6 Reasons Why Direct Mail Gets First-Rate Results for Nonprofits

You’re probably familiar with old adage, “If it ain’t broke, don’t fix it.” This saying can be applied to direct mail campaigns. 

Many people think direct mail has been superseded by the advent of email and other digital marketing tools. People wonder if direct mail actually still works. The answer is, yes,  direct mail works. And it’s just as effective as ever. Here’s why:

1. Good Response Rates

The average response to an email campaign is only about 0.5 to 1%. According to a 2016 study by IWCO Direct, a good direct mail campaign can get a “3.7% response rate with a house list, and a 1.0% response rate with a prospect list.” Other studies report that some direct mail campaigns have achieved a 5.0% response rate.

2. Cost Effective

Direct mail isn’t cheaper than email, but it’s more cost effective. However, to make it cost effective, it has to be done right. That means it must be implemented in a highly targeted way, and include the Customer Lifetime Value in the ROI analysis. (Customer Lifetime Value is a prediction of the net profit attributed to the entire future relationship of a member or prospect, depending on the type of campaign.) 

Moreover, predictive modeling  can reduce the volume of direct mail—thus reducing costs—by ensuring it’s only sent to people who are most likely to respond.

3. Varied Options & Personalization

Direct mail gives you the freedom to use different types of mailers. There are literally hundreds, even thousands, of ways to make direct mail pieces creative. Check out these 30 examples of brilliantly creative direct mail.

4. Won’t Limit Your Audience

Some people don’t use email, or do not have access to it, particularly some of your older members and prospects. A 2016 Pew Research Center study found that 13% of U.S. adults don’t use the Internet. Relying solely on email marketing means some of your prospects and members won’t receive your message.

5. Attention Grabbing

Imagine this: You login to your email account. There are about 35 unopened messages. Some are spam. One is a fundraising email, but you barely notice it. Even a fundraising email with a catchy subject line is still competing in a crowded playing field. 

Direct mail is different. Even if it’s minimally creative, it will still catch your eye because it’s competing for attention among a small number of postal mail pieces.

6. Tangible & Longer Shelf Life

Direct mail is tangible. It exists in the real world. By merely holding it, a physical connection is created that email or online advertisements can’t achieve. Studies have shown that once recipients open a piece of direct mail, they’re more likely to read it compared to an email. They’re also more likely to take an action.

What’s more, direct mail that isn’t thrown away will probably remain on a table or desk, or somewhere in the house. This means multiple people will have a chance to read it.

Conclusion

Direct mail was invented by English potter and entrepreneur Josiah Wedgwood (1730 – 1795) to meet the demands of the growing numbers of consumers who helped drive the Industrial Revolution. That means direct mail is about 250 years old—and it’s still going strong. Despite its detractors, direct mail isn’t going away anytime soon.

Tags: direct, mail, nonprofits