As professional direct mail copywriters, we often take a lot of grief about our work. We’re told our English isn’t proper – maybe even deplorable. We’re too emotional, we keep repeating ourselves and the copy is way too long.

It’s easy to forget what good direct mail copywriting is all about so let me sum it up. Good direct mail copy is copy that works. It achieves its objective.

At its best, good direct mail copywriting is one letter written by one person to one other person. Whether you’re mailing a few hundred letters or millions, direct mail is a personal communication.

Some of the best training I’ve had for becoming a direct mail copywriter came when I sold magazines door-to-door as a teenager.

Each time you approached a house, you developed a plan before knocking on the door. Then, if you could entice the homeowner into opening the door, you quickly gave them just enough information that they wanted to listen to what you said next.

Not every homeowner was a prospect. You took your clues from what you would observe about the homeowner. Was there evidence of children at home . . . indications that someone in the house played sports . . . a newspaper or fancy carin the driveway. You took advantage of all the information you had on the prospect and with this “data,” developed your offer – or which magazines you would talk about.

Then, after showing the homeowner how they would benefit from having these magazines – I never mentioned “reading” the magazines because that might be considered work – it was time to ask for the order.

Never, never, ever did I walk away without asking for the order. And once I got it, I didn’t linger. I said “thank you” and went to the next house.

What we do as direct response copywriters isn’t that much different.

We’re not artists, authors and certainly not general advertisers. Pure and simple, we’re salespeople and we sell benefits.

We don’t sell insurance. But we do sell security, protection and peace of mind. And a good direct response writer doesn’t sell subscriptions. Instead, we offer information that makes the prospect’s life more interesting, enjoyable and profitable. We won’t even sell you a cure for cancer. But we will give you the hope that you and your family can be free of its suffering.

Awards, pretty packages and beautiful designs don’t measure our success. Net profit does.

We don’t always write in complete sentences but we do communicate in language the reader understands. And for some of our fundraising packages, our graphics can be so “elementary” that our artist wants to hide our direct response work when his advertising clients visit the studio.

Yet, better than anyone else, we motivate people to take a desired action.

We can prove it too because we measure our results. If we segment our mailing lists differently, revise the offer, rewrite the letter, change the graphics or test a new format, we know exactly how it affects the mailing’s profitability.

A pretty package with moving parts or a creative award won’t save us. Because we document, analysis and record the results of every mailing, our successes and failures are on display for everyone to see.

And when our ideas don’t work, we learn from it. And when it does, we capitalize on it. This is what makes us professional direct response marketers.

Is there a moral or lesson here?

You can decide. But I do hope there’s a reaffirmation of why we can be proud of what we do.

Let me know what you think. I welcome your thoughts.

Hugh

P.S.  If you have a question or comment about this post or direct mail in general, please e-mail me. I’m happy to help anyway I can. Thanks.

In my last post, we talked about when to test direct mail premiums so now, let’s discuss 3 different types of premiums, why you’ll want to test each of them and how to make them work for you.

First, let’s acknowledge that when we test a premium, we’re testing a change to our offer. And nothing other than your list selection will affect results more than a change to your offer.

We use premiums to motivate the reader into taking a specific and desired action. It isn’t to reward, inform or thank the reader but to promote response and increase the mailing’s net income.

If this sounds crass, recognize that whether you represent a commercial or nonprofit client, the most important measurement of your mailing’s success is net dollars.

Net dollars will not only please the shareholders, it provides the food, shelter or medicine so desperately needed by those your organization serves.

Make no mistake about it. Premium will increase your costs. But our objective – whether working for a nonprofit or commercial mailer – is to increase net dollars to fulfill the organization’s mission.

Here’s a true story. . .

Years ago, I went to a county fair with a friend. As we were walking down the fairway, a “barker” came out and offered us a silver dollar for 50 cents. Immediately, I accepted the offer yet my friend refused. Why? She said, “I don’t want to spend the money.”

Unfortunately, that’s how too many people look at their direct mail. Even investing more can generate additional net dollars, the don’t want to spend the money.

If you’re satisfied with a .01% or .02% improvement in results, then save the cost of premiums and test the color of ink on your envelope or copy changes on pages 2 and 3 of your letter. But if you want major improvements to your mailing’s profitability, try offering a premium.

Here’s 3 ways premiums can work for you. . .

Front-End Premiums

When testing a “front end” premium, you’re giving it away in the mailing. For example, a fundraiser might include free name labels or a software company may include a free CD in the mailing.

