Direct Mail Versus Junk Mail - What's the Difference?

Solving the Do-Not-Mail Bills with Common BusinessMailing lists, correctly targeted, can make the
Sensedifference in a mediocre promotional campaign to a
The right direct mailing list targets people who wantwildly successful promotional campaign. It really just
your product or service.depends on what you are willing to have - success or
The wrong list fails to target people who would wantmediocrity. So which is it?
to buy from you - and it is costly. In fact, this is whatDirect Mail and Do-Not-Mail Bills
people refer to as 'junk mail'. It is junk because it is mailAs I have just said, the road to success with direct
that is not relevant to the people it is mailed to andmail is careful selection of one's mailing list. With that in
does not take into account their buying habits.mind 'junk mail' would virtually fall by the way side. The
The direct mail mailing list is a key factor in arecent Do-Not-Mail bills attempting to thwart
successful direct mail marketing campaign and a majorbusinesses and direct mailers from reaching out to
point to consider in small business marketing strategiespotential customers is the main reason why targeted
where marketing ROI (Return On Investment) is a keylists are so vital in the fight to cut out junk mail.
concern.Ten states have recently introduced Do-Not-Mail bills in
What really makes your direct mail marketing andtheir state legislatures indicating that consumers are
advertising campaign successful?fed up with junk mail. If these bills are passed, a
The biggest single factor in the success of your directcompany wanting to send un-requested mail to
mail marketing strategy is who you send your mailingsconsumers would need to buy an updated copy of the
to.state's Do-Not-Mail list and check it against their own
You need a list.mailing lists - adding unwanted workload to businesses
This can be: a list of existing customers or prospectsthat will curtail productivity in response to government
who have inquired as a result of any of yourred tape.
marketing efforts or a list which you purchase or inThis in turn will have a severe negative impact on a
some cases obtain for free.state's economic development as it will be a nightmare
The mailing list must contain the names of people whoto the small business owner, who already is fighting
are likely to be interested in the benefits of yourgovernment red tape, payroll taxes and the like - not
products or services.to mention trying to run a company in the black while
Don't try and sell beer to the Temperance Society orkeeping his staff productive and customers happy.
real estate to people who cannot afford it. You haveJunk mail is mail that is not directed to a specifically
to target your direct mail marketing efforts.targeted mailing list. Consumers do not mind receiving
What kinds of lists are available?mail promoting products and services they need - that
The four basic kinds of lists that you can use are (youis 'direct mail'...there is a difference.
can use all four):When unsolicited direct mail (junk mail) overpowers
1. Your own list of prospects and customers. This is atargeted direct mail consumers begin to complain.
list that you collected with your own personalWhich brings me to the fourth kind of list...
marketing efforts. This is known as a house list. These4. A highly exacting segmented list based on hi-tech
people are most likely to respond to your offers,systems analysis that can define key prospects for a
because they have responded in the past.business for purposes of hitting the mark in marketing.
2. A response list is a list of people that have actuallyThis precise technology, which in the past was saved
done something. They have either purchasedonly for large corporations but is now available to the
something from the people who put together the list orsmall business owner, finally gives businesses and
inquired in response to some offer or asked to be onentrepreneurs the ability to micro-target their market
the list. They have some level of interest in the topic orfor extreme results.
purpose of the list.One can access very specific information about any
These people have not previously responded to you,company's consumer client base with information that
but they have responded to someone in a relatedgoes way beyond the standard criteria of age, income
area (if you have purchased a correctly targeted list)and gender used in list purchasing.
so you know they are at least warm.Imagine if a customer base can be broken down into
This is a direct mail mailing list you can purchase from70 different segments and upon doing so, one learns
the owner of the list (such as a magazine orthat 30% fall into one segment, 20% into another and
company) or a list broker.the other 50% is spread across the remaining 68
3. A compiled list is a list of people who were selectedsegments. Why mail to the micro percentages that fall
to be on the list because they possess theinto the other 68 when one can hit the 50% most likely
characteristics that you asked the list broker to screento purchase?
for.One can learn the spending and saving habits of one's
Examples of characteristics used to target correctlycustomers along with details like what they enjoy
may include age, sex, geographic location, income level,reading and where they like to travel. Then an analysis
etc. These are more fixed characteristics thanis done with all that info and the geo-demographics of
response list characteristics, which are behavioralthat client base so that one can really find his/her
characteristics.exact market and promote only to them.
Case study: California based Sun Pacific Mortgage'sUsing technology like this increases response and ROI
Forest Tardibuono found a great way to get the right[Return On Investment].
direct mail mailing list for his company which has aTargeted mail lists are key in handling problems such
very successful direct mail marketing strategy basedas Do-Not-Mail bills. Bills such as these are only
on postcards and direct mail mailing lists.arbitrary solutions which will only become a bigger
"The title companies give us the mailing labels free. I'llproblem down the road.
tell them we want all the homeowners in 95401 whichStudies show that 70 percent of the US population
is a zip we get most of our business from. So they'llprefers direct mail to email or phone calls. However, in
give us the mailing labels of anyone who is aorder for it to be 'direct mail' it must 'direct' its message
homeowner from that lists. It saves money on labelsto people whom it is relevant and their purchasing
and mailing lists. They'll even limit searches to specifichabits.
categories such as all homeowners from that zip thatThe moral of the story is: Don't stop marketing
got a loan from certain companies and they'll do thebecause the government threatens to cut your life line
search according to that so I can really target the(communication to your potential prospects). Market!
public so that the mailing will be more effective."But get a list - a targeted list. And have success.