Direct Mail

Retail Marketing Strategy

By 8 January 2024February 1st, 2024No Comments

How to Build a Perfect Retail Marketing Strategy?

The retail industry is one of the largest industries in the world. In fact, in 2021, international retail market sales reached 26 trillion USD, predicted to reach over 30 trillion USD by 2024. However, building and running a retail store is a challenging task. Many processes are necessary, including creating or selecting products, discovering a space for rent, hiring employees, and building retail marketing tactics.

traditional marketing vs digital marketing

Above all, retail marketing strategies have significantly contributed to this industry’s massive growth. It is about attracting more people to buy more products to improve in-store sales. Without marketing, retailers cannot survive long in a highly competitive market.

20% of small businesses die within their first year of operations. If you want to sustain your retail business, this is the right blog to build an effective marketing strategy.

What is Retail Marketing?

Marketing Channels

Source: Retail Dive

It is the process of finding and implementing effective tactics that help retailers to promote their brick-and-mortar stores and promote products or services. The main focus of a retail marketing strategy is to motivate customers to visit their stores and buy products to drive sales and improve revenue. These are some fundamentals of retail marketing strategy activities;

  1. Understanding the customers and their needs. 
  2. Building stocks of goods or merchandise.  
  3. Making the presentation of products attractive for instant identification and convenience. 
  4. Providing necessary information about the product, location, price, service, etc. 

Importance of Retail Marketing

Retailers in USA

Source: Oberlo

Building an effective retail marketing strategy is incredibly important because of the high competition in the industry. The products and services are almost the same among different retail stores. 

Therefore, you cannot expect the customer to remember your store on their own while looking for a product. Your store needs to learn and implement retail marketing tactics for the following reasons: 

  • Improvement in Brand Loyalty 

Brand loyalty is everything when you expect more repeat customers for your business. By launching effective retail marketing strategies, you can expect to build a loyal customer base that will contribute to better sales. Retail companies often rely on loyalty programs, email, SMS, and direct mail marketing and ask customers for feedback. 

  • Improved Revenue 

The main goal of a retail marketing strategy is to bring more customers into a business. Retail businesses use various marketing channels to drive more sales and increase revenue. 

  • Improving Brand Awareness

Since the retail industry is highly competitive, branding significantly separates top players from others. Therefore, you can build strong brand awareness and stand out from the competition by developing an effective retail marketing strategy. Effective marketing and branding will make your brand, stores, and products more recognizable. 

  • Highly Scalable and Flexible 

Retail marketing strategies can be highly flexible and scalable depending on the different requirements and regions. Moreover, according to their needs, retailers can leverage various marketing strategies, such as direct or digital marketing strategies. 

6 Ps of a Retail Marketing Strategy

To build a successful and sustainable retail business, you must understand the 6 Ps of retail marketing


A product is the main thing that will drive sales to your retail business and propel your retail marketing tactics. It is actually what the customers will look for while exploring retail stores. Thus, you can divide the products into three major categories:

  1. Core items have high demand and must be present in stock.
  2. Alternatives or extensions are different options to the core product.
  3. Related products or services that make the initial products function. 


Product placement in a store greatly determines its sales and the overall success of the store and retail marketing tactics. However, the store’s order can also resolve the business growth. Having your store in a shopping center, downtown area, or an enclosed mall could be a great advantage.

Moreover, factors such as proximity to competitors, parking access, public transportation, and more can also play a significant role in a store’s success. Also, the store layout and display shelves can also influence people to purchase more products. 

Pricing Plan

The pricing depends on factors such as business operation costs, promotional plans, competitive problems, and the product’s shelf life. Retailers often implement strategic pricing programs and retail marketing strategies to lure more shoppers to their stores. They use a common marketing strategy to boost their sales and compete better in the market. 

Promotion Plans 

It’s all about spreading the message about your store and its products to the customers. Retailers aim to increase foot traffic, improve conversions, and build brand awareness with various retail marketing tactics.

They often use different marketing channels, including direct mail, newspapers, radio, referral programs, digital advertising, social media marketing, loyalty programs, and more. 


It refers to the sales associates working for your organization to make positive sales for your retail store. These people are the face of your retail business and reputation in the market. Therefore, hiring the right people and providing them with a quality training program to achieve success with marketing strategies for retail stores.