Other front-end premiums I’ve used successfully include pamphlets, Certificates of Appreciation, membership cards, name stickers, decals, pens, greeting cards, note cards, flower seeds, key chains, plastic luggage tags, bumper stickers, iron-on patches and membership cards.

Front-end premiums often generate a higher response rate but are more expensive since you’re paying to send the free gift to all recipients – respondents and non-respondents alike. (And yes, “Free Gift” is worth the repetition of words.)

It’s also true that front-end premiums can reduce the average order/contribution and long-term value of the respondent since some responses will be guilt-motivated.

Front-end premiums may even “lock” you into premium mailings when it comes time to renew these donors/buyers. But, because they generate a higher response, they’re great if you want to build your donor/customer file.

And the bottom line is still net dollars. If you increase net dollars, a higher cost or smaller average order shouldn’t matter. You’re still returning more money on the organization’s investment and generating more dollars to fulfill the group’s mission.

Backend Premiums

With a “backend” premium, the recipient must respond to receive the gift. For example, a magazine publisher might offer a free book to people who respond before a certain date. Or, a nonprofit might offer to send you a free coffee mug once they receive your contribution.

I’ve successfully used calculators, American flags, emergency road kits, coffee mugs, calendars, ball caps, plaques, lapel pins, membership cards, free trips, software, travel bags, tool kits, digital cameras and books as backend premiums.

Their advantage is that you’re only fulfilling the premium to those people who buy/contribute so your overall costs are lower. Additionally, those who respond to back-end premiums typically have a higher average order and their lifetime value tends to be higher than those who only respond to front-end premiums. But backend premiums may not generate as many responses as a front-end premium and they do require added fulfillment costs.

Fast 50 Premiums

A “Fast 50” limits the premiums to the first fifty people who respond. (You can also have Fast 100’s, Fast 75’s, etc. There is nothing sacred about “fifty” but it’s what I’ve used and it works.)

Lately, I haven’t seen Fast 50s used but they can give you the best value of any premium offer.

You’re limiting your premium to the first 50 people who respond so your costs are lower than either front-end or back-end premiums. And, because you’re only fulfilling 50 gifts, you can offer a higher-value premium.

Yet because everyone receiving the mailing is eligible, your copy can have the same “hype” as any other backend premium.

Typically, I gained a 25-30% lift when adding a Fast 50 premium offer to the mailing. (For nonprofits, I’ve also tested offering gifts to the first 50 people who responded from each state but found little difference in results from a straight Fast 50 offer.)

Conclusion

When testing premiums, you’re changing the package’s offer so the return on investment can be immense. And when used intelligently, there should be no stigma associated with premium offers.

What premium should your organization test first?

It’s nice to test a gift that relates to the organization’s mission – the environmental group’s backpack offer for example. But don’t overlook the greed factor. For years, it was hard to beat a hand-held calculator but you have to test and see what offer is best for your group. It’s simply a search for balance – perceived value vs. cost.

Do you test front-end, backend or a Fast 50 premium?

Ideally, you will test all 3 and see what works best for you. If you can’t do that, ask yourself, “what is your objective?” Are you trying to build your file quickly? If so, you may want to test front-end premiums or a Fast 50.  If you’re looking to increase the average contribution or order, consider a backend premium.

And premiums aren’t just for acquisition mailings. Test them to your house file too.

But whatever you decide, do the math first! Know how much the premium must increase response to breakeven with the control. It makes no since to test a premium that’s so expensive it needs a 500% lift to break even.

Good luck and let me know your results.

There are only 2 occasions when you should test direct mail premiums.

The first is when you’re not using premiums. If you’re not, you should test them now. The second occasion? When you are using premiums, you need to continue testing new ones.

Many organizations hate premiums. But most donors and customers love them and, since this is a customer driven business, I suggest you test them now.

Premiums don’t have to be expensive gifts. Often the best ones are unused merchandise sitting in a warehouse or the nearly forgotten informational pamphlet that’s begging to be used.

Countless organizations have enjoyed huge success by offering address stickers, note cards, decals, bumper stickers, iron-on patches, certificates of recognition, membership cards and a host of other relatively low-cost premiums. As long as you can give the premium a perceived value, it can be a valuable tool in increasing your mailings’ response.

If you can connect a premium to the organization’s mission or offer, all the better. For example, the American Diabetes Association offered a cookbook of low sugar meals. An auto club offers an emergency road kit while an environmental group offers a backpack. Not only do these offers connect with the group’s mission, they give the prospect an additional reason to respond.

But don’t overlook the “greed factor.”

Net dollars is the deciding factor of success and a calculator, radio or iPod may, for example, work better than a premium that is a natural tie-in. It’s something you’ll have to test.

