Direct mail marketing
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Make your marketing go further with direct mail
When it comes to marketing, direct mail is a highly effective way to reach current and prospective customers.
In fact, consumers have cited direct mail as more effective in influencing purchase decisions than email and tele-marketing plus outdoor, social media and online display advertising.
Whether you want to strengthen your brand or build up your customer base, direct mail could be exactly what your marketing plan needs.
- Tangible - direct mail literally gets in the hands of your audience and can engage all 5 senses: sight, sound, smell, touch and taste
- Personalised - you can personalise your message to make it more appealing. For example: including the recipient's closest store location
- Targeted - you can target specific audiences within your local market with tailored messages for greater impact
- Timely - research shows that 82% of people check their letterbox daily and an additional 11% check their letterbox every two days
- Measurable - you can track the response rate, effectiveness and the return on investment (ROI) of your direct mail campaigns
How direct mail performs
When it comes to open and read rates, direct mail cuts through. Research indicates that over 99% of people open mail, 60% read it thoroughly and a further 39% scan it for items of interest. What's more, 54% store it for later reference.
Here you'll find advice on executing your direct mail campaign successfully, including buying address lists and choosing the right mail service.
- Learn how Australia Post helped Bambini increase sales and customer loyalty through print catalogues.
Read the Bambini case study (184kb)
- Find out how Domino's Pizza franchisees benefit from an ROI of up to 10 per cent for its direct mail campaigns.
Read the Domino's case study (76kb)
- Learn how advertising agency BMF found Australia's most creative advertising graduates with direct mail.
Read the BMF case study (56kb)
Learn more about the effectiveness of direct mail and how it could benefit your business.
How to create and send direct mail
Planning and implementing your direct mail campaign is a 4-step process.
Step 1: Plan your campaign Click to expand Click to collapse
Work out the campaign objectives, segment and target, response channels, budget, and timing.
Outline what you want to achieve from your campaign, for example to:
- increase sales or create brand awareness
- promote special offers or supply information
- acquire new customers or win back old customers
Segment and target
To define your target market, work out the following:
- Do you want to target existing customers?
- Do you need to include/exclude any particular groups from your campaign?
- What customer demographic and behaviours would be most attractive to your business?
- Do you need to buy address lists to acquire new customers? Address lists contain mailing addresses of your target customers. These can either be captured by your own systems or by contacting one of our partners listed below.
The Prospect Shop
We also provide comprehensive address lists which are ideal for large-scale campaigns.
Define why, when and how your target audience should respond to your mailing. Make it easy for them to respond through multiple channels: phone, email, mail, online, etc. Ensure that you have the resources to handle the anticipated volume of responses.
Your budget will depend on a number of factors such as:
- The number of people you want to reach
- Whether you need to buy address lists or plan to use your own customer address data
- Whether you are outsourcing your campaign to a print shop or mail house or doing it yourself
- Postage costs
You may find it a little tricky at first and have to resort to guesses, but you'll learn more and become more accurate with each campaign.
Figure out the best time for you to launch your campaign. Also decide whether you should mail everyone at the same time, or stagger the mailouts to lighten the potential load on your business.
Step 2: Create and design your message Click to expand Click to collapse
Design your mail pack to suit your target audience, budget and creativity.
Feature your key message prominently and make it clear why the recipient should buy your product or service. Include promotional codes to help track performance and ROI.
To strengthen your message, consider the following:
- Why should the customer buy from you? What makes you stand out from your competitors?
- How will it help them? Focus on benefits not features
- What is the product or service?
- Are there any special promotions?
- Use teasers, headlines, visuals and powerful compelling sentences
- Include promotional codes to help track performance and ROI
Classic direct mail packs consist of 4 components: envelope, letter, brochure and response mechanism (which may be part of the letter or brochure).
More creative options will help your direct mail to stand out, such as a cut-out image of your product or logo, shaped postcards, scented mail and innovative envelopes.
You can use common word processing software (e.g. Microsoft Word) to create your message and design your mail pack, and print and merge your data lists. You can also search for free mail marketing templates online for ideas.
Tips and guides
Step 3: Production and delivery Click to expand Click to collapse
You can prepare your mail packs yourself or work with a mail house to get your campaign to market. If you're preparing your own mail packs, this can be as simple as print, fold, insert and send.
Business mail options
We offer a variety of cost-effective mail products that you can use for direct mail. Popular services include:
- Imprint/Metered Mail: Used to pay for postage to provide a lower cost than Full Rate Mail
- Clean Mail: Machine-addressed letters with no need to barcode or sort
- Acquisition Mail: Semi-addressed letters mailed to households in a specific area
- PreSort Letters: Machine-addressed items that are barcoded and sorted
- Impact Mail: Creatively shaped addressed items; great for direct mail
This is the most cost-effective option for small volumes (typically 300 or fewer letters). In most cases, a PC and a printer are all you need. Design your message on your software of choice, and use an address database to address your message and envelopes.
Once your mail is prepared to Australia Post's specific service requirements, lodge your articles over the counter at any Australia Post Business Hub or Retail Post Office. Delivery by Australia Post's trusted network means you can be assured your direct mail advertising is being delivered as you specified.
You can pay for these services using an Australia Post Business Credit Account, Cash, Debit and Credit Cards or cheques.
Many small to medium businesses use postage meters as a convenient way to pay for postage. Find out more about postage meters
Mail house options
For larger volumes (typically more than 300 letters), or if you're time constrained, you may prefer to use a print shop/mail house. They can handle both small and large volume mailings. They can also use your existing customer address data or help source mailing lists for you.
An added bonus is their ability to prepare your mail in a way that maximises postage discounts from Australia Post.
Step 4: Measure performance Click to expand Click to collapse
Using redeemable promotional codes or coupons in your direct mail, you can measure the effectiveness of your campaign with metrics such:
- Response rates
- Campaign generated sales revenue
- Gross profit
- Increase in store visits
- Increase in website traffic
- Increase in customer enquiries
Support & FAQs
Frequently Asked Questions
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