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Ranking of Package Inserts That Generate 'I Want to Buy Again' and NG Inserts That Lead to Churn (Survey of 500 Consumers)

Package inserts are a low-cost strategy that can transform the post-purchase experience.
In a survey of 500 consumers, the number one package insert that generates 'I want to buy again' was discount coupons, and the second, which works through emotional appeal, was thank-you letters.
On the other hand, there are also package inserts that lead to churn. This article explains the steps for designing repeat purchases and LTV improvement through package inserts from the perspective of a funnel designer.

This time, I will talk about the theme of 'package inserts.' You pack the product in a box, but what do you put in as one last item?

This small piece of paper determines whether it will lead to the next order or cause quiet churn. This is because package inserts are one of the few touchpoints that customers open almost 100% of the time.

By the time you finish reading this article, you will see the boundary between package inserts that generate 'I want to buy again' and those that should never be included.

The challenge of not being able to sustain a second purchase even if you increase customers through advertising

Many e-commerce and D2C businesses are currently facing rising customer acquisition costs (CPA).
Even if you work hard to get them to buy the first time, if the second purchase does not follow, you cannot recover your advertising costs. Here
is what is often overlooked: the 'package inserts' that arrive after the purchase.
Package inserts have a unique strength in that they have an open rate of almost 100%.
In an era where people struggle with single-digit email open rates, there is a touchpoint inside the box that is guaranteed to be seen.

In a consumer survey on package inserts, the number one 'package insert that makes you want to buy the product again' was 'discount coupons' at 56.8%, followed by 'greeting cards/thank-you letters' at 43.6%, and 'samples of new or related products' at 36.6%.

Source: Net Shop Tantosha Forum 'The package inserts that make you want to repeat purchase are 1st place "Discount Coupons", 2nd place "Greeting Cards/Thank-you Letters", and the one that leads directly to churn is "Surveys"' / (Original source: DM Solutions survey) https://netshop.impress.co.jp/node/12209

Discount coupons and samples are 'functional values' that provide direct benefits to the customer.
On the other hand, thank-you letters are 'emotional values' that can convey your feelings without costing much. This is where there is still room for small companies to compete with large ones.

Why should we reconsider package inserts now?

The reason is that package inserts change the 'brand impression' on the spot.
A good impression becomes a motivation for the next purchase, and a bad impression becomes a trigger for quiet churn.
In the same survey, clear figures also emerged regarding changes in impression.

Regarding experiences where the image of a company or product changed through package inserts, 62.6% of respondents answered that it was a positive change, combining 'changed to a positive image' (25.3%) and 'somewhat positive' (37.3%). 'Became a negative image' was 6.8%.

Source: Net Shop Tantosha Forum 'The package inserts that make you want to repeat purchase are 1st place "Discount Coupons", 2nd place "Greeting Cards/Thank-you Letters", and the one that leads directly to churn is "Surveys"' / (Original source: DM Solutions survey) https://netshop.impress.co.jp/node/12209

In other words, package inserts can be said to be a low-risk strategy that can convert into a good impression.
While the negative rate is only 6.8%, the 62.6% positive rate makes it difficult to find a reason not to do it.
Before chasing new customers, prepare one piece of paper for the customers who have already bought from you.

I believe this is the order that should be reconsidered now.

Start by removing 'package inserts that should not be included'

Before adding, let's start by subtracting. This is because removing bad package inserts is more effective than adding good ones.
The survey also clearly indicates which package inserts lead to churn.

The number one package insert that leads to customer churn was 'surveys' at 25.2%, followed by 'flyers/pamphlets' at 18.8%, and 'customer feedback or reviews' at 17.8%. Because package inserts have an open rate of almost 100%, it is said that they can give a bad impression depending on the content.

Source: Net Shop Tantosha Forum 'The package inserts that make you want to repeat purchase are 1st place "Discount Coupons", 2nd place "Greeting Cards/Thank-you Letters", and the one that leads directly to churn is "Surveys"' / (Original source: DM Solutions survey) https://netshop.impress.co.jp/node/12209

What I want to draw attention to is the fact that 'surveys' were in first place.
A well-intentioned measure for businesses to understand their customers was perceived by customers as a 'request for effort'.

There is no need to stop surveys.
Simply shifting the timing to when satisfaction has increased, rather than immediately after purchase, will change the impression.
Furthermore, there is a trend in the types of inserts that are frequently received.

The most common inserts received to date were 'greeting cards/thank-you letters' at 77.5%, followed by 'flyers/pamphlets' at 62.2%, and 'instruction manuals on how to use' at 49.8%.

Source: Net Shop Manager Forum 'The #1 insert that makes people want to repeat purchase is a "discount coupon," #2 is a "greeting card/thank-you letter," and the one that leads directly to churn is a "survey"' / (Original source: DM Solutions survey) https://netshop.impress.co.jp/node/12209

Thank-you letters are a rare type of insert that ranks high in both 'experience of receiving' and 'wanting to buy again.' They are common, yet not disliked.
Here lies the entry point for nurturing a relationship.

A move you can make starting today | Designing package inserts in '3 layers'

I recommend designing package inserts by dividing them into three layers.
The first layer is 'emotion,' which means a thank-you letter.
Place a word of gratitude, however brief, in a spot that is visible as soon as the package is opened.
The second layer is the 'next step,' which means a discount coupon.
Here, provide a small stepping stone toward the next purchase or a subscription.

The third layer is 'discovery,' which means samples of related products.
Include an item close to the customer's interests in a quantity that does not feel like a hard sell.

And as a subtraction, stop the survey immediately after purchase and excessive flyers for now. With just these 3 layers + subtraction, those few seconds of opening the package turn into a flow leading to the 'next order'.

This is the 'conveyor belt theory' I advocate, which is the post-purchase part of a design that automatically carries prospects to loyal customers.

FAQ | Common questions about package inserts

Q1: Don't package inserts cost money?
A1: A thank-you letter can be started with a single printed sheet. Emotional value is not necessarily high-cost.

Q2: Don't discount coupons cut into profits?
A2: Judge based on LTV after the second purchase (F2 conversion), not the profit from the first purchase. Since there are no advertising costs for the second purchase onwards, there is room for recovery.

Q3: Should we not conduct surveys?
A3: It is a matter of how you conduct them. Simply avoiding the time immediately after purchase and shifting it to a time when satisfaction is high will significantly change the impression.

Q4: Where should I start?
A4: Start with subtraction. Stop the immediate post-purchase survey and excessive flyers, then add the thank-you letter and coupon.

Summary

Package inserts are one of the few touchpoints that are opened almost 100% of the time. Add one sheet that generates 'I want to buy again' and remove one sheet that invites churn.
In this order, you add one more step to the staircase where prospects grow into loyal customers.
Next time, I will write out the 'blueprint for F2 conversion' that connects insert coupons to subscriptions.

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