Why do premiums make such a difference in a mailing’s success? Because when you add a premium to the mailing, you’re affecting the offer. And, as we know, nothing other than list selection will make more of a difference to the mailing’s success than the offer. The return on investment can be significant just remember. . .

• Do the math first! Know how much the premium must increase response to breakeven with the control. It makes no since to test a premium that’s so expensive you’ll need a 500% lift to break even.

• Don’t make the mistake of adding the premium offer into the letter’s P.S. and thinking you’re done. The premium is part of your entire package, not just an afterthought. You may want to feature it on the outer envelope, in the letter’s “Johnson box” or lead sentence, the response form, or even in a separate insert. And, depending upon the premium, you may want to build an entire story around it.

• The prospective donor or buyer isn’t obliged to respond just because you enclosed a premium. And even when the mailing enjoys a higher response rate, the average contribution or order is often lower.

• But a lower average contribution/order isn’t reason enough to shy away from testing premiums. It simply means you need to give extra attention to your efforts to upgrade the donor or resell/cross-sell the buyer.

• Many first-time buyers/donors may require another premium to continue responding. Once you’re into the premium business, you may always be in the premium business. On the plus side, with a premium you can recruit a donor or customer who would not have responded otherwise. And as long as your premium offers out net non-premium offers, you’ll still ahead.

• With premiums, your package cost will be higher. But what’s important is net dollars.

• Don’t assume that if a particular premium works for another group, it will work for you. You’ll need to test different premium offers — and non-premium offers — to see what works best for you.

• Don’t forget to consider the cost of fulfillment when using a backend premium.

You do want to test a premium but remember it’s only one part of your direct mail package. You must still observe the essential elements of traditional direct mail — list, offer, copy package and timing. While a premium can dramatically improve your mailing’s results, it alone won’t guarantee success.

Oh. . .I mentioned that there was only 1 reason to test premiums and that’s to increase net dollars. Whether you’re trying to please shareholders or raise more money to feed the hungry, cure the sick or shelter the homeless, it’s net dollars that gets the job done.

The response device is one of the most important components of the mailing. After all, it’s used to complete the sale.

Yet too often, the response device is the last thing we get to when creating the package. Consequently, it’s rushed and doesn’t get the attention it deserves.

We work hard to make sure our envelope design grabs the reader’s attention. And we work and re-work our letter copy until we get the reader fired up and ready to part with their money. Unfortunately, the sale is often lost once the reader gets to the response device. Either it’s too confusing, too complicated or it lets them forget why they wanted to respond in the first place.

To help keep this from happening, here are 18 Proven Ideas for a Better Reply Device. You don’t need to test any of these ideas.  Just be sure they are all included when you design your next mailing.

18 Proven Ideas for a Better Reply Device

1. Include one. Make it easy for the respondent to reply. And show them know that a reply is expected.
2. Write the response device before you write the letter. This will force you to describe the offer, benefits and call to action in a brief, concise and easy to understand fashion which, in turn, will help you write a better letter.
3. Title it. And consider your wording. Acceptance Form is better than Application Form because “application” implies possible rejection. Savings Certificate is even better. Some believe that just adding the term “Certificate” to the response device’s title will increase results.
4. Put the recipient’s name, address, and mail code on the reply form – not on the back of the return envelope. And don’t make the recipient write their own name and address. This slows things down and gives the recipient time to reconsider their action.
5. Include the name and mailing address of the organization — the person who is waiting for your reply. Even if they lose the return envelope, the recipient will still be able to reply. While part of the package, the reply should be able to withstand the test of a stand-alone device.
6. Repeated the benefits promised in the letter.
7. Show a guarantee. The reply form is the prospect’s last opportunity for resistance and a guarantee will help overcome this reluctance.
8. Speak in the first person. The reply is the recipient writing back to the letter writer.
9. Tell the reader exactly what to do. (I’m enclosing my check for…”  Note:  the speaker has changed from the letter.)
10. Tell the reader who to pay their check payable to. And it’s “Make Your Check Payable. . .” not “Your Checks.” Then, tell the reader what to do with the check (put it in the enclosed postage-free envelope and mail it back today).
11. For fundraising, list specific asking amounts on the reply form. And when possible, show what these asking amounts will accomplish. ($15 will help seven children receive life-saving vaccines.)
12. Again, for fundraisers, test odd asking amounts – if you can explain the odd amount. For example, “$15.50 will help nine children. . .”
13. Make sure it stands out. Your reply device should pass the “drop it on the floor test” and be easily identifiable from the other package components.
14. The reply is an action device. Use warm, action colors.
15. Make it easy to use. The type should be no smaller than 10 point – and larger if you’re writing to seniors.
16. When the reader must make choices, use check-off boxes. But don’t give them too many choices. This is when you want them responding, not thinking.
17. Make sure the reply device fits into the return envelope.
18. If you have a tear-off stub on the response device, use it to recap the benefits and guarantee – or even as a free bookmark.

