Without a proper understanding of direct mail ROI, you can’t accurately determine how much of an impact your campaigns have. That’s why being properly informed about how to track and gauge your direct mail ROI is essential. If you’re unfamiliar with the process of tracking your direct mail ROI, you’re in luck. We’ll provide you with all of the details you need regarding direct mail ROI below!
Calculating Your Direct Mail ROI is Simple
Let’s say for instance that you’re conducting a mailing campaign for a local plumbing company. You’ve exhausted a budget of $5,000 on a direct mail campaign that results in $20,000 worth of new business. This would make your direct mail ROI 400%, and that’s excellent considering that the average ROI for direct mail is around 112%.If you’re unsure of how to calculate your direct mail ROI, the formula is simple.
All you have to do is divide the cost of your campaign by the revenue it yielded, then multiply by 100. Considering how insightful this statistic is, along with how easy you can calculate it, there’s no reason you shouldn’t be keeping this metric in mind when evaluating your campaign’s success. After all, if you do conduct a successful direct mail campaign, wouldn’t you want all the evidence possible to prove that it did the trick?
Multiple Variables Can Impact Your Direct Mail ROI
If you’ve conducted a direct mail campaign in the past, but weren’t thrilled with your ROI there are numerous potential reasons why. Taking into account all of the elements that go into direct mail campaigns, identifying what negatively impacted your campaign is easier said than done. A few of the biggest factors that can affect your direct mail ROI include:
- Design
Getting your artwork right is imperative for getting the ROI you need. Since it may serve as a first impression to your brand for many of your recipients, a design that stands out while helping you illustrate your unique selling propositions can go a long way. And creating a design that doesn’t break the bank while still catching the attention of your audience is easier than you think with Direct Mail Manager. That’s because all users have access to a pre-flight design tool capable of helping you avoid errors, and pro members can request free design from our in-house creative team.
- Copy
Determining what to say in your direct mail campaign is among the most difficult aspects of conducting one. But if your direct mail piece lacks clarity or direction, you may wind up with lackluster results. In order to determine how effective the copy of your direct mailer is, conduct a small a/b test by sending one version of your mailer to an audience, and a version with alternate copy to a separate audience. The mailer that receives more responses contains the copy that you should use on your larger campaign.
- Call-to-Action (CTA)
A CTA leaves readers confused, or uninspired to act is bound to bring down your direct mail ROI. Additionally, your CTA should make the process of taking action frictionless for recipients so recipients don’t lose interest. A worst case scenario is recipients finding your message and offer interesting, but they don’t take your desired action because it’s not exactly clear what that action should be. By including clear and powerful language in your CTA you can reduce the likelihood of losing a lead to a customer.
Tracking Your Campaigns is a Must for Measuring Your ROI
In order to measure your direct mail ROI, you need to track your campaign. One of the most common direct mail tracking methods is using a specialized phone number. It’s likely a fair assumption that you were going to include a phone number in your mailer to begin with. Since that’s the case, adding a tracking phone number accomplishes the goals of helping you track your campaign, while still enabling recipients to get in touch with you.
If you’d like to include your standard phone number on your mailer instead, that’s fine too. Other tracking methods you can leverage include QR codes and unique URLs with accompanying landing pages. These methods allow you to integrate your offline and online marketing efforts since your landing page helps reinforce the message on your postcard. And a unique URL and QR code both have the potential to help you capture the attention of recipients.
You Can Rely on a Direct Mail API to Help Boost Your Direct Mail ROI
The first step towards achieving your goals for direct mail ROI is making sure you have the right tools in place. There are numerous factors that make a Direct Mail API like Direct Mail Manager a key resource for reaching your ROI goals on your next campaign, too. The Variable Data Printing capabilities Direct Mail Manager possesses allow you to personalize your campaigns with your first party data. This allows your mail to stand head and shoulders above competitors who are likely failing to leverage personalization to this degree.
Other features that Direct Mail Manager possesses that are capable of helping to boost ROI on campaigns include real time address verification, along with segmentation. Nobody wants to waste postage fees sending mail to unchecked mailboxes, that’s why Direct Mail Manager enables users to validate the addresses on their mailing lists prior to sending. And with Direct Mail Manager’s segmentation capabilities, you can craft messages specifically designed to resonate with audiences you create using your imported lists with custom fields by filtering recipients based on your desired criteria.
Begin Mailing With Direct Mail Manager Today!
You don’t have to embark on your next direct mail campaign alone. Our team of direct mail experts are eager to help you exceed your direct mail ROI goals by answering any of your questions over a free demo. Once you’re ready to begin mailing, sign up for a Free or Pro Direct Mail Manager account and upload your first list today! You’ll begin to understand why so many businesses of all kinds rely on Direct Mail Manager immediately.
