Direct mail is traditionally seen as harder to measure than its digital counterpart, because there are less obvious ways to measure click-throughs and conversion paths on to a website or purchase page.
However, it's important that marketing teams measure all their campaigns in order to show ROI, as well as to realise what's working and what's not quite hitting the mark for their target audience. How can you measure the success of your direct mail campaign?
1) Drive customers to action
Printed media has all sorts of advantages, not least its ability to leave a lasting impression in the minds of the reader. In fact, 67 per cent of online searches are driven by offline messages, with 39 per cent of shoppers making a purchase, according to a study by the Printing Industries of America.
However, you can only measure whether a specific mailer has converted a customer by driving an action. This could include:
- A custom URL or QR code that will take readers to a product or website landing page.
- A dedicated phone number that customers can use to enquire.
- A coupon that can be used online or in-store.
- A reply via mail (it's normally best to include free postage and envelopes if choosing this option).
Including these will enable you to directly track which customers have come to you via a direct mailer.
2) Know how to work out a response rate
Your direct mail's response rate is worked out by taking the number of sales made using the code, personalised URL or any of the other actions listed above, then dividing that by the total number of sales and working out the percentage.
For example, if you send out 3,000 mailers, which generates 108 sales, you would divide 108 by 3,000 to get 0.021. You'd then multiply this by 100 to get a response rate of 2.1 per cent.
The Direct Mail Association has found that direct mail garners a 4.4 per cent average response rate, so this would be below average.
3) Use a control group
You could also set up a control group to measure how successful your direct mail is. This is especially useful to do as a tester before you send out a lot of direct mail to find out what might work best. Take a group that hasn't received direct mail and a group that has, and see which ones have higher response rates.
Direct mail is an extremely effective way of reaching customers, but it's important you can measure your success. Contact The Prospect Shop today for more information on what makes a great direct marketing campaign, and to access a range of B2C and B2B mailing lists.