The Importance of Testing Different Types of Direct Mail
Many companies that use direct mail marketing often settle into one form of the medium. They know it works for them, so they stick with it. But, what if there is something out there that can get an even better response? Failing to test different forms of direct mail can lead to a company not making the best use of their direct mail marketing budget.
Sure, testing takes time and effort, but the payoff can be huge. As an example, one company currently sends out direct mail pieces that look like checks and offer a discount to their retail locations. This form of direct mail works well for them and gets them between ¼% and ½% redemption for each mailing. They are resistant to alter the form of their direct mail. What if they could get 7% redemption or higher by using plastic card mailers though? Wouldn’t it make sense to at least test this form of direct mail in this case?
Companies that use direct mail don’t always have to change the form of their direct mail. It might be as simple as altering the envelope color or size so that the piece stands out from other companies’ direct mail pieces and from pieces that company sent out in the past. One company that handles magazine renewals is particularly good at this type of change. They will test different color envelopes, envelope size, letter format, and letter appearance from month to month to see what works best. As in any experiment, they are careful to only change one element at a time to get the best data possible. This type of experiment will take some time, but in the end, your company will know which type of direct mail works best for you.
One way to alleviate the hassle of testing different types of direct mail campaigns on your own is to work with a direct mail marketing company that can handle all of the changes for you and help you to manage the results to determine which type of direct mail piece works best for your company. So, testing different direct mail formats is a process, but one that pays off for any company who completes the test.
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June 18th, 2009 at 1:55 pm
Your right, testing different forms of direct mail can seem risky, but will almost always provide information about a company’s current marketing technique. Switching target markets for example may identify one demographic as more profitable than another. Testing different forms of direct mail does take time, but when done appropriately could show data that can raise a companies ROI significantly compared to their current methods. How can a company tell which form of direct mail combined with a particular promotion is best for them? By offering high demand goods or services relative to their industry through the use of a personalized direct mail piece is a great start.
August 4th, 2009 at 6:25 pm
[…] mentioned the importance of testing different types of direct mail in a previous post and this response seems to reinforce that idea. It is crucial for struggling […]