How do you create successful direct mail in 2013?

The United States Postal Service postmaster general, Patrick Donahoe, recently told The New York Times that the postal service is in a financial crisis today because of an inflexible business model.  Many legislatures believe that there are options to cut costs and increase revenue while still preserving the postal service.  Reports on the current state of the United States Postal Service are a bit chaotic.  It is predicted that in 2013, the United States Postal Service will undergo changes that it has never previously experienced.  This includes postage rate increases, new piece specifications, and a reduction of the network that delivers the mail.  It is hoped that these shifts will create significant savings for the United States Postal Service.  If direct mail continues to be a profitable medium for marketing, brands must find the most cost effective solutions in light of the USPS transformation.

Postage rates for folded self mailers

The rate increase percentage is based upon produce and service.  The overall average rate increase across all classes of mail is capped at 2.1 percent.  There are a variety of common mail formats that are considered folded self mailers that currently mail at standard letter rates.  The 2013 changes now categorize these letters into a higher postage rate.  Paper modifications can also offset the impact of postage rate changes on folded self mailers and unenveloped mail pieces.  If marketers begin to understand all of the new specification changes, they can then modify and test formats that comply with new regulations without losing any impact.

File optimization

Analytics can identify a variety of items.  Two of the most important being prospects and response.  By understanding these categories of an audience through analytics, marketers will experience gains in responses and improved campaign results.  These file optimizations are another way of testing your campaigns.  Putting your database into a third-party system will help define postage rate and shipping methods to get your mail to the intended recipients on time and budget.  

Production and logistics

Marketers must execute their mail campaigns on time and on budget once their format is designed and their data files are set up.  To enable marketers to determine the in facility dates, they should work backward from desired in-home dates.  These dates also assist in driving production scheduling, from manufacturing dates to artwork and data file due dates and even material ordering dates.      

There are several options to move mail pieces in the USPS delivery system  

• Presorting - arranges the mail file according to delivery scheme by zip code  
• Benefit: determines campaign postage rates and cost

• Co-palletization - combining trays of mail going to the same entry points on the same pallets
• Benefit: similiar to destination entry, "co-pal" offers discounts for moving the mail further downstream in the USPS network

• Comingling - Groups together pieces of mail from multiple clients/customers or one client's multiple mailers.  
• Benefit: affords businesses and organizations even lower postage rates through deeper penetration of high volume mail into the delivery system.

• Destination Entry - Often referred to as drop ship, this involves shipping pallets of prepared mail directly to the USPS sectional center facility
• Benefit: provides discounts for moving the mail further downstream in the USPS network

• Logistics planning - determines the best load and delivery patterns
• Benefit: optimizes transportation costs

Facility closures

Through 2015, roughly fifty percent of United States Postal Service facilities face closure.  This is due to an effort to cut more than $22 billion in costs.  Ten years ago, letter carriers delivered 202.8 billion pieces of mail.  In 2011, only 168 billion pieces were mailed.  If a marketer routes a direct mail campaign to the wrong location, it will result in major delivery delays.  As the USPS moves forward with their plans to close hundreds of mail distribution centers and post offices, it is crucial that marketers understand the timing and impact of individual facility closures.  

Direct marketers must stay focused on finding postage, processing and logistics savings to maximize mail delivery.  By understanding the "new" USPS, along with optimized mail piece design and processing, this is achievable. 

Ready to kick off 2013 with a great direct mail campaign?

  Let SYNERGY help!  

Give us a call today at 714-824-3780 to speak with a sales representative.  

Or visit http://www.synergyvxpromotions.com for your FREE quote and chance to win a 1,000 piece mailing!   

Focus On: QR Code Innovation

QR codes are one of the easiest ways for brands to collect data.  After scanning a QR code on your phone, information is available to you in a matter of seconds.  We now see QR codes on t-shirts, cupcakes, business cards, billboards, and gravestones.  Yes...you read that right!  Gravestones now have QR codes on them.

A very sensitive issue is now being transformed by technology by making headstones interactive.  These QR coded headstones provide a revolutionary way for people to remember their loved ones.  A funeral home in Britain is now attaching tiny QR Codes to headstones, giving a lifeless piece of granite the ability to tell a story. Once scanned, the QR code opens up an online biography of the deceased person.  The online bio can be customized to show photos, video, and family tributes.  The QR Code enables visitors to learn about the person buried at a particular grave, rather than just being limited to their basic information: name, age, date of birth and date of death. 

Another organization implementing QR Codes on their headstones is the Commonwealth War Graves Commission.  This commission takes care of graves and memorials all over the world, caring for memorials of almost 2 million men and women that died while fighting during the first and second world wars.  Their latest venture in to the realm of QR codes attempts to give visitors greater access to information about the cemetery and stories about what happened at specific locations during the war.  

