Direct Mail ROI Exceeds 18%

Photo by Yannik Mika on Unsplash

If your clients are looking for a way to make their messages stand out, talk to them about direct mail. This older form of advertising can generate huge returns. An article posted on smallbiztrends​.com describes exactly how effective direct mail can be, especially for your small business clients.

One key strength of direct mail is consumer receptiveness to the format. Marketing Sherpa statistics show the format rules in comparison to digital alternatives. Consumers were asked how they wanted to hear about product updates and promotions. Here’s what they said:

  • Direct mail 54%
  • Email I subscribe to 49%
  • Visit company website 38%
  • Follow on social media 20%

Consumers are apparently telling the truth about their preferences. On any given day, they may open between 20–30% of the emails they receive. They open 80–90% of the direct mail pieces they receive. The power of direct mail doesn’t stop there. Consumers also respond at a higher rate to direct mail than to other media types:

  • Direct mail 3.7%
  • Mobile 2.0%
  • Email 1.0%
  • Social media 1%

If your clients believe direct mail is an old-​school format that only influences older consumers, they’re wrong. More surveyed millennials took action as a result of a direct mail piece (30%) than email (24%.) Consumer action overall as a result of direct mail influence is impressive. Over half, 56%, of consumers who take action following the receipt of a direct mail piece visit either a physical or an online store. In total, 62% of direct mail recipients make a purchase within 90 days of reading one of these pieces.

When clients and prospects really want to make an impression, encourage them to include a coupon or limited time discount in their direct mail campaign.

Kathy Crosett
Kathy is the Vice President of Research for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel. Previously, she was co-​owner of several small businesses in the health care services sector.