promotional strategy at mridaz softech private limited
DESCRIPTION
Promotional Strategy at mridaz softech private limited . mba project reportTRANSCRIPT
OBJECTIVE:
The objective of the study is to Study and Analyze the Promotional Strategy of
Mridaz Softech Pvt. Ltd..
This main objective is sub divided into following Two sub objectives
To Study Promotional Methods in Mridaz
To Analyze the Promotional Methods used in Mridaz.
INTRODUCTION
A successful product or service means nothing unless the benefit of such a service can be
communicated clearly to the target market. An organisations promotional mix strategy can
consist of:
Types of
promotionExplanation
Advertising:Any non personal paid form of communication using any form of
mass media.
Public
relations
Involves developing positive relationships with the organisation
media public. The art of good public relations is not only to obtain
favorable publicity within the media, but it is also involves being able
to handle successfully negative attention.
Sales
promotion:
Commonly used to obtain an increase in sales short term. Could
involve using money off coupons or special offers.
Personal
selling:Selling a product service one to one
Direct Mail Is the sending of publicity material to a named person within an
organisation
Direct mail allows an organisation to use their resources more
effectively by allowing them to send publicity material to a named
person within their target segment. By personalising advertising,
response rates increase thus increasing the chance of improving sales.
Listed below are links to organisation who's business involves direct
mail.
Internet
Marketing
Promoting and selling your services online using various forms of
online marketing techniques such as banner advertisments, videos
or socialmedia.
Sponsorship
Where you pay an organisation to use your brand or logo. This
organisation usually has a high profile so that you know that your
brand will be seen by a large audience. Most common use of
sponsorship is with sporting events. The 2012 Olympics being held in
London is being sponsored by a number of organisations such as
Mcdonalds and Coca-Cola as the event will attract a world wide
audience that will run into hundreds of millions.
Message & Media Strategy - Click here if you want Edward to read this bit.
An effective communication campaign should comprise of a well thought out
message strategy. What message are you trying to put accross to your target
audience?. How will you deliver that message? Will it be through the appropiate
use of branding? logos or slogan design?. The message should reinforce the
benefit of the product and should also help the company in developing
the positioning strategy of the product. Companies with effective message
strategies include:
Nike: Just do it.
Coca-Cola: The real thing
Media strategy refers to how the organisation is going to deliver their message.
What aspects of the promotional mix will the company use to deliver their
message strategy. Where will they promote? Clearly the company must take into
account the readership and general behaviour of their target audience before they
select their media strategy. What newspapers do their target market read? What
TV programmes do they watch? Effective targeting of their media campaign could
save the company on valuable financial resources.
Promotion through the Product life cycle. -
Click here if you want Edward to read this bit.
As products move through the four stages of the product lifecycle different
promotional strategies should be employed at these stages to ensure the healthy
success and life of the product . Stages and promotion strategies employed.
Introduction
When a product is new the organisations objective will be to inform the target
audience of its entry. Television, radio, magazine, coupons etc may be used to
push the product through the introduction stage of the lifecycle. Push and Pull
Strategies will be used at this crucial stage.
Growth
As the product becomes accepted by the target market the organisation at this
stage of the lifecycle the organisation works on the strategy of further increasing
brand awareness to encourage loyalty.
Maturity
At this stage with increased competition the organisation take persuasive tactics to
encourage the consumers to purchase their product over their rivals. Any
differential advantage will be clearly communicated to the target audience to
inform of their benefit over their competitors.
Decline
As the product reaches the decline stage the organisation will use the strategy of
reminding people of the product to slow the inevitable
Internet Promotion
The development of the world wide web has changed the business environment
forever. Dot com fever has taken the industry and stock markets by storm. The e-
commerce revolution promises to deliver a more efficient way of conducting
business. Shoppers can now purchase from the comfort of their home 24 hours a
day 7 days a week.
Owning a website is a now a crucial ingredient to the marketing mix strategy of an
organisation. Consumers can now obtain instant information on products or
services to aid them in their crucial purchase decision. Sony Japan took pre-
orders of their popular Playstaion 2 console over the net, which topped a 1 million
after a few days, European football stars are now issuing press releases over the
web with the sites registered under their own names. Hit rates are phenomenal.
Marketing theory distinguishes between two main kinds of promotional strategy -
"push" and "pull".
Push
A “push” promotional strategy makes use of a company's sales force and trade
promotion activities tocreate consumer demand for a product.
The producer promotes the product to wholesalers, the wholesalers promote it to
retailers, and the retailers promote it to consumers.
A good example of "push" selling is mobile phones, where the major handset
manufacturers such as Nokia promote their products via retailers such as
Carphone Warehouse. Personal selling and trade promotions are often the most
effective promotional tools for companies such as Nokia - for example offering
subsidies on the handsets to encourage retailers to sell higher volumes.
A "push" strategy tries to sell directly to the consumer, bypassing other
distribution channels (e.g. selling insurance or holidays directly). With this type of
strategy, consumer promotions and advertising are the most likely promotional
tools.
Pull
A “pull” selling strategy is one that requires high spending on advertising and
consumer promotion to build up consumer demand for a product.
If the strategy is successful, consumers will ask their retailers for the product, the
retailers will ask the wholesalers, and the wholesalers will ask the producers.
Company Profile
MRIDAZ SOFTECH PVT. LTD.
Perfection Giving Performance
IN OUR BUSINESS WE RACE AGAINST THE CLOCK BECAUSE WE
SELL TIME
Mridaz Softech Private Ltd is a leading IT enabled service Provider Company
situated in Delhi. Our mission is to provide cost-effective web and desktop
services, creative and powerful quality flash banner internet advertisement
solution that target your business market. We develop website according to your
business nature, streamline in-house operations, and develop dynamic web
applications.
About Us
Mridaz Softech Private Ltd is a leading IT enabled service Provider Company
situated in Delhi. Our mission is to provide cost-effective web and desktop
services, creative and powerful quality flash banner internet advertisement
solution that target your business market. We develop website according to your
business nature, streamline in-house operations, and develop dynamic web
applications.
