Many direct-to-consumer brands that once relied on digital advertising to drive brand awareness and sales are adding direct mail to their media mix, relying on the old-school marketing tactic to overcome data privacy crackdowns.
The trend picked up steam last year: A survey commissioned by marketing agency SeQuel Response found that of the nearly 160 DTC marketers surveyed, 44% had increased their direct mail budget in 2022. What’s more, over half did so to “escape the rising [customer acquisition] costs of digital channels.” That direct mail spending has continued into this year, according to multiple brands interviewed by Ad Age.
The changing strategy was sparked by Apple’s consumer privacy crackdown, which began in 2021 and involved updates to iOS software that curtailed access to consumer data with anti-tracking protections. Although the DTC brands (and the platforms themselves) are now learning more about how to adjust to those changes and reverting to digital channels, the diversification into direct mail has continued. So has their adoption of other traditional channels, including outdoor advertising.
Read more: DTC brands are increasing out-of-home marketing
DTC brands such as ThirdLove, Chomps, Apothékary and more recently told Ad Age that they have increased their direct mail efforts over the past few months. And some of them suggested they would continue the investments in 2024.
Many of these marketers noted that direct mail is a way to stand out among the sea of DTC brands launching across multiple sectors—from home goods and fashion to beauty and sports—while advertising on digital channels, including Meta and TikTok. Others noted that while the price of advertising on digital channels such as Meta has become increasingly expensive, direct mail offers a cheaper and more consistent alternative.