At a glance
- Home Hardware used direct mail to target high-potential homeowners interested in accessory dwelling units (ADUs).
- A data-driven, postal code level strategy ensured the campaign reached the right audience with minimal waste.
- The campaign drove strong engagement, including a 15% increase in website traffic and high on-page dwell time.
Home Hardware needed a blueprint for turning awareness into interest.
Founded in 1964, the St. Jacobs, Ontario-based retailer operates 1,100 stores under 4 different banners across the country. Its dealer-owned model offers flexibility for each store to adapt to local needs while benefiting from the network’s distribution and marketing capabilities.
Recognizing a surging demand for accessory dwelling units (ADUs), Home Hardware sought a precise marketing strategy to connect with potential buyers and unlock this significant market opportunity.
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The rising popularity of ADUs – fuelled by multi-generational living, remote work, space design and economic trends – combined with evolving municipal regulations, presented a prime opportunity for Home Hardware to expand its reach and boost sales for its Beaver Homes & Cottages service. While the company boasts a strong presence in rural and suburban areas, capitalizing on the growing ADU trend in urban markets required a more targeted approach.
Traditional broad-based marketing methods seemed inefficient for reaching the specific homeowner demographic most likely to invest in an ADU.
“This wasn’t just about reaching more people; it was about reaching the right people,” said Robert Allan, Director of Paid Media at Home Hardware. “We needed to pinpoint those homeowners who were not only interested in ADUs but also had the properties and resources to make it a reality.”
That level of precision demanded a different approach.
Relevance
Home Hardware partnered with Canada Post and DRMG to launch a highly targeted direct mail campaign aimed at specific postal codes with a high propensity for ADU development. It focused on single-family homes with ample space and favourable local ADU regulations.
This hyper-targeted approach ensured that marketing efforts reached the most relevant audiences, minimizing wasted impressions and maximizing impact.
“Direct mail wasn’t always a core part of my media mix,” Allan said. “My background is rooted in digital and mass media strategy – platforms like Google and Meta, national television and strategic partnerships with broadcasters and sports properties like the Blue Jays. I’ve explored nearly every major channel… short of skywriting. But it’s difficult to convey a complex message like ADU construction through those channels. Direct mail proved perfect – a tangible, visual message that someone could hold, understand and act upon. It’s a channel that’s often underestimated.”
The team created direct mail pieces featuring high-end photography of available ADU units, showcasing the design possibilities and encouraging recipients to scan a QR code for more information.
“Many companies misuse QR codes, but for this campaign, it was a natural fit,” Allan said. “Direct mail provides the perfect environment for a QR code because it’s so traceable. We could directly measure the results and understand how this integration of physical and digital was driving customer engagement. It allowed us to leverage the best of both worlds.”
Inciting action
The direct mail campaign used a multi-faceted approach:
Data-driven targeting
Leveraging Canada Post data and insights from DRMG, Home Hardware identified postal codes with a high concentration of suitable properties and ADU-interested homeowners. Key criteria included household income, homeownership and building structure.
Localized messaging
While maintaining a consistent brand identity, the direct mail pieces were customized for local Home Hardware dealers, reinforcing their connection to the community.
QR code integration
A prominent QR code directed recipients to a dedicated ADU subpage on the Home Hardware website, providing detailed information and inspiring design ideas.
Launched in fall 2024, the campaign initially centred on 9 communities in Ontario. Following early success, it expanded to 23 communities across the country. Success was measured by the level of consideration, recognizing that an ADU purchase is a significant decision for most consumers.
"Selling ADUs isn’t like selling groceries. It’s a complex, long-term decision that requires careful consideration. Our challenge was to break through the noise and deliver a message that resonated with homeowners at the right stage of their planning process."
Results
The direct mail campaign exceeded expectations. The QR code integration proved highly effective, driving qualified leads to the dedicated ADU subpage on the Home Hardware website and resulting in a 15% increase in traffic.
Website visitors acquired through the QR code spent an average of 5 to 8 minutes on the page, indicating a high level of interest and engagement.
“This campaign proved that in today’s crowded world, precision targeting is essential,” Allan said. “By focusing on the right audience with the right message, we were able to achieve results that far exceeded our expectations.”
Key takeaways
- Precision targeting is critical for high-consideration purchases like ADUs – broad media approaches are inefficient.
- Direct mail is effective for complex products because it delivers a tangible, easy-to-understand message.
- Combining physical mail with QR codes bridges offline and digital, enabling measurable engagement.
- Localized messaging strengthens relevance and reinforces community connection at the dealer level.
- When the right message reaches the right audience, direct mail can drive deeper interest and stronger conversion signals.
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