An Introduction to Direct Mail

To draw in new customers or drum up business with established ones, a small business can't afford to overlook direct-mail marketing. It's affordable, highly targeted and fairly easy to do.

You can either hire a direct-mail agency or a print broker, or you can create the mailer yourself. A successful mailing must reach the right person, be read by that person and persuade that person to buy something or to be open to receiving a follow-up call from your company.

Target Your Mailing
Getting your message in front of the right audience is the most critical element in the mix. From the outset you must:

• Identify your audience. Do you want to target existing customers or new ones? What are they like? Try to be as specific as possible: Knowing your audience is crucial when putting together a mailing list and creating a successful direct-mail piece.
• Put together a good mailing list. Your list must be as targeted, accurate and current as possible. You can purchase lists from list-rental companies; magazine publishers; membership directories of trade, special interest, or local organizations; public records; and even the phone book.
• Groom the list. Make sure no names are duplicated, and check for typos and incorrect ZIP codes. According to the U.S. Postal Service, 43 million people — one out of every six families — move every year. Whether you use your own list or rent one, be sure it's been updated recently. The U.S. Postal Service has various services (some free) to help you check your lists.

Create a Direct-Mail Piece
Compiling a correct, targeted list is just the first step. How your direct-mail piece looks, how it's sent and what it says are the other critical factors that work together.

Remember, the more personalized your mailing looks, the more likely it is that your prospect will open it and read it. At its most extreme, this means first-class mail and envelopes that look hand addressed or typed and are hand stamped. You don't have to go to these extremes, but if you can afford regular First Class mail rather than bulk mail, go for it. You can cut corners in other areas and control costs by choosing a different weight paper or cutting down on the number of pieces you send.

You want your message to be meaningful and succinct. If your message can fit on a postcard, send one. Postcards are the most inexpensive type of direct mail, and the recipients don't even have to open an envelope to read your message.

The most critical part of the message is the call to action. You must tell people what you want them to do and how they'll benefit. Better yet, make them an offer they can't refuse. Special offers — particularly time-sensitive ones — help get responses. For example, "Save 15 percent on your purchase by ordering before May 3rd!" tells prospects they can save money if they act by a certain date. Remember, it's easier to get people to call you than send something back to you. If you require that customers return an order form or something else via mail, include a prestamped, preaddressed envelope.

Once your mailing is out, learn from it. It's better to start small and increase subsequent mailings based on your success. Code all special offers and promotions so you can track which direct mailings work and which ones don't. Ask customers how they heard about your sale, your promotion or your company, and record the data. Refer to your direct-mail tracking data before you send out future mailings.

When use First Class or Standard Mail A, your undeliverable mail can be returned to you, so you can use it to clean your list. For more tips on how to plan and execute a direct-mail campaign, check out the U.S. Postal Service Web site.