Direct mail is still one of the best ways to market your product or service… even in an online world.
The response rates, targeting, and scientific marketing have dramatically improved in the last few years.
Based upon mailing this year for my clients over 18 million direct mail pieces… there are three key response rules that produce a good, if not better, ROI than digital marketing.
Here are three little-known reasons direct mail is growing in use by marketers:
#1: Better Data Targeting With AI-Based Transactional Data Modeling (TDM).
One of the key reasons for direct mail revival is better data resulting in:
- More precise targeting of your target audience than online targeting ads.
- Identifying new prospects you can’t find in online data.
- AI has perfected TDM even more than when it was introduced a few years ago.
It’s spiked response rates.
It’s expanded prospect universes.
It’s generated new leads and sales more profitably and quickly than online campaigns.
Transactional Data Modeling (TDM) is one of the most targeted and effective ways to reach your ideal audience. These prospects will convert to loyal customers and purchase from you repeatedly.
Transactional Data Modeling (TDM) uses transactional data to build the “perfect prospect” — the person who is the most likely to purchase from you.
It’s “buy-a-like” data, not “look-a-like” data.
For our agency clients, we use advanced data modeling (TDM) strategies to profile prospects based on their purchase history, income, spending habits, subscriptions, charitable giving, and how much they spend on different items. Over 100,000 variables help us identify your audience, NSA-style — something never done before.
AI and Data modelers take the variables to produce the buy-a-like data.
One client who gave up on direct mail 10 years ago is now using it as their #1 lead generator.
Another expanded its prospect universe by 40% because they couldn’t identify there’s any other way.
#2: Multichannel marketing to the same names.
When you use direct mail as a part of an integrated, multichannel campaign sent to the same names, you’ll see incredible responses from direct mail prospects… an increase of 86% in response.
Prospects who receive your direct mail packages will also receive emails showing the direct mail piece in their inboxes and see your offer in their Facebook newsfeeds, in the videos they watch on YouTube or Rumble (pre-rolls), on Google, Instagram, and anywhere else they may visit on the internet. The message and wording remain consistent across every channel and link to a single landing page.
Take a look at the email below, sent to direct mail recipients of a magalog I created for Independent Living:
The same prospects would have also seen this retargeting banner ad, reminding them of the powerful offer they read about in their direct mail piece and email series.
An integrated campaign has a much higher response rate because it retargets prospects repeatedly and gives them multiple opportunities to respond to your offer.
My client, Off Grid, just completed an integrated campaign. Its membership jumped 30% in just six months.
#3: Using the right direct response copy, art, offer, and format.
It’s critical that you use the principles of direct response marketing in all your direct mail pieces.
This includes direct response copy with “you” orientation that clearly highlights the benefits of your offer.
Using the correct format is also key to getting a high response. If your offer is more complex, consider using a Magalog or Newsalog format for your direct mail piece.
The number of innovative formats is key to many of my client’s mail programs over traditional envelope mailing.
Learn more about direct mail breakthrough in the 3-minute video below, called “Direct Mail Breakthrough in an Online World.”
Interested in direct mail? I have over four decades of experience and have sent one billion+ pieces. Call 615-933-4647 or email Michael at [email protected].