One of the great benefits of direct or shared mail is the ability to measure the results. Despite this, there is no magic answer for the question “what is a good response rate?” The answer depends largely on the expectations you set at the beginning of the campaign. For many, a good response depends on the return on investment.
Return on investment (ROI) is a percent that expresses how much money you gain as compared to the money you spend. While there are many factors that can affect the actual ROI, the hints below are designed to help you improve the return on your direct mail investment.
Improving direct mail ROI always starts at the beginning, but with the end in mind. Ask yourself these questions:
• What is the goal of this campaign? Do you want to generate leads? Close sales? Increase awareness? Drive traffic to your store or web site?
• How will you track you results? Coupon redemption? Register rings? Offer codes? Responses on your website? Qualified leads?
• What would you consider a success?
Once you outline your goals you can establish a baseline and track responses against that baseline. For example, determine the average number of calls that you receive per week and compare that number to the number of calls you receive immediately following your mailing.
Know Your Target
Who are your best customers? Where do they live and work? How much money do they make? What are their hobbies? Identify who you wish to target with your mailing and then design the campaign to appeal to these customers and prospects that are exactly like them.
To get prospects to respond to your shared mail piece, you should always include a call to action. This might include a discount, special offer, guarantee of service, free download, or any other type of reward for taking action. Whatever your campaign offers the target audience concentrate on selling the benefits of responding to the offer. Remember that the goal is to get the person to respond so that they can purchase your product and increase your ROI. If you can get someone interested enough to respond to the offer, then you have the chance to get them to buy.
Hire a graphic designer who understands mail. You have only a few seconds to grab your readers’ attention. A designer who understands direct mail can create a piece for you that gets the attention it needs to turn into a sale.
To be truly effective with any marketing you must follow through with the tracking the results. Be sure that your staff is also ready to help you track results by collecting coupons, counting phone calls, or simply taking note of where customers are coming from. If you don’t track your results, it may be difficult to know if your mailing campaign was a success.
So, what is a good response rate? You tell us! Contact us today and to discuss your goals and we’ll help you to design a successful shared mail campaign that fits your needs, budget, and helps your business grow.
Wondering about the return you might expect from your planned mailing campaign? Want to see what would happen to your ROI if you were to increase your market coverage or change the product/service you were promoting? Did you track your results from a recent campaign and now want to confirm your ROI? Click here to use our interactive ROI Calculator.