Data and Audience
Bringing automotive marketing ideas to the mortgage industry and vice versa.
I have done over one billion direct mailiDirect mail is the act of using the postal service to deliver promotional marketing material direct to a customer based on demographic information such as age, location or income. Direct mail pieces can include postcards, catalogs and other promotional pieces enables one-on-one communication with your audience, so you can control who receives the message and when they rece... Read More pieces over the past 25 years in the mortgage and automotive space and I’m always amazed at how similar their businesses are when it comes to marketing. It’s fun bringing automotive marketing ideas to the mortgage industry and vice versa.
I recently attended a national automotive marketing conference at the famous Bonaventure Hotel in downtown L.A. where the CMOs of Honda, Nissan, and Hyundai all spoke about where automotive marketing was heading. One thing they all had in common is they were trying to connect emotionally to car buyers with a cause and make it less about the car. Their research is showing Millennials want more than a good-looking car with quality, they want to know the brand stands for something bigger. This intrigued me to do some more research as we’re doing marketing for five of the top 25 mortgage companies in the U.S. and we’re always looking for new strategies and tactics to improve response rates.
We believe mortgage companies can also leverage mission-based marketing to not only connect with a homeowner emotionally and be successful with their marketing but also become significant to their communities in the process.
Instead of just saying “Refinance to this low payment…” include a brochure for Paws for Vets and donate $250 to a worthy cause when they fund their loan with you. My projection is this could bump up a direct mail response from .2 percent (20bps) to 1 percent (100bps) because of its unique value proposition when compared to others who are selling rates and fees.
We are testing the use of this brochure and other mission-centric marketing ideas to increase response and conversion because we believe it can make a huge impact on results and the overall bottom line of a company. Not only can it improve response rates but it can also rally an organization and its customers around a cause that’s bigger than profits to stimulate productivity with staff and long-term client relationships.
Do you agree or disagree? We’re interested in your feedback.