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First and foremost you have to ask yourself if
direct mailing is worth it for you. Marketing experts
agree that the standard response rate for a direct
mail campaign is 1-2%. Let’s break this down
a little bit: If you spend $350 on 5000 postcards,
$1200 on postage and $200 on a mailing list of
5000 prospects your expenses total $1750. If you
yield a 2% response rate that means you have 100
positive responses or sales. How much you make
per sale will be the final determining factor in
deciding whether or not direct mail campaigns are
a worthy investment.
Let’s say you sell novelty t-shirts and
make a profit of $10 per sale. At a 2% response
rate that’s 100 sales yielding $1000. This
is $750 less than it cost to run the campaign and
it is a major loss. However, if you sell custom
furniture at $50 profit on each sale, the postcard
campaign will yield 100 positive responses totaling
$5,000. This particular scenario shows a major
gain and would be quite worth the investment.
Once you’ve crunched the numbers and figured
that a direct mail campaign might be worth your
while, it is time to plan your campaign. Setting
up the right plan is the key to making sure you
achieve at least a 1-2% response rate. The basic
elements of the plan include selecting your mailing
list, writing effective marketing copy, including
a special offer, and making a strong call to action.
Selecting the right mailing list is the cornerstone
to overseeing a successful direct mail campaign.
There are many list brokers that sell leads that
can be custom tailored to your needs. For example,
if you sell high end automobiles you would most
likely want to target those with a specific income
range. Most list brokers make it possible to narrow
down your mailing list according income range as
well as many other criteria.
Once you’ve selected your target market
and purchased your mailing list it is time to actually
design your promotional piece. This is where most
campaigns go wrong. Most people aren’t familiar
with the proper marketing techniques that ensure
a better response rate. For example, they tend
to highlight the features of their product or service
rather than emphasizing the benefits the consumer
will reap by purchasing this product or service.
Prospects are not really interested in YOU, they
are interested in THEMSELVES. By highlighting how
your product or service can alleviate a burden
they might have or save them some money you are
on your way to grasping their full attention. For
example, if you are a landscaping company you do
not want your headline to read “Over 20 Years
Experience!” This headline does not appeal
to the needs of the prospect. Try instead, “Spend
your weekends relaxing, not weeding!”
This particular headline uses the alleviation
of a burden as its marketing approach and would
be much more effective than the former.
Including a special offer in your message is crucial
to its success but you don’t have to give
away the farm. A simple discount for first time
customers is enough to cut through the competitor’s
offers and give your prospect the incentive to
consider you first. Again, it is important to first
crunch the numbers and calculate how much you can
afford to discount and still come out ahead. Other
special offers might include the offering of small
gifts, coupons or gift certificates.
The “call to action” statement is
a phrase in which you urge your prospect to be
proactive. CALL NOW, ORDER NOW and SIGN UP TODAY
are just some of these phrases that we hear everyday.
Often times these statements will be tied in with
the special offer to give them some more teeth-
ORDER NOW AND SHIPPING IS FREE!
Though these statements may seem superfluous countless
marketing experts agree that they work. They motivate
the prospect to take that extra step and move beyond
just considering your offer to acting on it.
Once you decide that postcard marketing is for
you, adhering to these guidelines will help to
ensure greater response rates which ultimately
lead to more sales.
For more about postcards that can be designed
to fit your needs please visit: www.promotionlotion.com/postcards.htm.
About The Author
Eric Young is the president of PromotionLotion.com,
a firm dedicated to helping businesses
and organizations reach out to the public
as creatively and inexpensively as possible.
Please visit www.promotionlotion.com or
call 1-877-LOTION5 to learn more. |
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