What Is Direct Mail?
Ultimate Guide to a Direct Mail Campaign is posted for you to learn the specifics of Direct Mail. Direct mail refers to the act of sending a physical medium to potential prospects, current clients, or existing members of your organization. It could be a letter, pamphlet, package, postcard — anything that sends a message about your business or organization.
There is some thought that direct mail is for B2C, but it can be an equally effective strategy for B2B as well. Preferred Direct is both a print and direct mail operation, making us a powerhouse for businesses Direct Mail Campaigns over the nation.
The Power of Direct Mail
Direct mail creates a tangible experience in a person’s hands, one that can reach the practical senses to connect with the emotional side. It may explain why the Direct Marketing Association found that house lists generated an average response rate of 9%, and prospect lists generated an average rate of 4.9% in 2018. The response rate had roughly doubled from the year before, making 2018 the most productive year since 2013. Studies have shown that people view direct mail as more trustworthy, perhaps because it requires more effort to send than your standard email blast.
What Kinds of Direct Mail Are Most Effective?
The 2016 data revealed the following ranking (in terms of response rate):
- Oversized envelopes
- Dimensional mail
Oversized envelopes create a sense of anticipation, an itch that needs to be scratched. Postcards give people all the information they need with nothing more than a single glance. Catalogs are both enticing and easy to flip through to see if anything catches the eye.
And, well, you might be wondering what precisely dimensional mail even is. In short, it’s anything that isn’t flat. In other words, if you make your flyer into the shape of a paper airplane, there’s a much higher chance that someone will open it. You can also try making your mail more than 3/4″ thick. That also seems to hold a lot of appeal to recipients if you’re measuring based on the response rates.
How Does B2C Direct Mail Work?
A B2C Direct Mail Campaign doesn’t have a lot of rules, which is one of the reasons why it can be a fun project for marketers. Some people will send instant coffee to customers to show them just how easy it is to use the company’s services (as simple as adding hot water). This type of direct mail works especially well for startup businesses. Others will work the personalization factor, addressing a person as directly as possible.
So instead of just including the person’s name, they might also incorporate the school they go to, the type of financial account they have, or their specific insurance policy. Non-profit organizations often include coins in their direct mail pieces to prompt the recipient to respond.
Addressing a specific person means using variable data in commercial printing. You’ll need a company that can quickly alter a piece, so it’s as accurate and useful as possible. So if you’re trying to send information to your patients about their insurance policy, you can vary your direct mail based on the patient’s plan and coverage levels. Preferred Direct has worked with countless Direct Mail Campaigns across a wide variety of industries, and we’ve seen what works along the way and the solutions they provide.
How Does B2B Direct Mail Work?
Consumer direct mail will inherently be different from B2B, especially if you’re marketing or targeting a highly select group of people. We recommend personalizing every piece of mail that goes out (similar to B2C efforts). Some businesses have even gone so far as to create personalized portraits or cartoons for each prospect. (Trust us when we say there are enough freelance artists out there to make this little gamble worth your while.) Others will send leftover swag to companies for everyone to enjoy, or create a fake press release or news article that details how their business can help recipients solve a problem they already have.
Whatever it is you do with your B2B direct mail, you need to consider the end product of each campaign. If the colors of your brand are a little dull or the artwork is a bit smudged, it can create a negative association with your company long before the reader ever really bothers to learn what you had to say.
What Is Digital Mail?
Digital mail is a way for you to personalize your correspondence using computerized tools and therefore more targeted. Digital Mail allows you to manage your mail through your Smart Phone if you like.
Mostly, it’s a way of piquing your audience’s interest without dramatically increasing the time or cost of the project. One of the biggest reasons why email campaigns and virtual advertising fails is because it rarely addresses the reality of the consumer’s life. A financial account holder who’s never invested before is unlikely to care about an opportunity with a minimum buy-in of $20,000. Parents of a toddler aren’t going to rip into a brochure that details the myths and facts of student loan debt.
For some, using variable data may have been difficult to do in the past, but this has largely been changed by the technology of the day. Rather than plates having to be swapped out every time you wanted to change artwork or wording, database-driven printing equipment can be programmed to go from one piece to the next seamlessly.
How Can I Best Personalize Direct Mail?
One word: segmentation! If you’re not segmenting your lists, you’ll end up sending meaningless junk to people. You’ll end up wasting your direct mail budget! A marketer’s job is to comb through their audience to better understand what’s driving people’s habits and to make the mailing more targeted.
Variable data can be incorporated into direct mail, but you first need to know how to best work with that data. Ideally, you’d want to send a different message to every customer and prospect. Customers and prospects want to feel valued, especially given the level of competition in the business world today. And while this is a tall order, you can get closer to this goal if you can start paring your list by everything from age to income to lifestyle.
As you begin to make your lists more specific, you can use A/B testing to quantify your response rates. So let’s say you create a small list of people. They’re all roughly the same age, they all live in a similar neighborhood, and they all share vital traits in terms of their profession.
