SMBs Can Complement Online Marketing With Direct MailSMBs Can Complement Online Marketing With Direct Mail

Resource Nation provides how-to purchasing guides, tips for selecting business service providers via VoIP Service, and a free quote-comparison service that allows business owners to compare price and service offerings in over 100 categories from direct mail to online marketing.

In a time when e-mail seems to be the Number One way to communicate -- even to mobile users -- small and midsize companies are no doubt wondering whether there's still a role for snail-mail based direct mail marketing.

According to the United States Postal Service, the answer to this question is an emphatic "Yes!" USPS data says 98% of people actually check their mail, and 77% of them sort through it immediately. Even better, it turns out that direct mail can work hand in hand with online marketing and sales.

A USPS commissioned comScoresurvey concluded customers who received a catalog were more likely to make a purchase online. Similarly, in a survey led by Vovici EFM late last year, 96% of respondents said printed catalogs generated online sales. Most saw 20% - 50% increases in online sales immediately after sending their catalogs.

Direct-Mail Marketing Concepts
Today, direct mail is just one of many ways for SMBs to reach out to their target audiences, often in concert with online initiatives, and often using new tactics.

For example, online shoe and apparel store Zappos.com, which was recently acquired by Amazon, has created a "magalog" or catalog/magazine hybrid. Zappos Life comes in three different editions: one for people living a casual lifestyle, another for active lifestyle customers, and even a back-to-school issue. Aaron Magness, Zappos' director of business development and brand marketing, says, "A magalog should be something the recipients wants to read and interact with, rather than just flip through quickly to shop."

Mark, the trendier sister division of Avon, has published an eponymous magalog to 7 million readers since 2003. Bloomingdale's has called its magalog the next large medium on the horizon.

Here's why it works: the pieces are targeted to their customers' who are actively purchasing items online, but delivered to them when they are offline. The idea is to use editorial-based content to encourage customers to hold on to magalogs like they would a magazine.

A recent Custom Publishing Council poll showed that while 36% look through electronic custom publications, 59% read print publications. Customers are attracted for several reasons:

The Direct Marketing Association says a third of customers who get information from mailing service companies will visit the company's Web site. The goal is to use the print piece to encourage online responses, typically by offering a discount code they can use on the site.

The List Is Everything
No matter what your campaign, the mailing list is a key factor in determining success. Unfortunately, rented and purchased mailing lists typically deliver an anemic 1% to 2% open rate. Far better to collect customer data to build up your own list -- perhaps by offering subscriptions to a magalog.

If you do buy a list, it's worth spending extra on lists that match the demographics of your customers. And make sure you get up-to-date addresses. With 20% of the population moving every year, it's easy to end up with significant numbers of undeliverable mailings.

Costs Come In Many Forms
You also have to figure in the costs of designing your direct mail campaign and creating the associated Web landing pages Web designer. Then there's printing and postage: You can find bulk postage as low as 12.7 cents, depending on what you're sending.

Finally, don't forget how to process and track your responses. As in online marketing, to make the most of direct mail, you need to measure every aspect of what you do against the results achieved.

Resource Nation provides how-to purchasing guides, tips for selecting business service providers via VoIP Service, and a free quote-comparison service that allows business owners to compare price and service offerings in over 100 categories from direct mail to online marketing.

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