Direct Mail Case Study

A home improvement company with offices in Irvine and San Diego County has been sending generic mass mailings to approximately 15,000 households every other month. Their direct marketing campaigns are targeted only by a rotation of zip codes that they focus on each month.

 

While the company sees a return from their mailers, response rates consistently hover around one-tenth of one percent (or 0.001). In other words, for every 15,000 mailers they receive approximately 15 inquiries.

 

Out of 15 inquiries, 3 - 4 are converted into sales (20-27%), mostly due to their long standing history of quality work and competitive prices.

 

The company breaks even if at least 2 average size jobs are acquired through any particular mailer however; the ROI is still very low.

 

Challenge
The company’s direct marketing process was generic, manual, time-consuming and convoluted.

Low rates of return for the company’s direct marketing campaigns.

 

Solution
ACME Solutions created a company branded site starting with 4 postcard templates enabling the company to interchange look, image and offer based on seasonal preferences. Their campaigns are now personalized and targeted based on specific criteria chosen each month to match their offers. Furthermore, the client can change images and text based on gender and/or preferences of the recipients.

 

In addition, ACME Solutions incorporated the interactivity of the web via ‘Personalized URLs’ to improve customer interaction and conversion rates. Now, the direct marketing pieces invite clients to learn more at a personalized website where they are encouraged to update their information to receive discounts, view sample of work and request quotes.

 

Results
The ordering process for the direct mail campaign has been dramatically simplified. An office manager now places orders customized by store location and personalized to recipients. Customization of mailers is completed within minutes and a qualified and targeted list is selected directly from their ordering site. The general manager receives an email to approve the order and their ordering process is done.

 

The client has also incorporated some unique ideas available through Easy Flow to make their mailers stand out and get noticed.

 

The Easy Flow system drops their job order into the production flow at the print and mail house for printing, postal processing and mailing.

 

Their response rate has increased 200% and an amazing 60% of the people who visited the PURL site and answered questions became a client. Since the company’s closing rate remains about the same, they are now taking 5-7 projects per mailer which more than pays for the small increase in production costs for their much improved and personalized direct mail campaigns.

 

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