Case Study: Direct Mail Drives Foot Traffic
What are your ultimate marketing goals? We’d guess: drive sales, foot traffic and brand awareness to your business. Are we right? This was the case when the people at CarMax came to see if advertising with Valpak could help grow their business.
From our experience, and CarMax’, nothing is better than direct mail when it comes to helping your marketing accomplish these goals. You already know that direct mail has a great ROI, but maybe you are wondering about that foot traffic? Well, direct mail gets more customers walking through your door, as well.
Don’t believe us? Check out the results when CarMax put Valpak to the test:
CarMax recognized direct mail as a valuable marketing tool in their toolbox, so they decided to evaluate the performance of Valpak against a competing national direct mailer. They decided they would judge Valpak’s effectiveness against our competition by measuring total redemptions, return on investment and lift analysis.
To do this, they sent out identical offers to similar target markets of 500,000 households. Valpak chose to send out our mailer twice while the competition sent out a mailer three times to their group of households.
In the end, the numbers spoke for themselves:
- Valpak had 3.9 redemptions per 10,000 mailed households, while the competitor managed only 2.2 redemptions per 10,000.
- There was a 6.5% increase in car sales in Valpak’s test stores compared to a 2.8% decrease in car sales in the competing mailer’s test group.
Those are some pretty powerful results!
Not only did Valpak’s mailings generate a higher redemption rate, but also more redemptions overall.
CarMax had high praise: “Although both companies sent flyers to 500,000 households, (the Valpak) results came in stronger, despite sending only two-thirds the total number of flyers sent by the competitor mailer.”
There is certainly no doubt in our minds that direct mail drives foot traffic to your business. Whether you’ve been thinking about starting direct mail, or want to run a special direct mail campaign for the dads and grads of the season, you can rest easy that you’ll get results.
When do you see the greatest increase in foot traffic to your store? Are you doing any creative direct mail campaigns for dads and grads?