I’m a great believer in testing. However, each of these 18 ideas have been tested and retested. Ignore them at your own risk.

A number of years ago, I was at the county fair with a friend and, as we walked down the fairway, a “barker” came out and offered us one dollar for 50 cents. Immediately I gave him two quarters and accepted my shinny silver dollar but my friend refused. Why? She said, “I don’t want to spend the money.”

Unfortunately, that’s how too many people run their direct mail campaigns. And at some point in our careers, we will introduce a test idea that’s refused because it’s thought to cost too much. But does it?

For example, if a test package costs 36% more than the control, do we need to increase response by more than 36% to make it work?

Let’s do the math.

First, let’s make sure we have rollout cost.

A test mailing of 50,000 pieces is going to cost more than the same exact package when you rollout in larger volume. Get the rollout cost before you mail and use this number when evaluating results.

Now, let’s see if, as in our example, our test mailing costing 36% more than the control must increase results by more than the same amount to beat the control. Here’s a simple example of what I mean.

The control costs $279/M and is pulling a 1.5% response (15 responses per thousand pieces mailed) with a $25 average order.

The test package has a rollout cost of $379/M. ($100 or nearly 36% more than the control.)

Yet with a $25 average order, the test needs only four additional orders per thousand pieces mailed to match the control. This 2.1% response rate (21 orders per thousand pieces mailed – or four more than the control) is a difference of about 24% not the 36% difference in cost.

Discovering a new package beats the control by 24% will have a tremendous impact on the client’s bottom line. Along with the immediate increase to revenues, the new package gives us a whole new universe of names to mail to. Lists that once didn’t work suddenly become profit makers.

Yet if we didn’t recognize the difference between the test package’s higher cost and the number of additional responses it needed to beat the control, we would have left a lot of money on the table.

We have many other things to consider when developing a testing strategy and we’ll talk about those later. But for now, get your rollout cost, do the math and see what new opportunities you can find.

Set aside 15 minutes for a peak into the future by pasting this URL into your favorite browser.

http://www.ted.com/talks/pranav_mistry_the_thrilling_potential_of_sixthsense_technology.html

The topic is “Six Sense Technology.” I don’t know how long the URL will be active so check it out today and let me know what you think.

This is Part 2 of the findings of an extensive series of eye-camera tests conducted by Professor Siegfried Vogele of the Institute for Direct Marketing in Munich, West Germany. The tests traced eye movements as thousands of men and women opened and read all types of direct mailings and, at the same time, study emotional reactions by observing body and hand movements.

Once your reader opens the envelope, they take no longer that 11 seconds to decide whether to read your letter or trash it

During this 11-second preview, Professor Vogele found that the reader’s eyes fix only on pictures and headlines – never on the body copy.

The Professor’s findings demonstrated that illustrations play a greater role in determining how the recipient reads your direct mail than any other graphic device.

Before any word of text is even noted, the reader’s eyes will be pulled to photographs and/or drawings. And by understanding the affects of graphics on eye flow, we can boost response rates by directing our reader’s attention to our most powerful sales copy.

How to use illustrations

• Large pictures will get attention before smaller pictures.
• Color pictures will be noted before black-and-white pictures.
• Warm colors attract attention before middle tones or cooler colors
• A sequence of pictures will be noted before individual pictures.
• Action illustrations will be seen before still pictures.
• Pictures with people will be looked at before pictures of products.
• Children will attract attention before adults.
• Portraits will gain attention before full pictures of people.
• Eyes will be the first thing focused upon.
• Most often, a larger group of people will gain attention before a smaller group.
• Outline illustrations will generally be noted before square halftones.
• A reader has will follow the direction in which eyes in an illustration are focused.

Focusing the reader’s attention

• A reader will typically follow the direction in which eyes in the illustration are focused.

• When an object within an illustration “points,” the eyes will generally flow in that direction. For example, in an illustration of a model wearing a man-style tie, the eyes of readers follow the tie right down to its pointed end.

• Place captions as close to pictures as possible. Captions should always be below or to the right of an illustration, not above or to the left.

Expand what the reader sees

On two-page spreads – the inside of a folded brochure, for example –put your strongest picture as far to the left as possible.