Mridaz Softech has a well equipped team of User Experience Consultants. Our
consultants work and develop new ideas by assuming the customer buying pattern
which in result helps our clients in our higher revenues. The four factors which
help Mridaz in providing unique web ideas whether in terms of well rooted Web
Concepts or innovative Web Solutions are the dedication, motivation, passion and
the aim of doing the best. Mridaz Softech is formed with the inclination and
eagerness of providing the best possible Idea suited to the clients Ideas and
turning the dream into reality..
Our Strengths
One-Stop Web Solutions Company And Full-Cycle Development Services
Whether you need a simple yet appealing website design or complex multi-tier e-
commerce website or custom software development using latest technologies and
industry trends - MSPL has required experience and expertise to do it all.
We support a full-cycle development process from requirements definition and
specification, architecture design, coding, testing and validation to product
maintenance and support.
Quality Standard
Quality Assured Service Provider
Having over 4 years of experience in providing internet services and solutions and
having completed various projects in different domains. Quality personnel,
Quality Process and Quality Communications. Each project at MSPL is monitored
for quality at each phase of the development cycle.
We are committed to delivering maximum value to our clients helping them
succeed in a continually changing and demanding biz world. We as company
understand the fact that our success is tied with success of our clients.
Strategy
Our Key Business Principles Are
Understand Clients Needs :-
We carefully study the requirements of each customer to understand the client's
needs and objectives and deliver a reliable solution. We make our clients aware of
all available options and provide them with a competent advice enabling them to
take a well informed business decision.
Partner with Clients :-
We are committed to becoming your long-term, reliable partner. Our priority is to
not only provide you with professional services and solutions but becoming a
company you can depend upon to meet current needs and help you take care of
your growing business needs in future.
Earn Clients Trust and Confidence :-
Our aim is to earn customer's trust and confidence through personal attention for
their needs and commitment to long-lasting relationship. We will go an extra mile
to deliver you a effective and reliable solution and help you adopt and succeed in
the internet.
Our Products
MridazAcademia
MridazAcademia is windows based application software for Schools, Colleges
and Institutions. This provides a best and very flexible solution for day to day
exercise in a school.
This software includes 'student admission', 'student record maintainer',
'examination and class scheduler', 'result tabulator and publisher', 'employee
record keeper and HR management', 'accounting and assets' as main modules.
MridazAarogya
MridazAarogya is windows based application software for hospital, Clinics and
nursing homes. This is very easy to use and interactive software to automate the
entire hospital.
This software includes 'IPD', 'OPD', 'Electronic patient record', 'Pathological
Radiological and other Test Modules', 'Appointments, registration and patient
billing', 'employee record keeper and HR management', 'accounting and assets' as
main modules.
R.B. Memorial Hospital the First and Only Fully Computerized Hospital in North
Bihar is using this Software very successfully.
MridazAushadh
MridazAushadh is windows based application software for pharmaceuticals Store.
This enables the store keeper to keep records of sales and stocks and helps him to
do other works whichever is required for a pharmaceuticals.
This software includes 'Sales, order and chalan', 'purchase', 'stocks', 'billing and
accountings', as main modules.
MridazAatithya
MridazAatithya is windows based application software for Hotels, Motels, and
Guest House etc. This is very interactive and easy to use software which provide
the peace of mind to the staffs of the hotel for keeping records and maintain the
rooms and guests.
This software includes 'CheckIN', 'CheckOut', 'Room Service', 'Kitchen', 'Front
Office', 'F & B', 'Sales and Marketing', 'Accounting', 'HR' as main modules.
MridazDistibutor
MridazDistributor is windows based application software for Distributers of any
Type of Product. This enables the store keeper to keep records of sales and stocks
and helps him to do other works whichever is required for a Distributor.
This software includes 'Sales, order and chalan', 'purchase', 'stocks', 'billing and
accountings', as main modules.
Mridaz-E-Post
Mridaz-E-Post is a web based portal to keeping records of the couriers in an
organisation where daily couriers are in bulk amount and the record keeping of the
sent and received couriers become a headache like banks, travel agency, Insurance
Company. This reduces the time consumed in keeping record of courier and
budgeting of the courier.
ICICI Prudential is using this portal very successfully and they are saving time
and money consumed before for couriers. in this portal the budgeting and
courier record keeps the employee informed that the couriers sent and
received by him is known to admin and he avoid to send the personal
couriers from office
MridazAdhyayan
MridazAdhyayan is windows based application software for Library. This
provides a best and very flexible solution for day to day exercise in a Library.
This software includes 'Book Record', 'Readers and Members', 'Book Transaction',
'Newsletters and Journals', 'employee record keeper and HR management',
'accounting and assets' as main modules.
Mridaz-E-School
Mridaz-E-School is a web based information system for the school. This enables
an information system for school to publish the schedules of class, Exams,
holidays, invents, vacation home works, results and many more to the web and
also provide an electronic data base to keep the reports and records online..
Portal have modules like administrative module, students and parent module,
accounting module, reporting module, library record keeper, notice board,
teachers and academic module, hr module etc which is very carefully designed to
easy usability for any type of user.
.
Mridaz Pathology
Mridaz Fund Allocator
Our Services
Application Development
Mridaz provides full service of Web Design, Application Development and
Software solutions helping all and medium sized businesses to launch and prosper
online. The company provides corporate identity design services, affordable
offshore website design and development, e-commerce web design and software
development along with friendly customer service at best rate.
The software enterprise does what it does best - identify market needs and
generate ideas to develop a new product. Our team is capable of understanding
these ideas and translating them into the world-class products that are ready for
market. We also have the expertise to select the appropriate technology for
building robust products by using well-defined methodologies.
Mridaz's web application development division uses the most appropriate
technology to develop your software so that you have less maintenance work and
excellent business results. Mridaz all build and specialize secure e-commerce
applications. We make custom made applications to suit your needs. We also
extend our e-commerce expertise beyond the business-to consumer retail model to
meet the needs of business-to-business transactions and other commerce-related
applications.
Web Development Services
Mridaz Softech shapes your idea into reality with our professional experts and
innovative methodologies. Being a leading brand in this field, Mridaz offers
optimum service along with online business service. Our team in the field is time
tested. With its unmatched services in various domains; providing quality web
design solutions in India, Mridaz is all set to lend its services for the global
clients.
