriguing
87
84
It has your name and address on it
76
73
It carries a postage stamp
2009
2007
72
70
It has your address on it
32
32
It looks like advertising
0
20
40
60
80
100
Q: How likely are you to open an item that comes in the mail if...?
Base: Total Respondents (n=1,048)
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Case Study - Thompson Rivers University
Thompson Rivers University,
Open Learning
Test: Targeted unaddressed
admail to cities across Canada
Results: DM brought in 24 per
cent of all marketing-driven
inquiries--one of the top three
vehicles for driving inquiries
with an overall response rate of
1.43%
http://www.canadapost.ca/business/campaigns/sorted/sortednews/stories_09fe
b/thompson_rivers-e.asp
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Case Study - Thompson Rivers University
"The sheer volume and ability to geo-target by
postal code keeps my cost per inquiry low and
helps to build brand awareness.“
- Jennifer Read, director of marketing, Open Learning
Division, Thompson Rivers University
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Case Study - Thompson Rivers University
The direct mail pieces are direct-response driven which
means that the call to action includes a toll-free number
and website
Thompson Rivers University, Open Learning is able to track
responses and vary quantity depending on response
activity
"We are then able to measure results [and] then
dial up or cull back quantities depending on what
markets we determine to be successful," says
Read.
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Mail Ranks #1 Among Alumni for Information,
Solicitations from and Universities
Alumni also have a strong preference for regular mail
(54%) versus e-mail (23%) as a communications channel
Only 5% of graduates chose the phone and 1% of
respondents chose social networking sites.
Another key survey finding is that graduates are less likely
to discard or ignore mail (27%) versus phone (38%),
social networking sites (34%) and e-mail (30%).
Above results are consistent to Research Study
conducted by SEEC which found that 51% of participants
gained awareness of the program through the Brochure
(either directly or indirectly passed along)
Source: Commissioned by Pitney Bowes - surveyed approximately 1,100 college graduates and postgraduate school respondents about their preferences for receiving information from the school they attended.
US Based, STAMFORD, Conn., September 29, 2009
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Driving Mail Channel Effectiveness
Delivering to the Intended Recipient!
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Acquisition Admail™
From anywhere… to anyone
•70% of Canadians are more likely to open
mail if it has their address on it.*
•Reach prospects who share a similar geodemographic profile as your best
customers
•Access more than 12 million Canadian
Urban addresses (including multi-dwelling
units)
* CP March 2008 Consumer Attitudes Towards Direct Mail Study
How is works:
•Once you identify the Postal Codes you want to reach AND ONLY THOSE YOU WANT TO REACH,
we can use them to select addresses for your mailing list.
•For every Postal Code targeted, we’ll provide the addresses included in that Postal Code.
•You have the ability to exclude current customers addresses from your list for greater efficiency and
ROI and to protect your existing customer relationships or addresses which could have sensitivity to
receiving your offer.
•Reach prospects living in condos or apartments!
If you don’t have your own list, we can help you identify those that best match your customer profile
Acquisition Admail – York University Opportunity
• Test Acquisition admail to target the neighbors of best
customers based on new student enrollments
• For example:
•York University to supply Canada Post with 5,000 names of
newly enrolled students
•CPC to leverage Point of Call database to match the list to
neighboring addresses of those customers – targeting at the
postal code level
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Acquisition Admail
Semi-addressed mail at the Postal Code level for acquisition campaigns
Over 12 million urban addresses available
List service with mailing option as below
Acquisition List
Acquisition List Plus
Minimum rental quantity 5,000
Minimum rental quantity 20,000
Customer defines mailing quantity
Customers must mail 80% of file
One-time mailing; valid for 6 months
One-time mailing; valid for 90 days
Suppression of lists for a fee
Suppression of lists included
Delivery at applicable Addressed Admail
prices
Delivery at special postage rates
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New Address list service
Tap into one of the most comprehensive mailing
lists for new Canadian addresses
They’re out there and they could represent profitable revenue
opportunities for your company. What are they? They’re the more
than 100,000 new residential addresses that are registered in
Canada every year. Now there’s a way to make a direct connection
with these households: The New Addresses List from Canada
Post.
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New Address list service
Addresses of recently build residences
One Year Aggregate and Most Recent Month
National and Regional
Annual and One Time use contract terms
Movers spend from 6 months prior to 12 months after a move with the
highest levels of the “spending frenzy”, occurring in the first 3 months and
again 9 to 12 months following the move.
•
Source: Mover Behaviour in Canada, CP06-16, July 2007
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You can improve your mailings through cleaner
data
Clean data is good for your business…
•
Reach your intended recipients by ensuring addresses are
complete and accurate
•
Keep track of movers to ensure your piece is sent to the
appropriate location
•
Save money and reduce customer irritation by removing
duplicate mail pieces
•
Lift response rates by excluding undeliverable addresses and
deceased individuals
Canada Post now offers a powerful online tool to help
mailers improve the cleanliness of their files
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Pre-mail cleansing through Smart Data Cleaner is
the first step in the mail hygiene process
CPC Smart Data Cleaner
Pre-Mailing: List
cleansing up front
Internal Mailer: apply
learnings & leverage
data
CPC Licensed Data Products
Mailing
Occurs
Post-Mailing: Gain
insight through
Returns
CPC SmartFlow Recover
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Cleansing benefits are demonstrated right on
your actual file
CPC will assess your
mailing file and
demonstrate the impact of
all possible data hygiene
offerings
Best practice
recommendations are
included in your report to
help you improve your
ROI
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Case Study demonstrates bundled Pre-Mail and
Return solution
List Cleansing
20.5% addresses corrected
2.6% correction for movers
0.4% movers with no
forwarding address
40% reduction due to dupeelimination
Mailing
Occurs
Returns
77.6% of returns due to movers
Return rates reduced by 29%
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The benefits of reducing Undelivered Mail
Improve campaign metrics
•
Improve response rates and cost per order
Reduce costs
•
Eliminate Direct costs; minimize Indirect
Become more green
•
Reduce waste
Be a privacy leader
•
Respect and protect your customers’ information
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Coming Soon …
Canada Post presents CentrSource
• Shopping/search site that facilitates publication of “fresh” offers
• Customers can find RELEVANT products/services available to them
locally and currently.
For advertisers …
A powerful, multi-functional,
interactive utility that empowers
advertisers to geo-target and
time-define their online
advertising.
• Low risk … Pay for Performance
•
Easy to use … allows you to build
locally targeted offers in just
minutes.
• FREE TRIAL for our pre-launch
advertisers.
•
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Resource Library
Canadapost.ca/DMResources
Case Studies/Success Stories (75)
Webcasts (7)
Market Research Studies (11)
Environmental Tips
Privacy Tips
Campaign Management tools
Other articles and tutorials
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