As business-minded people, we’ll do almost anything to get a response. At The Verdi Group, we have a history of sending interesting, educational premiums within direct mail packages. With decades of experience, we’ve only found that an appropriate premium represents your company positively and helps prospects remember your brand.However, deciding on the perfect one can be difficult – especially since it needs to be intriguing, within budget, and in support of the single most important point.
Things to consider before getting started
Let’s not beat around the bush. Premiums add to the cost of a direct mail package. As an agency, our job is to figure out what kind of response increment we need to achieve for a worthwhile return on investment. Before going forth, using a simple ROI calculator can help you discern whether a package is going to pay for itself, and if not, at least give you some clarity on a more realistic budget for the project.
Of course, you should do anything that looks like it will lift response and pay for itself, but know that there’s always an element of risk in sending premiums for the first time. If it’s your first time sending a premium, we recommend starting modestly.
Picking and choosing a premium
Choosing a premium can be difficult, but it can be made easier if you know your audience. Internally, there should be a substantial amount of research done on your target audience before choosing. Your premium needs to have a message that’s appropriate to the audience. Ask yourself – is it useful for prospects? Does it relate to your product or service? Is it memorable? Overall, the premium should help the prospect, not pressure the prospect.
Another aspect to consider is weight – the heavier your package, the heavier the cost to mail! Not only should you budget the cost of the premium itself, but also postage. Postage is a crucial element that can add up quickly, especially if you have an intricate piece that won’t fit in your standard mail slot. To ensure your package meets your budget and mailing regulations, work closely with your post office from the beginning.
With all said, this is where an agency can be helpful. We have the objectivity of having recommended many premiums, and have no investment in a favorite. We also know about the recent uses of various premiums and prospects’ reactions to them.
Measure the response
Keeping track of the response your package receives will help you determine if it’s worth doing again in the future. You can track response through follow-up outbound telemarketing, visits to a customized landing page, forms, or business reply cards. In the long run, however, the ultimate measure of a program success is sales. It’s always helpful to have this data to justify future spending.
If it’s your best idea, and you’re on a time crunch, you don’t always have to conduct testing. If you don’t have the means to conduct a test, you can simply just study whether or not you received the expected response needed in order to pay for the incremental cost of the package. Pay attention, keep records, and use your best judgement so that you can make it more effective next time.
With the information you gain, you can decide if an even more powerful premium would have done better, or if you should scale it down. In the end, it isn’t the value of the premium that matters, but the response it receives.
Are premiums worth the investment?
Premiums not only give prospects an incentive to open your package and increase response, but the right premium can help you gain a customer for life. At Verdi, we’ve seen the benefits of using high-impact premiums. Often times, customers have loved their premium so much they have kept it on their desk for many years! In the long run, premiums are well worth the investment for your company.
Do you need help starting a direct mail campaign with a successful premium? Fill out the form below with your information, or call us 585-381-4275.