Valpak Outperforms Competing Direct Mailer Despite Sending 2/3 the Flyers for the Used Car Retailer
Campaign objective
To evaluate the performance of Valpak versus a competing national direct mailer by measuring total used vehicle redemptions, profitability and sales lift for auto dealer CarMax.
Marketing strategy
Households were selected based on proximity to a CarMax auto dealership, estimated auto store expenditures, propensity to shop as car buyers at CarMax and concentration of multiple-vehicle households. Identical offers were mailed by Valpak and the competitor: $100 gift card with sale of car to CarMax car dealership. Valpak mailed flyers to 500,000 households twice while the competitor mailed flyers to 500,000 households three times (in separate markets).
Case study results
Valpak
- 3.9 redemptions per 10,000 households
- 6.5% increase in automotive sales at test stores
Competing Direct Mailer
- 2.2 redemptions per 10,000 households (1.7 fewer than Valpak)
- 2.8% decrease in automotive sales from control group
Conclusion
Valpak generated a higher redemption rate and more redemptions overall for the car dealer, even though it mailed only twice versus the competitor piece, which mailed 3 times. Following the test mailing, CarMax provided a summary of results and stated, “Although both companies sent flyers to 500,000 households, (the Valpak) results came in stronger despite sending only 2/3 the total number of flyers sent by the competitor mailer.”
From used car dealerships to auto repair shops, Valpak direct mail and digital marketing works for automotive industry businesses. Call the phone number at the top of this page to speak to our sales team.
