The next big thing ... Collaborative marketing

Although the practice has been around for a few years, it is only just starting to take off in DM, with companies expected to double their spend in the next year.

Who's doing it?

Many organisations are finding that collaboration with other brands can work to their advantage. Over-50s insurance broker Castle Cover backs up its door-to-door and press campaigns with collaborative door-drops. The aim is to reinforce its marketing message with comparison guides and encourage consumers to switch.

"It gives us access to a greater volume of potential customers at a reduced cost," says Andy Cole, head of marketing at Castle Cover. "It does have its limitations, but it is definitely becoming more popular as companies strive to maintain their exposure at less cost."

The lowdown

Last year, £12m was spent on collaborative direct marketing in the UK, according to Tilt, an agency that specialises in the technique. This year Tilt predicts spend to increase to £22m.

"Different formats of collaborative mailers have been trialled, such as multiple leaflets in one envelope and voucher packs, but the idea of a magazine or directory works best," says Tilt managing director Ben Allan.

"Companies are using this technique alongside their own door-drops and marketing campaigns, because some post codes simply don't provide a good response rate from door-drops."

The benefits of collaborative marketing are that businesses can target a specific area that responds well to the technique. Meanwhile, the cost can be a tenth that of solo DM campaigns.

"It is an easy way for consumers to look at information from several companies at once, and response rates are very good," says Allan. "Companies using collaborative marketing get a fantastic cost per acquisition rate and that is why it is growing in popularity."