Many companies who don’t have the budget (or time) to invest in advertising their product in print publications or on television turn to direct mail, an effective marketing method that allows you to test the market for your product relatively easily, cheaply and quickly.
The first step in setting up a direct mail campaign is compiling your mailing list. If your business already has subscribers, say to an email newsletter, you may already have some of the information you need to reach your target audience. To add to this, you can look at the profile of your current subscribers and purchase contact details and addresses for your direct mail campaign that match this criteria. This is something that BDP Agency can help you research and find your specific, targeted mailing data list that most closely resembles your target audience.
Next, you need a mailing piece. Brochures are expensive for this kind of campaign – instead, you want a sales letter or postcard with a strong “call to action” compelling the recipient to respond, with an order, a request for more information, or a phone call to your company.
Always code your mailings. Assign each mailing a unique batch number or code word. This will help you collect data telling you who has responded to which mailing and which offer. This way you can easily see which offer is working the best for you.
Next, you’ll want to run a test mailing. Aim to test at least 10% of your list and/or no fewer than 1000 pieces. This will give you enough direct mail data to produce useful results. Before running your test, decide what response rate will support you going forward with mailing to your entire list.
Once your mail is out there, you need to be prepared to handle the response. Will a response trigger you mailing out more information? Or following up with a phone call? Be sure you’re ready, because nothing turns off potential customers more than a slow response to their interest in your product.
Finally, analyse the response to each campaign you run. In direct mail marketing, work out your return on investment and this will enable you to work out an expected response rate for your campaign. Did a particular segment of your target audience respond more readily than others? You may want to target them more specifically next time or split test your campaign.
With each campaign you initiate, you’ll get more information. This will allow you to finely hone your next direct mail campaigns to target the audience most likely to respond with the offer most likely to prompt that response.