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The Netherlands on the Up

Good prospects for direct marketing campaigns

February 2007
By Klaus M. Knappik and Dr. Diane Rinas (published in the trade journal DIREKT MARKETING, February 2007 issue)

Approximately 16.3 million people live in the Netherlands. With a population density of 470 inhabitants per square kilometer, the country is the most densely populated country in Europe. Following an economic recession in 2003, the Netherlands are on the up again. The government is expecting economic growth of 2.6 percent in 2007.

DHL Article
Particularly the Netherlands' geographical position and its close integration with European and intercontinental markets make the country attractive to foreign companies. Investors also discover an efficient infrastructure, entrepreneur-friendly approval procedures and a favorable legal framework. An additional advantage is the enjoyment that the Dutch derive from buying, which direct marketing campaigns also benefit from.

In the Netherlands, direct marketing has developed very strongly in recent years. Mailings are extremely popular with the Dutch. It is the most popular advertising medium at 27 percent. Particularly young consumers (under the age of 30) like mailings. However, it is the 30 to 50-year-olds who make up the largest consumer group, but two-person households are also strongly represented. Overall, 83 percent of the Dutch population receives advertising mailings at least once a week.

That puts it above the average for comparable European countries such as Germany, France or the UK. Direct Marketing Monitor International, published by Deutsche Post Global Mail, divides consumers into three categories based on their response behavior to mailings: people who have an affinity to mailings, regular readers and people who are willing to respond. People who have an affinity to mailings read their advertising mailings at least occasionally. 92 percent of people who receive advertising mailings fall into this category.
This category includes a large number of consumers who are on low incomes (95 percent) and who have completed less than ten years of schooling (94 percent). More than half of the respondents (52 percent) read their mailings regularly and the figure even reaches 64 percent in the case of female respondents. Compared with neighboring European countries, an above-averagely high number of consumers respond to advertising mailings - a fine 62 percent.

DHL Article
With its subsidiaries Selekt Mail Nederland and Interlanden, Deutsche Post Global Mail also has a strong presence in the Dutch mail market. The subsidiaries' precise knowledge of market conditions and many years of experience can give customers a key competitive advantage.

In particular, 70 percent of younger consumers (under the age of 30) and also 70 percent of higher earners respond to their mailings at least once a year. People who are willing to respond prefer to respond by reply card and by e-mail, in particular, with an approval rating of approximately 33 %, respectively.

The design and the targeting approach are crucial to success

Dutch consumers attach particular importance to two things in relation to mailings: the design and the targeting approach used. Both are extremely important to 41 percent of all respondents and to 43 percent of people who are willing to respond. The under-30s are particularly discriminating. 60 percent of this age group state that they attach great importance both to the design and to the targeting approach and content. Mailings with a high-quality design (30 %) have also a higher than average rate of popularity with 30 percent of Dutch consumers. In comparable European countries, the figure is just 23 percent. Almost a third of the respondents also have a particularly high level of trust in well-known companies. That applies particularly to women who have an affinity to mailings.

The interests of the Dutch

The Dutch enjoy traveling. That explains why almost one in three respondents likes the tourism industry. Fashion also ranks very highly with consumers. 70 percent of female consumers display a particular interest in this area. Interest in culinary themes is also above the European average. 40 percent of respondents are likely to be tempted by them. 41 percent of Dutch consumers would like to be informed about health and wellness themes. The figures for DIY and garden products provide a surprise. One in three of those who are willing to respond feels that he or she is being targeted - and both sexes are equally interested.

The gender ratio is quite different in relation to the themes of hi-fi and electronics, however. The latter appeal to 81 percent of males and 19 percent of females with an interest in this area. Male consumers' enthusiasm for financial themes is particularly prevalent in the 30 to 50 age group.

That is a winner

For 49 percent of respondents, quality is crucial when purchasing a product. A low price, on the other hand (29 %), is less important to them. If consumers are satisfied with a brand, 70 percent of Dutch people will also remain loyal to it. A large number of consumers (49 percent) also like ordering their products from mail-order companies from time to time. Particularly the under-30s (77 percent), households of four persons and more (60 percent) and higher earners (65 percent) have an affinity to mail-order companies. The Dutch have a really positive attitude towards mailings - a good foundation for companies wishing to attract attention via an advertising mailing.

Klaus Knappik, Chairman of the MAIL International Divisional Board, Deutsche Post World Net

Dr. Diane Rinas, Senior Marketing Manager, Deutsche Post World Net

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