Driving Up Direct Mail Results

Circulation Management, May 1, 2003

Byline: ELAINE TYSON

Lurking in the backs of the minds of circulators everywhere is the fear that direct mail response rates are on a steady, irreversible decline. It's not a new fear - circulators have been struggling with it for years. There are several schools of thought about what's causing the decline, as well as whether anything can be done to improve order production from this very important source of acquisition and renewal business. Whether your magazine is consumer or business-to-business, paid or controlled circulation, direct mail remains a workhorse. As such, it requires a significant investment of time and effort to plan, execute and then analyze the results of our campaigns.

While it may be true that in the overall scheme of things, creative work is less important than strong mailing lists and offers, it still counts as a significant contributor to the success or failure of a direct mail campaign. Along with some other important factors, such as the willingness to test, I think many circulators have lost sight of this fact. Dull, boring direct mail, no matter how inexpensively produced, does not sell more subscriptions than exciting, well-written and well-designed creative.

Many magazines have fallen into the trap of abusing prospective subscribers' sensibilities with inferior direct mail efforts and then wonder why response declines. For instance, voucher packages are so commonplace that the vast majority of us find at least two or three each day in our mailboxes. In many instances, vouchers are simply an excuse for avoiding the use of a sales letter in our packages. When the voucher concept was new, it captured attention simply because it was different. We should all remember that a so-called breakthrough is not necessarily a sound business decision in the long run.

Often, the more dramatic the "breakthrough" package, the shorter its life span. The voucher concept is years past its sell-by date. It's time to get serious about selling through the mail again by remembering that all the old rules still apply. You don't need to reinvent the wheel for every new direct mail package. You just need a copywriter and designer who each understand the rules of sound direct-response advertising as well as how to build concepts that sell.

Until the pendulum swings back to hiring experienced, talented writers and designers - it will swing back, it always does - the best that we can do is try to offset the declining direct mail response rates by tuning up the elements of our direct mail packages. Let's start with renewals.

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Vary outer envelopes. As I discussed in this column in February (page 48), change the color, copy and size of the OE from effort to effort if possible.

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Include a personalized letter in every effort. You need to communicate personally with your subscribers to persuade them to continue subscribing.

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Try different formats. Test various formats such as a cover wrap or a double postcard.

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Involve subscribers in every effort. Remind them of the benefits of subscribing and what they'll miss if they fail to renew. Test extra enclosures in early efforts, such as a buckslip touting future articles, customer testimonials or a lift note from the editor or publisher.

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Build urgency into your series. Make each effort more pressing than the last. An envelope that says "LAST CHANCE" is more compelling than one that says "Renewal Enclosed." Gram-type formats help create an urgent look, as well.

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Stress basic direct marketing techniques and principles in each renewal effort. Including benefits copy, involvement devices, respond-by dates and other simple techniques can help lift renewal rates.

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Monitor renewals by effort and source. Be sure to test major changes in creative, timing and offers. If effort four outperforms effort three, for instance, move effort four to the third position in the series. If your last effort is still pulling a significant response, test an additional effort.

Take a look at your billing series from a marketing perspective What can you do to strengthen it and improve pay up on credit orders?

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Acknowledge paid orders and include a renewal-at-birth message to upgrade to a longer term. Consider offering an additional five or six issues at a pro-rated price.

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Remember, short copy works best. You've already sold the subscription so don't get bogged down in resell. Go after the money.

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Don't be too harsh or too sweet in your copy. The appropriate tone for copy in a billing series is matter-of-fact, to-the-point and business-like.

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Be wary of your OE copy. Don't make threats or use potentially embarrassing copy on outers.

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Change your signature line. Replace the usual circulation title with an accounting title after the second billing effort to enforce an urgent response. Consider using controller, VP, finance or collection department.

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Know what it costs you to collect from credit orders. If your last effort is still productive and the cost is acceptable, you might want to add another effort. On the other hand, you can only request payment so many times before the threat is gone, so keep the series as short as possible.