Direct Targeted Marketing Articles | Marketing

By: J.A Carpunky

There are a lot of smart ways a business can market itself. Despite technological advances that have increased the use of email and websites to promote a product or service, many businesses continue to rely on old-fashioned direct mail to let the average consumer know what they have to offer.

Direct mail otherwise known as target marketing has around since the advent of the typewriter in 1867. Within 5 years, Montgomery Ward introduced the very first mail order catalogue to allow rural consumers to purchase their goods no matter where they lived. By 1929 direct mail had become so popular that the United States Postal Service was forced by businesses to offer a new lower bulk rate for high-yield direct mailings in order to reduce their growing postal costs.

Today, nearly every American household is bombarded with direct promotions (often referred to as junk mail), on a daily basis. Nearly 4 million tons of direct mail promotions are delivered to homes in the United States alone every single year.

Businesses wouldn’t take the time or money to continue this practice if it weren’t profitable. According to industry reports, the average direct mail campaign that has been thoroughly researched and targeted correctly will yield an average 3-5 % return rate.

There are a large variety of direct mail marketing methods, but the most poplar among businesses seems to be:

Catalogues: these may be solicited by the consumer, or sent to a targeted audience who has purchased similar goods in the past

Postcards: simple 2-sided advertisements that announce a grand opening, special sale, or some other important event or news

Inserts: these one-page advertisements or announcements may be included in a variety pack; newspaper; or even another businesses billing

Door Hangers: usually reserved for local businesses or services, they can useful to remind local residents that your business is located nearby

Internet Banner Ads.

Billboards.

Pay-Per-Click Ads.

One of the main advantages of a direct mail marketing campaign is the ability to effectively measure its response. While a sudden increase in inquiries when a billboard is erected may seem like evidence that the billboard was the driving force of the increased business, there is no direct proof. Not so with direct mailing. Include a coupon in the mailing and you can see right away how many people read and used the mailing. The same is true for catalogue sales. In addition to accountability, other benefits of this type of marketing include:

-The Ability To Target Your Audience by purchasing very specific mailing lists of potential customers who have either purchased similar products or services in the past, or have shown interest in some other manner.

-The Ability To Test Your Target Market on a smaller audience (for a reduced fee), to find the right offer, best timing and most accurate mailing list.

-The Chance To Accumulate positive responses for a database of future mailing recipients

Although very popular, and very successful, there are also a few disadvantages to direct market campaigns that can include:

-Cost. The cost of designing, printing and mailing bulk brochures, packages, catalogues and mailings can be much higher than other promotions

-Waste. Unless your recipient is a past customer, many times your direct marketing efforts will end up unread in someone’s trash or recycling bin as junk mail.

-Alienation. Some recipients may go as far as to "boycott" your company if bombarded with unsolicited advertisements or mailings. This is especially true for Internet users who are growing weary of Spam-type advertising and pop-ups.

While the response to direct mail marketing remains high enough to keep as a viable marketing tool, special care should be taken to develop a high-quality, non-intrusive marketing strategy in order to generate the most response.