Personalization Is Crucial In Improving Direct Mail Response Rates

Solomon Thimothy - November 23, 2008
personalization is crucialStudy Shows Personalization Trumps Other Factors In Improving Direct Mail Response Rates
In 2004 a study was commissioned by InfoTrends/CAP Ventures entitled The Impact of Color in Graphic Design.  The basis for the study was to show how color, when used boldly and well in a design, can greatly increase the response rate of direct mail campaigns.  While the study successfully showed that a color direct mail piece drew a greater response than a black and white piece, a closer look at the figures reveals something more interesting.  Personalization of the direct mailer was the most important factor in driving up response rates.

Some of the results of the study are as follows:

Color Scheme

Personalized

Response Rate

Black & White

NO

1.0%

Black & White

YES

1.5%

Full Color

NO

1.5%

Full Color

Yes (Name Only)

2.0%

Full Color

Yes (Deep Personalization)

6.5%

As you can see, the direct mail campaigns with the deep personalization (in this case it took the form of a purchase history) had a significantly higher response rate than any other campaign.  The adding of color to the mailer generally increased the response rate by only 0.5%.  Adding savvy personalization increased the response rate by as much as 5%.   When you consider that the average direct mail campaign only has a 2-4% response rate, these numbers become significant.

Since 2004 personalized marketing campaigns have developed to a point where variable data printing is not the only available option.  VDP used in conjunction with PURL landing pages creates a powerful campaign with the potential to greatly increase responses and drive down the cost of each lead.  Here at OneIMS we offer a number of different VDP and PURL solutions.  For more information please go to www.oneims.com or contact us at 1-888-ONE-IMS1.


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