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NEWSLETTER
for OCTOBER 1983
HOW
GOOD IS DIRECT MAIL ? They
were lucky in those days if they saw one customer a day and
the only good thing it had going for it was that it had extremely
good car parking.
She
decided on what her client base was going to be and then started
out with householder type circulars that she personally delivered
into letter boxes.
She
slowly built up a client list and first of all had these on
cards and then on sheets that she could Xerox the names off
and finally now has them in a computer.
She
has in excess of six thousand names on this list and she can
sort this list into any of the following...
She
can make up a list of people who haven't purchased since a specific
date or people who purchased over a dollar amount or people
who purchased a typical type of garment, or
she can sort the complete list into postal codes to save on
postage.
She
regularly sends out a fashion news letter always incorporating
in it a personal touch and always giving something free. She always gets a six percent result in the first week.
I
can see a lot of parallels in her business to the average photographic
studio. She
is in a specialized business... people buy from her regularly
and she has repeat customers.
Naturally
a photographers list may have to be larger because of the periods
between the times they can purchase Photography... unless you
offer something different each time like "family groups"
and you sell to them... Copy's and you sell to them.... and who is to say that they should not have a portrait
or a family group done each year
CREDIT
CARDS
You
also get five to twelve percent more people telephoning in for
your product if they can quote their credit card this of course
does not apply to having your portrait made.
This
to me means that if you'll accept credit cards in
your business mention it on all of your advertising material
you will get more and more people paying for the photographs with credit cards.
O.K. you have to give a small percentage away but that is more than offset normally with the extra orders that you get.
MORE
ON THE DIRECT MAIL SEMINAR
No
other advertising medium can offer this personal service.
He
then mentioned key rule "A.I.D.A." that should be
followed in writing direct mail letters such as....
ATTENTION He
stressed that you must do what you promised, WHEN you promised
you would do it in every instance.
In
writing direct mail letters there are key words that have maximum
effect such as A
lot of thought must go into the way that you make your offer. He cited the following example whereby an item can be
offered at "Half the price " OR you could All
of the above mean the same thing, but in practical test cases
it was found that the "buy one, get one free" had
by far the most effect.
Almost
always the letter should be started with a question to gain
the readers attention. In many cases this can be written on the outside of the
envelope in a bold manner, if this is done who would not then
want to open the envelope to see what was inside.
In summing up Mr McDonald mentioned that direct mail advertising generally takes more planning and production time, but dollar for dollar nothing succeeds like direct mail. DIRECT
MARKETING SEMINAR There
was a line-up of very good speakers ... and like all conferences
some were a lot better than others.
Some
of the points raised were ...
In America householders received between 5 and 6 pieces of direct mail every day. This means in New Zealand we are massively under developed in the direct mail industry. Statistics from that country indicate that only three in a hundred pieces of direct mail do not get opened.
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It
became very obvious right throughout the whole seminar that
if your direct mail list is to be any good you must work it
constantly. The lists require constant updating and editing removing all
names that have become stale.
Lists,
if you have to buy them, are extremely hard to get and are extremely
expensive, so the customers that you have and that have bought
from you in the past are your best source of new business and
those are the people who should be on your list and you should
be following them every time they shift house.
These
customers have cost you money to get in the form of advertising
word of mouth or whatever so they are your best source of new
business.
They
did mention that the easier it is to respond to whatever you
post, the more likely you are to get a reply. This of course bares out my comments that all direct
mail should be followed up with a telephone call to maximise
your investment.
In
direct mail they said that the guarantee is one of the most
important things you can offer, and, the customer is always
correct.
Both
philosophies of course apply to all business and not only direct
mail and I am sure if you guaranteed satisfaction with all of
your portraits unless your a bit of a lousy photographer you
would build up much better customer confidence than you could
any other way.
They
did say that New Zealand is the most responsive market in the
world to direct mail.
Those
envelopes that you see with the message on the outside of the
envelope in lots of cases do work and Do create a lot of responses.
They
did say that direct mail brochures should be extremely heavy
in copy, in other words you give them plenty to read.
If
you are sending a brochure you should always include a letter
because the letter is the most important thing in the complete
package.
Your
letter of course should always tell them what you are going
to tell them.
You
should then proceed to tell them what you are going to tell
them.
Then
you tell them what you have told them.
Remember
that thirty percent of
all people have some sort of eye problem so if you use a very
small type that group of people you may as well not send your
mailing to.
Remember
this of course applies very very heavily in any mailings you
do to older people.
If
you cannot make up your mind whether to have printing on both
sides of the page.... relax they have been unable to determine
that you'll get any less response by having printing on both sides
If
you are a member of the N.Z.P.P.A. mention it, it will give
you more respectability and credibility.
Whatever
offer you make them, make it a very personal offer and include
as much back-up with your letter as you wish and ask, ask, ask for a response, ask
right throughout all of your mailing.
You
can receive up to forty-five percent discount on your postage
under 'with special conditions" what they are I have yet
to find out ask your Post office.
Readers
Digest of course is the most successful direct mail company
in the world. They
started off in 1921 with no customers and have built it up to
about 31 million issues going out every month.
Their
average cost per piece of direct mail is 80 cents. They of course do test their market before they go into a complete
mailing. This means
that they will select a portion of their list perhaps every
tenth name and try the mailing out on them and the response
they get from this mailing can be applied across their complete
list.
This
means that if they have a thousand names and they post to each
tenth name they will be posting out a trial posting of one hundred
pieces. If they
get a ten percent response it would be logical to assume that
they would get a ten percent response on the remaining nine
hundred.
One
direct piece of direct mail that they did in 1957 was to post
out a two cent coin to all of their customers they posted out
in total 40 million coins and almost drained the complete market
place of coins of that value.
The
Managing Director of Readers Digest who was addressing us said
that good direct mail ideas are transportable providing you
test the idea before you go into it
One
of the speakers said that you must decide of these following
facts... Who are you trying to influence?
What
are you trying to sell?
Why
should you prospect buy it? Where will you find your prospect?
When
should you speak to them?
Only
after you have decided on all of those points should you even think
about using anything in direct mail.
You
should never try to be clever in any of your adverts because
you must keep it simple.
If
you are posting out a piece of direct mail to somebody who never
used you as a client it would do you no harm to use a photograph
of the building that you are in to build confidence in your
respectability.
An
idea that often works in direct mail is the following offer
Buy
three and get??? free.
In
other words you could invite your customer to buy three photographs
and ...perhaps get something perhaps
another photograph free.
If
you are using a reply card in your direct mail it should be
of 175 gram paper weight and of course be a business reply paid
card.
This
of course cuts across my concept that you should be telephoning
all of your prospective clients rather than waiting on them
to respond.
If
your considering mailing to every householder in New Zealand
they said that there are one million fifty thousand householders...
O.K. so its a piece of useless information...
Window
envelopes or not? They said that any small mailing that you do, that
would
be for example, word processor based, a non window envelope
is more practical.
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