 The commission is installing 500 information panels at cemeteries and memorials all over the world.  These panels hold general information about the Commonwealth War Graves Commission including why the cemetery is placed where it is and further details of the victims from a historical military context.  A smart phone user will be able to scan the QR code, and learn more information about the cemetery or memorial along with stories of casualties.  

One example is Ralph Wingrove, a WWII Wireless Operator, buried in an Oxford suburb.  When a QR Code linked to his name is scanned, visitors will be able to view actual photographs he took in the Middle East between 1938 and 1945.  

By 2014, the CWGC hopes that their QR Codes will link users to information about the history of all 500 sites and tell stories using text, extracts from diaries and letters, photos and audio recordings.  An interactive guest book also allows visitors to leave comments once scanning the QR code.  

Over the last couple of years QR Codes have been gaining momentum in their popularity.  As the above story proves, placement is limitless. Since they can be generated for free by anyone and accessed by anyone with a smartphone app and internet connection, they have an advantage over other 2d barcodes. 

Now that brands and companies are seeing the potential of the QR code they must learn to differentiate their code from the next brand.  Just because you give people a QR code to scan doesn't mean they will actually scan it.  Consumers need a reason to scan your QR code.  One of the biggest ways that brands are getting past this challenge is by creating custom codes with various colors and company/brand logos.  Or, they simply do what the CWGC did: come up with a use for the QR code that is so innovative, it cannot be overlooked.  

What Would The Superhero Do? 

Use QR codes!  But don't just use any QR code.  Make yours custom so that it stands out from the rest of them.  Include color and unique placement.  Let customers know what they can find if they scan it so that it sparks their curiosity and interest!

Focus On: Thanksgiving Marketing

In the spirit of Thanksgiving, I rounded up a few Thanksgiving related marketing tactics that have been catching the attention of holiday shoppers everywhere.

                                                           

Nordstrom

Nordstrom is an upscale retail chain in North America initially founded as a shoe retailer.  Today the company sells clothing, accessories, handbags, jewerly, cosmetics, fragrances and home furnishings.  Nordstrom is known for their five major sales, outstanding customer service and return policy, and always eye-catching displays of the latest fashion trends.

Most stores begin decorating for Christmas right after Halloween.  But Nordstrom takes a noble stand against making their stores look like the North Pole prior to November 25th.  This advertisement, seen throughout stores over the years, has made a huge impact with fans and customers.  It also gives customers something to look forward to - knowing exactly when they can walk into their favorite store and feel like they are in a winter wonderland.  

PETA

This PETA advertisement, aimed at children, has been put up in various US cities near elementary schools.  Most PETA advertisements are so shocking and extreme that they would never get approved to be on a billboard.  The Project Manager of this campaign stated in an interview that, "children have a natural compassion for animals.  [...] They are also bombarded with constant fast food advertisements and we'd like to offset that negative influence with a message of kindness."  The dogkey (dog/turkey hybrid) allows children to instantly recognize a Sparky just like their own and hopefully make the connection that the turkey they enjoy every year is also an animal.

Target

Target does an excellent job advertising their low prices and special promotions during the holidays each year.  Remember the crazy red jumpsuit lady?  The company got themselves into some hot water after deciding to start Black Friday early this year.  But they are not the only company starting Black Friday sales on the 24th.  Wal Mart, Best Buy,  and Macy's are also opening their doors early to let shoppers get a head start.  While some retailers feel the pressure to keep up with competitors many employees and customers are rejecting the early shopping hours.  An online petition, that gained over 200,000 signatures, urges Target to put families before their sales.    

What other companies have used controversial (or viral) marketing/advertising techniques during the holiday season?  Does it affect where and how you shop this time of year?

  

5 Direct Mail Marketing Tips You Need to Know

Believe it or not, there are people out there that may be interested in your product or service.  Are you targeting the right prospects?  To improve your response rates, you must target an audience.  This also aids in keeping your expenses down for a direct mail marketing campaign.

Does your piece stand out?  People live cluttered lives thanks to numerous media outlets.  Don't take a chance of your mail piece getting lost in a pile of junk mail.  Your piece should stand out, grab the prospects attention, and use some sort of hook to draw people in.

Does your target audience care about your company or do they care about what you can do for them?  Your prospects care about what you can do for them.  In your direct mail marketing campaign, tell people how the features of your product will benefit them.  A direct mail campaign is about your consumer and their needs.  

Many companies alienate their prospects by using industry-specific jargon.  In your direct mail campaign, it's crucial that you research what language the average consumer is using to describe your product, industry, or service.  Then you can join the conversation on their terms and increase your chance of them hearing your message.  

As stated earlier, we live in a cluttered world.  Prospects will need to view a message multiple times before they're likely to do business with a company.  If you forget about your prospect, they will forget about you!  Make yourself consistent by keeping your company name in the forefront of their mind.  The next time that they see your mail, they're more likely to engage with it.  Another key factor in your marketing is to use multiple strategies.  Not everyone responds to specific marketing strategies.  Some people are very receptive to direct mail while others prefer email marketing or social media.  Use direct mail marketing in combination with other marketing techniques to ensure that prospects engage with your company however they feel the most comfortable.  

