Archive for the 'Direct Marketing' Category

USPS wants to test “guaranteed” direct mail

The USPS last week filed a request with the Postal Regulatory Commission for approval to test a guaranteed direct mail product, the “Mail Works Guarantee.” The program would offer companies that don’t already use direct mail a money back guarantee if their test marketing campaigns don’t produce results:

The United States Postal Service hereby gives notice that it intends to conduct a test of an experimental market-dominant product. The experimental product is the “Mail Works Guarantee.” The top advertisers in America represent $90 Billion in total expenditures for media advertising. The USPS share is currently 3.1% or about $3 Billion annually which represents a huge revenue potential for the Postal Service. Thus, this new product will be offered to a group of companies who spend a minimum of $250 Million annually on advertising as identified by Advertising Age magazine and for whom mail is not currently a large part of their advertising mix (postage is less than 0.36 percent of the company’s total spending on advertising). These companies will be offered a postage-back guarantee to test advertisements for their products through First-Class Mail and Standard Mail. The market test will begin on or shortly after May 16, 2011.

During the Mail Works Guarantee market test, 16 initial companies will be offered a postage-back guarantee to test the effectiveness of advertisements for their products using First-Class Mail and Standard Mail.

For each selected mailer, a set of unique metrics will be developed jointly with the Postal Service against which to evaluate the performance of a test Direct Mail campaign. For example, a retail company’s Direct Mail offer could be designed to increase store traffic, an e-commerce company’s offer could be designed to drive Web traffic, or a product goods company’s offer could be designed to promote increasing sales of a specific product. The threshold for determining success will be an agreed-upon percentage of increase in the uniquely established metric. Each participating mailer will be expected to mail a minimum of 500,000 pieces up to a maximum of 1 million pieces of First-Class Mail or Standard Mail. The Postal Service will provide assistance in developing the Direct Mail campaigns during the market test, as well as in the benchmarking and measuring the test metric.

If the Direct Mail campaign fails to meet the established metrics, as verified by a Postal Service representative, the Postal Service would only refund the postage paid during the market test, up to a total of $250,000, issued as a credit to the company’s Centralized Account Payment System account. Production and printing costs for the Direct Mail campaign would not be refundable.

Depending on the results of the test, the Postal Service may file a request with the Commission for approval to offer the Mail Works Guarantee to additional companies under the market test.

RR Donnelley buys 8touches, provider of online marketing tools

CHICAGO, Jan. 4, 2011 (GLOBE NEWSWIRE) — R. R. Donnelley & Sons Company (Nasdaq:RRD) announced today that it has acquired 8touches, an online provider of easy-to-use tools that allow real estate sales associates, brokers, Multiple Listing Service (MLS) associations and other marketers to create customized communications materials such as direct mail, flyers and brochures.

8touches’ branded online resources provide access to more than 1,000 customized templates into which profiles, MLS data and pictures for selected listings can auto-populate. The comprehensive toolset also offers sophisticated mapping features, the ability to obtain surrounding address information and access to demographics that enhance targeted direct mailings.

“This acquisition expands our portfolio of proprietary Internet-based solutions,” stated Thomas J. Quinlan III, RR Donnelley’s Chief Executive Officer. “8touches brings to RR Donnelley a proven solution that will benefit from our larger scale in software development and distribution. It will also accelerate our ability to create targeted applications for additional industries and vertical segments.”

8touches’ templates are available for residential, farm and ranch, commercial and new construction real estate marketing programs.

“Integrating 8touches’ front end Internet services with our exceptional digital printing and fulfillment platform will enable us to offer even more efficient and responsive service. For customers, our national and international platform reduces cycle times to enable marketers to gain first-mover advantages,” added Quinlan.

More information about 8touches products and services is available at 8touches.com.

Holiday advertising: print still important, but losing ground to online, broadcast media

A survey of Chief Marketing Officers shows that most companies are spending about the same on holiday advertising in 2010 as they did last year, but they’re shifting their mix of ads. While print ads still represent 42% of ad spending, that’s down sharply from the 64% share the medium had in 2009:

Chicago, IL, November 29, 2010 – According to BDO USA, LLP, one of the nation’s leading accounting and consulting organizations, 63 percent of chief marketing officers (CMOs) at leading U.S. retailers say their 2010 holiday advertising and marketing budgets have remained flat, a continued trend from 2009 (55%) and 2008 (43%). Only 20 percent of CMOs cite a decrease in their holiday marketing and advertising budget, signaling some flexibility compared to 2009 (26%) and 2008 (32%). Seventeen percent of CMOs cite an increase, only slightly less than 2009 (19%).