Why? In most cases, eye flow begins at the upper right of a two-page spread and continues in a sideways “U” like this – . Typically, however, the eyes stop just to the left of the gutter between the two pages and then exits at the lower right.

To expand the reader’s scan of the entire page:

• Put a “commanding” illustration at the far left. It will draw the reader’s eye and expands the allowing the reader to see more of the left-hand page.

• You can get similar results by placing color pictures to the left with black-and-white pictures to the right. Warmer colors draw the reader’s eye to the left and they will see more of your message.

• If you have pictures with and without people, put the people pictures to the left and they will encourage eyes to go in that direction.

But be careful not to place an eye-grabbing illustration at the lower right. It will draw eyes immediately to the exit position of the page and reduce the amount of attention given to your entire presentation.

Shapes

Vogele’s eye-camera studies also show how shapes affect readership.

• 80% of readers will go to a vertical shape before a horizontal shape.
• Even more eye-compelling is a diagonal shape.
• Readers generally note circled areas before square-cornered areas.
• Closed shapes are observed before partially open shapes. People typically read copy within a border before “open” text.”
• Bursts” get immediate attention, but they can often be distracting by re-attracting the eyes and drawing the reader’s attention from copy you want them to read

Without graphic elements to draw the eye, reading generally follows the classic pattern of left-to-right, top-to-bottom. But when we add eye-compelling graphic elements to the page – and understand how to use them to draw the reader’s attention to our most powerful sales copy – the result is often a welcomed boost to our response rates.

With a series of extensive eye-camera studies, Professor Siegfried Vogele, dean of the Institute for Direct Marketing in Munich, Germany, analyzed the precise movement of a subject’s eyes as he or she opened and read a mailing.

The study established that people read the outer envelope first. Then, after the envelope, the reader turns to the letter, the enclosure and finally to the response device.

If we pass the reader’s inspection of our envelope, on average we only get about 11 seconds before the reader decides to read the letter or trash it.

With such a short time to make our sale, knowing how readers examine our direct mail packages is essential. Fortunately, with Professor Vogele’s findings, we can now boost our response rates by positioning our most powerful copy to increase its readership. (And we can better position required copy that could otherwise distract the reader’s attention from our sales argument.)

Here are the report’s most significant findings.

Using eyes flow to get your envelope opened

Professor Vogele’s research confirmed that on average, the reader gives us only 7 seconds to persuade them to open the envelope.

Surprisingly, most of the 7 seconds is spent on the back of the envelope as it’s being opened. The front of the envelope may get first attention but the back gets longer attention.

When opening an envelope. . .

• The eyes first fix on the recipient’s name and address (Teaser copy should be nearby since the reader’s attention goes here first.)
• Then quickly, the eyes take in any headlines or pictures near the address.
• The gaze next moves to the return address in the upper left
• Then across the page to the stamps, meter impression or postage indicia before the envelope is turned over for opening.

Once the reader turns the envelope over, their eyes go to the upper left, quickly checking out any pictures or copy. The eyes then jump to the upper right as the envelope is opened. (Most readers open envelopes from right to left with the eyes following the finger movement.)

Remember, with the reader spending only 7 seconds on the front and back of the outer envelope, our message must be quick and to the point.

Positioning your letter’s sales argument to boost results

Common sense tells us that we’re going to get better results if our recipients read the letter. Professor Vogele’s studies tell us:

• Readers start at the top of the letter reading first their name in the address and salutation
• Then, they go to the end of the letter to see who signed the letter
• And from the signature, readers typically go to the P.S.

But rather than going immediately from the salutation to the signature, most eyes tend to skip down the page pausing for a brief fraction of a second to take in text that’s highlighted.

Underlining is the most common way to call attention to your text but it can also include highlighting with color and using sub-headlines.

When you do use underlining, it’s best to underline just a few words rather than a whole line. And regardless of how you highlight text, do so to emphasis benefits to the reader.

After the reader completes their scan of the salutation, signature and P.S., they often return to highlighted text. Use this to your advantage by highlighting text that includes benefits to the reader.

Who is writing?

When a letter signer’s signature is difficult to read, the eyes tend to go to it repeatedly and body language indicates a negative attitude on the part of the reader. It does help to print the letter signer’s name under the signatures but, if you can, avoid “creative” signatures. The reader wants to know who is writing.

The beginning of your letter is at its end

Once the reader sees who signed the letter, most eyes automatically turn to the postscript. Nine of ten readers will read the P.S. before moving back to the top of the letter.

The postscript is really the beginning of the letter rather than its end.

Keep the P.S. to an average of two to three lines and use it to restate the reader’s benefits, the offer and to issue a specific call to action.

