6 Tips to Save on the Cost of Postage in Direct Mail Campaigns
Direct mail marketing is an effective technique with a high return on investment, research shows. At the same time, this tactic can involve significant budgeting for expenses on production, postage, and other aspects. However, marketers who believe that direct mail is out of reach can often cut costs in various ways to make these campaigns more accessible. Many of these approaches can also help to control design and printing costs in order to make the campaign itself more affordable. One of the key methods for reducing the expense of sending direct mail is to cut down on postage costs. The following are some strategies for achieving this goal:
1. Consider the size.
The cost of postage typically depends largely on the size of the mailer. Sending postcards will cost less than packages with a sample product, for example. Before designing a mailer, it’s wise to investigate the expenditures associated with the size and weight of different ones. Figuring out these costs can help marketers to plan a campaign based on budget, rather than having to go back and rework the mailer because mailing costs are higher than assumed. It’s also beneficial for marketing teams to think critically about what they want to achieve with a direct mailer. Sometimes, it might make sense to opt for a more expensive mailer that is sent to fewer people, while other times it will be better to send postcards to a large number of recipients. Various online tools exist to estimate costs, but marketers can also go in person to speak with mailing companies.
2. Review the options.
Marketers can choose from several different types of postage when it comes to sending out their direct mail pieces. Sometimes, companies will just go with the stock option rather than investigating the different postage rates available. When using the United States Postal Service (USPS), marketers can send mail via First Class, Presorted First Class, or Standard. All of these options have different requirements in terms of what can be sent, so it pays off to look into them prior to starting a campaign. The delivery time will also vary, as will the ancillary services offered for each one. For these reasons, marketing teams with particular needs that want to use these services might need to select a specific class.
3. Find discounts.
The USPS and other services generally offer bulk mail discounts that can help to control the costs associated with direct mailings. However, several programs exist that could help to reduce them further. For example, the USPS has an Intelligent Mail Barcode program that facilitates the pre-sorting of mail and lowers expenses. Mailing companies might also provide discounts to organizations that presort their own mail according to zip code or that drop the mailings at specific postal distribution centers that are capable of handling larger batches. Another discount option is commingling, which involves combining direct mail from multiple companies into a single, presorted lot. Postal companies may offer seasonal markdowns, too.
4. Edit mailing lists.
Not everyone wants to receive direct mail. Companies that judiciously edit their mailing lists can cut down on postage costs by not sending pieces to individuals who don’t want them. Revising mailing lists might mean using filters and specific criteria to identify those who most likely aren’t interested in the information or deals offered, which is especially helpful when mailers with only slightly different content could be considered redundant. Also, tools exist to compare company lists against other databases to remove addresses that are no longer valid or not associated with the name on file anymore. It’s also important for marketers to continue updating entries for their potential customers as they acquire new information. Furthermore, it is always wise to provide individuals with the option to opt out of additional mailings. If the recipient will not pay attention to the mailing, then sending it is not worthwhile.
5. Choose an appropriate exterior.
The exterior of some mailers and envelopes can cause issues or come with an additional cost when sent through certain mail service classes. For instance, some coatings or textured materials can make it difficult for ink to stick. If this occurs, the address can rub off during the mailing process, and the piece may never reach the recipient. In order to preserve barcodes, it’s better to stick with high-quality paper with a heavy texture in order to avoid further charges from the postage company. Barcodes are also essential for grouping pieces together and securing discounted rates. Furthermore, wrapping and covers added to mailings will incur an extra charge, even if the piece is a traditional, letter-sized document.
6. Keep the weight low.
Besides the size, the weight will also have a significant bearing on the cost of mailing pieces. Obviously, including free samples and similar items will raise the weight considerably, so marketing teams might not want to include gifts when seeking to keep campaign expenses low. However, beyond this, there are unique ways to keep the weight down, such as using lighter paper. Mailers that are under an ounce require only 70-pound paper and 1-inch tabs. Those between 1 and 3 ounces require 80-pound paper, but they need larger tabs. Any mailer that is heavier than 3 ounces will require an envelope, which will increase the overall weight even further.