Our Services are
Web Designing
Web Development
Domain Registration
Search Engine Optimization
Search Engine Submission
Web Promotion
ASP.NET Hosting
Unix Hosting
E-Commerce Hosting
Windows Hosting
All we know that sole knowledge and rich business understanding along with a
number of methods that go behind the website bringing in reality. Mridaz Softech
with its proven track records and repeat business establishes itself as a leading
Website Design Company in India. We strive to provide the best and keep the
basics simple and crisp.
Few of Our Work
Electronics
In the field of electronics we offer these stuffs
The home and office automation and safety installations
The Microcontroller/microprocessor/PLC based industrial automation
system
Computer based system design and development for automation and safety
Programmable logic controllers
Design and develop customized electronic and electrical equipments and
peripherals
For implementing these to the customer end we have a cadre of well skilled
engineers and technicians. We also provides training to this fields to the students
pursuing their technical degree in India.
Welcome to Softech Campus
Softech Campus , is the flagship Computer Training program from Mridaz
Softech Pvt. Ltd. a well recognized and service excellence award winner software
company in Delhi and NCR region.
Mridaz is involved in the computer training and education programs since 2002
with the name of Mridaz Education Services. The name of training program was
changed in February 2010 to Softech Campus.
Our courses are very productive accordance to the skilled and trained technical
staffing in many well known software companies. All the courses are designed as
per the requirement that not only the theoretical knowledge is sufficient for the
technical training the real time environmental training is also a main ingredient to
the best trained student who will have a confidence of knowledge and experience
of real world work environment, and will give his best to his employer and grow
with the organization in which he will work with a advantageous skills developed
within him.
LITERATURE REVIEW
PROMOTION & ADVERTISING STRATEGY
Promotion is one of the key elements of the marketing mix, and deals with any
one or two-way communication that takes place with the consumer. This article
concentrates is a high level introduction to developing a promotional strategy for
your business focusing on advertising and other 'pull' tactics.
DEVELOPING A PROMOTIONAL STRATEGY
Deciding on a marketing communications strategy is one of the primary roles of
the marketing manager and this process involves some key decisions about who
the customer is, how to contact them, and what the message should be. These
questions can be answered using a three stage process, which is equally relevant
for all elements of the marketing mix:
Segmentation
Dividing the marketing into distinct groups
Targeting
Deciding which of these groups to communicate with, and how to talk to them
Positioning
How the product or brand should be perceived by the target groups
Messaging
Delivering a specific message in order to influence the target groups
1. SEGMENTATION
Dividing potential customers into discrete groups is vital if you want to increase
the success rate of any communications message. If you don't know who you are
talking to, it's unlikely you will get much of a response. Who are the potential
customers? How many sub-groups should you divide them into? How do these
groups differ? Hopefully, most of this information will be readily available from
your market research.
Once you have an idea of the customer, you should further drill down to explore
them in more detail.
What are their media consumption habits? What are their expectations and
aspirations? What are their priorities? How much disposable income do they
have? What are their buying habits? Are they likely to have children? How many
holidays do they take a year? How much money do they give to charity? How can
you help them?
This information can be obtained in a variety of ways, from commissioning
aspecialist market research agency, to examining sales patterns or social media
interactions.
Commonly used market research methods include:
Sales analysis and buying patterns
Questionnaires
Desk research
Website statistics, especially social media
Focus groups
Face-to-face interviews
Specialist market research companies
Once you have built up an accurate picture of your customer, it's time to get their
attention…
2. TARGETING
For the purposes of advertising, targeting is the process of communicating with
the right segment(s) and ensuring the best possible response rate. The methods
you use to target your audience must relate to your marketing plan objectives - are
you trying to generate awareness of a new product, or attract business away from
a competitor?
Related link: Writing a marketing plan
METHODS OF MARKETING COMMUNICATIONS
Advertising is just one element of the marketing communication arsenal, which
can be divided into the following areas:
ADVERTISING – A MASS MEDIA APPROACH TO PROMOTION
Outdoor
Business directories
Magazines / newspapers
TV / cinema
Radio
Newsagent windows
SALES PROMOTION - PRICE / MONEY RELATED
COMMUNICATIONS
Coupons
Discounts
Competitions
Loyalty incentives
PUBLIC RELATIONS - USING THE PRESS TO YOUR ADVANTAGE
Press launches
PR events
Press releases
PERSONAL SELLING – ONE TO ONE COMMUNICATION WITH A
POTENTIAL BUYER
Salesmen
Experiential marketing
Dealer or showroom sales activities
Exhibitions
Trade shows
DIRECT MARKETING - TAKING THE MESSAGE DIRECTLY TO THE
CONSUMER
Mail order catalogues
Bulk mail
Personalised letters
Telemarketing
Point of sale displays
Packaging design
DIGITAL MARKETING – NEW CHANNELS ARE EMERGING
CONSTANTLY
Company websites
Social media applications such as Facebook or Twitter
Blogging
Mobile phone promotions using technology such as bluetooth
YouTube
E-commerce
DECIDING WHICH MEDIA CHANNEL TO USE
In nature, evolution occurs most rapidly when competition for resources is
intense. The same process is now occurring with promotional media. All
traditional media channels are now saturated, and competition for consumer
attention is intense. At the same time, the impact of any one medium is becoming
diluted. There are many more TV and radio channels, consumer have the ability to
skip adverts and free information is now much more accessible. As a result,
companies are becoming increasingly innovative in their approach to
communications and a host of new media channels have emerged. As a result,
media choice is becoming a tricky task, which is why detailed segmentation is so
important - it's no use starting a Twitter campaign if none of your target market
are regular users of the site.
Highly targeted communications often lead to better results. You can usually
expect a response rate of under 1% for a relatively generic mass mailing.
However, personal letters to a handful of your most loyal customers would lead to
a dramatically increased rate of return. When deciding which media to use
consider the reach, frequency, media impact and what you can expect for your
budget but most of all, ensure your target customer will see the message in the
first place.
Media choice is a matter of compromise between volume of people versus the
personalisation of the message.
ENSURING YOUR MESSAGE REFLECTS THE STAGES OF THE
PURCHASING FUNNEL
Once you have made the audience aware of your brand, work doesn't stop there.
The customer needs to be guided through the purchasing process. This means
identifying the key stages in the customer journey and ensuring communications
messages are personalised and relevant.
