Starting a Small Business

• Starting a small business
• The Baby Boomers
• How to sell
• Business formation
• Networking
• Efficiency
• Information Technology
• Adaptation
• How to keep customers
• Delegating Tasks
• MLM
• Perseverence
• Social Media
• Direct Mail
• How to be less rubbish
• Hiring Staff
• Innovation in Business
• A Changing World
• The Hobby Economy
• The Pound Store Phenomenon
• Raising Finance
• The G-Factor
• Positive Loops
• Start up business info
• SEO

Direct Mail

I used to (1994 to 2006) get really good results from direct mail to businesses. I should qualify this by saying that for me, a one-percent response rate is pretty good. And here lies the same old problem.....expectation.

I've spoken to a number of marketing companies who seem to live in a complete fantasy land. They will say things that are quite bizarre like you should be expecting a ten percent response rate. Are they complete loons (or liars) I don't know which.

Think about it logically, If a ten percent response rate was even vaguely credible, then I'd only need to spend a tenner a week on direct mail to achieve a nice flow of new customers. No, sorry but for most businesses a response rate between zero and one percent would be most normal.

Lately (in the last few years) I think that I tend to have got between a quarter to half of one-percent. I've somewhat gone off the idea of direct mail since this lowered result, but I really ought to have another crack at it, because when it works, it is then a nice and reliable way of getting controlled growth of business.

I'm sorry that I can't wax lyrical in a more positive way about how to do direct mail in this current economic climate, but I think as usual I've made enough mistakes, so I might be better off telling you about those.

Firstly, where are the data coming from (names and addresses). How do you know the quality of the data (data hygiene is the term used in this trade), i.e. if you are writing to a marketing manager, then when was this information gleaned or verified?

Secondly, can you re-use the data?

Thridly, are you going to follow up the mailing with a phone call?

There is a strong opinion amongst some marketeers that the mailing is not going to be effective unless followed up with a phone call. I don't entirely subscribe to this point of view - but depending on your type of business, it could be true.