This new ‘P’ comes with the digital age of phones and digital media. People now spend plenty of time on social media platforms, emails, and the web. It can help you create a great retail marketing strategy focusing on Facebook, Instagram, emails, Pinterest, blogging, text messaging, and more.

Make sure to develop effective marketing content that helps you to gather attention and engage the customers for a longer time. 

Types of Retail Marketing Strategies

Every retailer is looking for a unique retail marketing strategy, but we can categorize retail marketing into three different categories;

  1. Store-Based Retail Marketing
  2. Non-Store Retail Marketing
  3. Digital Retail Marketing
  • Understanding Store-Based Retail Marketing 

Your physical store will create the first and most important impression on your customers. Thus, taking advantage of physical space for promotional strategies is essential. Store-based marketing is a common marketing strategy retailers use to maximize their sales and growth. 

It helps them bring more repeat customers and increase their time during each visit. Follow these retail marketing tactics for store-based retail marketing;


Retailers often organize various events depending on their brand image and audience. It creates a market buzz, anticipating and engaging the target audience. 

In-Store Displays 

These displays help retailers to highlight a particular product or social media posts from customers. It can make you more creative with the shopping experience and play with visual content to support your retail marketing strategy.

Sample Products 

You can include these products in your retail marketing strategy to create interest among shoppers for a particular product or brand. It could be any consumable product like lotions, toothpaste, perfumes, makeup, etc. Consumers feel more comfortable about purchasing such products once they get a trial.

Interactive Displays 

Retailers can use these interactive boards to display relevant and engaging information to shoppers in their retail marketing strategies. They can quickly learn about pricing and product info and watch relevant videos about a product without physically looking at it.

In-Store Promotion Tactics 

It is a common marketing strategy used by retailers as they put a lot of products for sale. This strategy gives them a significant marketing push and lures more customers to their stores without advertising outside the store. 

  • Understanding Non-Store Retail Marketing

Retailers can rely on various marketing tools to promote their products and business outside. Traditional marketing tools include direct mail, posters, referrals, and TV or radio ads. 

Follow these marketing strategies for retail stores:

Direct Mail 

It has become one of the industry’s most effective traditional marketing strategies. Retailers can also use direct mail API to personalize their marketing messages and loyalty programs. 

If you want to attract local buyers with your retail marketing strategy, you can send them physical catalogs and promotional information through direct mail pieces. It is the perfect way to promote physical stores in a particular location.


They are still an effective medium of communication and promotion. Usually, people associate posters with movies, music, events, and fundraisers. However, retailers also use posters for advertising their promotions or discounts to attract customers. Using signs is a common marketing strategy used by retailers.

TV Advertisements  

It is another traditional medium to promote products or services to an audience. However, promoting a retail store is an expensive retail marketing strategy. You can still rely on local TV ads to target a particular audience with great creativity and engaging content.

Press Releases 

If you plan to launch a unique and exclusive offer, create press releases for local journalists. Paid press releases help you automatically cover specific events and promote them on various media outlets. 

  • Understanding Digital Retail Marketing 

Digital Media Channels

Source: Smartinsights 

Almost every business uses digital marketing services to promote its sales and operations. Retailers also heavily rely on digital marketing tools and techniques to boost their sales and support their strategies. 

Follow these approaches to complement your retail marketing tactics;

Build a Website 

Creating a business website is the first step to entering the digital world and expecting more customers. It would help you to build your brand image by providing visitors with information about your retail business and products. A business website works like a virtual business card to encourage customers to consider your company and trust your products and services. 

Moreover, it would help if you also used intelligent analytics tools to evaluate your visitors and develop more effective retail marketing strategies. The website data can be critical for retargeting your campaigns. Build landing pages to expect better results with your retail marketing strategies.

Social Media Marketing 

It is a potent tool to gather the attention of many customers without spending much. Thus, you should build dedicated accounts on different social media handles to cater to a large and diverse audience. It would greatly help you to complement your retail marketing strategy for better results.

Paid Ads on Search Engines 

If you need instant traction for your retail store, then investing in paid ads on search engines could be significant. It would give you instant visibility on search results and attract more potential customers. Paid ads are also a common marketing strategy used by retailers.