Despite flat budgets, retailers are re-allocating their 2010 holiday advertising dollars to pricier mediums. In fact, one quarter of CMOs surveyed cite an increase in their broadcast media investment for this holiday season (up from 13% in 2009). Online advertising is also gaining steam; 27 percent of CMOs say online advertising, including social networking sites, accounts for most of their holiday advertising and marketing budget, a sizable increase from 2009 (18%). Contrary to popular belief that print media is no longer relevant, this medium continues to see the most investment (42%) but there is a significant down-shift from 2009 (64%).

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USPS Launches revamped website for direct mail marketers

Embracing electronic technology to promote the use of direct mail, the Postal Service has revamped the companion website to Deliver magazine, its publication for marketers.

The new “how-to” website, delivermagazine.com, offers all the direct mail and multichannel marketing strategy of Deliver — and much more. For the first time, USPS also provides a smart phone interface with the website.

The new website offers direct marketers and marketing professionals scores of articles, case studies, white papers and online tools to help grow their businesses through acquisition, retention and brand-building.

“We redesigned the website with more content and a new look, and made it easier for direct marketers to find just what they need,” said Paul Vogel, president, Mailing and Shipping Services. “Delivermagazine.com is a great place for direct marketers to gather and share success stories, and — with the smart phone option — these busy professionals can keep tabs on the hottest direct mail and multichannel news.”

With 7,000 visitors a month, delivermagazine.com features the latest research, news and commentary affecting the direct marketing industry. Topics include brand marketing, prospecting and green marketing.

The site also has online marketing tools, including a “Direct Marketing 101” series that outlines the basics of an effective marketing strategy and helps marketers make more efficient use of their resources. A “Resource Wizard” searches for articles based on business size and marketing needs and includes information about using the Intelligent Mail barcode.

via USPS News Link – Nov 9, 2010.

USPS Q&A on proposed “Direct Mail Solution” partnership

The USPS has posted answers to questions posed by prospective partners in its proposed “Direct Mail Solution”, which would seek an organization “to partner with the USPS to develop; host; and market a go-to-market strategy.” Full details of the proposal are here, and a Word version of the Q&A is available here.

Q 1: How does the USPS envision this new initiative to differ from what is currently offered from Amazing Mail and Click2Mail?
R 1: No such assessments have been made. The purpose of this RFI is to get information for market research and planning purposes. The USPS’ goal is to provide access to a full portfolio of nationwide services and solutions that continue to add value to the mail process and reach as many customers as possible.

Q 2: What has the USPS learned from those endeavors?
R 2: The Postal Service considers the information requested to be proprietary and confidential. Read the rest of this entry »

Pitney Bowes Expands U.S. Collaboration with RISO to Offer New Digital Color Inkjet Printer Series

STAMFORD, Conn., April 19, 2010 – Pitney Bowes Inc. (NYSE:PBI) today announced that it is expanding its collaboration with RISO, Inc., a leader in digital inkjet printing technology, to offer RISO’s ComColor series of full-color inkjet printers to U.S. customers. The ComColor series complements Pitney Bowes’s suite of mail management software, working with a broad array of the company’s products for a complete “print-to-mail” solution in a cut-sheet environment.

The ComColor series helps organizations add value to existing documents by managing the transition from printing in black and white to color. The series is ideal for mid- and high-volume mailers printing transactional or transpromotional documents such as invoices, promotional flyers, postcards, and direct mail.

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Live From the National Catalog Forum: Prospect or Die

Nashville—While prospecting through traditional direct mail channel isn’t getting any easier or cheaper, catalogers have to need to bring in new customers to grow their businesses—everybody knows this. Yet many mailers have pulled back sharply on prospecting.

A panel at the 2010 National Catalog Forum, presented here April 13-15 by the American Catalog Mailers Association, discussed why mailers were not prospecting. The main reason is the poor economy, but most catalogers are also dealing with fewer pages, fewer contacts, and changes in paper to keep costs down.

Full story: Live From the National Catalog Forum: Prospect or Die.