More information: The purchasing funnel
INTEGRATED MARKETING COMMUNICATIONS
Once you have decided which media channel to concentrate on, the next step is to
ensure an integrated approach is taken. Regardless of whether you are promoting a
new product or raising awareness, it's important that all ads across all media work
together towards a common goal by using similar messaging and 'look and feel'.
An integrated approach can dramatically increase the effectiveness of any
campaign and will help create your brand image.
GETTING THE BEST RESPONSE
To get the best response from your target market, you need ensuring the message
is relevant and clear – once you've managed to gain the valuable attention of your
customer the last thing you want is for them to be confused about what you're
saying. Determine the objectives of the advert and ensure these aims are addressed
clearly. Think about the next steps you would like the audience to take, whether
this is visiting a website, ringing a number, or being able to recall your brand
when they are next in the shops.
3. POSITIONING
Positioning is the process of developing an image for your company or product.
This can be achieved partially through branding, but it's important to realise that
all elements of the marketing mix combine to provide the full picture. You must
ensure that all areas of your business live up to expectations in order to
successfully position yourself in the way you hope. Positioning also considers the
competition, and you need to explain why you are unique in the marketplace and
better than the other products on the shelf.
BRANDING AND MESSAGING
Branding is a powerful tool for positioning your product. Branding is used on
almost all customer facing elements of a product, from the packaging design to the
style of writing used on posters. Every communication a customer received adds
up to form a mental picture of your brand and can influence the price they are
willing to pay for your products. This ability to charge more due to the positioning
of your product is known as 'brand equity'. Your branding also needs to consider
your unique selling points (USPs) and ensure these are easily recognised through
your messaging – is your product the best value, longest lasting, sweetest smelling
or fastest?
CORPORATE IDENTITY
A corporate identity is a useful tool to ensure that your branding is used in a
consistent way throughout the company. This detailed document runs through
almost every conceivable customer touch point and provides guidance on the
presentation and style which should be used. This could include use of logos,
colours, tag lines, uniform and the type of coffee to serve guests. A CI guide is
particularly useful if any creative work it outsourced to agencies or freelancers or
if you have many offices worldwide. The most powerful brands can be identified
by many elements of their communications material, not just a by their logo or
slogan and this is due to successful implementation of a recognisable corporate
identity. Recognition is a key part of any purchase decision so a corporate identity
should for a core element of your advertising strategy.
4. DEVELOPMENT OF THE ADVERTISING MESSAGE
Once you have determined the positioning for your brand, it's time to develop the
message in order to influence your target groups. Advertising objectives should be
directly linked to your marketing plan, and tend to fit into the following generic
categories:
Inform - raising awareness of your brand & products, establishing a
competitive advantage
Persuade - generating an instant response (usually driving sales)
Remind - to maintain interest and enthusiasm for a product or service
It's a documented fact that creative, well branded, distinctive advertising generates
the best results so ensure you use the best possible creative team you can get your
hands on, and give them a detailed brief. Remember that a message will only be
successful if it appeals to the target audience, so constantly refer back to the
customer and tailor the ads to them.
FINAL WORDS
Almost every business in the world will deal in advertising at some point, whether
it is a listing in the Yellow Pages, or a billboard in Times Square. Whatever you're
planning, the strategic thinking behind all advertising is essentially the same – get
to know your audience, target them efficiently and position your brand in the way
that will benefit your business.
RESEARCH METHODOLOGY
RESEARCH METHODLOGY
Objective of the Research accomplished
Research Design
Data Collection
Questionnaire
Sampling Procedure
The objectives of our research are to:
To identify the market, product and make an in depth comparison of the
same on certain parameters, which will be defined in the due course of the
proposal.
To ascertain potential market and competition.
Ascertain the consumer preferences and satisfaction factor.
To highlight the perception of the consumers for the internet.
Gather useful information and provide a critical analysis through the use
of various techniques.
RESEARCH DESIGN
We carried out the research using a combination of primary and secondary data.
Thus we design our research on a combination basis of
Exploratory Research design
Descriptive Research design
EXPLORATORY RESEARCH
As I was unaware of the market for Internet, exploratory research helped me to
gather information from the secondary resources. I referred to various magazines,
internet, and industry association reports etc. and was able to gather information
on the scope of e-marketing.
DESCRIPTIVE DESIGN
After conducting the exploratory research, for further concrete details regarding
scope of e-marketing I resorted to the Descriptive Design of market research.
Under this I have analyzed the consumer behavior on different parameters. The
Descriptive design has given me a better insight of scope of e-marketing by
bringing to the fore many minute details regarding the consumer preferences. It
has further helped I in a careful analysis of the secondary data and also refining
the desired data by making the objective clearer.
I conducted the Descriptive Design using the following methods:
QUALITATIVE METHODS:
1. Focus Groups
QUANTITATIVE METHODS:
1. Surveys
Data Collection
The whole research based on secondary data.
Secondary Data: Secondary data collected through the magazines, newspapers,
shopkeepers’ catalogue and the advertisement.
DATA ANALYSIS
Mridaz is using Direct Mail Advertisement which is very effective
Direct mail advertising is an extraordinarily powerful marketing tool. No other
media allows you to target your audience so exactly.
You can send a large volume of information if your clients need it, or just a
postcard. And you will know almost immediately if your direct mail adverting
program is a success, and what your return on investment is.
Direct mail is an immediate response media – people either respond immediately,
or they throw away your mailer. We must work to get that immediate response.
Direct mail advertising also works to build up customer loyalty. It’s how you stay
in contact with your customers, and tell them they are important.
Research shows that 68% of customers that don’t return to a company say that the
company never contacted them, was indifferent, or had a poor attitude. Dropping
your customers a letter is the solution.
Because direct mail advertising has been around a while, you can benefit from
tried and true strategies. Some of these will seem counterintuitive, and some will
seem like aggressive salesmanship. But the only thing that counts with direct mail
advertising is the response rate.
The good news is that we know what works. The direct mail advertising industry
has been improving its craft for a hundred years. More than any other form of
marketing, direct mail advertising can be measured and improved upon. You will
know exactly what you get for your investment, every time you mail a letter.
If you want to use direct mail advertising, start by looking in your own mailbox at
the pieces that come again and again. Why do they work?
Why does Publishers Clearinghouse mail those bizarre looking envelopes?
