The growing number of channels in which to advertise your business online can be a tempting route to target your ideal audience. Businesses have flocked to digital media to gain traction for their brand, but they’ve dismissed an incredibly valuable and highly successful form of marketing – direct mail.

The preconceived image of direct mail as an unsolicited, unwarranted advertisement is over. Today, with limited competition through the letterbox, posted media is fast becoming the most appreciated and easiest way to build a strong and personal relationship with your existing and potential customers. The facts back it up.

We consider why and how direct mail is an essential asset for any company with the aim to grow their business.

Direct mail delivers results

Amongst the careful dissection of bills and bank statements, receiving additional mail from a company becomes an intimate procedure for people. Cutting out the middleman of social media and mobile phone screens allows you to create a physical and direct connection between your company and your target customers – literally placing your business in their hands.

Rejuvenated marketing experience

Again, direct mail stands strong in the face of the new tradition of online advertising. Statistics show that direct mail creates a larger impression on customers than online techniques:

94% of people engage with mail in some form – opening, reading, and demonstrating further interest in what they have received through the letterbox. Emails only have an open rate of 20.4%.

In fact, 41% of direct mail deliveries drove target customers to carry out additional research into the organisation, products or services that had been posted to them.

Personal touches become more personal

Many consider receiving mail as a lost art form, and avoiding the saturated competition of email and online advertising, direct mail allows you to break through the noise and walk straight into your target customer’s house.

Locally centred businesses trying to break ground on their own doorstep can create a stronger impression of being a community-focused organisation. Direct mail can create the perception of a business that has made the effort to deliver results to a provincial neighbourhood – an effort that is appreciated.

Alternately, your organisation can achieve an authoritative status. Mail through your letterbox is not so much rude as it is impressionable, reminding people of your presence and dominance in the marketplace. Your ability to enter the domain of your customers is that extra step that will help you surpass your competition. A recent report shows that 84% of professional marketers believe that direct mail improves advertising campaign performance. As part of a multi-channel campaign, direct mail helps drive results and conversions.

Choosing your audience

The same way that online advertising has developed to target specific audiences, direct mail services have developed a greater ability to direct your advertisements to key target customers.

However, the ability to target a smaller pool of your audience allows for greater personalisation in your marketing campaign – you can name your customers and address them as individuals. To your customer, direct mail applies a focus on them as a solitary and desirable customer. The advertisement becomes exclusive. The benefits of this range depending on your target audience but can be adapted to maximise their impressionability.

Making millennials matter

Millennials – and their lack of loyalty – were cited as the number one concern of retail industry leaders. The same survey that also found that 95% of millennials expect organisations to continually attend to them with coupons and regular communication. Direct mail addresses this opportunity directly.

In the age of online discount codes and websites, placing the discounts into the hands of young people becomes a physical ticket to future custom. Placed on a notice board, the option to reject vouchers is limited – it becomes an object that must be redeemed.

Being the largest audience group that are accessible online, it is easy to ignore younger generations when it comes to postal advertisement. For ranks of young people who have only experienced digital advertisement, direct mail can create a unique and special experience.

The reliable elders

Of course, older generations are an obvious choice for direct mail services. However, the reasons to target people through the post are becoming evidently more beneficial. For a community that uses fewer online services than young people, routes of communication to the older generation are diminishing.

For example, the reduction of road traffic has reduced the impact of billboard, poster and street advertising. In the first week of August, UK bus use has fallen to an average of 39% when compared to March 1^st. The ability to communicate with an isolating group is invaluable, and direct mail is the most viable option to reach a group that is presently falling under the radar of many businesses.

Adding purpose

The audience also affects how you should produce your direct mail. Younger generations favour the quality of service, so using a thicker paperweight or premium finish demonstrates how you are offering a superior service or product. Plus, if competitively priced, you will be recognised as good value for money.

Younger generations are also more likely to carry out independent research into a service or product before they buy, so an emotional response will have a larger impact on this type of audience.

On the other hand, older generations prefer formality and information as to why your service or product is essential. They are less likely to explore alternate options. Therefore, you are more reliant on creating a good impression through your mail, as they are most likely to communicate with you directly for any additional information. Make your contact details clear and distinct, emphasising that you are easy to get in touch with.

Your communications shouldn’t just be limited to what work you do, but also how your organisation values itself within the community. What does your company do to help people beyond fulfilling contracts or delivering good products? Charitable achievements and community assurances add as much value to your company as a simple job well done.

