Catalogs Take Place in Multi-Channel Strategy

While many may have thought that the advent of the internet would spell the end of catalogs, an increasing number of retailers are looking to this traditional advertising medium to help drive sales online, in stores and by phone.
Retailers including Sears and Target are mailing catalogs to consumers this holiday season. The move by Sears to publish a catalog is seen as especially significant since the company last printed one in 1993.
Mike Gatti, president of the Retail Advertising and Marketing Association, told The News & Observer, “E-mail’s gotten tough because of all of the spam and all of the stuff you get. It’s tough to make it effective.
“I think some [retailers] were surprised that people would get a catalog in the mail and then just come on the website and buy it,” he said. “But it happens.”
Kirsten Whipple, a spokesperson for Sears, told the paper, “Our effort (Sears 188-page Wishbook) is really tied to the fact that all of our shoppers have different shopping habits and like to shop in different ways. Some people look at the catalog and say ‘Great, I don’t even have to go into the store.’ But we have to make sure as a retailer that we are reaching them how they would like to shop.”
Target spokesperson Jana O’Leary told The News & Observer that the retailer’s catalog drives traffic to its stores and website. “It’s just to get guests excited and have something tangible in their hands when they go,” she said.
Discussion Question: What do you think of apparent added emphasis that retailers are placing on catalogs to drive multi-channel sales? Do you see a bright future for printed catalogs or will they largely disappear as greater emphasis is placed on electronic communication vehicles?
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13 Comments on "Catalogs Take Place in Multi-Channel Strategy"
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The catalog has a place as a multi-channel opportunity in today’s environment, but its days are numbered. The web is clearly the channel that retailers should be focusing on for their future market differentiation efforts. With full motion video and audio, it represents the dynamics that all marketing seeks to achieve in communicating a superior product positioning. Although catalogs are “different” now, the reason that they were discontinued were for the obvious reasons of cost, environmental impact, and strict time requirements (they were often out-of-date by the time they reached the consumer). With an internet strategy, changes can be made almost immediately, and products can reflect the organizational focus of today, rather than those of yesterday.
The Internet does not replace other mediums, rather it is an additional outlet. I have not seen a decrease in catalogs, but I believe the catalogs are thinner. The more avenues a retailers has, the more opportunities there are to attract customers.
This is another example of reaching consumers on multiple levels in multiple places, and most importantly, letting consumers receive and absorb commercial messages on their own schedules. A few years ago, retailers had one strategy for brick and mortar stores and another for the Internet. Consumers rejected those efforts, demanding that retail merge its efforts into one. Retail may finally be realizing that the path to sales success is to yield some control to consumers. Welcome to the 21st century.
When postage rates rise, catalogs get cut back. Now that internet advertising rates have risen, catalogs are starting look better in comparison. All well run retailers measure their ad costs carefully. Everyone is looking for the most profitable combination of e-mail, flyers, catalogs, radio, TV, search engine optimization, online affiliate marketing, pay per click, mailed coupons, instant messaging, billboards and skywriting. Smart retailers use multiple media to reinforce each other.
Integration of print, online and offline media is absolutely key to the future of marketing. In fact, it’s the new integration. The old integration–of advertising with other marketing disciplines–was designed primarily to create awareness without accountability for sales necessarily. But the new integration–of print, online and offline–is designed not only to create awareness but also generate measurable sales. It is absolutely the answer to the accountability in marketing issue. In this context, print is not a traditional medium, it’s part of a new model for marketing ROI.
Every year for at least the last decade, I’ve been told that print magazines are dying, and that publishers had better get everything on the web because nobody wants to look at magazines anymore. The reality has been that the magazines and websites co-exist, and for the foreseeable future, I think that’s how it will be for catalogs and retail websites.
I recently read an article reporting results of a survey of executive level people, stating clearly they liked more of their daily input of information in tangible paper form than digital.
Couple that with the visceral response people in general have (and enjoy) from the combination of great imagery, good copy and even nice paper in a catalog…it’s a given that catalogs are useful and can even be a branding tool. Functionality–how to buy–is up to the individual.
Catalogs won’t go away but, over time, more and more of them may become digital–accessed over the Internet with special online couponing in the form of codes, etc. People like catalogs but once you get beyond the Boomers, they aren’t necessarily tied to print vehicles.
I’m getting as many catalogs in the mail now than ever–and a lot of different ones–in addition to the online catalogs and promotions in my email every day.
ICatalogs won’t disappear. People love to peruse catalogs at their leisure, dog ear pages with items of interest and show it around to friends and family. You can’t do that so much on a computer.
It’s similar to the old idea of bricks and clicks. Retailers had an online offering that not only enables people to order but also brings them into the stores. Same with catalogs. You get them in the mail and they will get you to go to the website.
But catalogs are expensive to produce and mail and many, like Sears, have already fallen off. However, I’ve noticed that instead of getting one gigantic annual or semi-annual catalog, retailers are doing more with smaller and more frequent, promotional mailings.
Using catalogs to drive multi-channel sales makes sense. Consumers like a picture to decide what to buy–either online or in the store. However, it does seem that there may be a bit of overkill going on since so many retailers seem to send so many catalogs. I do wonder how many trees are being killed as a result.