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Direct mail: The time-tested
way to win new customers
Adelyn Zhou
@adelynzhou
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 2
1. Why direct mail?
2. Direct mail overview
3. The List
4. The Offer
5. The Creative
6. Testing and optimizations
Agenda
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 3
Why direct mail?
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 4
How I
became a
direct mail
expert
● Saw Google CPCs grow to exorbitant rates
● Watched “fans” become worthless on
Facebook
● Tested endless display ads that never
delivered…
Finally stumbled upon direct mail, one of the
oldest marketing channel, and it worked.
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 5
You’ve
probably
seen pieces
like these...
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 6
... or these...
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 7
...or even
these shared
mailers in
your mail
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 8
Direct mail
works!
Here are
the facts:
● 70% of consumers say they open most of
their mail, including what they label “junk”.
● 65% of consumers of all ages have made a
purchase as a result of direct mail.
● 1.0% response rate with a new prospect list,
3.7% response rate with an in-house list.
Source: Direct Mail Association
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 9
Brands send mail because direct mail converts
Response rate by direct media channel
Source: April 2015 DMA report based on survey of 485 industry respondents. Figures for house lists.
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 10
What makes
direct mail
unique?
1. Leverage geographic targeting
2. Tap unreachable segments
3. Lower cost of acquisition
4. Diversify acquisition channels
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 11
1. B2C
2. B2B
3. Startups
4. Large companies
Who does
direct mail
work for?
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 12
Direct mail overview
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 13
What are the
basics of
direct mail?
There are 3 components of direct mail:
1. The list
2. The offer
3. The creative
And then there is the USPS, where
knowledge of the details can save you
big money on postage.
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 14
The List
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 15
There are two types of lists:
1. House Lists: Existing
customers or leads that you
have - and “free”
2. Rental Lists. Purchased or
rented lists of demographic or
selected targets.
Lists are your
prospective
customers
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 16
Popular
demographic
selects
Geography Marital statusEducation
Income Language
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 17
● New movers
● Just married
● Newly single
● New Businesses
● New baby
● Attending college
● College graduates
● And many more...
Common
triggered life
stages
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 18
The Offer
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 19
● What is an Offer?
● Why have an Offer?
● What makes a great Offer?
● Valuable
● Tangible
● Unique
● Related to the company
● Clear
Offers are
critical to
compelling
action
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 20
Endless offer
possibilities
● Free trial
● Free gift
● Extra service
● Whitepapers
● ROI calculators
● Case studies
● Webinar
● Free shipping
● Tickets
● Free consultation
● Dollar discount
● % off discount
● Buy one, get one free
● Guarantee
● Sweepstakes
● Survey Results
● Contest
● Free sample
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 21
Premium for
responding:
FREE Thermos
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 22
Premium for
responding:
$200 Gift Card
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 23
Premium for
responding:
FREE
Card Reader
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 24
Premium for
responding:
FREE
Information Kit
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 25
The Creative
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 26
Postcards
A few main
creative
formats
Letter Pack
Self Mailers
Shared mail insert
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 27
I have tested
all of them:
Postcard
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 28
I have tested
all of them:
Selfmailer
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 29
I have tested
all of them:
Letter packs
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 30
I have tested
all of them:
Shared Mailer
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 31
Testing and optimizations
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 32
1. Targeted demographic lists
2. Real postage stamps
3. Hyper personalization
4. Handwriting
5. Promo code and expiration date
6. Format and layout
I’ve tested
everything,
these moved
the needle
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 33
Example of
test results:
Targeted
audiences
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 34
Example of
test results:
Postage
Types
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 35
Example of
test results:
Personalization
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 36
Example of
test results:
Personalization
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 37
Example of
test results:
Handwritten
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 38
Example of
test results:
Promo code
and expiration
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 39
Example of
test results:
Format and
Layout
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 40
50+
AB Tests
450%
Conversion rate
improvement
Testing as
you would
any other
channel
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 41
Key Takeaways
Adelyn Zhou | @adelynzhou | www.asenddirect.com | 42
● Direct mail can be a very effective
acquisition channel if optimized
● Offer: Clear and compelling offer
● Creative: Personalize, test formats
and add time bound expirations
● Recipient: Demographic analysis to
identify best converters
● USPS: Work with an expert who can
help you optimize mailing costs
● Test, test and test: Constant AB
testing of creative, lists and offers to
get best results
Key
takeaways
Thank you
Adelyn Zhou
E: adelyn@asenddirect.com
T: @adelynzhou
W: asenddirect.com

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[WMD2016] Asend Direct >> Adelyn Zhou"Direct Mail 2.0 – Get ahead of the next big growth channel"

  • 1. Direct mail: The time-tested way to win new customers Adelyn Zhou @adelynzhou
  • 2. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 2 1. Why direct mail? 2. Direct mail overview 3. The List 4. The Offer 5. The Creative 6. Testing and optimizations Agenda
  • 3. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 3 Why direct mail?
