Mail Order Catalogs: Still a Valuable Sales Tool for Certain Businesses

Mail order catalogs have been around for decades and have helped businesses generate sales. However, with the rise of online shopping and digital marketing, many wonder if mail order catalogs are still relevant. In this article, we will explore the current status of mail order catalogs and whether they still make sense for certain types of businesses.

The Decline of Mail Order Catalogs

One major issue in determining if mail order catalogs are still valuable is that many consumers peruse the catalog and then make their purchase online. For instance, I often buy clothing and accessories online, but I frequently do so after seeing the items in the catalog. Although the purchase was made online, the catalog still deserves credit for the customer's decision. This kind of behavior can skew data for companies.

Cost Differences and the Shift in Marketing Strategies

It is undeniable that the broader use of mail order catalogs is shrinking. This is mainly due to the significant cost difference in reaching customers via catalogs versus through digital means. For example, even companies like Victoria's Secret, which once relied heavily on mail order catalogs, have had to abandon this strategy in favor of other forms of marketing. In their case, it was profitable, but reinvesting in digital marketing was more cost-effective.

As digital marketing costs continue to fall, while the cost of printing, distributing, and mailing catalogs continues to rise, it becomes increasingly difficult for companies to justify the continued production and distribution of printed catalogs. The shift to digital marketing channels has blurred the lines between online and offline retail, making it easier for customers to compare prices and find the best deals.

Exclusive and Targeted Uses of Mail Order Catalogs

While the broad use of mail order catalogs is diminishing, there are certain exclusive, highly targeted, and high-margin uses that still make sense. Catalogs can offer a unique selling proposition by providing exclusive or high-end products that customers can only access through the catalog. This exclusivity can drive sales and generate customer loyalty.

The Hybrid Nature of Retailing

As omnichannel retailing becomes increasingly normalized, the lines between online and offline retail blur. In a hybrid approach, customers can browse products in a catalog and then make their purchase online, or they can order products and pick them up at a local store. This model provides a complementary experience for customers and can be particularly effective for businesses that offer exclusive products or services.

The Cost-Effectiveness of Mail Order Catalogs

While it may cost a company around $5 to print and mail a catalog, they can recoup this cost through increased sales. This is because catalogs offer a level of exclusivity that online shopping does not. Customers cannot easily compare prices or switch to a cheaper alternative when browsing a catalog. The purchase experience is more personalized and less competitive.

Conclusion

While mail order catalogs may not be as prevalent as they once were, they still have a place in certain businesses. The key is to use them strategically and for exclusive, targeted, and high-margin products. As digital marketing continues to evolve, companies must adapt their marketing strategies to remain competitive. By combining the strengths of mail order catalogs with the convenience of online shopping, businesses can offer a compelling and profitable sales experience for their customers.

In summary, mail order catalogs are still a valuable tool for certain types of businesses, especially those that offer exclusive or high-margin products. As the retail landscape continues to evolve, it is essential for companies to adapt their strategies and embrace a hybrid model to meet the changing needs of their customers.