When considering whether to use direct mail marketing, consider the pros and cons of this marketing tool. Direct mail is a highly personal and creative way to reach consumers. It can be personalized with first names, or it can feature dynamic text, including the consumer's email address and other personal information. Direct mail advertising is also highly targeted, as mailing lists can be bought and sold. It can be used for onboarding, re-targeting, and loyalty building.
While it is difficult to measure ROI in a traditional form of advertising, there are several ways to gauge response rates and return on investment. One of the best ways to measure engagement is to create personalized mailpieces with a personal message. Creating a handwritten letter or personalized URL is one way to increase engagement. Other methods include buying a call tracking service, creating personalized landing pages, mentioning coupons or general offers, and utilizing personalized URLs and QR codes. Once a customer has read the content, the company can count how many people responded to the offer.
Another method for tracking response rates is through a postal route tool. There are many options for targeted direct mail, but some agencies may try to sell you digital retargeting as part of the mail buy. While digital retargeting is cheaper, direct mail advertising can have a significant ROI. Another option is to talk with your direct mail agency about the price and minimum buy before agreeing to use it. If the cost is prohibitive, negotiate the agency to sell you digital retargeting.