They’re known for curating trendy high-quality apparel, accessories, and jewelry from established brands and emerging designers. But that’s not all – South Moon Under is extremely adept at staying on top of business trends too. Founded in 1968 as a surf shop in Ocean City, Maryland, following this approach has helped them expand to over 25 stores.
Problem
To continue fueling this growth, South Moon Under sought to increase national brand awareness. They enlisted Deliver Media, an Ironmark Company to create a data centric approach to their marketing efforts to drive more business into their stores. To attract shoppers, they needed to create and implement an effective direct mail campaign.
Solution
Working closely together, Deliver Media and South Moon Under tapped the former’s predictive analytics model to determine that the three strongest predictors of purchase were women’s apparel, home size, and purchasing power. Armed with this data, they targeted their direct mail campaign towards a blended audience of customer segments and prospects who met this specific criteria, with content designed to appeal to their unique needs.
Results
The campaign was a success, and South Moon Under was thrilled with the results. Beautifully designed, targeted postcards and brochures generated a high level of interest from recipients, garnering exceptional returns. Their 10.51% response rate over a period of six weeks was well above average direct mail response rates, and South Moon Under realized a 30.88x return on ad spend (ROAS), a full 42% increase versus their previous marketing efforts.
Takeaways
The strategic, data-driven approach generated excellent engagement. With a 42% increase in ROAS, it proved to be a highly efficient, profitable way to entice existing customers and reach and convert potential customers. By capturing consumer purchasing proclivities and behaviors with predictive analytics, South Moon Under proved again that they have a handle on the latest trends, both in fashion and in marketing.