Are Product Registration Cards Obsolete?
Despite the rise of online options, paper product registration cards remain the primary method for consumer registrations—accounting for 70-80% in many categories—because consumers who prefer paper are reluctant to switch to online-only registration, and eliminating paper cards often leads to a significant drop in overall registration volume, making manufacturers advised to carefully weigh the cost-effectiveness and potential ROI before discontinuing paper cards.
If we were to create an FAQ listing some of the most frequently asked questions we encounter about product registration, one item would immediately go to the top of the list: Do consumers still fill out and mail in those paper registration cards? What will happen if I do away with paper registration cards and just go with online registration only?
Manufacturers are frequently surprised by the answers to these questions. Yes, consumers do still fill out paper registration cards – in fact, the paper form accounts for the majority of registrations in many product categories, in some cases as much as 70% to 80% of the total. There is quite a bit of variance across product categories, which is explained primarily by the nature of the product itself – for digital cameras and other technology-oriented products paper may account for as little as 40% of total registration volume, while appliances and other low-tech products tend to fall on the opposite end of the spectrum.
As for the second question, evidence suggests that consumer behavior is not very flexible when it comes to product registration. Consumers who would normally respond via paper seem to be reluctant to migrate to online registration if the paper option is not available. This chart shows what happened when one manufacturer eliminated the paper card from their packaging and attempted to steer all of their registrations online. Results will vary depending on how effectively the online registration alternative is promoted in the package, but we encourage any manufacturers who are considering eliminating the paper card to anticipate a significant reduction in overall registration volume.
We also encourage manufacturers to approach this as an ROI-driven decision. You can estimate the cost to acquire a registration using a fairly simple formula:
(Unit production cost / response rate) + processing cost = total cost per registration
So if it costs $.03 to print and insert a paper registration card and the response rate to the card is 5%, and if the cost to process the registration is $.15, the total cost to acquire the registration looks like this:
($.03 / 5%) + $.15 = $.75
With this information at hand, manufacturers can make much more objective and informed decisions about the potential value of paper registration cards. In the example outlined above, manufacturers who can generate more than $.75 of value over the lifespan of a product through direct sales of accessories, consumables and replacement parts, or through ongoing communications designed to promote brand loyalty and drive future purchases, would be well advised to continue distributing registration cards with their products. For perspective, this is equivalent to making a $75 sale to one out of every 100 consumers in your database. In the absence of those opportunities to generate value, the expense may simply not make sense.
Related
Shinola Detroit Case Study Summary
Shinola Detroit, a design brand known for timeless products and craftsmanship, partnered with Registria in 2021 to increase product registration rates from below 15% by implementing an improved digital registration system called Photoregister SM, enhancing owner onboarding with a clear value proposition around their limited lifetime warranty, and creating a universal in-product call to action to boost customer engagement, data accessibility across teams, and personalized service.
Whirlpool Case Study Summary
Whirlpool Corporation partnered with Registria to implement Photoregister SM, resulting in a 300% increase in registration rates for one brand, a 50% increase across all products, a 7-fold growth in extended service plan revenue, and improved onboarding and verified customer reviews by leveraging mobile registration and personalized offers to enhance customer engagement and satisfaction.
Ownership Experience Best Practices
The article emphasizes that a successful Ownership Experience (OX)—the comprehensive, personalized interaction between product, customer, and brand throughout product ownership—relies on leveraging first-party data to create tailored Owner Journeys in onboarding, care, and commerce, which in turn boosts customer satisfaction, loyalty, and lifetime value, with best practices highlighting the need for organizational alignment and personalization as key differentiators in today’s market.
Driving Sustainable Revenue through High Impact Customer Relationships
The article emphasizes that outdoor recreation brands must rapidly build direct, personalized digital relationships with existing product owners—who drive 80% of future revenue—to sustain growth post-pandemic, leveraging the surge in outdoor participation and eCommerce trends accelerated by COVID-19.
Thermacell Case Study Summary
Thermacell, a leading mosquito and tick repellent brand, aimed to boost product registration rates to enhance customer tracking, loyalty, and lifetime value, and achieved a sevenfold increase by implementing Photoregister™, a digital onboarding tool enabling easy product registration via mobile channels like SMS, Facebook Messenger, and WhatsApp, thereby transforming their registration process into a seamless, modern experience.
Unlocking the Power of First-Party Data in Modern Marketing
The article emphasizes the shift from third-party to first-party data in digital marketing due to privacy regulations and cookie deprecation, highlighting how modern product registration through digital channels enables brands to collect valuable, consented customer information directly, fostering personalized marketing, stronger customer relationships, and increased loyalty by providing a seamless onboarding experience with clear CTAs and multiple registration options.