Medicare Advertising Statistics
Direct mail advertising and direct response TV ads are both powerful mediums for reaching the senior market. Research shows that direct mail drives seniors to websites three times more than TV advertisements and the internet. About 50% of seniors take time to go through direct mail from various medicare insurance providers and about 25% of seniors read direct mail even if they have no intention of purchasing an insurance plan. Direct response TV Medicare ads that portray information using small facts, figures, ratings and simple animation have been a success amongst seniors.
This particular market is a large group that holds great buying power. According to CDMG Inc., seniors are known to spend over 50% of their purchasing amount, whereas marketers spend less than 5% in advertising to them. Seniors respond particularly well to direct response advertising like direct mail, paid search, infomercials and TV ads, Facebook, banner ads, remarketing, and email.
How seniors respond to direct mail advertising
— Seniors have been found to be the group that is most responsive towards direct mail advertising. They tend to enjoy receiving and reading their mail thoroughly. They primarily enjoy reading lengthy letters with lots of details. This demographic is the best group of mail-order buyers based on multiple purchases, frequency, and amounts of higher dollars. This is why an “informational approach” is found to be highly successful with seniors. Modern data modeling in combination with the mailing lists of “psychographic profiled seniors” and “precise targeting” will provide greater ROI than other methods of advertising.
— Marketers can expect around 50-60% of purchases being made by phone. Seniors prefer the use of a Basic Reply Envelope (BRE) for mail orders. Mail campaign can result in as much as 30-40% of all orders.
— According to a study by Deft Research of seniors purchasing Medicare insurance, direct mail advertising was found to be the top promotional medium for driving seniors online to purchase Medicare insurance. It was also found that direct mail drove senior visitors to websites three times more than TV advertisements or the internet.
— According to the 2017 Deft Research Study, the rate of reading direct mail advertising reached 41% amongst seniors.
— Deft Research reported that direct mail attracts the attention of seniors when large fonts and professional-looking envelopes are used. Direct mails that have information arranged in bullet points with a combination of graphs and charts attract more seniors to consider purchasing Medicare plans.
— The 2016 Deft Age In Study reported that the use of direct mail advertising to purchase Medicare insurance plans by seniors increased from 12% during 10-12 months before they turned 65 years of age to 41% during 4-6 months before turning 65.
— According to Digital Dog Direct, seniors find direct mail advertising to be the top influencer in choosing and purchasing Medicare insurance plans. 50% of the senior demographic will carefully go through the direct mail sent by Medicare insurance providers and 25% of this group will read direct mail even if they have no intention of purchasing insurance plans.
— Direct mail advertising was also found to be more effective than all the digital channels combined by seven times, as reported by Ascentium Capital.
— According to the Medicare marketing report, seniors lean more towards purchasing plans that provide facts and figures than generic statements. They find mail envelopes that are more visual in nature to be more attractive than traditionally designed envelopes.
How seniors respond to direct response TV ads
— Most companies target seniors through direct response television and direct response radio because of the success they have found by targeting infomercials towards the senior group. Infomercials are particularly effective because they are designed to be leisurely and step by step. It also helps them make decisions at their own pace and without coercion.
— Direct response TV (DRTV) ads are known to be a powerful medium used to reach the senior market since this is closely related to cable, television sets, and broadcast TV. This is the right medium to advertise to seniors about the more complicated plans and services.
— Seniors have been found to respond better to direct response TV ads that portray information in the means of “storytelling” which effectively helps reach this demographic on a more personal level. Simple animations have also been reported to be a success rather than using a spokesperson on DRTV Medicare adverts.
To wrap up, direct mail advertising and direct response TV ads are both success proven mediums to reach the senior demographic. Seniors prefer to read lengthy letters and are careful to go through all details. They respond well to facts, figures, ratings, and simple animation where DRTV Medicare adverts are concerned.