The impact of illustrations

No graphic element plays a greater role in determining how your direct mail is read than illustrations. Before any word of text is even noted, eyes will be attracted to photographs and/or drawings.

Typically, the reader will go to the pictures first, then the headlines and then to highlighted portions of the letter. Four of five readers participating in the Vogele studies followed this pattern.

Use illustrations to stress benefits rather than your company or product.

If you use a large picture, put it at the top of the letter to pull the reader back to the beginning – rather than having the eyes move back to the highlighted text. And when you use multiple pictures, put the largest picture at the top of the page. The eye will go here first but then be released to move through the text.

Leading the eye with your layouts

Readers typically go to the enclosure after the letter but before the response form. The reader will scan your enclosure quickly and then, if they decide it’s worthwhile, they begin with the front cover.

From the front cover, about one-half of your readers go to the inside of a folded enclosure while the other half turns to the back cover.

Just as with your letter, readers will give first attention to illustrations with their eyes jumping from one illustration to the next before moving on to large and mid-size headlines, while smaller, sectional headings go largely unnoticed.

Once inside a folded enclosure, the normal eye path starts with the reader entering at the upper left corner and then moving quickly to the upper right corner. The eyes then move in a sideways “U” going slightly across the center of the spread and then exiting at the lower right.

In 70-80% of the pieces studied, the readers moved just across the enclosure’s center “gutter” from right to left and then quickly moved on off the page at the lower right.

However, if you use a compelling illustration at the far left and smaller or no illustrations to the right, the reader is more likely to extend the “U” further to the left and getting more of your message read.

In cases where the only illustration was in the lower right, the eyes tended to simply move down to that spot from the top of the spread, taking in little else on the two facing pages.

Closing the sale with the response device

No real surprises here. Professor Vogele’s research confirms much of what you already know about response devices. His findings do, however, make a useful “checklist” for closing the sale.

• Use a separate response device, rather than one that must be cut or torn from another enclosure. Separate reply cards are 3 times more effective than those that are attached.
• Put the recipient’s name and address on the reply card. This implies you’re waiting for a reply and encourages a response.
• Use an individual’s name in the return mailing address. It tells “who” is waiting for the reply.
• Use tear-off stubs — they are like having a receipt — and use color to set off anything that is to be detached.
• Make sure all of your reader’s logical questions are quickly answered. Tell them what to do, how to do it and what risk they’re taking. (A risk they overcome thanks to your Guarantee.)
• Describe the benefits the reader will receive when responding.

And be sure to tell your reader what to do, how to do it and when to do it.

***

Directing readers’ eyes to your most powerful sales proposition is virtually certain to increase your response rates. And as direct marketers, we owe it to our clients to practice every technique known to increase their profitability.

In my next post, we’ll review “How graphic devices affect readership of your direct mail.” Follow these, and the other lessons from Professor Vogele’s studies, and you should see higher response rates.

Let me know how these techniques work for you.

An I.R.S. designation for public charities and private foundations.  These charities mail at the non-profit rate and contributions to these groups are fully deductible by the donor under federal income tax law. The lobbying activities of these groups are sharply restricted.

501(c)(4) charitable organizations

Like 501(c)(3) charitable organizations, these groups mail at the non-profit rate.  But because they are engaged in lobbying activities, contributions to these groups are not tax deductible.

Alternate Delivery

Methods of delivering direct mail or sample products to households without using the United States Postal Service.

Alternate Media

Any means of reaching consumers other than by using solo direct mail and telemarketing including: cooperative mailings, card decks, package inserts and free‑standing inserts (FSIs), home‑shopping programs, computer online services and  broadcast.

Average Contribution

The amount of money raised – usually of a specific campaign or mailing – divided by the number of contributors.

Bar Code

The nine‑digit ZIP code translated  into a coding structure of vertical bars and half bars used in order to speed the sorting of mail and enabling mailers to take a discount on postage.

Batching

The gathering and organizing of incoming orders.

BRE

Business Reply Envelope. A pre-paid envelope provided for the prospect/donor to reply to the mailing. The mailer pays the postage plus a service fee to the post office.

Caging

The process of receiving, processing, and reporting the mailing results

Call Center

A site that houses a telemarketing operation.

Computer Service Bureaus

A company that will maintain lists for list owners. Services may include: updating the list, merge/purge, data overlays and preparing the list for mailing or rentals.

Continuity Program

An offer of a series of products to be received in timely intervals. Most often used or books, tapes/CDs and recipe cards.

Cooperative Manager

A person/company who sells space in the co‑op for the cooperative owner.

Cooperative Broker

A person/company who recommends and takes orders for marketers who want to be part of a cooperative effort.