Pitney Bowes introduces high-res envelope printing product at National Postal Forum

NASHVILLE, Tenn., April 12, 2010 – Pitney Bowes Inc. (NYSE: PBI) today launched a new series of customer communications solutions in the U.S. to help organizations deliver more powerful and profitable messages. Among many other new features, the Connect+™ Customer Communications Series enables mailers to print high-resolution graphics and messages in color or black on the outside of the envelope. The print technology was developed as a strategic collaboration with HP. Read the rest of this entry »

Direct Marketing Association Names Robert Allen Interim President & CEO

New York, NY, February 4, 2010 — The Direct Marketing Association (DMA), the leading global trade association of businesses and nonprofit multichannel direct marketers, today named Robert (Bob) Allen, Interim President & CEO. Mr. Allen, an award winning direct marketing executive, is the former President & CEO of The Vermont Country Store, a multichannel retailer of hard-to-find products. He will assume the title of Interim President & CEO effective Friday, February 5, and be based in DMA’s New York office.

A seasoned marketing executive, Mr. Allen is a veteran of The Vermont Country Store, where he began in 1982 as assistant to the president. He advanced to president in 1994, earning the distinction of the first non-family president of the business. Mr. Allen has extensive experience with a diverse marketing background, currently serving as a director for six for-profit companies in New England: Gardeners Supply; Cuddledown; Susan Sargent Designs; JK Adams; Danforth Pewterers; and Kalow Technologies. Mr. Allen received a lifetime achievement award in 2004 from Catalog Success magazine and another in 2008 from the New England Mail Order Association. He is a graduate of the University of Rhode Island.

“Bob Allen’s in-depth knowledge of direct marketing and his multi-year experience leading a trade organization make him the natural choice to lead DMA during this time,” said Eugene R. Raitt, DMA Board Chairman. “He has successfully navigated businesses through revolutionary changes in direct marketing and will keep DMA advancing into the 21st Century. He is exactly the kind of forward-thinking leader we need.”

“I am honored to serve DMA while the board conducts a thorough search for a permanent President & CEO,” said Mr. Allen. “Direct marketing is in the middle of a period of rapid change. It will be important to maintain a balance between tried and true methods and new concepts like social media and the digital landscape; as I did when guiding The Vermont Country Store in its evolution from strictly ‘traditional’ media to digital. Successful companies will be the ones who understand and embrace both. I look forward to guiding DMA through this process.”

Credit card direct mail back on the rise

Chicago— It wasn’t just holiday cards and catalogs filling your mailbox last month. Mintel Comperemedia, a service that provides direct marketing competitive intelligence, reports that in Q4 2009—for the first time in three years—credit card direct mail volume increased from the previous quarter.

With a 47% increase in direct mail compared to Q3 2009, credit card issuers demonstrate increased confidence in the economy and willingness to extend more consumer credit. However, last year’s direct mail volume still pales in comparison with recent years. Mintel Comperemedia reports that the total number of credit card offers sent in 2009 falls 66% behind the number sent in 2008. Pre-recession (2004-2007), card mailings topped seven billion annually; last year, they didn’t even reach two billion.

“Credit card direct mail volume leveled out mid-last year and finally, in the last quarter of 2009, we saw the long-awaited increase in card offers for consumers. More direct marketing is an excellent sign for the economy, because it shows issuers gaining confidence and taking a more positive outlook towards gaining new cardholders and reducing delinquencies,” states Andrew Davidson, SVP of Mintel Comperemedia.

Next month is significant for credit card companies, as another wave of CARD Act regulations take hold on February 22. In anticipation of tighter restrictions on credit practices, many companies are trying to rebalance their portfolios. “In this post-recessionary environment, card issuers need to offset potential lost revenue from CARD Act regulations. We see more cards being promoted with annual fees and high purchase APRs,” comments Andrew Davidson.

According to Mintel Comperemedia, more than a third of credit card offers sent in 2009 (36%) featured an annual fee, compared to just one in five (20%) in 2008. Purchase rates are also on the rise, despite the steadily low Prime rate. On variable rate card offers sent during Q4 2009, the mean go-to APR for purchases was 13.95%, an increase from the average of 11.80% observed during Q4 2008.

Many top credit card issuers increased direct mail volume during Q4 2009, but the biggest bumps compared to the same period of 2008 came from Chase (up 87%) and U.S. Bank (up 64%).