In a world driven by computers, some companies are finding that the simple, direct mail advertising approach can still draw in customers. The trick is to make it cost effective.
A recent research indicates that in the UK, the number of direct mail coupons sent out has dropped to less than sixty percent, yet the redemption level of coupons has increased to sixteen percent. This would indicate the important of directing an ad campaign at a focused target audience, thereby decreasing the amount of necessary direct mail while increase response. Know whom you’re sending what to.
To maximize a direct mail campaign, the mailing should be directed at people with specific buying habits. Evaluating the responses targets the most potential customers. This allows the marketer to create a new, even more targeted mailing list.
A successful direct mail campaign needs to have a succinct clear message that can be read quickly. The mailing should be attractive and stand out. A good direct mail campaign is no place to pinch pennies. Providing a pre-paid reply envelope makes it easier for the consumer to respond can increase response tremendously.
Studies indicate that twenty-two percent of direct mail is tossed. At the same time, eighty-five percent of direct mail from banks and credit card companies are opened. In part, this reflects the sophisticated use of data to target core customers. Also, banks use direct mail to keep in touch and communicate with their customers, thereby holding on to satisfied old customers and bringing in new ones.
Direct mail campaigns from the retail industry illicit the second best response, after the banking industry. Retailers have made effective use of money-off coupons. During difficult economic times, more people collect and actually use coupons.
The effective implementation of a successful direct marketing campaign can still reap rewards for savvy retailers.
The direct mail industry in the UK is regulated by the Direct Marketing Association DMA.