"Leaflets drops really only get you approx 2% return, and a very low response compared to other possible promotional items"
Leaflets work for my salon. Always have done for some reason.
Those figures above are based on large business doing a mailshot over a massive geographical area. It's not really comparable to be honest....
The problem/challenge for busineses like ours is that its going to vary massively from business to business and area to area.
I think we're too small an industry (as individual concerns) to deal with generalisations like that really. I've heard lots of people say Facebook isn't working for them- for example.
You'll hear anecdotary evidence of it working well, and not working well for others. Sounds mad, but the only way you'll know is by giving it a try.
But- I will say that you should give it every chance to succeed. Make sure theres a reason for someone to read it, and put on there a "call to action" i.e. give them a reason to contact you!
Lastly, measure its impact. Make people return the leaflet to you in order to get that discount etc. as if you can't measure a campaign, you'll have no idea where people are coming in from.