Cooperative Advertising

(Co‑Op) Advertising (including direct mail, inserts, stuffers, card decks) where offers from several different mailers are included.

Cooperative Owner

A company that brings different marketers together into a co‑op effort. Services may include: printing the individual inserts, combining them and mailing them to pre-selected lists.

Cost to Raise a Donor/Customer

The cost of a mailing, a mailing package, or the entire campaign, divided by the number of contributing donors.

Coupons

A promotional device used by marketers to increase sales or store traffic by offering a discount when the coupon is redeemed.

Custom Publisher

Any publisher who will, for a fee, create a publication for a direct marketer that is most often used for self-promotion or as a premium.

Data Overlays

See List Services

Data Entry

The entering of names, addresses and other information into a data storage and   retrieval system. Data can be entered via manual keying, electronic data transfer or by scanning.

Database

A file that is maintained on a computer comprised of pertinent information such as a company’s prospects or customers. The file can serve multiple applications and be manipulated for various purposes. The following definitions apply to databases used for direct marketing purposes:

1. Database Analysis:  Interpreting information within the database in order to gain customer insight and improve marketing efficiency.

2. Commercial Database Management:  Professional management of large compiled databases for list segmentation and rental.

3. Database Modeling:  Using statistical techniques in order to predict future customer behavior.

Demographics

Social and economic information about human populations including age, sex, income, education, type of residence, ownership of cars, etc.

Digital Color Proofing

See Pre‑Press Services

Donor Renewal Programs

Each organization should have an Annual Membership Renewal drive – similar to a mail campaign to renew magazine subscriptions. Usually a six-part effort, the renewal drive seeks to have the donor identify herself with the organization. Often, an organization will create a new class of non-voting membership to permit this. Other groups will choose to have an Annual Supporter Renewal drive. (From a fundraising viewpoint, a Member is always better than a Supporter.)

Enhancement

Any additional information that can be appended to a list to increase its value to the mailer.

Free‑Standing Insert (FSI)

A promotional piece that is loosely inserted into a newspaper or magazine.

Fulfillment

All activities involved in the processing and servicing of mail, FAX and telephone orders.

1.  Literature Fulfillment refers to the sorting and qualifying of leads, sending the appropriate information, and, if outsourced, forwarding leads to the marketer for follow up.

2.  Subscription Fulfillment is a specialized service for periodical publishers. Services include: maintaining the subscriber list, generating invoices and renewals and recording payments.

3.  Product Fulfillment is the storage and shipping of samples and merchandise.

Geocoding

The process of appending latitude and longitude coordinates to a database record so it can be properly placed on a geographical map.

House File

Also know as a donor file. A list of contributors to the organization. A house file is the main asset of any non-profit organization and typically includes the donor’s name, address, and contribution history. Some organizations also enhance their house file with demographic data.

House File Mailings

Mailings to previous donors. Also referred to as donor mailings or project mailings.

Labels

Paper printed with a name and address that is affixed to a mailing piece and serve as the mailing address vehicle. Different types of labels include: peel off or pressure‑sensitive labels, gummed labels and paper (or Cheshire) labels.

Laser Printing

Similar to a photocopy machine, the laser printer uses a laser beam, toner and fuser to “etch” the image onto a photoelectric drum.

Lettershop

A company that will assemble and insert the various printed elements of a direct mail piece, label, sort, tag and deliver the mailings to the post office for mailing. The lettershop will provide the mailer with written proof of delivery to the U.S. Postal Service.

List Services Data Overlays

The matching of two or more lists that contain the same names or addresses but where one list adds additional data such as demographics or geographics to the other.

Delivery Sequence File

A computerized file of more than 125 million records containing all the addresses the U.S. Postal Service serves throughout the U.S. Each address record features ZIP+4, carrier route, delivery sequence, delivery type and seasonal delivery information that can help mailers maintain accurate and complete addresses on the lists they own and rent as well as code their mail for walk sequence discounts from the postal service.

List Exchange

To lower the mailing cost and avoid list rental charges, non-profits will often exchange their donor list name for name with another organization.

List Maintenance

The ongoing process of keeping a mailing list up‑to‑date by adding, editing and deleting data.

List Broker

A list specialist hired by a mailer to make the necessary arrangements to use other companies’ lists. Brokerage services usually include: research, list selections, recommendations and logistics so that the rented lists arrive at the proper time. The standard commission to a list broker is 20 percent.

List Cleaning

The process of updating a list in order to remove any undeliverable addresses. Other cleaning activities could include removing duplicates, bad debts, names on the DMA Mail Preference Service, prison ZIPs, etc.

