Why Google — A Tech GIANT — Uses Direct Mail To Drive Revenue

Why Tech Giant Google Uses Direct Mail to Drive Revenue

Let’s be honest:

When you think of trending marketing strategies, direct mail probably isn’t top of the list, am I right? But then why does GOOGLE — the #1 technology company on the planet — depend on direct mail to drive its crazy-high revenue?

You heard right:

Google uses DIRECT MAIL to drive its $110 billion revenue UP.

Google spends hundreds of millions of dollars on their advertising every year because they know that marketing aggressively will grow their already monstrous bottom line.

But here’s what’s interesting…

Google makes the majority of its revenue from its ads.

In fact:

Here’s Google’s revenue portion that comes directly from the ads they sell:

graph of google revenue

Source: https://www.statista.com/statistics/266249/advertising-revenue-of-google/

Not too shabby, right?

So, why doesn’t Google just run its own ADS to generate more ads revenue? Why do they use seemingly “old-school” direct mail?

Here’s why:

Google — the tech (and ads) GIANT — knows more than anyone:

  • How many searches are performed on Google by their 4 million+ users
  • How much time people spend on Google and its websites
  • How many ads people see (called “impressions”)
  • How many clicks those ads generate (it’s how they rake in revenue, after all!)
  • And MORE

In other words —

Google knows people are bombarded by the internet. Internet marketing, internet usage, you name it.

Plus:

The U.S Postal Service’s Office of the Inspector General published an official report that reveals its research on how people respond to physical mail.

In short:

Research participants spend more time viewing physical ads — vs. digital ones.

Moreover…

This in-depth USPS report states that marketing, like direct mail, produces a stronger emotional response in viewers, meaning:

People REMEMBER your marketing content better when it’s physical

Physical advertising like direct mail may not be as flashy as today’s digital gimmicks, but it’s been proven to leave a longer-lasting impression on the viewer…

Which as a business owner is EXACTLY what you want your marketing to do — be remembered!

To effectively reach (and maybe even surprise) new business owners to buy ads from them, Google uses direct mail to reach them where they spend the most time:

At work!

By sending direct mail to business owners who open new Adwords accounts, Google entices prospects to run ad campaigns — even if they’ve never done it before.

Here’s a sample direct mail piece Google has used:

direct mail piece from google

That $100 in FREE ads offer from Google gives virtually any small business owner a way to test their ads platform risk-free.

And Google is smart:

They know once you see results — ANY results — from Adwords, you’re hooked for life.

Google not only uses direct mail to grow its revenue, but if you’ve ever registered your business on Google, then you know they’re going to send you a postcard to verify your location…

Like this one:

postcard from google

Note:

Google could literally track where your work IP address is, but they don’t…

They mail you a postcard!

The world’s largest technology company knows the truth:

Direct mail WORKS — and there’s plenty of data to prove it.

Check out these stats:

  • Direct mail’s response rate is 750% more than email
  • 70% of consumers feel more valued with direct mail
  • 93% of people ages 25-34 have responded to direct mail — 88% respond within 6 months (note: these are millennials!)

Moreover, the DMA Response Rate Report states that direct mail offers an average return on investment (ROI) of 15% to 17%.

This same report also says oversized mailers — like postcards — have the BEST response rates, at up to 4.25%, particularly when sent to a targeted mailing list.

However…

It’s worth noting that many of our clients have seen ROIs of 998%, 2079%, and more from their direct mail campaigns.

You can see PostcardMania’s case study archive — organized by industry — here.

But it’s not only Google that uses direct mail…

Here are more companies that depend on direct mail:

  • SoFi, a self-proclaimed “modern” financial company
  • Mead Johnson, a massive baby formula company
  • And even hip tech startups such as Heal and Le Tote

I’m not saying that direct mail will replace digital marketing in today’s smartphone world…

But the best thing you can do to grow your business is seamlessly combine your digital strategy with targeted direct mail marketing.

If you want to see how PostcardMania integrates Google, Facebook, and Instagram ads into targeted direct mail campaigns, you can watch the 1-minute Everywhere Small Business video here.

Best,

Joy

FREE DOWNLOAD: Direct Mail Checklist: Get it Right Before You Mail

 

3 Comments

  • A post card with a photo of a unique product is effective when sent to a targeted market. We are a specialty woodworking shop producing upper level custom tables, doors and products that building contractors avoid! Where is our market?
    National sales are out of the question,we can only serve SE u.s. local wood dosen,t like California and NW temperatures and humidity. All sales must be regional, To make a corner cabinet or a slant top desk in Walnut or black cherry might take close to a year…How do you communicate this fact with potential customers with a post card??. R,j burns daywoodworker@gmail.com

    • Hey Robert, that’s an excellent question! We can absolutely discuss postcard and mailing list strategies that would work best for your particular business needs. Give our marketing consultants a call at 1-800-628-1804. Their advice is always FREE!

  • I am into a high income type client, 1% if you allow, so my product is not a mass market thing. Very few use my product, and those that do are high income, travel 6+ time per year, and are time constrained. Often times(60%). my service is paid for by their company. Also, I am a sole proprietor(work for myself)and can not accommodate large increase in business. Also believe post cards work, but the respond rate and cost of collecting new clients my be prohibitive???

    How much should it cost to gain a new client?

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