Article

David Amor
David Amor 11 March 2019
Categories B2B

What is the Cost of Direct Mail?

Find out the costs and the potential return on investment on all direct mail services. So you can make better-informed business decisions and start building meaningful relationships with your existing and new customers.

What’s the first thing you do when you get home from work? Most of us check our post.

The pull is in personalisation. It’s got our name and address on it, so it’s probably important and worth reading.

Do you look forward to getting your emails as much? We’re guessing NO and the statistics support this.

‘Direct mail has a response rate of 30 times that of e-mail and coupled with the availability of large quantities of reliable data and increasingly cost effective personalised digital print, provides a great opportunity to build your business.’

Now that you’re thinking about using direct mail, your first thoughts might be:

“What is the cost of Direct Mail?”

This article will show the costs and the potential return on investment on all direct mail services. So you can make better-informed business decisions and start building meaningful relationships with your existing and new customers.

Postcard Mailing

“57% of respondents said that postcard marketing makes them feel more valued and creates a more authentic relationship.” – Royal Mail

The beauty of postcards is that you can pack a punch for a reasonable price. Imaginative designs can boost your business’ attraction level. For example, you could embed magnets in your postcards so customers can place them in their homes or at work: a daily visual reminder of your brand.

As a low-cost form of direct mail, postcards can yield a high return on investment. That’s because they shine when used for short and compelling messages or offers. It’s a highly effective strategy to grab the recipient’s attention and drive them into action.

You could also send postcards in between catalogue mailings to keep customers keen and drive further sales for a better ROI.

Estimated cost for 5,000 postcards: £1700.00 + vat includes production and postage but excludes data and design (34p each)

You might like to read our other article – Direct Mail Examples – 4 Great Postcards

Letter Mailing

Do not underestimate the power of a well written letter.

Traditional it may be, but the use of words in a simple, well understood, traditionally trusted and accepted format can open doors and help you win new opportunities. Use mailing services to send large volumes of letters in a cost-effective and highly-efficient way.

Estimated cost for 5,000 letters: £1900.00 + vat excluding design and data

Catalogue MailingCatalogue Mailing Services

Nowadays we use the internet to shop for things we want. Which begs us to ask, do people still like receiving catalogues?

Absolutely. They encourage purchases – 63% of people are influenced by a catalogue to purchase. They also drive people to visit your website.

In fact, the number of people who now respond to catalogue mailing has surged by 23% over the past few years. Why?

A mailing house can professionally design your catalogues with a specific audience in mind. Recipients gain a physical, visually engaging and relevant lexicon of your best products, peaking their interest and leaving a “deeper footprint” than digital media.

Estimated cost for 5,000 16 page A5 catalogues: £2,500 + vat excluding design (50p each)

Estimated cost for 5,000 32 page A5 catalogues: £3,300 + vat excluding design

Business Mailing

We’re talking about transactional business mail (invoices, statements, information, newsletters etc.) It’s mailing with the purpose to inform rather than to encourage a financially monitored response.

Business mail builds trust between consumers and business. It’s an intimate and secure way to communicate, as a study led by DMA revealed:

“56% of consumers stated that they found printed marketing to be the most trustworthy of all media channels”

Direct Mail Marketing ListsDirect Mail Data

Before you source data you need to understand who your existing customers are. This way, you can send your mail to people who are interested in your offerings and more likely to buy from you.

What do they look like? Where do they live? How much do they earn? You need to unearth this and much more to develop a clear picture of your audience.

Once you know what your customers look like, the challenge is to find more just like them. Achieve this by comparing your existing customers against a large database of potential users.

Of course, creating your own lists can take a lot of time. List creation is a professional direct mail service that can be executed quickly and accurately thanks to recent technology.

The data sources available range from large compiled databases through to magazine subscribers and customers of other companies. You receive comprehensive lists to reach new customers and boost your sales.

Cost minimum charges usually apply. Minimum spend: £500.00 + vat. Costs per name range from 25p to under 10p depending on the list volume.

Will Direct Mail Work For You?

At First Move, we always recommend you should be studious and monitor results as you start your testing. With the right process you can learn what works best and how to improve your strategy.

LP-Book_01Our book, Direct Mail 101, explains why direct mail in the 21st century is worth the investment and how to deliver predictable and profitable results to grow your business. Plus, gain real examples of the world’s most successful direct mail letters for you to study.

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