Email Marketing 

Instead of sending simple marketing emails to your customers, you can create an awesome, creative, elaborate newsletter. It’s an effective way to connect with your customers and encourage them to become loyal. 

You can promote your product catalog or tell the audience about exclusive deals. Some extra efforts towards personalization can make your email campaigns more effective and help you bring successful conversions. 

Also Read: How Much is First Class Postage

Using Direct Mail for Your Retail Marketing Strategy

Initial actions taken


As mentioned above, retail is highly competitive with many market players. Moreover, the recent growth of online shopping brings more competition to retail businesses. 

With online marketing, customers see thousands of online advertisements. For this reason, retailers can tweak their retail marketing tactics by relying on direct mail to stand out from their competition and create a better impact on audiences’ minds. Print marketing is still relevant today with technological advancements in direct mail campaigns.

Benefits of Direct Mail for a Retail Marketing Strategy

Consider the following points to get a better idea about the benefits of direct mail marketing; 

1. Direct Mail Provides Excellent Response Rates 

In the world of digital marketing, direct mail is proving to have the highest response rates. It has an incredible response rate of 37% because people consider physical mail more “real” than digital. Scalable personalization can help retailers to innovate their retail marketing tactics with direct mail. A better response rate can bring more business to a retail store owner. 

2. Better Open & Read Rate 

Every day customers receive hundreds of promotional emails in their inboxes. However, an average American household receives 2-3 direct mail per day. Instead of throwing it away instantly, people take their time to analyze the information on the direct mail piece. Thus, it is a more effective way of reaching your target and making your retail marketing strategy successful. 

3. Direct Mail is Personalized and Physical 

Direct mail in your retail marketing strategy gives a more personal touch to your campaigns. People consider physical mail to be more appealing than online messages. Retailers can personalize the mail pieces according to their target audience. Plus, users can access these physical mailings anytime without using a digital device. They can also put your direct mail on refrigerators, coffee tables, bed tables, or anywhere. 

4. Direct Mail Builds Trust 

Direct mail has been there for a long time; it is also immune to the disadvantages of digital advertising. For example, a direct mail piece cannot infect someone’s computer with malware. 

Consider a dubious digital ad or email that can compromise your computer’s security. For this reason, direct mail gives the impression of trust and credibility among consumers. Seniors who are not that familiar with technology still need to have a positive perception of direct mail. Thus, direct mail is a common marketing strategy used by retailers. 

5. Precise Targeting 

Customer data lists play a significant role in targeting the right audience with direct mail. It includes names, addresses, shopping interests, age groups, occupations, and other factors. Retailers use this customer data to implement effective direct mail marketing campaigns. Moreover, with the help of automation platforms like PostGrid Print Mail API, you can define and target the ideal persona more effectively for your retail marketing strategy. 

6. A Flexible and Innovative Approach 

In contrast with digital marketing measures, direct mail provides limitless creative possibilities to retailers for their retail marketing strategies. You can use different pictures and text in your social media campaigns and online ads. However, there’s no physical feel or tactical component, and the size is also uniform in such ads.

Email marketing might be even less effective because users will only check the subject line before opening the email. In comparison, direct mail is tangible and physical; retailers can showcase their creativity. They can use different textures, sizes, and 3D objects or even integrate scratch-and-sniff features. Therefore, you got more chances of getting your audience’s interest, engaging them, and providing value to them with your effective retail marketing strategy.

7. Easy-to-Use Option for Retailers 

Retailers require extensive expertise to start their digital marketing efforts. However, launching a direct mail campaign is incredibly easy with an automated tool like PostGrid Print Mail API. It can help to start personalized customer loyalty programs and marketing direct mails for your retail business. Moreover, you will get a straightforward design, address list, trustworthy mailing partner, and the best campaign creation tools to boost your retail marketing strategies. 

8. Direct Mail is More Economical

There’s a common misconception that direct mail marketing is expensive. However, direct mail has a decent ROI with digital marketing strategies, with an average of 29%, according to a DMA study. Therefore, with the right automation platform, like PostGrid Print Mail API, you can expect meaningful ROI with less investment for your retail marketing strategy. The right analytics tools help ensure the effectiveness of your direct mail campaigns.

9. Easily Trackable 

Even though direct mail is not trackable, you can use PostGrid Mail API to track the effectiveness of each campaign. We provide retailers with analytics and tracking tools to measure campaign performance and ensure accurate deliverability. 

