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Whether you serve all households or businesses in an area or you serve a
more specific market, an effective campaign targets those consumers or
businesses that are most likely to be interested in your product or
service. In fact, up to 40% of direct mail success relies on choosing
the correct list of prospects. Getting your message to your target
audience generates higher quality leads and increases your ROI.
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You wouldn’t purchase groceries months before cooking, so why order a
list well before your campaign is ready? Like food, information can
spoil over time. Lists go out-of-date at a rate of 15% or more every
year. Ordering a list when you’re ready to launch your campaign results
in a higher percentage of deliverable mail because the list is fresh.
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Before
starting ask yourself, “What am I trying to accomplish with this
campaign?” Some businesses launch a campaign to build their brand or
announce their presence, others aim to generate leads and orders. This
is the first and most important step in a direct marketing campaign as
all the other steps are based around achieving this objective. Without a
clear objective it is impossible to determine success.
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In order to elicit responses your
campaign has to generate excitement. One of the top-10 direct marketing
mistakes is burying or not including a call-to-action. Programs such as
discounts, free consultations, and buy-one-get-one-free offers, coupled
with deadlines, give the prospect an incentive to contact you quickly.
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Some people
prefer email communication, others phone calls. For consumers, if you
offer both phone and mail response the response rates will be equally
split. However, if you eliminate one method, the total response rate
drops 20%-25%. Giving your For businesses, if you eliminate one method
the customers multiple response rate drops to 50% or less of what it
would be with both options. Giving your customers multiple ways to
contact you not only generates more responses, it also shows a more
responses, it also shows a concern for your clients and their way of
performing tasks.
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Nothing is stronger than good references. Peers are the second most
trusted source of information with 22% of respondents of a recent Sirius
Decisions survey indicating peers as their most trusted source (Industry
Analysts ranked first with 29%). When your message comes from customers
it has greater influence due to their objectivity and independence from
your company.
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Knowing your product or service and your market goes a long way towards
success, but you never know exactly what will register with prospects
until you do it. The best way to increase response is by testing three
elements of your campaign, one at a time. The elements are the headline
or opening sentence, the offer and the pricing. By knowing and using
what has already proven to be successful, future campaigns will be more
efficient and will generate higher ROI.
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It is important to be realistic when developing expectations for your
campaign’s response rate. The deliverability rates for consumer and
business lists are 94% and 90% respectively. However, the average
response rate for direct mail prospecting campaigns is 1-2%. The
disparity between delivery and response rate further illustrates the
need to have a specific target and proven method of reaching them.
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Following up a direct mail campaign with a phone call makes the campaign
more personal and reinforces your brand. Following up a direct mail
campaign with a phone call makes the campaign more personal and
reinforces your brand. For every day a lead is not followed up it loses
10% of its value. Calling prospects is a great way to quickly establish
a relationship after your campaign has taken place.
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Monitoring the number of people who respond to your mailing and what
characteristics they have in common is critical. This will reduce
workload and increase profits for future campaigns as you will have
defined targets and will know what resonates with those prospects.
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