Because Publishers Clearinghouse knows exactly, to the penny, what works. And
you can benefit from that experience.
One more note before we start: Your direct mail advertising has a job to do - it
must sell. If you are going to succeed with direct mail advertising, you are going
to have to be a little aggressive. Think about how many people sort their mail over
the trash container. You have about six seconds to convince them to open your
piece, and not throw it away.
If they do open it, you have another eleven seconds to convince them to really
read it. Then your mailer must aggressively direct the reader toward responding.
Each and every page must push for a response. Each benefit must demand a
response now. Immediately. Right this minute. How many people will come back
to your piece later? Not enough. It’s now or never.
A Measurable Response
With direct mail advertising, success depends on these three things [in order of
importance]:
The quality of the mailing list
The attractiveness of the offer
The copywriting and package design
All of these factors can be changed. You can modify any part of the package to
try and get a better result.
So the real key to success with direct mail advertising is testing. Test each part of
your mailer until you find the best possible combination that achieves the highest
profit for your company. And then you test some more.
In direct mail advertising, the ‘Control’ mail piece is the version of the mailer that
got the highest response rate at the highest profit per order in previous mailings.
You count how well you did with your mailing, and then try to improve upon the
response/profit rate of your control piece.
Unless you are very lucky, you will need to go through several generations of
mailings before you achieve the best return rates. Certainly you may be profitable
with your very first mailing, but with direct mail advertising you can always do
better.
For example, it was commonly believed that sophisticated clients would never
respond to “junk looking mail” to purchase financial services. No one even tested
the idea. Well, they were wrong. By creating more visual and sales oriented
material, the response went way up. You don’t know until you test.
Component Parts
Direct mail advertising can be a post card, or it can be a 200-page catalog. Either
way, direct mail advertising has some basic components.
1. The response device
2. The letter
3. The envelope
4. The brochure
A mailer will often also contain some or all of the following components:
1. A Lift letter – a brief second letter that tries again to close the sale.
2. Facilitators – guarantees, bill me later, toll-free phone number
3. Incentives – free gifts [yours to keep even if you return the product]
4. Choices – color, model, quantity, accessories, variations
5. Examples, case studies, testimonials, statistics
6. Involvement devices – peel-off stickers, fill-out cards, fold outs
Understanding the various options and direct mail advertising component parts
will lead you to success with your direct mail advertising.
The Response Device
The response device is a return card, a coupon, a fax-back form, a phone number,
an e-mail, etc. It is probably the most important part of your mailer, and you
probably want to start you direct mail advertising piece by thinking about the
response device.
The job of the response device is to transition the reader from interest to
acceptance and response. Think of it as the sales closer. It has a big job to do. It
must get attention, sum up the offer in an exciting way, and close the sale or get
the desired response.
The design of your response piece will most likely have the biggest impact on
your direct mail advertising results. It has to sell, and sell aggressively. It has to
scream for attention. It has to command that the reader act now. It must be
aggressive.
So here are the general rules for the response device in direct mail advertising:
1. Test different response devices. Try three different styles, and then try more
against the winner. You will never know how good your direct mail advertising
response can be until you test.
2. Do not hide your response device – make it stand out and emphasize it. Point at
it.
3. Urge people to respond now. Command them to act immediately.
4. Clearly identify the response device. It can be a reservation certificate, a no-
risk trial option, a request card, an RSVP, a coupon, etc. Just mark it clearly.
5. Use “rush”, “free”, “limited time offer,” type wording.
6. Use strong visuals and excitement unless the mailing is very serious [like fund
raising.] Red is a good color for the response device because it gets the adrenalin
going.
7. Make it easy to respond. It should be clear and very simple. Leave ample space
for writing, and use heavy, uncoated stock paper. Tell the people exactly what to
do. Preferably already have their name and address printed, so that they just have
to sign and return your card.
8. Use business reply mail so that the postage is prepaid on the reply envelope or
card. You pay per returned piece. Do not make them look for a stamp.
9. When offering different options, make the one you want them to choose larger.
10. Use YES acceptance statements. “YES, please send me…”
11. Use check boxes for options or yes statements. Use visuals to point to the
boxes.
12. Include options like “keep me on the mailing list” or “send more
information.” People who respond are good potential future customers.
13. Keep legal disclaimer copy away from the benefit or response device copy.
Responding to direct mail advertising is normally an impulse. The prospect
responds immediately, or not at all. Everything must move the prospect toward a
decision to respond right now, and a good response device is the key to getting
them to act.
A small reality check: The typical response for direct mail advertising is between
½% - 3%. If you are thinking you can get a huge response – think again. 3% is an
extraordinarily good response in direct mail advertising, unless you are mailing to
your own customers. When you calculate your budget, keep this in mind.
The Letter Part One
The real advantage of direct mail advertising is that you can offer a large amount
of sales information to your prospects. You can give detailed benefit descriptions,
and list all of the reasons why your products are great. The letter is the place to do
it.
Having said that, understand that most people will not initially read your letter.
People will scan the letter. You have about eleven seconds. They will first read
their own name, then the headline, the subheads, any highlighted copy,
handwritten notes, captions, your signature, the post script, and maybe the first 50
words.
Your prospect will then either respond, read the whole letter, or discard the letter.
In direct mail advertising, your letter must:
SELL.
Highlight your biggest benefits with the parts of the letter that they will scan.
Be as easy to read and as exciting as possible.
Here are some general structural rules for creating your direct mail advertising
letter:
1. Test your letter. Try three different versions, and then test against the winner.
Testing is the key to your direct mail advertising success.
2. Don’t be afraid of long copy. If they are interested, and your story is good, they
will read it. Letters are commonly 3-4 pages long.
3. Use short sentences and paragraphs, and vary the length of your sentences.
Keep your first sentence as short as you can.
4. Use common, everyday language, even if you are writing to a highly educated
or technical audience. This is not the place to show off your vocabulary.