Style and design are important considerations for direct mail. On social media, you may be restricted to fonts and formats that are not representative of your brand. Existing brand guidelines should be used with your direct mail to establish the identity of your organisation. Additionally, using colour print and showing consistency of style through all channels your organisation represents itself on allows the customer to recognise the professionality and regularity of good work.

A broader message

Remember, direct mail lasts longer than any other form of advertisement. TV or radio spots can last 20 seconds, but your direct mail may remain in a customer’s house for weeks or months. The mail you deliver is less likely to inform your customers of one single product or service – it is representative of your entire organisation. This helps it to become more memorable in the eyes of the recipient, who will recognise the effort put into their post. Certainly, direct mail is less abstract than digital advertisements and an essential route to take when building a growing business.

We saw a light at the end of the lockdown tunnel in June and July, as retail and hospitality venues began to reopen and offices welcomed back staff. But stricter restrictions have been implemented nationwide and areas including the north west and Midlands are in local lockdowns.

On Monday 5^th October, the UK government reported 12,594 new cases, the highest number of confirmed cases in a single day. The data also shows 368 people on ventilators, the highest figure since June.

Businesses are once again facing the possibility of workers isolating if they test positive or come into contact with a COVID-positive person. Most office employees will be able to work from home if they feel well enough, which will help mitigate the potential for sick days.  

One industry facing an even bigger challenge is the struggling hospitality sector, as staff cannot work from home. Co-workers of people who test positive could be required to self-isolate and venues may even close down. 81% of all hospitality organisations are micro-businesses, with 16% classified as small and the remaining 3% medium to large. There is a fear within the sector that sick days could bankrupt many of these smaller venues.

These businesses can put in place a number of measures to mitigate risk, including:

• Strict social distancing
• Reduced office or venue capacities
• Personal protective equipment for staff, including microfibre cloths or face visors

How much do sick days cost employers in the UK?

The average number of sick days workers in the UK take is 4.4. With the average salary of all workers in the UK standing at £29,009 in 2019 (ONS), that works out at £490.92 per employee, per year. This works out by business size as:

Coronavirus sick days

Of course, these figures don’t take into account the impact of the current COVID-19 pandemic.

In its weekly report on 2^nd October 2020, the ONS estimated that 116,600 people had COVID-19 at any given time between 18^th–24^th September. This equates to about 0.17% of the UK population. The overall employment rate currently stands at 64.2% of the UK population, or 32.98 million people. If we understand that 0.17% of all people in employment had coronavirus, this means 56,066 workers were potentially infected during this time frame. This gives us a general picture of how many people could be infected in the workplace at any given time.

Small and medium-sized enterprises (SMEs) account for 60% of all employment, meaning around 33,639 potentially infected people were working for these organisations. This works out at less than one employee per business within the micro and small sectors, and around two employees per business within the medium business sector. With 40% of employment held in large business, the remaining 26,568 infected workers have a smaller number of firms to be shared out across—resulting in an average of three potentially infected workers per large business.

We know that self-isolation is mandatory for anyone who tests positive for coronavirus. The current isolation period is 10 days from the date symptoms first started. They may be able to work from home, of course, depending on their job and the severity of the symptoms.

We’ll average this out across all business sizes and estimate that, at every organisation, one employee calls in sick for the full period of isolation. This requires, on average, seven business sick days.

COVID-19 will cause sickness days to rise across businesses of all sizes but will be most acutely felt in micro-businesses. Their sick day costs are projected to rise by over 45%.

COVID-19 impact on the hospitality sector

The hospitality sector is already feeling the pinch from the 10pm curfew and the reduction in households mixing. The sector employed 3.2 million people directly and 2.8 million indirectly before the COVID-19 pandemic, making it the third-biggest employment sector.

With micro-businesses making up the majority of the sector, these organisations are facing a unique challenge. Around 2,452 people who were potentially infected during the specified timeframe were working for micro-businesses in hospitality. Frontline workers who test positive or come into contact with someone who is COVID-positive must take sick leave. And, as we’ve seen, positive tests can sometimes result in the full shutdown of an establishment.

All businesses, but particularly those in the heavily restricted hospitality industry, can mitigate these risks by implementing COVID-secure measures in the workplace. Standard personal protective equipment like hand sanitiser will be useful for all businesses. Those in the hospitality sector with staff that come into closer contact with customers can add items like face visors and dividers between tables.

For many businesses, penny-pinching hasn’t exactly been a choice lately. Lockdown regulations have forced the part-time closure of companies across all industries. Recent announcements have seen the UK return to some stricter regulations once again. Although this will inevitably take its toll on the financial capabilities for business across the UK, some of those money-saving practices you relied on previously can help to prepare for more potential restrictions.

