1. Results Driven Marketing in a Down Economy… Name Title Event U.S. Postal Service

2. Today’s Conversation  The Landscape  Recession Spending in Action: A Look Back in History  Survival Guidelines  Direct Mail: The Marketing Workhorse  Where to Turn

3. Today’s Economic Landscape  GDP growth turns negative  Job losses accelerate  Housing market stalls  Families feel the pressure  Wages still up due to low inflation Source: Economic Snapshot, Center for American Progress, April 2009

4. Consumer Attitudes  Economic downturns instill anxiety  Energy and food prices are on the rise  Frugality is standard operating procedure  Pragmatism and escapism are not mutually exclusive Source: Tuning Into The Recession Mind-Set, Forbes, February 2008 Consumers are saving more, spending less!

5. “Marketers from various industries are feeling the pinch of belt-tightening with their budgets.” Source: Economic Conditions Forcing Marketers To Reduce Advertising Budgets, ANA Survey, 2008

6. The Marketing Snapshot  69%  69% are reducing advertising budgets  63%  63% are reducing production budgets  63%  63% are being challenged to reduce expenses and cut costs  61%  61% eliminating or delaying new projects  63%  63% restricting travel Source: Economic Conditions Forcing Marketers To Reduce Advertising Budgets, ANA Survey, 2008

7. “In fact, SPENDING MORE during tough times when competitors may be scaling back is a good way to STRATEGICALLY BOOST MARKET SHARE… Source: Bob Liodice, President and CEO of the ANA

8. A Look Back in History

9. The Great Depression  Many companies benefited from aggressive marketing  Consumers looked for better deals  When spending picked up, loyalty was established Source: How Brands Thrived During the Great Depression, Strategic Marketing Concepts, February 2009

10. Depression Spending in Action Chart: P&G: New and Improved How A.G. Lafley is Revolutionizing A Bastion Of Corporate Conservatism, Business Week 2003

11. Depression Spending in Action

14. Survival Guidelines for Businesses

15. Examine Your Costs

16. Make Strategic Cuts

17. Stay Close to Your Customer

18. Explore New Opportunities

19. Think Like a Marketer

20. Monitor the Competition If they’re cutting back, it’s the opportunity to consider increasing your marketing budget

21. Avoid Gimmicks Your customers need messages that center on the benefits and advantages of your product or service. Source: Facts On The Value Of Marketing During An Economic Downturn/Recession

22. Stress Benefits and ROI Source: Facts On The Value Of Marketing During An Economic Downturn/Recession What’s In It For Me

23. Focus on Metrics  Test  Know the behavior of your segments  Adjust  Watch spending Source: Facts On The Value Of Marketing During An Economic Downturn/Recession

24. Re-examine the Marketing Mix Source: Facts On The Value Of Marketing During An Economic Downturn/Recession

25. Use Direct-Response Techniques Hard-hitting copy and a strong call to action Source: Facts On The Value Of Marketing During An Economic Downturn/Recession

26. Direct Mail The Marketing Workhorse

27.  PERSONAL  Use the customer’s name  Provide relevant information  55% of customers “look forward” to receiving their mail  TARGETED  Focuses on a specific group  Strong ROI

28.  FLEXIBLE  Choose from a variety of formats  Include special offers, samples or coupons  TANGIBLE/ CREATIVE  Places your message in their hands  Makes an unforgettable impression  Your piece can be passed along

29. Direct Mail The Marketing Workhorse

30.  MEASURABLE  Easy to track the results  Allows you to adjust mailings based on success  Calculate price per lead  GREEN  Post-consumer content  Consider paper weight  Alternative materials  Chemical-free processes  Experiment with formats

31. Results Driven Marketing

32. The Reason

33. Components

34. Components

35. Components

36. Case Studies

37. The Challenges  Generate reservations for opening of 135 luxury guest rooms and offer discount  Cut spending on mass advertising media  Attempt to gain market share when sales are down  Advertise to promote iconic brands otherwise risk losing customers

38. David Rawle Chairman, Rawle Murphy Advertising, Marketing, and Public Relations Agency

39. Wild Dunes  Challenge:  Challenge: Launching a luxury product during a recession  Solution:  Solution: Combine product and incentive offer using a multi-channel marketing campaign

41. AT&T  Challenge:  Challenge: Increase cross-selling among customers despite high turnover  Solution:  Solution: Integrated plan led with Direct Mail kits

42. John Klemets Marketing Manager, Dell Consumer Division

43. Dell  Challenge:  Challenge: Grow market share despite shrinking budgets and current economy  Solution:  Solution: Integrated plan with multiple Direct Mail executions

44. Jeff Meyer Sr. VP, Marketing & Sales - Feld Entertainment

45. FELD Entertainment  Challenge:  Challenge: Continue to advertise to promote iconic brands otherwise risk losing customers  Solution: Direct Mail lead the way for decision- making of destinations for events and inventory

46. The Results 3,000% ROI 10% 40%,20%  In total, 3,000% ROI from the campaign. Length of stay increased by 10% from prior years, online revenues increased by 40%, call-in revenues increased by 20% positive ROI  Mailing more next year based on the positive ROI generated from this year’s mailing campaign 200% ROI  Early access to a sale’s event generated a 200% ROI  Positive RIO  Positive RIO is the indicator for each given market around the country

47. Summary  Listen to the market  Invest in your customers  Offer value and demand greater value  Increase communication  Step up your advertising  Make smart decisions

48. Resources People  Postal Customer Councils  USPS Sales Force  USPS BSN Places  Brains on Fire  Brand Channel  Duct Tape Marketing Things  Deliver and www.delivermagazine.com

49. Any Questions?? Thank you for your time!