One of the easiest ways to encourage consumers to engage with your direct mail is by including a Personalized URL (PURL) on mail pieces.  A PURL is a "custom micro website created specifically for the recipient of a particular direct mail piece.  Not only does each recipient have a unique URL, but the landing page will greet that recipient by name!" 

Think about what you want to do differently in your next marketing campaign.  Visualize what you want to accomplish from your campaign.  There are numerous high quality products and businesses that fail due to poor marketing.  Don't let your business or product be one of them!  Think of some of the low quality products that succeed because of their marketing.  McDonald's is not known for their gourmet burgers and steak fries.  They're known for their offers, catchy promotions, and low prices.  And they've got $24 billion in revenue to prove it.  Anyone knows that Pizza Hut is not the best, gourmet pizza in your town.  There's always that one hole-in-the-wall, mom-and-pop pizza shop that knows your order before you even walk in.  Pizza Hut is successful because they focus on their marketing and view themselves as a marketing business - NOT a pizza business.  

We want to know: Pizza Hut and McDonalds are just two example of businesses that have succeeded because of their marketing, not necessarily their products.  Can you name any others? 

3 Ways to Give Your Direct Mail a Spooky Twist

Nowadays, most people associate Halloween with ghosts, vampires, witches, and candy corn. What you may not know is that Halloween actually dates back to Celtic rituals thousands of years ago. In 2001, over 160 million people celebrated Halloween. Why not take advantage of this popular holiday with your direct mail campaigns?

Propose a treat
Send out brochures, postcards, or greeting cards with a holiday treat. Coupons for discounts, free promotions, or buy one get one deals stand out to consumers. Make sure that along with your promotion you write attention-grabbing copy to keep their focus on the piece.

Pei Wei

Tell a story
People like stories. Make your themed mail pieces fun and interesting! Include legends of different stories or history relating to the holiday. Turn your headlines into spooky titles so that they stand out.

Give away tips
When I was little, I remember coming home from trick-or-treating and having to wait while my parents sorted through my candy. They made sure that nothing was open or suspicious looking. Parents love safety tips and ideas. If you are an agency that works with children or parents, send out direct mail promoting safety tips specifically for that holiday.

We Want To Know: Have you ever sent holiday-themed direct mail? As a consumer, would a themed mail piece with a special offer catch your attention?

Our creative and experienced team at Synergy knows how to get readers to open your mail with attention-grabbing colors,copy, and promotions. Give us a call today at 714-824-3780 to speak with one of our friendly, knowledgeable Sales Representatives who can answer all your questions!

Why You NEED To Test Your Direct Mail

"Never stop testing, and your advertising will never stop improving."
David Ogilvy

Have you ever thought about the difference between real world knowledge and book smart knowledge? Reading a book about how to garden and actually spending your time working in a garden are two very different things.

As a direct marketer, one of the best ways to improve your mail campaigns is to test them. If a marketer wanted to grow some flowers in his hypothetical garden he could read a book about how to do it or he could go outside and start planting seeds in his yard. By actually getting his hands dirty (pun intended) he would figure out what flowers grow better in the summer and what flowers require more/less water than others.

The first thing to do before a test is identify the 5 W's:

Who am I testing?
What am I testing?
Where am I testing?
When am I testing?
Why am I testing?

Also identify the most important variables and how many restrictions you have. Restrictions can be anything from location to budget to time frame.

Do you know what you are testing now? If you are working on a new marketing program, focus on big issues. This includes the actual product or service you are promoting, the list you are sending to, prices, and offers. If you are testing an already established campaign, look at the format of your piece. Are there any new creative outlets you can incorporate into the mail to make it stand out more? Are you using color effectively? To make the most impact with an already existing piece, keep it simple and focus on enhancing the basics.

As with anything you do, it's important to recognize your ultimate goal. This helps your overall focus. When testing a campaign your goal should be to boost response rates and increase your ROI. Every market is unique. When testing the basics, your mail piece should be just that. Basic. Use simple and straightforward copy. Stick to copy and formatting that has been successful in the past. It is important to feel confident in your mail piece when testing new lists, offers, prices, or products.

When is the best time to test your mail? With every mailing, there is an opportunity to learn and boost your ROI. Don't miss out on valuable opportunities to make each mail piece more successful than the last. You also don't want to test too many variables at once. Stick to one variable at a time so that your results are focused. If you test five different variables at five separate times, you are going to have a very strong mail piece in the end.

We want to know: How often do you test your mail? What variables, in your opinion, are the most important for you to test?

Let Synergy help you create the most effective direct mail campaign possible. Get a free quote online today!