BY Kathy Crosett
Is direct mail dead? Not according to the latest statistics from the Direct Mail Association. Using pieces that are the right size and shape can drastically improve response rates.
Your clients may be like other businesses that use direct mail. Their end goal is to increase leads and sales. Here’s a look at the campaign results' numbers recently summarized in Target Marketing:
- Postcards: The average business can count on a 5.7% response rate when they send mail to their house list. When they purchase a list, the response list drops to 3.4 percent. The ROI is 29% for house list mailings and 23% for purchased list mailings.
- Letter-sized envelopes: When these mailings are sent to the house list, the ROI is 29% and the response rate is 4.37 percent. The purchased list mailings yield a response rate of 2.5% and an ROI of 23 percent.
- Flat-sized envelopes: Businesses looking to catch consumers’ eyes should use this format, as it generates a 6.6% response rate and a 37% ROI through the house list.
About 39% of marketers send out monthly emails that amount to 50,000 pieces or less. For 21% of marketers, the monthly volume ranges from 50,001 to 250,000 pieces. And big mailers, about 16% of the DMA survey, send out between 150,001 and 250,000 pieces a month. These stats can give your clients an idea of where they stand in terms of volume.
Your clients may be curious about how businesses track the results of their direct mail efforts. The following stats show direct mailers use a variety of tactics.
- Online: Using a landing page to track when consumers enter a code stored from a direct mail piece: 61%
- Phone: When consumers call in as a result of a mailing, they are asked for a code or calls come in to designed numbers associated with specific zip codes: 53%
- Code/Coupon: When consumers redeem coupons physically: 42%
Remind your clients that direct mail has a high yield as an advertising format. The format also has a high acquisition cost per lead, ranging from $22.55 for a letter mailed to an individual on the house list to $39.75 for a similar piece mailed to a prospect.
You can help your clients learn more about who responds to direct mail by checking out the profile on AdMall’s AudienceScan tool from SalesFuel.