As an example, you send one half of the list a letter detailing how you can help them save some cash with your services. You send another half a letter discussing exactly how your business helps customers save time. From there, you can measure the response rates to see if people care more about their money or their time. There are many ways to A/B test your mailing piece. You can test colors, call to action, fonts, etc The key is to test and test to be sure that you are getting the best response or the response you want.
Why Wouldn’t I Send an Email?
Consumers are consistently facing a deluge of email. When this strategy was first debuting, marketers found success in carefully constructed email campaigns. However, the influx has made it such that even the most dramatic of subject lines are not getting the desired results.
People receive 121 emails a day on average, meaning it’s become much more of a chore than anything else. In contrast, people still enjoy checking their mailbox, especially when they get something interesting or fun from time to time.
How Much Does Direct Mail Cost?
Here’s the rub if you’re comparing the two most common forms of communication: email is virtually free, but direct mail will cost you a little more. The largest expense for a Direct Mail project is the postage.
Direct Mail can end up affecting your ROI, but we still think it’s worth the risk.
Direct mail can cost anywhere from a few cents a project, the graphics collating of the data to the bindery of the medium.
If you’re looking to save a little cash on your project without compromising the quality, you’re in luck. The machinery used for direct mail has improved in the past few years, making it possible to handle high volumes and complicated design requests (whether in terms of graphics or folding). If you’re looking for commercial printing, it helps to pick a company that knows the value of a good investment.
Preferred Direct has the Xerox Impika and the HP T-240 HD printer, both of which have managed to blow us away with their efficiency and results. Print on Demand projects is high-speed full-color printing at its finest. What that means for your direct mail campaign is that no drop of ink is wasted, and no detail is overlooked. You can use the paper stock that fits your brand, so you can rest assured your direct mail is making the right impression.
How Does the Post Office Work with My Direct Mail?
The post office looks at everything from the size of your mail to the thickness to the shape. Their visual inspection of the trays or sacks and the accompanying paperwork, whether First Class Pre-sort or Standard will be necessary for the mail’s approval. If everything isn’t labeled correctly, carriers may treat your direct mail without the kid’s gloves it requires. You don’t need your carefully crafted folding job to end up flattened at the bottom of a postal bag. Preferred Direct knows the U.S. Post Office requirements inside and out, and we make sure your mail is delivered precisely how you intended it. Why go through all that effort if customers or prospects end up with a half version of what you meant to send?
How Can I Use Direct Mail with Inbound Marketing?
Inbound is all about working with qualified leads, and direct mail is all about creating them. The more interest you can generate through your outbound efforts, the more you can grow your inbound efforts. Use direct mail to educate people about what it is you’re trying to do and watch how your efforts encourage them to take the next step.
As with any inbound strategy, you need to find customers where they are. It should come as no surprise to you that some people won’t even look at their mailbox because they’re too busy looking at smartphones. But for marketers in industries like insurance, finance, and education, you’re likely dealing with homeowners who are still interested in the mail.
You can also work with opt-in lists to create more inbound success. The people on your opt-in list have already asked for you to send them direct mail. Those who inherently have an interest in your company may be more likely to follow-up on your specials or promotions, which can lead you to more profitable relationships. Sending just the right number of publications can encourage customers to upgrade without annoying them.
Or you can try following up a virtual sign-up with a physical one. So if someone subscribes to your email list, you can send a thank you with direct mail. Or you can send an interesting case study that showcases how you help people just like them. Doing something a little different can help your company stand out.
Can I Cross Commercial Printing and Digital Marketing?
Yes, and the results can be surprisingly effective. Some people will direct customers or prospects to the website instead of asking them to call to make an appointment. Some will offer incentives to sign up for their app, but only make those incentives available to those who receive their direct mail.
You can also print a scannable QR code on your direct mail piece. The data will show you how people are interacting with your mail piece.
What Should I Look for in a Direct Mail Company?
A direct mail company needs to be able to keep up with you. Despite the many (many) printing companies who advertise cut-throat rates online, the moral of the story is that your level of service matters. If you need to make last-minute changes to your direct mail, you need a staff that can make it happen.
With Preferred Direct, you get a project manager who is looking after all the details on the project. They’re the ones coordinating different employees, so no request is falling through the cracks. These pros are also here to help guide you through the process of direct mail. So if you have questions about segmentation, branding, or A/B testing, we show you how to make the most of your hard-won lists.
How Can Direct Mail Directly Affect My Profits?
A Direct Mail Campaign is a great way to strengthen your branding efforts. The more times you can connect with your customers on different levels, the more likely they are actually to remember you. So while your direct response rate may not be 100%, that doesn’t mean you haven’t made another impression on your customers.
Your virtual communication, physical media, and broadcast efforts may all differ based on the audience and the communication method. Still, the essence of the brand and the messaging stays the same.
If you want to learn more about how direct mail can help you, Preferred Direct is here to give you a few tips. We have the equipment, know-how, and professional experience to provide you with more than just standard advice. And while we can’t get into the specifics of your campaign right now, we can undoubtedly dive right in when you give us a call.