Tips to Maximize Direct Mail Response

There are many times when customers reach out to us to help them increase their response rates. When that happens, the first question is “What was the response rate on your last mailing?” Now you would think after 32 years in the business that the standard response to this question would no longer shock me, however that is not the case. When I hear “I am not sure”, I cringe. In 2024, how can they not know what the response rate was? They need to know this information.

So, let’s take a look at what the 2024 Lob State of Direct Mail found:

• 84% of marketers agree direct mail provides the highest ROI of any channel they use.
• 82% of respondents are increasing direct mail spend in 2024.
• Personalized URLs are the most popular way to measure conversions from direct mail campaigns.
• Letters and postcards are the most popular direct mail format sent by respondents followed closely by brochures, catalogs, and self-mailers

One key takeaway is that direct mail response rates are higher than all digital media in the study. Direct mail can benefit the marketing mix, but you need to know their numbers so that you can keep doing what works and fix what is not working.

Here are some facts about direct mail to note from Sequel Response 2023 Direct Mail Response report:

• 54% of consumers keep an interesting mail piece and refer back to it later.
• 45% of consumers state direct mail feels less intrusive that other types of advertising.
• 52% of consumers will Google the brand name and visit the website of a relevant mail piece.

There is no way to predict exactly how well a direct mail campaign will perform, however, you can review what they are currently doing and suggest some changes. The 3 core components to focus on with direct mail are list, design/copy and offer. Keep in mind that when you create offers, free things are a better driver than a discount. This does not mean that they have to give a product or service away, they can give away a generic item such as a gift card for coffee.

When they decide to make changes, no matter what the changes are, keep a group of people separate from the change group. This will become the control group. You will use the control group results to compare with the changed group results to see which had a better response rate. You can test this many different times or further segment your list with a different change on each segment other than your control segment all at one time.

When you know the numbers you are able to predict the results with more accuracy and continue to improve the quality of direct mail you are sending out. When you are able to send the right offers to the right people by knowing your results, you decrease the cost per acquisition and increase your ROI. Are you ready to get started?