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Understand Direct Marketing > Profiting from Direct Mail
"There’s nothing new about direct mail" you might say. That may be true, but so is this: direct mail is still one of the most effective advertising mediums you can use.

With the advent of new technologies such as modeling and the increasing ability to use multiple channels to round out your marketing efforts, direct mail is more potent than ever. Consider that direct mail grew by 4.4% between 1998 and 2003 and will grow by nearly 6% between 2003 and 2008. That’s considerably faster than US GDP growth, which means that users are finding it profitable. Those growth figures are even more remarkable when you consider that direct mail accounts for almost a quarter of all direct response advertising and that aggregate interactive marketing expenditures – the darling of the last few years – still represents less than 20% of current direct mail investment.

One of the unexpected benefits of direct mail in today’s world is its lack of "in your face". Most of us are irritated by the barrage of spam in our email Inboxes and have a newfound appreciation of the ability to handle our physical mail how and when we want to.

Recently the Envelope Manufacturer's Association Foundation, released a study called, "Because It's Personal: A Study of Consumer Use and Preference for Envelopes," reported that 75 percent of Americans say they are most likely to pay attention to "direct mail sent to my home." This was three times more than "unsolicited e-mail," "Internet banner or pop-up ads," "calls to my home," "a person coming to my door at home" and "text message to my mobile phone" combined. Furthermore their research indicated that:

  • 66 percent of consumers open a direct mail piece if they think the contents might be interesting

  • 61 percent open it if they think the contents will be of personal interest to them

  • 9 percent open it if they can clearly identify the purpose/sender from the envelope

Having validated direct mail as a highly effective marketing tool, how do you profit from it? Learning all the tips and techniques of successful direct mail marketing is of course the best starting point. There are numerous sources of information available through the US Direct Marketing Association at www.the-dma.org including courses and books. However, one thing you will quickly learn is that of the key components of a direct mail package, the offer, the creative and the list, the list accounts for over 50% of the response impact – more than any other component. As there are over 55,000 lists on the market and a mind-boggling array of response, compiled, co-op, shared, and hybrid lists available, working with a professional List Broker is one of the smartest decisions you can make.

Call us now for a Quick Quote or to discuss your next campaign.

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