Back to Basics: Effective Direct Mail on a Small Scale
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Back to Basics: Effective Direct Mail on a Small Scale






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Back to Basics: Effective Direct Mail on a Small Scale Presentation Transcript

  • 1. Back to Basics: Effective Direct Mail on a Small Scale
    • Kristin Sine-Kinz ; Direct Marketing Services
      • Eric Mower and Associates
    • Don Thompson ; Director, Americas Marketing
      • Honeywell Imaging and Mobility
      • formerly Hand Held Products
  • 2. Session Objectives
      • Define small scale
    • Small scale perspective on:
      • Where to start
      • Building a Campaign: List, Offer & Creative
      • Fulfillment
      • Tracking
    • Case study presentation
      • Strategies that exemplify success on a small scale
    • Q & A
  • 3. What does small scale mean?
    • Small mailing quantities — maybe 50K or less
    • Budget does not allow for high-end creative
    • Can’t rely on the same testing principals as large scale campaigns
      • Test one variable at a time
      • Let the tried-and-true methods lead the way
  • 4. Where to start
    • Clearly define your audience
    • What differentiates your product from the others
    • Campaign goals:
      • Lead generation vs. Immediate sales vs. Awareness
      • Database building
      • Growing market share
      • Measures of success
  • 5. Where to start
    • Audience questions
    • Helpful past experience
      • Integration with other tactics
    • Commitment
      • 1 mailing does not equal a campaign
  • 6. Building a Campaign: List – 40%
    • Efforts will fail if you don’t target the best prospects
    • House list or customer database
    • List rental – 98% mailable
        • Direct Response Lists
        • Compiled Lists
        • Controlled Circulation Lists
  • 7. Response List vs. Compiled List Benefit Response Lists Compiled Lists RESPONSIVENESS Usually out-pulls compiled UNIVERSE Generally delivers more name volume. SELECTIVITY Good psychographic selections about individuals, lifestyle & purchase patterns. Good demographic selections. COST Can be less expensive to rent. UNLIMITED USE Rented for a specific purpose. Negotiable VOLUME DISCOUNT Negotiable Negotiable
  • 8. Building a Campaign: List – 40%
    • The small scale perspective:
    • Minimum quantity requirements — usually 5,000
    • Usage — plan ahead when it makes sense; i.e. rent for 12 months unlimited use
    • Leverage value-add lists
    • Email lists
      • More costly to rent
      • Vendor will not send you the list
  • 9. Building a Campaign: Offer – 30%
    • In order to catch the fish, you must dangle the right kind of bait
    • Qualified vs. Unqualified Offers
      • Must fit with your campaign goals
    • Impossible to predict which offer will generate the best response rate for a given product or service
      • Test, test, test
  • 10. Building a Campaign: Creative – copy 15%, layout 15%
    • Formats:
    • Options are endless
      • What format generates the most cost-effective response rates?
      • Impossible to predict with 100% confidence
    • To evaluate direct mail creative you should focus on
          • How many responses did it generate?
          • Were the responses qualified enough?
  • 11. Fulfillment
    • With all the details that go into planning a campaign, it’s easy to forget about fulfillment. This is a very important brand interaction for your prospects and/or customers.
    • System to collect responses — online, call center, PO Box
    • Team designated for responder follow-up — sales, call center
    • Fulfillment packages — distribution of company collateral and white paper(s)
  • 12. Small Scale Fulfillment Considerations
    • Bandwidth
      • Might actually be more cost effective to hire a fulfillment house vs. assigning internal resources
    • Leftover printed stock
      • Print on demand
      • Distribute electronically
    • Need to create materials for distribution
      • Be creative; what can I repurpose? What can I create that will have multiple uses?
  • 13. Tracking
    • It’s all about applying what you learn; you will want to consider the following for maximum results:
    • System of measuring campaign against measures-of-success that were developed up front:
      • Doesn’t need to be a sophisticated online system
      • A simple spreadsheet can do the trick
    • Time built-in to react
    • A place to house data that’s collected
  • 14. Case Study: 2005–2007 Transportation Vertical Direct Mail Campaign Honeywell Imaging and Mobility formerly Hand Held Products
  • 15. Marketplace Challenge
    • Honeywell Imaging and Mobility distributes its image-based data collection solutions worldwide.
    • With a small market share in the transportation industry, the manufacturer faced the challenge of:
    • Low brand recognition.
    • Need for more information about the marketplace and customer demands.
    • Need for better understanding of how to position its products as solutions rather than commodities.
  • 16. Objectives
    • Collect valuable purchase/needs/sales qualification information from prospects.
    • Build a database.
    • Lay the groundwork for future campaigns.
    • Create opportunities.
    • Sell product.
  • 17. Honeywell Frequency Strategy
    • If you mail them more, they will buy more
      • Add 40-50% of a mailing's response by a follow-up to the same list within a month; i.e. telemarketing, multiple mailing waves.
    • 4X frequency per year; conducive to:
      • Establishing the brand.
      • Positioning as knowledgeable leaders in the transportation industry.
      • Frequent communications with prospects/customers can motivate them to consider you more often.
  • 18. Honeywell List Strategy
    • Don’t put all your eggs in one basket; diversify.
    • Mix of rented lists and in-house database
      • Looking for synergies with advertising; boosts frequency and supports response.
      • List response analysis after each mail drop to aid in future list selection.
      • Responders from rented lists are added to the in-house database for future marketing.
  • 19. Honeywell Offer Strategy
    • Sell the offer, not the product.
    • Unqualified Offers
      • Premiums paired with relevant white papers
      • Why? Fill the funnel & build the database
    • Offer presentation
      • Half price vs. Buy one — get one FREE
      • Colored offer box
      • Image of offer item
      • Attainability
      • Urgency — Limited time offers work. Use a specific date.
  • 20. Honeywell Creative Strategy
    • Self Mailers
        • Branded family look/feel
        • Developed “control creative” by testing tried-and-true methods
    • Mail package HOT Spots
        • Return address area, Addressing area, “Teaser” mail panel
    • Repeat your message... repeat your message
    • Incorporate multiple response options
    • The "yes/no" response technique
        • If you give a prospect the option to say no, they are more likely to say yes
  • 21.  
  • 22. Campaign Results
    • ~1,700 leads
    • ~230 opportunities
    • ~$23,000,000 in potential revenue
  • 23. Thank you.
    • Any Questions?
    • Do not hesitate to call/email if I may be of assistance: Kristin Sine-Kinz, Eric Mower and Associates, 585.389.1817(p) or [email_address]