Three Little Mistakes That Will Ruin Your Direct Marketing Campaign

Three Little Mistakes That Will Ruin Your Direct
Marketing Campaign

Two weeks ago I disclosed the first three rules of successful direct
marketing. They were:

Rule #1: Always include a bonus, giveaway or other tantalizing
offer.

Rule #2: Make the reason for contacting you a compelling one (A poor example is: “For more information call…” In a prospect’s world this translates to, “Call now to have your very own sales reps ram our product down your throat.”)

Rule #3: Give clear instructions. You gotta hold prospects by the hand and show them the way or they’ll get distracted and dump you.

And that brings us to this week’s tip! The next three rules in successful direct marketing. They are…

Rule #4: Track and measure every direct mail piece.
I know, I know. It’s boring. It’s time-consuming. And worst of all…it involves math. Alas, it is a necessary evil. How else will you know what worked? How else will you know where to spend your money next time and what to quit wasting it on right now? And for those of you thinking, “What tracking? The campaign either paid for itself or it didn’t.” Tsk. Tsk. Tsk.

Don’t believe me? Just look at this example: You run Ad #1, which pulls in 10 new customers at a cost of $142.60. Then you run Ad #2, which pulls in 10 new customers at $220.00, so you think Ad #1 is obviously the winner. But what if the average sale made from Ad #2 is $430.00 and the average sale from Ad #1 is only $175.00? Not only that, but it turns out 22% of those who purchased after seeing Ad #2 purchase AGAIN within 30 days while only 12% of those who saw Ad #1 become repeat clients?

See where tracking starts to come in handy?

Rule #5: Branding is a nice by-product—NOTHING MORE!
Don’t get me wrong. Brand-building is great for behemoth corporations like Dell, Proctor & Gamble, and Budweiser or a company playing with someone else’s money. But for an entrepreneur investing your own money…don’t waste your time. Spend those marketing dollars on something with a higher ROI.

Rule #6: Follow-up. Follow-up. Follow-up.
Who should you follow-up with?

With a first-time customer who could become a repeat customer.
With leads generated from a trade or consumer show.
With referrals.

If Casey tells you, “I told Bill Davis about you and he’s interested in talking to you,” don’t just say, “Thanks.” Follow-up with a nice letter mentioning Casey’s recommendation and enclosing coupons, literature or a gift. Then send Bill a second letter if he fails to respond, and a third and fourth. Then put him on your newsletter.

Committed to your marketing success,
Lina Penalosa
April 4 , 2006