Going POSTAL Works
Better Than Ever

To generate Web site traffic from the desired audience, we first targeted individuals that needed to see and touch the end result of HM3D's services, first-hand. Using a targeted mailing list, an attention-grabbing sample and persuasive offer allowed us to accomplish just that.

Companies using the Web to market products and services are turning to direct mail to generate business, and in many cases this tactic is proving more successful than e-mail or online banner ads.

For example, Dell Computer Corporation does more than $40 million each day on the Internet. That's right-$40 million each and every day. That figure does not account for traditional catalog sales, which pours in an additional $40 plus million daily through in-bound calls. What's Dell's secret? The company found that the more traditional catalogs they mailed, the more their daily Internet sales grew.

For the Cost of A Stamp
A colleague recently shared with me that his postcard campaign to promote a series of products (and the company's Web site) were more effective than banner and e-mail advertising had proven to be in the past. In fact, he went as far as to say that the postcards are more likely to generate an inquiry than e-marketing.

Surprised? You shouldn't be. The physical object of a postcard is much easier for some prospects to focus on. On the Net, e-mail messages and banner ads have to compete with tons of other e-mails and ads.

Some markets, such as health care, technology, and many manufacturing industries, are more reachable with traditional mailing lists. Mailing lists can provide complete names and addresses of prospects who may or may not have e-mail. Often, there's no such thing as a comprehensive e-mail list of prospects in these markets.

For example, to prepare for the launch of a new product, a large electronics manufacturer wanted to source a comprehensive list of information technology (IT) professionals. Traditional direct mail sources identified over 200,000 prospects while less than 10,000 e-mail addresses were available. This, from a market you would assume would prefer to be contacted by e-mail.

Blending the Old With the New
With more than one million Web pages being added to the Internet daily, it is not a case of "build it and they will come." Rather, it's build it and "let's drive the right traffic to our site!" In taking on this challenge, postcards work well for some companies, while more comprehensive mailing campaigns work wonders for others.

One example was a project for HM Graphics Inc., southeastern Wisconsin's largest sheet-fed commercial printer. A direct mail campaign was created to promote HM Graphics' three-dimensional printing capabilities and it was used in conjunction with its new HM3D Web site.

Johnson Direct supported HM's proactive efforts with a concept, an irresistible offer and artwork that would generate interest as well as Web site traffic. The elaborate mailer (four-color, glossy, three-dimensional) featured a strong call-to-action to visit www.hm3dsolutions.com. Recipients of the package could use the site to take advantage of a free offer that included an electronic die line and mechanical mock-up of their next three-dimensional project.

In July of 2000, the HM3D Solutions campaign launched. With a mailing list of approximately 2,500 prospects, the company shipped the piece to production managers of advertising agencies.

The mailer gave prospects three ways to take advantage of HM3D's free offer. The mailer contained a reply card, Web address and direct phone number.

The results of this campaign proved interesting. Three prospects replied by mail, five by phone and 250 responded using the HM3D Web site.

To generate Web site traffic from the desired audience, we first targeted individuals that needed to witness the end result of HM3D's services. Using a targeted mailing list, an attention-grabbing sample and persuasive offer allowed us to accomplish just that.

What Have You E-Mailed Lately?
Worried that e-mail is gaining the advantage with its promises of "faster and cheaper"? Here's a fact: the average household receives 24 pieces of mail per week. The average person receives more than double that number of e-mails each day, with the amount expected to increase dramatically. How can people possibly respond to or absorb that amount of information without overload? They can't. Think about all the e-mail you delete each day, some without ever even opening them.

Of greater concern is the perception of e-mail spam. An information survey* of 1,400 Internet users found 71.6 percent of respondents believed it was "somewhat likely" or "very likely" that their address was obtained from an e-commerce site for spamming purposes.

Marketers are discovering that opt-in e-mail, while cheaper than traditional mail, is not nearly as effective (perhaps because of the loose standards for opting in) for acquisition as traditional direct mail. And as we've already covered, it's nowhere as complete either.

E-mail works best as a retention tool, not as an acquisition tool. The differences in privacy issues and the fact that people in cyberspace are much more adamant about their privacy, are noteworthy and should not be overlooked.

Living a Charmed Existence?
Does that mean that all is well and good and emerging technology will not impact mail? Of course not. The best example to note is the decline in first-class mail the post office is processing. More people are opting to pay their utility bills and other on-going monthly bills online. Conversely, the amount of parcel mail is increasing.

The Web and e-mail are additional tools in our marketing toolbox that now must be considered in the media mix. That does mean a shift in dollar allocation, but not an end to direct mail.

The Internet is helping marketers find more reasons to use direct mail: to reach upscale, educated audiences, to explain an online product or service, to reach targeted markets and to promote special events that will build business.

A recent report by Jupiter Communications, a New York-based research firm, supported the use of direct mail. It said, "Offline direct mail from companies online is still unexpected. Commerce players that leverage the novelty of a dot-com in the return address of a paper catalog or letter will enjoy greater readership than those relying solely on e-mail."

Source: Ian Oxman, president, ChooseYourMail.com, an opt-in e-mail production information system, quoted in Internet World, July 15, 2000

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