Direct Mail – 5 Reasons Why It Is Still So Effective

24 02 2010

So many people underestimate the power of traditional marketing methods, and in this post, I’m going to tell you why Direct Mail is still high up in the efficiency ranks for marketing.

Direct Mail is great for several reasons, and I’m going to write a few short bullet points explaining why Direct Mail is so effective.

  • Time Spent – I’m not talking about the amount of time you spent designing, implementing and sending your direct mail, I’m talking about the amount of time your reader spends looking at your marketing. If you think about it, when someone looks at an advert online, if they aren’t interested, they will simply click off. Whereas in Direct Mail, if they aren’t interested, chances are they will just put it down somewhere in their house; and then they look at it again later.
  • Precision – Instead of a ‘hit and hope’ method, with Direct Mail, you can pinpoint the people who fit your psychographic, demographic, and geographic profile, meaning much more targeted eyes are reading; therefore, you will get a higher ROI (Return On Investment)
  • Immediate Responses – Once you send out your direct mail, it doesn’t take long to get a response. Within one or two weeks you’ll receive around 80-90% of all those who are going to respond. If your campaign works, you’ll know about it quickly. If it doesn’t, you will know that quickly as well.
  • Simple – It is so simple to create a direct mail campaign; all you need to do is design your leaflet/brochure/letter, and then print multiple copies. You can then send these out, and all you’ve had to do was spend maybe an hour designing it.
  • Cost Efficiency – For the purpose of this point, let’s say that a single letter to a single house costs 50p. You sell your services at say £20 a pop. Therefore, you can send out 40 letters, and as long as you receive one response, you’ve lost no money! You need to work out how much it will cost each household, and how much one response will earn you, as a minimum. Once you know this, you will know how cost-effective Direct Mail can be for you!

So there you have it; just a few brief points as to why I think Direct Mail is still one of the most efficient ways of marketing. Let me know what you think in the comments below; I’m looking forward to a discussion!

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5 responses

24 02 2010
Direct Mail » Direct Mail – 5 Reasons Why It Is Still So Effective « KeepersAcc …

[…] The rest is here:  Direct Mail – 5 Reasons Why It Is Still So Effective « KeepersAcc … […]

8 03 2010
Neil Edwards

I agree that direct mail is an effective and under utilised marketing method if done well.

You have, however, over simplified what is needed to make direct mail work.

‘Batch and blast’ with a one size fits all mailing is destined to fail. Consideration has to be given to where the prospect is in the buying cycle and the marketing message that is needed to take the prospect to the next stage.

The message should address ‘what do I want the prospect to do?’ and ‘Why should they do it now?’

Your calculation of costs is also over simplified. A 2.5% response on a batch and blast mailing without any follow up is highly optimistic. The chances are you will get a zero response and have great difficulty measuring the level of engagement. Direct mail when measured in RoI terms is expensive, which is why there has been such a significant shift to email.

9 03 2010
keepersacc

Thanks for your comment, it has given me something to think about. I would like to say, though, that I was not aiming this at the ‘batch and blast’ method, it was in general, and I tried to keep things simple so that all levels of readers would understand. In my opinion, if it is done correctly, and aimed at the right demographics, Direct Mail can easily acheive a 2.5% response, depending, as you said, on where they are in the buying cycle.

Agreed, if it was a batch and blast, it would have a very low response rate, as these are people who have never even heard of you before.

Once again, thanks for joining in the conversation 🙂

9 04 2010
Direct Mail Tips | Accountants-Sussex|Keepers Accountancy|BookKeeping|Business Accounts|VAT

[…] of my recent posts was about the effectiveness of Direct Mail, in which I stated different reasons why I thought Direct Mail was still effective. In this post, […]

18 11 2010
Dave

Great post. Along with building a campaign, it is very important to measure your direct mail marketing efforts like response rates and ROI to get the best results, otherwise your efforts may go waste.

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