Retail marketing must adapt to continue to drive results as consumers respond to economic conditions. Consumer confidence in rural markets saw a slight uptick in August 2024 compared to the previous year, with 25% of consumers saying they feel “very confident” in the economy and 11% saying they feel “confident.”¹ Nationwide, optimism in the strength of the US economy increased to 41 percent from 33 percent. ²

Consumers may be feeling more confident, but they are prioritizing value and saving money. A 4.2% increase in retail store visits overall during Q2 2024 was driven by visits to discount and dollar stores, which saw 11.2% growth in visits during the quarter. Retailers of essentials saw increases in visits, including grocery stores (up 7.6%) and superstores (up 4.6%). ³

While inflation has consistently dropped from its 2022 peak, 53 percent of McKinsey survey respondents still say that rising prices and inflation are among their concerns. ²

Price Increases Continue to Impact Consumer Behavior

An increasing number of consumers have noticed price increases in everyday grocery categories, utilities, and gasoline in August 2024 compared to the previous month. As a result of these price increases, they are buying more store brand/generic products and shopping for sales more often than they were last month.¹

Despite concerns about inflation and rising prices, 7.4 million rural consumers have higher-than-average retail spends with incomes 32% higher than the national average.

• These rural consumers are 41% more likely to purchase retail goods than the national average.⁴
• They also are 10% more likely to be shopping for multiple people. ⁴

Retailers can engage these consumers with messaging that focuses on value with targeted shared mail marketing that is proven to convert new customers.

Shared Mail Drives Action & Results

Targeted shared mail consistently drives a 0.75% response rate to retail outlets. This is an opportunity to directly impact purchase decisions.

• 65% of respondents are likely to engage with mail from a brand they already have a relationship with. Mail is also the most preferred communication channel for engaging with unfamiliar brands.
• Direct mail quickly makes a lasting impact. 2/3 of consumers surveyed read mail pieces the same day they’re delivered, and 69% often or sometimes share the mail with friends and family.
• Direct mail prompts action among 60% of consumers surveyed.
• When a piece of mailed advertising contains an offer or promotion, 78% of consumers surveyed are likely to open or read it.
• Direct mail empowers multichannel campaigns. Of consumers who have taken action from a direct mail piece in the past, more than half (55%) visited the brand’s website, and 42% searched for the product online.

Shared Mail Is a Digital On-Ramp

Targeted shared mail advertising is a proven tool to drive traffic to your website. 53% of consumers who receive advertising mail report they visit the brand’s website. This is particularly true among the important Gen Z group with 67% going online.⁶

Drive engagement and increase conversion rates for your marketing campaigns with digital ads.

Did you know?

• Digital ads can increase brand awareness by as much as 80%.⁷

Digital marketing helps you achieve consistent brand delivery across media channels and platforms, which can increase revenue by 23% on average.⁸ A marketing strategy that drives results for your business is capable of:

• Pinpoint targeting your best potential customers based on behavioral, location, and geographic data.
• Flexible and scalable, adapt your marketing efforts as you grow.
• Evaluating performance, optimizing campaigns, and measuring results.

Learn more about integrated mail and digital advertising solutions. Click “get started” below to be connected with an expert to plan your retail marketing strategy.

Sources: Prosper August 2024¹;An update on US consumer sentiment: Consumer optimism rebounds—but for how long, mckinsey.com, August 23^rd, 2024²; placer.ai Q2 2024 Retail and Restaurant Review³; Mspark Analysis of US Census Bureau Data⁴; 2024 LOB State of Direct Mail Consumer Insights⁵; USPS Mail Moments 2024⁶; omnicoreagency.com, 2023⁷; 3 Reasons Why Brand Consistency Should Be Top Priority, advertisingweek.com⁸