Customer publishing continues to segment

A Royal Mail product story

Edited by the Marketingweek Marketplace editorial team May 2, 2008

Customer publishers predict that segmentation of customer titles will increase by almost 50 per cent increase over the next two years, a new survey has revealed.

The research by Royal Mail shows that almost a quarter of all customer titles (23 per cent) are currently tailored to different reader demographics to make posted customer magazines as relevant to the recipient as possible.

This is a growth of 37 per cent since 2006.

And all the customer publishers surveyed are unanimous in the belief that the trend for segmented content will continue - with a rise of 44 per cent, on average, predicted.

The survey also revealed that increased customer spend is the main driver behind clients' decisions to tailor their customer magazine to specific customer groups.

This was closely followed by an increase in customer engagement and a rise in brand loyalty.

Emily Fovargue, Head of Publishing at Royal Mail, said: "With continued talk of the credit crunch having significant impact on consumer spending, it is crucial for brands during this period of economic instability to ensure that they are communicating with their customers both effectively and cost efficiently.

"Customer magazines have long shown that they add value to customer relationships and boost spend, testament to the number of companies that have invested in the medium".

She added: "This research indicates that we are going to see even more relevant content being generated by customer publishers over the next couple of years, making magazines that are distributed through the post even more engaging and hard working in terms of return on investment".

Julia Hutchison, COO of APA, said: "I am unsurprised by the findings as the more brands can appeal to their customers the more effective their communications are going to be.

"Where this plays to the strengths of the industry is customer publishers' unparalleled insight and understanding of consumers, enabling them to tailor content to specific audiences, ensuring a much more personal experience.