  • 4. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 4 How I became a direct mail expert ● Saw Google CPCs grow to exorbitant rates ● Watched “fans” become worthless on Facebook ● Tested endless display ads that never delivered… Finally stumbled upon direct mail, one of the oldest marketing channel, and it worked.
  • 5. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 5 You’ve probably seen pieces like these...
  • 6. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 6 ... or these...
  • 7. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 7 ...or even these shared mailers in your mail
  • 8. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 8 Direct mail works! Here are the facts: ● 70% of consumers say they open most of their mail, including what they label “junk”. ● 65% of consumers of all ages have made a purchase as a result of direct mail. ● 1.0% response rate with a new prospect list, 3.7% response rate with an in-house list. Source: Direct Mail Association
  • 9. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 9 Brands send mail because direct mail converts Response rate by direct media channel Source: April 2015 DMA report based on survey of 485 industry respondents. Figures for house lists.
  • 10. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 10 What makes direct mail unique? 1. Leverage geographic targeting 2. Tap unreachable segments 3. Lower cost of acquisition 4. Diversify acquisition channels
  • 11. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 11 1. B2C 2. B2B 3. Startups 4. Large companies Who does direct mail work for?
  • 12. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 12 Direct mail overview
  • 13. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 13 What are the basics of direct mail? There are 3 components of direct mail: 1. The list 2. The offer 3. The creative And then there is the USPS, where knowledge of the details can save you big money on postage.
  • 14. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 14 The List
  • 15. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 15 There are two types of lists: 1. House Lists: Existing customers or leads that you have - and “free” 2. Rental Lists. Purchased or rented lists of demographic or selected targets. Lists are your prospective customers
  • 16. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 16 Popular demographic selects Geography Marital statusEducation Income Language
  • 17. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 17 ● New movers ● Just married ● Newly single ● New Businesses ● New baby ● Attending college ● College graduates ● And many more... Common triggered life stages
  • 18. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 18 The Offer
  • 19. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 19 ● What is an Offer? ● Why have an Offer? ● What makes a great Offer? ● Valuable ● Tangible ● Unique ● Related to the company ● Clear Offers are critical to compelling action
  • 20. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 20 Endless offer possibilities ● Free trial ● Free gift ● Extra service ● Whitepapers ● ROI calculators ● Case studies ● Webinar ● Free shipping ● Tickets ● Free consultation ● Dollar discount ● % off discount ● Buy one, get one free ● Guarantee ● Sweepstakes ● Survey Results ● Contest ● Free sample
  • 21. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 21 Premium for responding: FREE Thermos
  • 22. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 22 Premium for responding: $200 Gift Card
  • 23. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 23 Premium for responding: FREE Card Reader
  • 24. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 24 Premium for responding: FREE Information Kit
  • 25. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 25 The Creative
  • 26. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 26 Postcards A few main creative formats Letter Pack Self Mailers Shared mail insert
  • 27. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 27 I have tested all of them: Postcard
  • 28. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 28 I have tested all of them: Selfmailer
  • 29. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 29 I have tested all of them: Letter packs
  • 30. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 30 I have tested all of them: Shared Mailer
  • 31. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 31 Testing and optimizations
  • 32. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 32 1. Targeted demographic lists 2. Real postage stamps 3. Hyper personalization 4. Handwriting 5. Promo code and expiration date 6. Format and layout I’ve tested everything, these moved the needle
  • 33. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 33 Example of test results: Targeted audiences
  • 34. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 34 Example of test results: Postage Types
  • 35. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 35 Example of test results: Personalization
  • 36. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 36 Example of test results: Personalization
  • 37. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 37 Example of test results: Handwritten
  • 38. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 38 Example of test results: Promo code and expiration
  • 39. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 39 Example of test results: Format and Layout
  • 40. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 40 50+ AB Tests 450% Conversion rate improvement Testing as you would any other channel
  • 41. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 41 Key Takeaways
  • 42. Adelyn Zhou | @adelynzhou | www.asenddirect.com | 42 ● Direct mail can be a very effective acquisition channel if optimized ● Offer: Clear and compelling offer ● Creative: Personalize, test formats and add time bound expirations ● Recipient: Demographic analysis to identify best converters ● USPS: Work with an expert who can help you optimize mailing costs ● Test, test and test: Constant AB testing of creative, lists and offers to get best results Key takeaways
  • 43. Thank you Adelyn Zhou E: adelyn@asenddirect.com T: @adelynzhou W: asenddirect.com