Cutting Mailing Costs Makes “Cents”
By Joe Haddad
Companies spend more than $3 billion annually on direct mail
marketing. Small and mid-sized businesses typically spend up to $200,000 per year
on postage alone. This means that cutting mailing costs by as little as 1
percent can add thousands of dollars per year to your bottom line.
There are a variety of ways to decrease the dollars your
business spends on direct mail marketing. Sometimes even making slight changes
in format and size can substantially reduce mailing costs. Many factors,
including paper size and weight, do not affect the quality or impact of the
piece, but can dramatically impact postage costs. Consulting with a printer or
graphic designer knowledgeable about Canada Post mailing requirements early in
the production process can help your organization maximize savings.
According to
Canada Post consumer research, Canadians most welcome direct mail and pay the
most attention to it. When compared with other methods of direct marketing,
consumers pay most attention to addressed and unaddressed direct mail (42
percent), as opposed to other marketing vehicles such as direct response
television ads (23 percent) and e-mail (3 percent).
Direct Mail Options
Canada Post offers Addressed Admail™ and Unaddressed Admail™
options for direct mail. Both can result in substantial dollar savings for your
business by targeting key prospects and buyers and following postal
distribution requirements.
Addressed Admail™ is Canada Post’s most
economical direct mail tool, which enables companies to target promotional
messages to specific individuals and/or specific addresses. This direct mail
option offers an ideal opportunity to maintain customer contact, connect with
prospects and measure results.
Unaddressed Admail is a targeted
direct mail service that delivers advertising messages to more than 13 million
Canadian addresses. Marketing materials can be targeted to specific
neighbourhoods or localities, and to homes,
apartments, farms or businesses by postal code and letter-carrier walks within
the postal code. Items must be unaddressed but may include wording such as
Occupant, Householder, Occupant, Resident or Boxholder.
There is some work involved in
taking advantage of additional savings for direct mail. For example, with each
type of direct mail piece, there are specific length, width, quantity, weight,
height and content requirements, all of which can be found in one of several
Canada Post Customer Guides or on their Web site at www.canadapost.ca.
Getting the Message Out
For organizations without an
in-house mailing department, any mailing can be a lot of work. Your print
professional may offer mailing services, and should be familiar with the
requirements and specifications for Unaddressed Admail™, Addressed Admail™ and Business Reply Mail. Many
printers can handle every step of the mail process for you, from design and
printing of a piece to documentation and distribution.
Direct mail, though very
effective, is typically one of the largest line items in an organization’s
annual budget. It makes good sense to do whatever you can to reduce mailing
costs and get the best value for your advertising dollars.