As a thriving dealership, you understand the importance of your return on investment, better known as ROI. Not only does it help your team project the success of your future automotive direct mail campaigns, but it also gives you a better understanding of how your dealership is performing in the industry.
How do you get into the nitty-gritty of your direct mail performance? Well, it starts with knowing what’s considered a good ROI for direct mail marketing campaigns.
Fortunately, the automotive marketing experts at Aspen Automotive are here to provide you with insight on the number that’s deemed a solid ROI for direct mail advertising. Take a look!
What Is ROI?
Return on investment (ROI) plays a major role in marketing. It’s used to determine how profitably your campaign performed. This number—written as a percentage—is then used to determine whether your completed campaign worked to your benefit and increased overall growth.
ROI can help steer you and your marketing team in the right direction when it comes to future campaigns in these two ways:
- Discuss marketing budget: Examining ROI can help you determine a future marketing budget. It can help you identify strong campaigns that you can repeat while also showing which campaigns underperformed and may not want to be repeated.
- Distribute budget across various channels: Taking a closer look at your marketing campaign, ROI can help you identify which types of marketing channels—direct mail, email, or social media—will see the highest revenue possible.
As you can see, ROI is an important indicator in determining how much reward you’ll see from a particular course of action.
In a nutshell, ROI lets you know how positive an impact your marketing campaign will have on your overall dealership and is a marketing tool that can’t be overlooked.
Importance of ROI
As you already know, ROI is an important indicator in determining how much reward you’ll see from a particular course of action, like starting a new marketing campaign. This number is determined by taking a look at how much you spent on a marketing campaign, compared to the revenue it brought.
This information can be used to look to the previously run campaigns to determine the effectiveness of running a direct mail campaign, social media campaign, or how they’ll work together.
How to Track ROI
In order to track your ROI, you can utilize marketing tools and software—like Google Analytics, HubSpot, or call tracking—that are designed to give you quick glances into where your dealership stands in terms of your marketing campaigns.
While there are tools you can use to track your ROI, you’ll find that calculating ROI yourself is just as easy as using software. In order to track your ROI from a direct mail campaign that has ended, all you have to do is use one simple equation:
After plugging in your specific numbers, you’ll have your ROI in a matter of minutes.
Bring Direct Mail into the 21st Century: Pairing Direct Mail with Digital Marketing
Looking for a higher ROI? Consider pairing your direct mail campaign with your digital marketing strategy. Why? In 2020, 60 percent of those who paired their campaigns saw an increase in ROI.1 Think about it: When you combine both types of marketing styles, you’re potentially reaching a larger audience than if you went just the direct mail route.
Plus, adding a digital aspect to your mailers gives you even more of an opportunity to experiment with visual and interactive elements.
Let’s take a look at some of the ways you can combine these two types of marketing!
Personalized URLs, or PURLs, are a fast way to merge direct mail with digital mail. When you use PURLs, you’ll send a mailer to your targeted audience, which includes the information you want to share, as well as a custom URL for each individual.
This personalized URL will take the recipient to an individualized landing page or microsite. This page will typically display a message with the recipient’s name to help increase the feeling of value. From there, a PURL page could include personalized car recommendations based on their search history, information on pre-approved financing, custom maintenance plans, and much more.
These microsites can be as generic or specific as you want, making PURLs a flexible marketing option.
Using PURLs combines the best of both marketing worlds by giving the recipients of mailers the option to interact with their own microsite to learn more.
QR codes are another way you can combine direct mail with digital marketing. Another flexible option, QR codes can lead recipients to a custom landing page, similar to PURLs, or they can link to nearly any other page.
For new model releases, QR codes are a great option. You could send a mailer with images about the release and when it’s expected, then add a QR code to the mailer, so they can learn more. When scanned, the QR code could lead to your inventory page, a vehicle review, or even a virtual tour to add even more digital elements.
QR codes could also be used in place of a PURL printed with the mailer. So, instead of the recipient typing the personalized code into their phone or computer, they can just pull their phone out of their pocket and scan the code.
Plus, since nearly all smartphones are equipped with QR-code-reading technology, this feature is accessible to just about all recipients.
Benefit to Adding Digital Features to Direct Mail
On top of potentially increasing the ROI for your campaign, adding digital elements—like PURLs and QR codes—makes it easier to track your campaign. You can now track the revenue gained by running your direct mail campaign, but you can also track how many times a personalized microsite was accessed.
This information can be used to better adjust your campaign in the future and make any fine-tuned adjustments to create an even more successful campaign.
How We Can Help
Ready to start a marketing campaign with a high ROI? Then let us—the marketing gurus—help you achieve the ROI you seek.
We offer several services that can aid you in every step of your marketing journey. That way, from planning to production, you know you’re getting the highest-quality service possible. Our services include:
- Data solutions
Let’s take a closer look!
As discussed, you need to cater your marketing materials to your audience. That includes messages and images, but that also means having the right people see your campaign.
That’s where data solutions come into play.
Data solutions help target your mailers based on where your leads are at in their buyer’s journey, credit score, family size, and much more.
Our data solutions can also help you clean up your current mailing list by fixing incorrect addresses and removing duplicate customers.
Whether you’re creating a direct mail, digital, or combination campaign, you need something that’ll stand out from the competition. Our award-winning design team can help you do exactly that!
Whether you need help designing a mailer or digital campaign, our team will use their experience with color theory, typography, and knowledge on design elements to get your message across visually.
They can also help with pop-card promotions, utilizing a PURL program, and so much more because of their versatile abilities.
We have an in-house production studio that’ll get your mailers ready for delivery. With several printers and the ability to fold, insert, seal, and stamp letters, our team can handle it all.
Plus, since our studio is located at our facility, we can make sure that everything meets our high standards, including time. With most projects, we can have your mailer sent to the post office within 72 hours of design approval. That means you’ll see your high ROI results even faster than expected!
Pair Your Next Automotive Direct Mail Campaign with a Good ROI!
Finally, another way to improve the return on investment for your dealership’s direct mail campaign is by teaming up with an automotive advertising agency that boasts years of direct mail campaign experience.
Luckily, the team at Aspen Automotive knows exactly how to customize the design, messages, offers, and other details of your mailers to ensure a solid ROI for every campaign. Need some proof? No problem. All you have to do is give us a call or send us an email today!