Contrary to what some businesses owners believe, direct mail still gets opened and read. According to the Direct Mail Information Service, 67% of direct mail is opened, and 45% is both opened and read. Email cannot begin to match those rates.
The Direct Mail Information Service also offers some other important statistics. Their research shows that the ROI (return on investment) of direct mail is excellent – to generate $14 in sales, one must only spend $1 on direct mail.
Other statistics show that direct mail is even more effective for businesses. Managers open 70% of direct mail they receive. The pass 9% of it on to a subordinate or coworker, but respond to or file an amazing 20%!
There are two basic ways to use direct mail – build your own list, or use someone else's list. Building your own list will likely get you the highest quality lists, but is also more expensive and takes longer. Renting a list is often the best way to start.
If you decide to build your own direct mailing list, you should come up with a well planned strategy for acquiring contacts for your list, as well as managing your list. Here area few ideas for building your mailing list: add all of your customers, offer a free newsletter, offer drawings for free products, do reverse phone number searches on prospects to find their address.
If you plan to rent a list, you can often rent a list from a company that specializes in direct mail marketing. They may be able to help you with your direct mailing campaign so that you maximum efficacy from your investment.
Either method you use, direct mail is a powerful way to grow your business.
Direct Mail Data Processing
Okay so you have decided direct mail is one of the ways you wish to market your home based business. What options do you have available to you to reach your target market? There are several different factors to weigh when deciding. Only you will be able to determine which is right for your particular business. Here is an overview of some of the formats that direct mail advertisers find most effective.
Catalogs.: Depending on the number of products you are wishing to sell a catalog may be a good advertising format for your home based business. Each page presents an opportunity to market a different product. Obviously those companies who only have 2 or three products in their arsenal may want to look into other avenues to market.
Post-Cards: This is by far the simplest of the formats. It can also be the most effective. People are very likely to read these as they may think it is a postcard from a traveling acquaintance of theirs. The format of the card basically has the customers address on the front and an advertisement for the business on the back. This advertising method is popular among new businesses moving into a neighborhood or specific new market. Because of its low cost and moderate effectiveness many newer home based entrepreneurs take this route in marketing their venture.
Self Mailers: These are advertising pieces usually created from a single sheet that has been printed and folded. For instance, a common practice is to print a page-length advertisement or promotion on one side of a sheet of paper. This is then folded in half or in thirds, with the promotional message to the inside. The two outside surfaces are then used for the address of the recipient and some "teaser" message designed to persuade the customer to open the piece. The obvious hope is that the customer will open the piece and become a customer as a result. This takes a more creative approach then those previously discussed but can be effective in certain markets.
Again I cannot stress enough the importance of knowing your target market before making any decisions about which direct mail format to use. If the proper research is done on that front, direct mail can prove to be a very valuable attribute to your home business.
Both Gabriel Adams & Michael Noto are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
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