Effectiveness of the Door to Door Media For ELMA By Mark Davies Circular Distributors Ltd.

Effectiveness of the Door to Door

MediaFor ELMA

By Mark Davies

Circular Distributors Ltd.

The Benefits of The Benefits of Door-to-DoorDoor-to-Door

The latest DMA Door Drop industry researchprovides some interesting new facts

Consumers find door drops 10% more useful than ever before

84% consumers regularly read door drops

62% consumers have acted as a result of receiving door drop items

71% consumers find door drops useful

44% consumers keep door drop items for a few days or longer

The Benefits of Door-to-DoorQ. What do you do with door drop promotional leaflets?

84% of respondents at least glance through

Only 16% throw away without looking

Sample Base: 6873

16

55

24

5

0 10 20 30 40 50 60

Throw away withoutlooking

Glance through butthrow away

Glance through andkeep a few

Keep all and read orglance through

Percentage of respondents (%)

Door Drops

Perception

vs.

Fact

Enjoyment

Perception

“The majority of consumers pay a great deal of

attention to TV and press advertising.”

Fact

62%

Don’t take much notice of TV advertising

81%

Flick over press advertising

Usefulness

Perception

“Consumers don’t find door drops

useful.”

Fact

Between

62 – 71%of consumers claim samples,

coupons, offers are useful

USEFULNESS vs. 1995

Perception

“Consumers don’t find door drops as

useful as they used to.”

Fact

Consumers find door drops generally

10%

more useful than they did in 1995

Usefulness By Rejecters

Perception

“Consumers who reject the medium

don’t find door drops useful.”

Fact

Even amongst initial rejectors of the medium

between

52 – 63%

of rejecters claim samples, coupons, offers are useful

Impact

Perception

“Consumers who reject the medium

don’t find door drops useful.”

Fact

79% of people keep, pass on, read or glanced at door drops - same as

direct mail

Retention

Perception

“People don’t keep

door drops that long.”

Fact

38% of are kept for at least

a few days and 13% are kept for a week or

more

Competitiveness

Perception

“Door drops

don’t work as well as direct mail, TV

or press.”

Fact

48%

of consumers responded to a door

drop vs 47% dm,

47% TV, 60% press

The Power of SamplingThe Power of Sampling

94% believed samples give a better idea of the product than advertising75% use the sample within a ‘week or two’71% give product sampling as the main reason for switching to another brand79% give product sampling as the main reason for buying new products52% prefer to receive samples through the door

Research courtesy of RSGB/Synergism

The Current Size of the Door to Door Market

Year   1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Volume (items) millions       6500 7000 7950 8470 9250 10170 11880

Year on Year increase in Volume

%         7.7% 13.6% 6.5% 9.2% 9.9% 16.8%

Spend on Distribution

£ millions 115 130 147 168 192 218 232 254 282 332

Total Market Size (print and production included)

£ millions 344 389 440 505 576 654 697 761 846 997

Year on Year increase in Revenue

%   13.1% 13.0% 14.9% 14.0% 13.6% 6.5% 9.2% 11.2% 17.8%

Users of Door to Door

1997

23

100top advertisers utilise

Door Drops

2004

91

100top advertisers utilise

Door Drops

Source: Top 100 advertisers from Campaign

Recall Summary

Door Drop

(recall)

TV

(recall)

2003 79% 78%

1995 55% 81%

However in spite of the growth, recall has improved

Industry and CD EfficienciesIndustry and CD Efficiencies

Circular Distributors outperforms the industryaverage in independent validation tests:  

Year 2002 2003 2004

Company CD

Average

Industry

Average

CD

Average

Industry

Average

CD

Average

Industry

Average

Newshare 87.8% 87.7% 90.6% 88.9% 87.1% 86.9%

Teams (All Solus) 80.0% 69.1% 90.1% 57.9% 87.5% 80.1%

Royal Mail 84.9% 83.6% 82.3%

Figures courtesy of Stepcheck

Case History Results

Nestle Snack Stops – brand awareness up by 21%

PG Tips – recalled by 86%; 72% trial; 200,000 new customers

Oxo – rate of sale doubled

John West – 190% sales uplift

Case History ResultsFructis Shampoo – 29% have purchased since sampling

Renault Megane – increased sales revenue by £12 million

Philips Softone Light Bulbs – 36% opt-in, 8% redemption, 540,000 new names on their database

Dairy Crest Clover – sales up by 60%

Unilever Case Study

The Creative

The Campaign

Brand: Comfort Fast Dry and VaporesseTarget audience: 28-44 year old housewives, C1C2DEQTY: 2m samplesObjectives: Encourage trial and drive penetrationApproach: Twin samples with coupon Research: Research Panel (control vs mailed)

The Results• Coupon response: 8.7%• Average spend on brand increased by 20p

over 8 month period• 2.5% increase in share attributable to Door

Drop• Penetration 3% pts higher within receiver

group vs. control group• Pay back achieved within 8 months