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1. WEEK 10
MKM803:
Direct Marketing

2. Today’s
Class
 DirectMarketing
 DirectMail -CanadaPostDatabase
 SalesLetterElements

3. Discussion:
What Is Direct Marketing?

4. Name Some Types of Direct Marketing?
• X
• X
• X
• X
• X

5. Purpose of Direct
Marketing
Immediate
• Engage Customers
• Empower or encourage customers to interact
• Provide measurable ROI
Long-Term
• Build Life-Time customer value

6. Basics of Direct Marketing
• Must Target your audience
• Must use medium relevant to your target
• Must be an offer/call to action (content is king)

7. Mediums for Direct
Marketing
Direct mail
Mobile
Flyers
Social Media
Catalogs
Interactive
Websites
Promotion
Letters
Online Ads
E-Mail

8. Mediums for Direct
Marketing
Telemarketing
Direct
Response
Radio
Voicemail
Marketing
Couponing
Door to Door
Inserts Direct Selling
Infomercials
Broadcast Fax

9. Customer Wants
• Relevant
• Immediate
• Targeted

10. Brand Wants
• Customer Lifetime Value
• Recency
• Frequency
• Monetary
• Build Customer Loyalty

11. Customer Loyalty
• Customer Lifetime Value
• 80/20 Rule
• Costs 5-10 times more to acquire new customer
• If a company could turn 5% of it’s customer in to
loyalists, profits would increase 25-85%

12. Direct
Mail

13. Agenda
1. Overview and elements of Direct Mail
2. How to succeed at Direct Mail
3. Planning your Letter
4. Summary

14. Direct Mail Today
• Direct Mail still represents the lion’s share of direct
marketing investment by companies
• Over ¾ of companies use direct mail to
communicate with prospects
• Direct mail allows consumers the chance to sit
down with a piece of paper and digest the
message in their own time

15. Why Direct Mail
The use of direct mail is widespread due to:
 the ability to personalize the message with the
prospect’s name
 the ability to send lengthy messages
 the ability to provide a high degree of
geographic coverage economically

16. Direct Mail Strategies
Solo Direct Mail
 Individually prepared offers sent directly to prospects
Co-operative Direct Mail
 Special offers from non-competing products in one
envelope
Dimensional Mail
 Dimensional mail stands out from standard-
looking direct mail pieces and takes any form other
than the typical flat piece of mail.

17. Direct Mail as a Medium
Many companies have learned that potential
customers and present customers take notice of direct
mail if the mailing is executed effectively.
It’s an ideal medium for building a relationship with
current customers
• 94% of Canadians will open a direct mail
piece if it comes from a company they know.
• 89% will open it if it looks intriguing.
• 79% are likely to read direct mail if addressed
to them.

18. Elements of Direct Mail
There are many possible components to a Direct Mail
piece:
1. Envelope
2. Sales Letter
3. Leaflets and Folders
4. Order Form
5. Postage-Paid Return Envelope
6. Statement Stuffers

19. Envelope
• Needs to strongly suggest why the recipient should
read the contents
• There should be a sense of urgency for the recipient
to open

20. Sales Letter
• Letter introduces the prospect to the product or
service
• The letter may be unaddressed, or addressed
• Language in the letter needs to be persuasive
• Sells benefits to customer
• Write your letter at a grade school level
• Should always include a PS
• A signature on the bottom of the letter
• 1 page is a good length – should never be more
then 2 pages long

23. Leaflets and Folders
• One-page document printed front and back
containing vital information about the offer
• It has to support the copy
• Typically folders and leaflets are printed on heavier
stock to suggest their importance and to draw
attention to an incentive

24. Order Forms
• A well-designed order form is essential
• It must be easy to read and communicate all details
regarding price, additional costs such as shipping and
handling charges and means of payment (usually by
credit card)
• You want the receiver to be able to place the order
effortlessly

25. Postage-Paid Return Envelope
• Eliminating the need for a postage stamp is another
means of encouraging action
• This helps to make a hassle-free return process for the
user

26. Statement Stuffers
• A Statement Stuffer or “Bounce Back” is an additional
offer that rides along with the delivery of another offer
or with the delivery of a monthly statement
• The goal is that one purchase leads to another and the
prospect is reached at a very low cost
• Goal is to make it so that the only information the
seller requires is the credit card number

27. How To’s From Canada Post
1.Sell benefits rather than product features. Tell the consumer how
your product or service satisfies a real need.
2. Create the offer. It should attract attention and build interest.
3. Study your competitor’s offers. If you see the same Direct Mail
solicitation sent out 2 months, 6 months or a year down the road
you know the offer has been successful for them. Learn from it.

28. How To’s From Canada Post
4. Keep the layout visually appealing but simple, and the copy easy
to read but still interesting.
5. Personalize and version wherever possible. The more
relevant your message, the greater likelihood for response.
6. Use effective layouts and formats: an outer envelope to
encourage opening; a brochure to sell; a reply device to
promote response; inserts to get attention.
7. Keep it simple.

29. Advantages of Direct Mail
 Audience selectivity
 High reach
 Geographic flexibility
 Creative flexibility
 Distribution of Incentives
 Advertiser Control
 Exclusivity
 Measurability

30. Disadvantages of Direct Mail
High cost per exposure
Absence of editorial support
Image and life span
Potential delivery delays

31. BREAK

32. How To Use Canada Post Database
For Direct Mailing
Campaigns
https://www.canadapost-postescanada.ca/cpc/en/business/marketing/campaign/reach-every-mailbox/precision-targeter.page?

33. Canada Post Precision
Targeting Tool
https://www.canadapost-
postescanada.ca/cpc/en/business/marketing/campaign/reach-every-
mailbox/precision-targeter.page?

34. Functions For Assignment#3

36. Skip All the Above Setting, but click Taxes and Province

39. Your Target Results
Total Price if you mail to all

40. Zoom in on result to see postal delivery zones

41. ***Click on Data Icon to see you results in detail

42. You can Delete Which Neighbourhoods You will not target and the mail-
out total and total price will adjust
Hint:
Delete the low matching postal zones in data result till you reach you
desired budget and targeting demographic matches
View Detailed Results: Decide which neigbourhoods to mail to

43. Assignment #3 Direct Mail
Sales Letter
Client:
Proof Lounge in Waterloo
What Elements Should Be in it??

44. Sales Letter Elements (for Assign#3)
• Date
• Greeting (Dear Sir, Dear Madame, Dear [first name])
• Explain What the offer is in writing
• CTA
• Elaborate on benefits of offer or how it help target market
• General Background of service and/or company
• Reiterate The offer in single sentence
• From “Sale manger” etc
• PS. Line (single sentence reminder with urgency and CTA
• Must Be in Colour
• Must Have Logo & or Company branding
• Single page

45. Sales Letter Example
Let’s Take A Look At a Few Examples of Sales letters

46. Assignment #3 Direct Mail Campaign
Client: Proof Lounge & Kitchen