22 May 2011

Tips For Successful Direct Mail Advertising

Advertising is a great way to drive business, but the key is finding the right vehicle to broadcast your message. The former co-owner of the largest chain of Goodyear dealerships in Texas, I tried an assortment of advertising approaches to raise awareness of my tire shops. I found out that most forms of advertising just did not provide the return on investment I was expecting. I was looking for the best way to get high caliber customers into my shops, but by which advertising method was the question.

While television and radio ads can be good and often provide great exposure, the audience is very broad. And in a city with many options for tire shops, why would someone bypass their local dealership to buy from a shop located across town? Sending coupons via mass mailing services did allow targeting by neighborhood, but after some initial success, it seemed the offers were getting lost in the shuffle.

I wanted the best way to reach the highest-caliber customers located closest to my shops. My answer was direct mail. Through direct mail I was able to achieve my goal with the ability to target higher-income households within two miles of my shop. Direct mail also enabled me to separate myself from the pack with a stand-alone offer that was interesting enough to draw customers.

Like everything, effectively employing direct mail advertising proved to be a learning process. When I think back about some of the first postcards I sent out, I cringe a bit because of how unsophisticated they were. It also took some time to determine which offers were most likely to resonate with customers.

If you’re considering using direct mail, here are some tips based on the lessons I have learned after successfully using direct mail to drive business for many years :
  • Pick a direct mail company that specializes in your industry or at least has experience serving other businesses in your sector. A mailing service that caters to everyone (from tire chains to pizza parlors) is more likely to recommend offers that won’t resonate with your customers. They also may not understand how to help you better target the right customers for your business.
  • Ask for references. You want to ensure that the company you choose has a successful track record in your industry.
  • Ask for samples. Don’t get fooled by deals on low-cost postcards. Oftentimes, the quality and size of those postcards is why the price is so low. Seeing is believing.
  • Look for a direct mail service that doesn’t require a contract. You’re bound to experience some trial and error in your direct mail campaign. But getting locked into a long-term contract requiring a large number of mailings each month doesn’t offer you a lot of flexibility. You need to decide minimum number that makes sense for you and find a company willing to accommodate your specifications.
  • Deliver what you advertise. Don’t offer four brand name tires for $350 just to get customers in the door. They’ll leave when they realize those tires don’t exist at that price. Instead, feature offers that you’re able to provide, such as $50 off any four tires.
  • Don’t give up. Direct mail takes time. If you do it one month and then take a break, you’ll never build momentum. You need to decide to make this a permanent part of your marketing efforts. You also need to measure results over the long term. When evaluating your direct mail campaign, compare sales results from one month with the same month for previous years. Comparing month to month is too difficult because of seasonal variations.

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