List Manager

Whereas a list broker works for a mailer, the list manager works for the list owner. The primary function is to promote the list to mailers and list brokers for list rental. List managers can be either an internal employee of the list owner, or part of an outside list management company paid a commission by the list owner. Management services usually include: marketing of the list, coordinating and controlling rental activity and accounting. The standard commission for a list manager is 10 percent.

Long-Term Value

The cumulative net value of a donor. To determine long-term value, an organization will total the contributions received over a period of time – the longer the better. Then subtract the cost of raising these contributions and divide the result by the number of donors involved in raising the sum. The result is the average long-term value of a donor.

Mail Preference Service (DMA MPS)

The Direct Marketing Association (DMA) offers a service for individuals who want their names removed from mailings lists so they will stop receiving direct mail.

National Change of Address (NCOA)

A service provided by the U.S. Postal Service, through licensed computer service bureaus, that enables mailers to make any necessary address corrections prior to their mailing being dropped. The mailer provides a magnetic tape that is run against the national change of address bank and then is returned to the mailer with all the corrections made.

Net Names

The number of names remaining after a merge‑purge eliminates all duplicates.

Media

Any form of communication that reaches the general public and carries advertising. Direct response media would include: space advertising, direct mail, TV, radio, take‑ones, card decks, package inserts, cooperative efforts, on‑line shopping services.

Merge/Purge

The process of combining two or more lists into one while, at the same time,  identifying and removing any duplicates.

Monthly Giving Clubs

A donor loyalty program which gives the individual added status and recognition by welcoming them into the inter-circle of the organization. Special recognition might include plaques, premiums and invitations to special events. The most successful Club programs usually take the form of a specially named program that reinforces the member’s feeling that they belong to an elite group. Club members are the organizations best donors.

Nixies

Pieces of mail returned as “undeliverable as addressed”

Non-Contributor File

Respondents who do not contribute to a mailing. These could be petition signers, survey respondents or contest entries. Often, this list of non-contributing respondents is an organizations best prospect list.

Pledge Programs

Donors commit to a specific amount each month and make their gifts in response to simple invoices, credit card charges or automatic debiting of their checking account.

Offset Printing

Using a metal or paper plate, ink is first transferred to an off‑set drum and then passed to the paper.

Outsourcing

Using an outside service rather than performing the work in‑house.

Outbound

Any phone calls made out of a telemarketing call center.

Package Inserts

Any promotional offer included with the shipment of a customer’s order. Offers may be from the same mailer shipping the product or other vendors who pay to be included.

Personalization

Using/printing personal information, such as a first or last name, in a direct mail campaign. See Variable Imaging

Poly Bag

An outside mailing envelope made of polyethylene instead of paper.

Postage Paid Reply Service

A service allowing mailers to use a lettershop’s postage paid permit and have the business‑reply mail sent there instead of opening their own account with the USPS.

Predictive Dialing

The automatic dialing by a computer of telephone numbers on a pre-selected list. The system can, with great accuracy, discern an answering machine from a human voice and will instantly connect a respondent to a TSR. If there is no answer or a busy signal, the computer will know to redial later.

Premium

A free gift offered to a prospect to induce a greater response to the main product or service that is being sold. A premium need not bear any relationship to the product being offered.

Prospecting

Searching for new donors. Prospect mailings are also referred to as recruitment or acquisition mailings.

Psychographics

The qualities or characteristics of individuals which indicate lifestyle, purchasing habits, attitudes and personal values.

Response Booster (or Involvement Technique)

Any device, token, premium or sweepstakes that will help raise the response rate.

Seeding

False or “dummy” names are added to a mailing list as a way to check delivery and to uncover any unauthorized list usage.

Mail Monitoring

Mailers track their mail in order to verify content within the direct mail package  and to determine the length of delivery time.

Sorting

The computerized process of reorganizing a list from one sequence to another. For example, a file can be sorted by last name, company name, ZIP code, high donors, multi‑buyers, recent buyers, etc.

Telemarketing Services Inbound

Any phone calls that come into a telemarketing call center.

Telephone Preference Service (DMA TPS)

A service of the Direct Marketing Association for consumers who want to have their names removed from telemarketing lists.

Telephone Service Representative (TSR)

anyone who sells, or services customers over the phone either inbound or outbound.

Tokens

An action device; the purpose of which is to involve the prospect in the offer. It can be anything from a coin, peel‑off stamp or a punch‑out paper piece that is inserted into the order form.

White Mail

A reply to a mailing that comes in without a response form. There is no way to identify from which mailing the response originated.