Direct mail retargeting, postal retargeting, whichever name you know the usage of direct mail to reactivate customers who’ve abandoned their carts by, studies are showing that this offline channel is proving successful at driving shoppers back online to complete their purchases.
Earlier this year, Go Inspire Group, in collaboration with a major retailer, conducted a control-based study, The Abandoned Basket Reactivation Gap, that tested the efficacy of direct mail retargeting to increase abandoned cart conversion rates, and the results are pretty convincing.
Email + Direct Mail > Email Alone
The three-month test was designed to compare the response and conversion rates of email retargeting alone versus the combination of email retargeting followed up by direct mail retargeting.
The format of the test was simple. The control group was comprised of respondents to the retailer’s already successful email retargeting program, which earned a conversion rate of five to seven percent, on par with what email retargeting typically achieves.
The test group consisted of a subset of shoppers who did not respond to the cart recovery emails. This group received a triggered direct mail piece delivered within one week of their cart abandonment. Acting as an additional prompt, the highly personalized piece served as a tangible reminder of the items the individual had left behind.
The results of the test were overwhelmingly positive:
- The conversion rate from the direct mail piece was 113.5% of the email retargeting conversion.
- Average order value for abandoned cart conversions from direct mail respondents in the test group was almost exactly the same as those in the control group, i.e. those who converted from the initial retargeting emails.
- Given that the respondents to the direct mail were, by design of the study, not responsive to retargeting emails, the results of both retargeting activities used in combination amounted to more than double the result of the email retargeting alone (measured as additional sales from converted abandoned carts).
Email retargeting to convert abandoned carts is already well utilized and is largely successful. But, when we’re talking about recouping what essentially amounts to lost revenue from expressed interest, companies are keen to find ways to increase recovery conversions.
Studies such as the one executed by Go Inspire not only highlight the efficacy of direct mail to get a customer’s attention, but its ability to drive them back online to take action. The study also emphasizes the omnichannel nature of today’s customers, who are beyond engaging with brands on only one or two channels, or even just on digital channels.
More and more, brands are leveraging direct mail, especially postcards, to recover abandoned carts. As the results of Go Inspire’s control test have shown, adding such a simple piece can have a significant impact on your conversions compared to email retargeting alone.
Want to learn more about direct mail retargeting? Check out our new eBook – Direct Mail Retargeting: Increase Your Remarketing Conversions by Going Offline for an introduction to direct mail retargeting – what it is, how it works, and how to integrate it into your current retargeting strategy.