Improving customer acquisition with targeted and highly personalised direct mail

The Business Problem

Our client, a major financial institution, wanted to vastly improve their card acquisition rates but importantly, acquire new customers that would generate a greater lifetime value (LTV). They didn't want to simply generate more card applications - they wanted to acquire new customers that were more likely to pass initial credit checks and convert them into longstanding customers.

By achieving the above, our client knew that they would ultimately achieve a far greater ROI and build long-term revenues for the business, but they knew they would need a creative solution to achieve such a challenging objective.

As a high profile brand, our client also wanted to utilise the latest innovation and showcase heightened communication methods. To accomplish this, our client recognised the importance of accurate and in-depth data and it became a specific objective to help them enhance their data assets for future customer campaigns and marketing promotions.

The Solution

MBA worked in partnership with the client's marketing and data teams, their creative agencies and other key stakeholders to help understand the available data, map out the customer journey and devise the campaign.

Together, we created a targeted campaign in affiliation with an executive airline whereby its club members received a highly personalised and highly variable piece of Direct Mail from the airline in promotion of our clients personalised offers.

The Direct Mail piece was completely relevant to each individual with a highly personalised insert, letter and application form. Each part of the piece featured a personalised APR (Annual Percentage Rate) offer, variable card benefits unique to each individual, a personalised credit card image, relevant copy and imagery driven by their travel behaviour and a personalised URL (PURL) to enable prospects to visit their personalised website and instantly complete the application online.

The PURL mechanism allowed us to track responses quickly and efficiently and provide our client with real-time reporting. The PURL website also allowed us to capture more information above and beyond that which was needed as part of the card application and help our client enhance their database.

The campaign also integrated timely email communications to follow up with all non-responders and incomplete applications.

Key Results & Benefits

The campaign was a great success, seeing a 200% uplift in response versus the generic control pack that was sent to the cold data list.

Those who received the highly personalised pack were almost twice as likely to convert too, and the additional follow up emails generated a 20% uplift in applications.

By utilising Variable Data Print (VDP) to produce the Direct Mail piece, our client improved the relevance and effectiveness of their acquisition campaign and also achieved an improved speed-to-market. Through the use of our technology and combining campaign economics with targeting gains, our client was able to reduce wastage, reduce their carbon footprint and further maximise the ROI.

Overall, the improved communications demonstrated an improved understanding of their audience through enhanced targeting, segmentation, full personalisation and relevant content. The campaign's enhanced data capture also put in place the foundations for better CRM and enabled our client to successfully achieve their LTV targets, as well as discover further cross and up-sell opportunities.

of media pros use mail to drive consumers online

Source: Offline in an online world: making mailwork, The DMA, 2015