The Power Of Direct Mail

Rhonda HiltbrandIt’s important to select the right marketing channels and to recognize the enduring power of print media to produce an effective marketing campaign, experts advise. Also, remember that it takes commitment to build a following through paid advertising. The Guardian (London)

(Marketing Essentials of the Highly Successful Shop Owner – Part Four)

Technology is great but too often tech companies leave out the human factor…to them it is data-to-data instead of a person to another person.  They still call it marketing…but is it really?  Mostly it is a quick, cheap “touch” and so it is given very little thought.  If one had to pay direct mail prices to send it…they probably would scrutinize it before pushing it out!  I get more complaints from my customers about the tech companies they use than about anything else.  They say their customers complain to them about receiving too much…34 or more touches a month.  Whatever we do…we don’t want to be annoying.  I appreciate the tech companies’ zeal and enthusiasm but too much of a good thing is still…too much! I always suggest that my customer ask the tech company to cut back on how much they push out.

Direct mail still delivers the strongest ROI for business to consumer.  If you are trying to find new customers, it can be done very inexpensively.  If you are keeping in touch with your current customers it works very well.

  • Direct mail delivers the strongest ROI for Business to Consumer acquisition of customers (31% for direct mail compared to 16% for email) as well as for retention of customers (37% for direct mail compared to 29% for email).
  • 98% of consumers bring in their mail the day it’s delivered and 77% sort through it immediately.
  • 65% of surveyed online Americans say they have made a purchase in response to messages received via direct mail.
  • For every $1 invested in direct (non-catalog) mail expenditures, the average return on investment is $15.40.

The DMA (Direct Marketing Association) uses $12 in revenue for every $1 spent to show you can have over 1200% ROI.  This is based on the lifetime value of your customer.  For example, if you spend $1000 on a direct mail campaign you may not see $12,000 worth of immediate business but over the lifetime of the customer you could reasonably expect to see a 12x return on investment.

No other type of advertising gives a small business that level of return.

Next month we will continue with more stats and reasons to use direct mail!  I promised to keep my Help Me Rhonda’s short and sweet so I will stop here for this month!

Never hesitate to contact me with comments or questions!

Thanks!
Rhonda Hiltbrand
CEO
News Works Marketing