“The reports of my death have been greatly exaggerated” – Mark Twain

Many marketers think direct mail is dead.

Presidents of companies and even marketing directors are making tragic, strategic, and tactical mistakes.

Direct mail is still a powerful lead or sales tool for marketing to both consumers and business-to-business—even in an online world.

ROI is usually better than digital, with a lower cost per lead or cost per sale. As a part of an omnichannel or multichannel campaign, marketers see an 82% better response.

In fact, direct mail is experiencing a renaissance.

Why?

Because direct mail done right has dramatically changed in the last 10 years.

Here are two factors that have produced ROI that’s usually better than online lead generation or sales.

#1: AI-Based Transactional Data Modeling (TDM) 

Direct mail has changed forever, thanks to Transactional Data Modeling (TDM).

With TDM, you can identify “buy-a-like” (not “look-a-like”) prospects based on actual transactional data. It’s dramatically spiked response because of the quality of names.

But besides their increase in response, marketers have seen an increase in their prospect universe—prospects they could not target as well with any other marketing channel.

With Transactional Data Modeling (TDM) – we can identify your perfect prospect as never before based on their transactional history… 95% or better.

Not “likes.” Not “searches.” But recent transactions.

Response rates are up. Mailings are up. Profits are up.

With AI now, TDM is even better.

#2: Multichannel, Integrated Marketing: A 82% Average Increase in Response

The second explosive new factor that is helping direct mail rates to skyrocket is multichannel, integrated marketing.

Multichannel, integrated marketing combines direct mail with digital marketing – email, Facebook, pre-roll, addressable TV, native ads, banner ads, and more – to drive up response, all to the same names, getting the client’s mail pieces and digital.

That means your direct mail recipients also see your offer advertised in their email inboxes, Facebook newsfeeds, and more.

It’s a powerful way to drive up response to your direct mail piece.

Using these two strategies, direct mail can get you an incredible response and return on investment (ROI).

Many marketers reject direct mail because they say it is too expensive. But on a cost-per-lead or cost-per-sale basis, direct mail will usually cost you less than other types of digital marketing.

Let me give you a few examples.

  • I mailed over 6 million direct mail pieces for an investment service because it worked so well.
  • We have mailed several million direct mail pieces for a Medicare product.
  • A company that is generating leads for a sales team has been put on a monthly direct mail campaign, and their budget is now shifting from only digital/electronic to direct mail/digital/electronic.
  • I mailed over 12 million mailings for an alternative health supplement newsletter.
  • We have just completed a mailing for a TV personality and the launch of their product… 30% of the budget is direct mail.
  • For another client, a test of 100,000 pieces for an “academic” product for consumers.
  • We recently mailed 50,000 pieces for a fundraising client to compare it to the online efforts.
  • Over 45 million pieces were mailed for an online product.
  • A while back, over 62 million pieces were mailed for an investment service, plus another 2 million pieces for their investment, insurance products, and other ancillary products.
  • For a nutrition marketer, we mailed over 40 million pieces.

With all the different clients that I have had, I have found that direct mail has been reliably successful and I combine it with a digital campaign.

In fact, we have won 113 marketing awards, over half for direct mail or direct mail in an integrated, multichannel campaign.

That’s why we mailed large quantities for marketers… it works.

Direct mail to consumers will always start off with a small test, say 50,000-100,000.

Sometimes, with a smaller universe, maybe 1,000-50,000 (see our video briefing on 3-D mailing, appropriate for small audiences, click here).

Based on the results, we will move up to a higher quality for the next mailing.

Whether you are a business-to-business or a consumer marketer, whether you are generating leads or sales, direct mail should be part of your overall mix.

Not sure if it will work for you? Give us a call. We would gladly help you evaluate if direct mail is right for you.

Give us a call at 615-933-4647 or email Michael Oppenheimer at [email protected] for more information.