Direct mail is highly informative but can also be expensive.
corner of envelopes image by timur1970 from Fotolia.com
Direct mail advertising can include cooperative mailings, where a company's ad goes out with other businesses, or a solo advertising piece that only contains information from one business. Cooperative advertising saves a company money, but solo ads are more effective in generating leads and orders. However, compared with all the different forms of advertising available to companies, there are certain pros and cons of direct mail advertising.
Direct mail marketing is highly targeted, which is a huge advantage for companies that know their target market. In other words, companies can send direct mail pieces to specific buying groups, based on key demographics, such as gender, age, household income, household size and profession. For example, if a company wants to advertise family vacation packages, it would likely target households with multiple family members. In addition, the company would try to find households that have already purchased family vacations in the past. Mailing list suppliers sell all types of mailing lists. The Direct Marketing Association is one of the largest purveyors of these lists.
Easy to Track
Direct mail advertising is also easy to track, which allows a company to easily compute their return on investment (ROI). Companies that send out direct mail usually include an order form or application. If the company generates leads or orders by mail, all the company needs to do is key the order form. For example, a mailing that goes out on Jan. 8 can be keyed: 18, which is 1 for January and 8 for the date. That way the company will know exactly which mailing elicited the response. The company can then determine the number of sales from the mailing, subtract expenses and calculate its profit.
Related Reading: Business License Pros & Cons
Direct mail advertising provides the reader with a wealth of information, unlike other types of advertising. Companies that send out solo mailings often include a sales letter, brochure and order form. The sales letter usually informs the potential customers how the company's product or service will benefit them. Companies usually provide a picture and detailed information about the product or service in the brochure. Moreover, the price is usually included on the order form, and in the sales letter. Actually, company often uses the sales letter to offer special deals, especially at the end of the letter.
One disadvantage or con with direct mail advertising is cost. It costs a lot of money to send out direct mail in volume. Many small companies send out tens of thousands of pieces a month. Postage and printing can be extremely expensive, according to the article titled "E-Mail Vs. Direct Mail: Which Works Better?" at businessknowhow.com. Companies that use direct mail count highly on repeat business from customers as they spend so much per lead, or for each order in acquiring their customers.
Despite the effort that goes into designing and writing a direct mail package, 44 percent of all mail recipients throw away their "junk mail" without reading it, according to AllBusiness.com. Furthermore, only 1 percent or 2 percent of all recipients respond to any direct mail offer, whether they are ordering or asking for additional information, according to the article titled "Typical Direct Mail Response Rates" at Gaebler.com. That is why it is so crucial to design and write a highly convincing direct mail piece, then send it to the right target audience.How to make chocolate frosting? What does it mean to be codependent? What does payee mean? What is the average weight for a 12 year old? Why are the tips of my nipples itchy? What is the meaning of the name debra? What are marketplace plans? What are stem jobs? What the starbucks logo meaning? What are latter day saints? What are some good tips about babysitting? What does idle mean in discord? What tricks can i do gymnastics? How many fouls to foul out? How to propose to your girlfriend? What is the first day of spring? How to sober up from alcohol in 30 minutes? How to change font on iphone? Tricks to burping when you feel gased/bloated? What tricks can you do on a trampoline? steam helper that shows how many items are in trade How to cut asparagus? How to cook dry beans? What does stagnation mean? Green day when september ends meaning? What is middle age? How to crack your hip? How to do card tricks like a pro? What does yield mean in cooking? How to use one note? What do car lights mean? What are green tip bullets? What is the meaning of omar? What does amos stand for? How to find greatest common factor? How to calculate property tax? What does it mean if your chest hurts? What does it mean when you dream about teeth? Tips on how to be popular on roleplayer facebook? What does you? What does freedom of press mean? What is the meaning of the yule log? What does it mean to envy someone? Tips on how to play with fortnite? What does faqs mean? wii u usb helper how to send to console How to prevent constipation? how long does hamburger helper last in the refrigerator What does high heart rate mean? How to increase dopamine? Tips on how to kiss a girl passionately? How to make your own sound on tiktok? What does embryo mean? How to cook couscous? What does a low heart rate mean? What does factual mean? How to delete a gmail account 2019? how to call production local helper What does a blood test show? What does a flashing red traffic light mean? What does adios mean? How to remove fluid from lungs at home? What is the meaning of ruby? What does ornery mean? How to save text messages on iphone? How to do tricks with gamecube controller in ario kart wii? What does supercalifragilisticexpialidocious mean? What is the meaning of mumbled? What does reminiscing mean? What does lymphedema pain feel like? How to get business credit? How to take screenshot on macbook air? What time does 60 minutes come on? What does the gi jane joke mean? What does collection mean? What does foreshadowing mean? what role does the t helper 1 (th1) subset play in the immune response How to get rid of a skunk? How to spell resume? How to lower blood pressure instantly at home? What foods are anti inflammatory? What does hmo mean? What are anti federalists? What are aldehydes? What does heil mean? What does word mean? How to be a better listener? How to make a negro a christian? How to logout of netflix on tv? What does stalemate mean? What is the meaning of national symbols? What does llp mean? What does marijuana look like? Why are my tips of my toes purple don't gom away on chemo maitiance? What are liquid assets examples? What time does the sun come out? What spray tips to use with extindamax? What is the meaning of pox? wii u usb helper how to add title key website What is the prophetic meaning of 5781? How to lower fever? Labyrinth of refrain where to find the tips?