An Introduction to Direct Mail

To draw in new customers or drum up business with established ones, a small business can't afford to overlook direct-mail marketing. It's affordable, highly targeted, and fairly easy to do.

You can either hire a direct-mail agency or a print broker, or you can create the mailer yourself.

Target Your Mailing

Getting your message in front of the right audience is the most critical element in the mix. From the outset you must:

• Identify your audience. Do you want to target existing customers or new ones? What are they like? Try to be as specific as possible: Knowing your audience is crucial when putting together a mailing list and creating a successful direct-mail piece.
  
• Put together a good mailing list. Your list must be as targeted, accurate, and current as possible. You can purchase lists from list-rental companies; magazine publishers; membership directories of trade, special interest, or local organizations; public records; and even the phone book.
  
• Groom the list. Make sure that no names are duplicated and check for typos and incorrect ZIP codes. According to the U.S. Postal Service, 43 million people — one out of every six families — move every year. Whether you use your own list or rent one, be sure it's been updated recently. The U.S. Postal Service has various services — some free — to help you verify your lists.

A poorly-targeted list is the most egregious of diret-mail mistakes. Poor direct-mail copy is another sure-fire way to lose your leads. Review our Top 10 Direct Mail Mistakes to stay vigilant against other common concerns.

Create a Direct-Mail Piece

Compiling a correct, targeted list is just the first step. How your direct-mail piece looks, how it's sent, and what it says are the other critical factors that work together to make or break the success of your direct mailing.

Remember, the more personalized your mailing, the more likely it is that your prospect will open it and read it. At its most extreme, this means first-class mail and envelopes that are hand addressed or typed and hand stamped. You don't always have to go to these extremes, but if you can afford regular First Class mail rather than bulk mail, go for it. You can cut corners in other areas and control costs by choosing a different weight paper or cutting down on the number of pieces that you send.

You want your message to be meaningful and succinct. If your message can fit on a postcard, send one. Postcards are the most inexpensive type of direct mail, and the recipients won't have to open an envelope to read your message.

The most critical part of the message is the call to action. You must tell people what you want them to do and how they will benefit. Better yet, make them an offer they can't refuse. Special offers — particularly time-sensitive ones — help to garner responses. For example, "Save 15 percent on your purchase by ordering before May 3rd!" tells prospects that they can save money if they act by a certain date. Remember, it's easier to get people to call you than to send something back to you. If you require customers to return order forms or other documents via mail, include a prestamped and preaddressed envelope.

Once your mailing is out, learn from it. It's better to start small and increase subsequent mailings based on your success. Code all special offers and promotions so you can track which direct mailings work and which ones don't. Ask customers how they heard about your sale, your promotion, or your company. More importantly, record the data. Refer to your direct-mail tracking data before you send out future mailings.

When use First Class or Standard Mail A, your undeliverable mail can be returned to you. In this way, you can use it to clean your list. For more tips on how to plan and execute a direct-mail campaign, check out the U.S. Postal Service Web site.

If you want to include e-mail marketing as part of your direct-mail program, you'll need to be aware of the rules and standards that apply in that medium. Our article, E-Mail Marketing Basics for Small Business, can steer you toward some solid practices in that realm.