 10. Digital Marketing Compliments Direct Mail 

Retailers can launch the most effective direct mail campaigns when they complement them with digital marketing. Any stage of a retail marketing strategy can use direct mail services to achieve the same objectives as online advertising.

You can send direct mail pieces with QR codes that users can scan to access your website or social media pages. Moreover, you can trigger automatic direct mail when a website visitor takes action on your website. 

There could be countless possibilities to complement your direct mail strategy with digital marketing. If you are looking for a detailed comparison between digital marketing and direct mail marketing, then you can check our blog: Direct Mail Marketing vs. Online Digital Marketing

Also Read: Best Direct Mail Marketing Companies

Is Direct Mail Dying in the Digital Age?

No, even though businesses are widely focusing on their digital marketing strategies. However, according to a prediction, advertisers in the US will spend $43.3 billion in 2022 on direct mail marketing. Moreover, western European countries might reach $66.28 billion in 2025.

Retailers use postcards, catalogs, and brochures to make the marketing material more physically engaging and help you to stay top of mind. They can even send handwritten thank–you notes to their customers to a personal touch and positive impact. 

With the help of direct mail automation, retailers can have more prospects and retain more repeat customers than ever before. 

Marketing Strategies that Retailers Use with Direct Mail  

Like other retail marketing strategies, you must learn the following best practices to understand direct mail better; 

1. Synchronize Your Direct Mail Campaigns with Online Campaigns 

You must always synchronize your direct mail campaigns with your online ones. Having entirely different strategies will only confuse the customers. When you combine your digital marketing and direct mail marketing efforts, you can increase conversions and provide more value to your customers. Moreover, plenty of tools are available for smaller retailers that help them easily combine modern and traditional marketing approaches. 

2. Prioritize Design, Content, and Layouts 

Like email marketing, you must design a specific format for your direct mail piece. The design must be clean, punchy, and on-brand and its content should be readable and eye-catching to make mail instantly recognizable among your recipients. You can choose different layouts to build trust and encourage more shoppers to buy from your store. 

You must include the following elements in your direct mail piece to support your retail marketing strategy;

  • Add your brand logo to the mail
  • Write a clear message and intent
  • Create a clear call to action
  • Integrate an URL or QR code
  • Provide some incentive to purchase from your store
Make Direct Mail Simple 

Use various formats for your direct mail campaigns. However, instead of creating a cluttered and overwhelming direct piece, you should always focus on minimalism and simplicity in your marketing pieces.

Avoid using long paragraphs, small text, and multiple fonts. Instead, it would help if you used large headlines, professional images, and authentic callout texts. Leaving some white space is a great idea to stop overwhelming your readers with too much information. Simple direct mail pieces are famous for developing effective retail marketing strategies.

Add Incentives 

Customers need some motivation to respond to your direct mail piece. Thus, consider adding an incentive in the form of a sale or promotional discount on your products. It could instantly improve the performance of your direct mail campaign and provide you with more repeat customers. Launching a limited period offers a common marketing strategy used by retailers.

Precise Call-to-Action 

It is not possible to add a CTA button to your physical mail. However, you can create a compelling call to action in multiple ways. Start using headlines with large or boxed text, and keep it simple and easy to read. You can also add a unique URL that directs users to your website or lets them redeem an offer. In this way, you can measure the performance of your direct mail campaign and improve your retail marketing strategy.

You can include a redeemable code in your direct mail to increase your store’s footfall. Thus, they will be bringing that direct mail piece when to redeem and shop from your retail store. 

Provide Customer Reviews 

Customer reviews help in building credibility and trust factor for a brand. If you have these reviews on your website, social media pages, or product pages, then you can include them in your direct mail piece. Developing a trust factor and attracting customers to try out a product is a great retail marketing strategy.

Include the Terms of Your Offer 

If you are adding some promotional sale or special offer to your direct mail piece, mention the terms and conditions. You can provide this information in tiny fonts on your letters, postcards, brochures, etc. 

Include FAQs 

To make retail marketing tactics more effective, you should include a list of frequently asked questions on a postcard. The potential customers or existing ones might have a couple of questions while they read your direct mail piece. 

