 Let's start by defining the difference between direct mail and direct marketing:
- Direct mail means anything you send in the post.
- Direct marketing includes everything you send in the post, but also includes a range of other media such as telephone, adverts, inserts, radio advertising, e-mail and internet.
Direct mail could greatly benefit your business. It can be an extremely cost-effective Marketing method if it is carefully planned and thought through, generating your business leads and enquiries that will increase sales.
It's true to say that direct mail has a poor reputation based on the fact that most of us throw away most of the mail we receive without actually reading it. There are no actual statistics to prove the average amount of wasted mail because all mailings are different and will achieve different results. Many large companies will carry out large, expensive direct mail campaigns on a regular basis because they've tested it and it works. Those companies that don't have the budget or knowledge to run a direct mail campaign effectively will find that it just does not work, but when it's done well, direct mail can make your profits soar.
The benefits
The real benefit of direct mail is that it can be tested and measured very easily. If you send out 1000 letters and you get 10 responses the chances are that, if you send 2000 letters to the same group you will get 20 responses. Now that may not sound many especially if you are selling a relatively low-cost product. You will need to balance the cost of your direct mail against the profit made from a sale. Be careful. Start small and test. Be prepared to run a couple of campaigns before you decide whether it's a marketing activity that's right for your business.
Direct mail will fall into two categories:
- Mailings to existing customers
- Mailings to potential new customers
Existing customers
Start by mailing existing customers. It can be up to 30 times more expensive to gain a new customer than it is to sell to an existing one. Think of your existing customers as your sales team and reward them accordingly. Customers who have bought from you in the past, or are currently using your service, are more likely to buy from you again. More importantly they might recommend your business to their friends, family or colleagues. Send these customers a letter with a great offer and measure the response. If it works, and this will depend on the letter, its contents and the offer, then send another letter to the same people a month later, with another incentive and measure that response. If it works, keep doing it.
New customers
Sending mail to attract new customers is quite a different exercise. You may need to buy or rent a mailing list for your target group. There are currently many mailing lists available for a small fee. You don't have to buy hundreds of thousands, but you will need to understand the process before you commit. You may need to bring in outside help to ensure that you don't waste your money.
Always include a letter with any flyer or brochure that you send out. The letter should always include the benefits that your products or services offer the customer, rather than a company resume. Make sure that the heading of your letter grabs the readers' attention as it's the first and sometimes the last thing people read. Always include a PS. that summarises the content and offer within your letter. This is often the second thing the reader looks at before reading the main text.
If you got a 5% response rate the first time, you are likely to get another 2.5% the second time around.
Apple Pie can help with all of your direct mailing needs.
Contact Apple Pie on 01962 732392 for help and advice.
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