The UK economy has been plunged into a state of turmoil in the recent months, and now local lockdowns in some regions of the UK could see yet another large financial slump. However, many businesses have managed to stay afloat throughout these unprecedented times. Online giant Amazon has even managed to increase its net sales by 40 per cent in the second quarter of 2020 in comparison to its 2019 stats.

As business owners have reopened their doors to the public once again, we have seen socially-distanced crowds flood through the doors again. However, don’t let this turnout blow all other possibilities out the water – including a second lockdown. As we see restrictions tighten once again in the UK, it’s vital that as a business owner you always plan strategies for both the best and worst outcomes.

So, why not bring back some of those money-saving techniques that have helped your business survive over recent months?

Here, we discuss some money-saving tips that will help support the survival of your business, regardless of what industry it is a part of, if lockdown restrictions were to affect its operations once again.

1.      Bring back cost-cutting measures

Since the coronavirus pandemic forced businesses keep track of their overheads even more so than usual, there is something business owners can learn from this if faced by another lockdown. Rather than abandoning your business’ Covid-19 plan, continue revising the strategy and further your approaches to keep costs low.

Depending on which region you are based and the restrictions that are in place, determine whether there are any changes in your short- and long-term budgets. This will help you grasp a clearer understanding of your expenses and help create multiple recovery or survival plans.

Next, decide which products or services are not essential. For example, those working in the food industry may decide to continue operating at a reduced menu. This helps cut costs on suppliers and cooking equipment. As for those operating in the service sector, ensure that all employees who can work from home are doing so. That way, electricity and water bills can be kept low.   

There are many tactical approaches and strategies you can implement back into your business operations to prepare for another lockdown. As a business owner, preparing for all possible scenarios, regardless of a pandemic or not, is something that should always be valued. 

2.      The budget treats challenge returns: business edition

The budget treats challenge was all about saving money without cutting out the fun stuff that comes with many work cultures. Nowadays, building a strong corporate culture that helps develop employee relationships is essential. With this said, for those staff meals out and beer-garden days in the sun that have been dearly missed, it’s important for business owners not to rule these out of the budget entirely. Instead, dedicate a small proportion of it to use at a later date when this is possible again.

However, succeeding at this challenge works on the logic that there is always some form of money-saving going on. For example, there are many entertainment venues that offer discounts such as happy hours, cinema deals, restaurant discounts, or two-for-one deals. Look out for all the deals and discounts you can find and save them for a later date! 

3.      Reintroduce the little cices Challenge

Vices; all businesses have them. Whether it be an extra ‘Thank you for your purchase!’ sticker stuck on the packaging or an excessive amount of gift wrapping, there are some things that businesses might be better off putting on hold for now to help reduce costs and plan ahead.

Rather than using an excessive amount of gift wrap packaging, decide what is essential. Then, place a greater focus on making the design and layout of the packaging look equally as good with what you have. Creativity is key.

Although the marketing of your business should never be considered as a vice, there are some effective ways to reduce your promotional costs as well as continue with this process if another lockdown occurred. For example, for those operating in the takeaway or fast-food industry, rather than spending large sums of money on printing out menus and posting them through people’s doors, email or text them.

4.      Return of the 52-week savings challenge

The 52-week savings challenge is something that some businesses have been using to save for all those small expansion projects that the pandemic placed on hold. This savings challenge could help your business achieve exactly that once regulations ease again.

Put simply, the amount you save increases week-by-week, which is probably why it’s one of the most popular savings challenges. On week one, for every item or group of items you make a profit from, put £1 of this into a savings bank for your business. On week two, put £2 in, and so on. The amount of money you add into a savings account can vary depending on the size of your business and what products it entails of course. But hypothetically, this is how it works! If you choose to follow this exact method, your business will have an extra £1,378 in a year to dedicate towards those small projects and innovations you had in mind.

5.      Review your office overheads

Although this last money-saving tip will mostly apply to those operating within the services or digital sector, there are some pieces of advice other business owners can take on board. After reopening your doors to employers over recent months, your bills will have inevitably increased. However, now that many UK workers are working from home again, placing those unnecessary purchases on hold, such as equipment, software, or printing equipment such as cartridges could see you save greatly on your office overheads now that the demand for these is less. 

Ensuring your business stays afloat during this uncertain time seems like such a stressful process. But there are many instant strategies you as a business owner can implement to help cope with the threat of another potential lockdown. Regardless of a pandemic or not, it is vital that all businesses set clear goals to help them succeed and grow.