5. Use multiple headlines and subheads.
6. Use captions under any photos or illustrations.
7. Use indents and indented copy blocks.
8. Use bullet lists, underlining, capitalization, italics, etc. for emphasis.
9. Highlighting may distract the reader and hurt your response.
10. Use rubber stamp impressions for attention.
11. Only emphasize the key benefits that tell your story. Don’t overdo it.
12. Consider ‘handwritten’ messages in the margins. These will be read.
13. Page breaks should occur in the middle of a good sentence.
14. Business to business letters should use black ink on white #60 paper.
15. Everyone will read the postscript. It should add urgency, encourage action,
focus on or repeat a key benefit, add a new benefit, or give an assurance [a
guarantee]. And use only one p.s. in your direct mail advertising.
16. Overlines and Johnson Boxes at the beginning of a letter will get read. [See
more on these below.]
17. The president or the CEO should normally sign the letter. Sign your name
clearly because people want to be able to read your signature. Also print out the
name and title. Any ‘handwritten’ notes in the letter should match the writing of
the signer.
The Letter Part Two
Your reader knows that your direct mail advertising letter is trying to sell them
something. By reading your letter, they are consenting to review your sales
material, and to consider your offer. You must sell them on your idea just like
they walked into your showroom or your office. They expect you to give them all
of the relevant sales information.
You must be very excited and enthusiastic. If your subject is serious, you must be
serious and graphic. If you are trying to instill fear, you must go all the way.
If you are not excited, how do you expect them to be? Don’t let image get in your
way. If you want to succeed with direct mail advertising, use every method there
is to succeed. You must sell your reader on your objective, or you fail.
OK. It’s your words that sell in your direct mail advertising. Some words are
better than others. Some writers are better than others.
The ability to write a great business letter, report, news story, e-mail, or
book does not mean a person can write a great sales letter. The only thing that
counts in direct mail advertising is the response rate to that letter. Don’t be
overconfident here. Professional copywriters get paid for a reason.
Professional copywriters spend years developing their craft. If you intend to use
direct mail advertising, you should try and have a professional review everything
you write. Our chapter on Copywriting reviews important writing tips, but it is not
comprehensive. If you do nothing else, please remember to focus on the prospect
and the benefits they get, and stay in character.
The truth is that your new prospect does not really care about you or your
company. They are concerned about themselves and how you can improve their
lives. They are going to make an emotional, impulsive decision to respond. After
they call you, you can convince them of your abilities. But first, your letter must
convince them to make contact.
Direct Mail Advertising Letter Writing Tips:
1. You have only a few seconds, and then they throw away your letter. Get to the
point immediately.
2. Don’t be wishy-washy. Your letter should have one coherent subject. Stay on
subject, stay in character.
3. Be absolutely clear with your copy – with all of your copy. Don’t get fancy or
complicated with your message. Use common, everyday language. Do not use
technical language, even for technical people.
4. You must build rapport and trust with the reader. Do not be superior or
condescending. Be their friend. [And we are sorry if our style is a little blunt
sometimes, but honesty is the only policy in advertising].
5. Don’t make extravagant or unbelievable claims with your direct mail
advertising – even if they are true.
6. Make a list of all the features of your products or services. Now pretend you
are the customer, and ask the question “What does this do for me” for each
feature. The answer is the BENEFIT to the customer. People buy benefits, not
features. “Saves Three hours” is a feature. “Three hours to spend with your
children” is a benefit.
7. The biggest benefit you offer that makes you different from your competition
is your unique selling position [USP]. It is critical that you determine what you
USP is, because that is your lead benefit. It makes you special.
8. Put your USP in your headline or first paragraph. Put your biggest benefit right
up front, because your reader will not wait.
9. Talk about them, not about you. Try this. Count how many times you write
“you” versus how many times you reference your own company [us]. Now, take
out all of the references to your own company, and replace them with references
to your customer.
10. The opening is the most important part of your direct mail advertising letter.
Open hard and fast and don’t let go. Stay in character, and stay on message. Don’t
flip flop around. Decide who you want to be, and be that person throughout the
entire letter.
11. Be aggressive with descriptive writing. Be graphic. Be visual.
12. Don’t forget that you have to sell. List benefits, and ask for the sale. Repeat
the process throughout the letter. Look at other direct mail letters. List benefits,
and ask for the sale. Repeat. List benefits, and ask for the sale. Now. Immediately.
13. You must tell them what to do, how to do it, when to do it, and make the
process as easy as possible. You must tell them what you want them to do.
14. You don’t know which part of your package or letter will be read first. Thus
every part must feature benefits. A direct mail advertising piece starts out fast, and
continues all the way through on every part of the mailer.
15. Use words that sell in your direct mail advertising letter. If you really want to
write this yourself, go to the library, and get books on sales copywriting and direct
mail. Find words and phrases that have a proven track record, and use them.
16. Have other people read over your communications. If they are confused or
lost, do not try to argue with or convince them. Listen to them carefully. Rewrite
your letter so that the common person gets it. This is the only way to get effective
direct mail advertising.
17. Don’t insult your loyal customers by offering better deals to newcomers.
18. Don’t say something is very important if it is not.
The Envelope
Tests show that you have about six seconds to convince your prospect to open
your direct mail advertising letter. There are many different strategies to insure
that your letter first gets past any gatekeepers, and then gets opened. Let’s review
a few of these.
1. The first thing you need to do is test. Try your envelope with copy and without.
Try it in color and plain. Try it with and without graphics. You don’t know how or
if the envelope copy will impact on the return rate unless you test it.
2. Don’t discount the importance of the envelope in your direct mail advertising.
The best letter, brochure, and response device in the world won’t help you if the
prospect doesn't open the letter.
3. Remember, it’s response that counts. Don’t let your image get in the way of a
colorful, interesting envelope that gets opened.
4. The job of the envelope is to get the letter opened. That’s it. That’s all. Don’t
try to do anything else with the envelope. You will just increase skepticism and
devalue the offer contained in the letter. Your offer belongs in the letter - not on
the envelope.
5. If you are doing business-to-business direct mail advertising, a plain white #10
envelope addressed to the recipient will probably get past the secretary and
delivered to the recipient.
6. If the recipient knows you, don’t scream, “Open me” on the outside of the
envelope. This leads to skepticism in one-on-one communications.
7. If you use copy on the envelope, think of it as a teaser headline. You need to
capture the concept while creating curiosity and excitement. Ask a provocative
question or promise a benefit. You don’t want to give away the whole show, but
you do need to create interest.
8. Asking a question is safer than making a statement on the envelope if you
don’t know the recipients state of mind. A question will more likely get the reader
involved in your direct mail advertising piece.