3. Provide Contact Information 

Once your customers have read your direct mail, they might want to contact you through phone, email, or social media platforms. Therefore, you must include your contact information and social media handles to expect instant responses from the recipients. 

4. Personalize Your Direct Mail Campaigns 

Adding the name of the recipients themselves on the direct mail pieces can increase the response rate by 135%. It could be one of the retail stores’ most effective marketing strategies to increase the conversion rate. 

You can make direct mail more relevant with per-mailer personalization. For example, adding an image of a past order or understanding a shopping pattern can increase your direct mail’s personal touch. 

5. Building Personal Connections 

As you saw, direct mail marketing effectively creates a more personal touch with customers. In contrast to email marketing, direct mail marketing is ideal for sending thank-you-notes, birthday messages, and other relevant messages to recipients. 

It can help retailers to build deeper relationships with their customers and make them feel valued. Ultimately, retailers can gain more loyal customers with direct mail in their retail marketing strategies. 

6. Focus on Mailing List Quality 

The quality of your mailing list can significantly impact your campaign performance and expenditure. You must reach the right audience to expect a positive response and better ROI. 

It is always advisable for retailers to have the most recent customers on their mailing lists. This action can offer them the highest conversion rate while using a paid list might not give such results. Paid lists can often become stale quickly, and it is hard to learn about the relevance of your campaign. 

7. Sending the Right Campaign at the Right Time

Timing is everything in both digital and direct mail marketing. You can customize direct mail campaigns to meet the needs of your customers and their stage in the buying process. 

Start planning your campaigns according to different themes and occasions. You can promote new arrivals in your store, thank your customers, and request feedback or reviews. Remember, timing is essential to make your retail marketing strategy successful.

It would be best if you consider remarketing and retention campaigns first. This audience might provide instant results; then, you can consider moving up the funnel and targeting new customers. If you are looking for more direct mail campaign ideas, you can check our blog, Top 50 Ideas For Implementing Direct Mail

Direct mail campaign types that you can try in your retail marketing strategy;

Promotional Events and Announcements 

If you plan a sale event or product launch, don’t hesitate to put that information in your direct mail campaigns. It is a strong and evergreen strategy that is more successful when your competitors only focus on online campaigns. 

Triggered Campaigns 

You can launch automated or triggered direct mail campaigns with PostGrid Print Mail API. A retailer can send direct mail upon post-purchase, new customer welcome campaigns, win-backs, etc. 

Loyalty Programs 

Retaining your existing customers is much easier than acquiring new ones. If you are running a customer loyalty program, you can stay ahead of the competition with the help of direct mail campaigns. It can supplement your existing retail marketing strategy by engaging your loyal customers with valuable direct mail pieces.

You can retain these customers by sending exclusive codes for offers or personalized handwritten cards occasionally. It helps you to build deeper relationships and keep them much longer. 

Asking for Reviews 

Having more customer reviews helps a retail brand build market credibility. Moreover, it encourages converting prospects into paying customers. You can use direct mail campaigns to write postcards or handwritten letters to request customers to give feedback on your website or Google business profile. 

Cost of Direct Mail Marketing 

If you are developing solid retail marketing tactics, then you must consider these factors that impact the cost of direct mail marketing;

  1. Type of mail, numbers, and packaging
  2. The Ad design 
  3. Printing cost 
  4. Mailing cost 

Also Read: Bulk Or Mass Mail Services


If you are a retail business owner, then it’s time to transform your marketing strategy with the power of automated direct mail campaigns. They create better impressions, are more likely to be read, and encourage people to respond.

PostGrid’s Print Mail API enables retailers to send letters, postcards, brochures, catalogs, and checks to their customers and prospects. You can also revamp your retail marketing strategies with the power of our automated platform and integrate with a CRM for the best results. Retailer owners can expect the following;

Complete Personalization 

Our platform makes it super easy to personalize your mail to each individual. It would help to enhance your response rate with complete automation.

Highly Scalable 

We enable retailers to scale their communication channels with our REST API and exceptional integration capabilities.

Effective Analytics & Tracking 

Intelligent analytics allows you to measure the performance of each campaign and ensure the best deliverability.

Signup for our platform to boost your retail marketing strategy.

Ready to Get Started?

Start transforming and automating your offline communications with PostGrid


Explore Direct Mail

Send direct mail as easy as email through our dashboard or API