9. Be absolutely clear with your direct mail advertising envelope copy. Don’t get
fancy or complicated with your message. Think common, everyday language.
10. Don’t over-promise on the envelope.
11. If you put a free gift inside your mailer, don’t just write “Free Gift Inside” on
the envelope. A peek through window that actually shows part of the free gift is
more effective.
12. Don’t ask for a commitment on the envelope. That’s why you have a letter.
13. The size of the envelope and the type of paper you use convey a message.
Who do you want to be? Stay in character, and that includes the type of envelope
you use in your direct mail advertising.
14. Don’t let your designer dictate any part of your direct mail advertising piece.
A prettier envelope does not automatically increase your response, and it can
definitely hurt response. You have to measure. Let your accountant tell you what’s
working.
15. An odd size envelope will jump out at people. But make sure that your
fulfillment house can handle it, and make sure that the addresses properly show
through the window. Also double check with the post office about the cost of
mailing odd shaped pieces.
16. The post office will advise you on envelope rules. Pay close attention. They
offer free booklets and classes to help you.
17. Use words that sell to encourage people to open the envelope. “Free” is
probably the best, but new, open now, exclusively for, proven success, secrets of,
how to, discover, limited offer, easy, confidential, etc. etc. etc. all can and do
work. Or you can start your story on the envelope with one or two great lines, and
then write, “continued inside…” The key to success with direct mail advertising is
to test, test, test.
The Brochure
How to create brochures is covered in detail in Effective Brochure Design. There
are no special rules that apply to your brochure for direct mail advertising, except
one. Test your mailer both with and without your brochure. Perhaps you can test a
mailer that offers a free brochure upon request – then you know you have a hot
prospect.
You probably don’t want to test different brochures in your mailings because of
cost. Concentrate on testing your letter, your envelope, and your response devise.
[Don’t forget that the most important thing to test is your mailing list.]
Lift Letters
A lift letter is a second, one page letter in your direct mail advertising that is used
to increase response. It highlights the key benefits of the offer, and usually comes
from a different person in the organization.
You may have seen lift letters that start out “I don’t understand why you have not
yet taken advantage of this special offer…” It uses a different method of going
after the customer. Often this is effective because different people respond to
different types of stimuli.
Think of the lift letter as a testimonial. It should be short, stress the main benefits
again, come from a different person, look different [different layout and font], and
just be signed by the sender. No p.s. here – the entire letter is a postscript. And the
only way to know if a lift letter will work for you is to ______? [Test it].
Overlines & Johnson Boxes
An overline is a sentence over the top of your direct mail advertising letter. It
appears before your introduction. A Johnson Box is a box enclosing text that
appears in the same location – at the top of the letter. It commonly features the
main benefit or your unique selling position.
A handwritten overline is probably the most read part of a letter. It is the one line
everyone will read. So it should be the best line in the letter. It is your headline, so
it better be good. Please read Copywriting for more about headlines.
A Johnson Box should be treated just like an overline. It is your headline. It must
grab your readers, and entice them to keep reading.
Overlines and Johnson Boxes are great for a blatant sales piece. But they may not
be appropriate for more conservative business-to-business letters.
Facilitators
Facilitators make it easier for customers to make a purchase decision. Your
“100% Guarantee”, the “bill me later”, your toll-free phone number, and any other
device you use to make the decision to buy easier is a facilitator. Use every one
you can in your direct mail advertising. Always make it as easy as possible for
your customer to come to a purchase decision and to make the response you want.
[For example, never make them go looking for a stamp.]
Incentives
Incentives are the extras you throw in to make the sale. The “free gift, yours to
keep even if you return the product” is an example. Time limit discounts and
special membership benefits are also examples of incentives.
Choices
People love choices, and choices get the reader involved in your piece. If they can
pick color, model, accessories or variations, they will be happy. However, there is
a tradeoff. Each choice you give does increase the difficulty of ordering.
If you add choices to your direct mail advertising, you would do well to observe
people as they try to read and comprehend your piece. What is crystal clear to you
may be very confusing to your customer, so be careful. The better you know and
target your audience, the better you will do. And of course, test.
Examples
Examples in direct mail advertising include case studies, testimonials, surveys,
official third party endorsements, and statistics. 60% of consumers believe ads
that offer a money-back guarantee. 57% believe ads that carry an official third
party endorsement. 46% of consumers believe claims based on survey results.
People believe examples, so you want to use them if you can in your direct mail
advertising.
Involvement Devices
If at all possible, you want to involve people in your mailer. You want them to
interact with your materials. This is one reason why busy layouts work in direct
mail advertising. Everywhere they look there is something new and exciting. Peel-
off stickers, surveys, fill-out cards, fold outs, and brochures are examples of
involvement devices.
Testing your Direct Mailer
Testing is very straightforward, but there are rules to follow. First, you want to
only modify one aspect of your mailer at a time. Send the exact same mailer
package with three different letters, and measure which one gets the best
response.
If you changed multiple parts of your direct mail advertising, like the letter and
the mailing list, you would not be able to tell which change made the difference.
You must make and test changes one at a time.
Remember that profit is the ultimate goal. You might double the price of your
products, and have response drop by 80%. But what happened to your profit? If
your profit goes up, then you’re on the right track.
You want to test your mailing list, your offer, your response device, your letter,
and your envelope, probably in that order. If you are only doing a small mailing,
try two or three different letters. You may be very surprised at the difference.
Over time, even your best direct mail advertising package will wear out. Don’t
get complacent. You should always test your control piece to see if you can beat
it.
To know how one piece works against another, code your response device. This
is as simple as printing a different code marking on each response card so that you
can tell which direct mail advertising offer generated the response.
Finally, you need to think about your sample size. With direct mail advertising,
you really need to send a few thousand mailers to get an idea of how a change
impacts on your return rate. If your mailing is not that big, your sample size still
needs to be at least 500. However, your results will be questionable. So don’t bet
the house on the results from a sampling of just 500 mail pieces.
Your Mailing List
The best mail list you will ever have is the one with your past customers on it.
Always advertise to your existing customers first.
Mailing list companies can provide you lists that are very specific, and very
targeted. The key is to know who your best prospects are. The more specific you
can be with your mailing, the better you will do. Define your customer well, and
you will be happy with the results. Read Market Targeting Strategy for more.
Remember, the most important item for success with your direct mail advertising
is the quality of your mailing list. We can’t stress this enough. Carefully target
your customers, and then test one mail list against another. It’s the only way.
Postcards And Self-Mailers
All of the rules for direct mail advertising apply to post cards and self-mailers.
You need to get to the point, focus on the benefits, stay in character, make an
attractive offer, make it easy-to-response, minimize the risk, and tell the reader
what to do. Featuring coupons is probably the best and most effective way to use
postcards in direct mail advertising.
Increasing Response
Here is a list of ideas on how to increase the response to your direct mail
advertising. But the subject is so big that this is only a starting point. If you are
serious about using direct mail advertising, consider using a marketing consultant
to assist you. It’s absolutely worth it. Please contact Professional Advertising for
these services or more information.
1. The post office will advise you on envelope mailing rules. Pay close attention.
They offer free booklets and classes to help you.
2. A good mailing list management computer program will presort and print bar-
coded addresses for you. It is absolutely, positively a requirement if you are doing
your own direct mail advertising.
3. If you use a fulfillment house to mail your package, make sure their machines
can handle your specifications before you print your materials. You do not want to
stuff and label everything by hand.
4. Collect your own [and other people's] direct mail advertising to see what
works. Look for mail in the same category as yours; that is mail that is selling
similar products to like clients.
5. Do not be afraid to ask for the sale. Ask for the sale or desired response
directly, and urge people to respond immediately.
6. Keep using the same mailing list until the response rate falls below the profit
level.
7. Know the lifetime value of a customer, and calculate your marketing costs
accordingly. In other words, if the customer is highly valuable, spend more money
going after them with your direct mail advertising.
8. Don’t hide the fact that your mailer is an advertisement. The reader knows
what it is, and they are giving you their attention. When they open direct mail
advertising, they are agreeing to read sales information.
9. Give them information fast. There is no such thing as keeping a reader in
suspense in direct mail advertising.
10. What level of emotional appeal does the reader need? What does the product
or service demand? Do you need a full color brochure? Be as verbally and visually
graphic as you need to be to get their adrenalin going.
11. Put a second response device in the brochure. Ask the reader to “tell a friend”
and pass along the brochure.
12. Put a second response device in the mailer. It can be used as a lift letter.
13. A brochure must pay its own way in your direct mail advertising. Test to
measure your return when you use a brochure.
14. Try to support any claims with research data and statistics. Third party
endorsements are the best.
15. Use testimonials. If possible include contact information for the person
making the recommendation.
16. Involvement devices work. Try to get your reader physically involved with
your mailer. Peel-off stickers, pages that unfold, or a survey or quiz can really
work to increase response.
17. Be careful giving away free things, like a free copy of a report or a free
magazine. You may get a large response, but then not be able to convert the leads
into customers. Payments may be very slow for “bill me later”, or prove
impossible to collect. You may get a lower re-subscription rate from the clients
that do pay. A more formal mailer with no free offer may work better in the end.
18. People commonly sort their mail over a wastebasket. Envelopes are often kept
while postcards are thrown away.
19. Multi-step mailing programs work for many offers. Advertising is about
staying in front of your customers long-term, and it applies to direct mail
advertising. Often, the same offer to the same group will pull progressively better
over time because your customers get to know and trust you.
20. For pricing, uneven dollar and cent amounts are perceived as a better value
than round figures.
21. Remember that your mailer will be read at random. You can’t control what
will be read first, so every part of your direct mail advertising piece must sell.
22. You are sending mail to people who didn’t ask for it. As such, you need to be
intrusive. You need to entice them to spend time reading your piece immediately.
The benefits you offer need to be immediate and highly beneficial to the reader.
And your message must be complete.
23. People will stop reading if they think your offer may be too expensive. Deal
with value and price as soon as you can in your letter. Read Pricing Strategy in
Advertising for more information.
Ask For Help
As always, we strongly recommend that you hire a professional designer, and ask
a marketing professional to help plan and review the work. It’s a cheap investment
for something you are going to mail out to the whole world, and reprint endlessly.
Direct mail advertising is a big subject, and it’s easy to go wrong. A second
opinion from a professional is an investment worth making.
Please contact Professional Advertising for these services and additional
assistance.
RESULTS & FINDINGS
Research shows that well-designed, well-written direct mail sent to the right
people gets a one-percent response. That one-percent response can be more than
sufficient to bring in enough participants and donors to your initiative to make it
effective and ongoing. A one-percent response is higher than the response
received by any other media. Direct mail is a strategy that is here to stay and one
that organizations can and should use effectively.
Direct mail is not like advertising sent to a wide population, because it targets
individuals to obtain information or donations of time and money. Direct mail is
part of "social marketing" -- the application of commercial marketing techniques
to programs designed to influence people's behavior and improve the world. In
contrast to the way products are sometimes sold, social marketing doesn't involve
manipulation or high-pressure selling. It doesn't compromise the ethics, services,
or budget of your organization.
By following the steps and pointers discussed in this section (mailing, strategy,
format, budget planning, follow-up, testing, and tracking), a direct mail program
can significantly help build relationships -- resulting in ongoing financial support
and long-term change in your community and our world.
To ensure your direct mail program is achieving your objectives, you must track
the results. This means tabulating how many responses you get and determining
whether different classes of targets behave differently.
Track whether your target recipients donate or not, how much they donate, and
how much you have to spend to get them to donate. Don't forget to follow up
quickly. Timing may affect response, so roll out the package quickly after the
results are analyzed. If you don't understand how to do testing and tracking, get a
professional to help you do it. It could be well worth the money, and help you
avoid disaster.
Many of us get direct mail every week at home -- translation: "junk" mail. If
someone asked, "What do you do with your junk mail?" -- many would reply,
"Oh, I don't even look at it. I just throw it away." But research shows that more
people than you think look at "good" junk mail and respond to it. Well-designed
and well -written direct mail sent to the right people gets a one-percent response.
Even though this sounds very low, it's far higher than any other way of reaching
large numbers of people who don't know about your group or initiative. That one-
percent response can bring enough participants and donors to your initiative to
make if effective and ensure that it is ongoing.