Even though today business marketing campaigns are greatly led via social media marketing yet ‘Direct Mail Campaigns’ are still one of the most effective & efficient tools for attracting the customer and generating high revenue. Data & Marketing Association (DMA) has revealed in their recent reports that marketing via Direct Mail Campaigns has the highest response rate in 2016 since 2003. The mail marketing campaigns are a good source for attracting the customers for mid-size and small businesses, being cost-effective as compared to mass media marketing.

Guide for Choosing the Right Data Models for Direct Mail Campaigns

There are two different Data Models to start Direct Mail Campaigns, the response and cloning models.  Both data models are cost-effective and generate a high response. But choosing the right ‘Data Model’ for ‘Direct Mail Campaigns’ for your business might challenging. This article highlights the factors which can help the organizations to choose the best data model for their marketing campaigns.

What Makes the Data Models Different?

The ‘Cloning Data Models’ uses the information on the existing customers and find new consumers matching to existing information. The cloning model is quick and generates data for new customers using a few thousands existing customers. The drawback of this model is that it does not provide analysis about the buying preferences of consumers. Also, the cloning model is effective for current marketing strategies for current product/service.

On the other hand, the ‘Response Data Models’ uses the information of the customers who respond to business marketing campaigns. This model analyses the attributes of responder customers and designs new data by using predictive analysis. The drawback of this model is that it requires previous response rates and tracking of mailing records to achieve the similar mailing quantities, which is challenging for the business.

Factors to Consider:

Although the direct mail campaigns are effective for bringing high customer responses and revenue if the organization fails to select the right data model it may suffer loses. Therefore, the organization must pay attention while selecting the data model.

  • Target Audience:

The data model must be selected according to the consumer the business wants to target. The key to success of mailing campaign is a combination of “Right offer for the Right Consumer”. It means that you need to design your offer according to the category of consumers you are targeting. You can identify the consumers to make an offer with the help of consumer profiles. The consumer categories could be based on the number of children a person has, the age, gender, person employed or not, and married or single etc. the response rate of the mail campaign can be increased with additional filters of propensity and estimated interest rates. These filters can predict the expected response rate along with the customers who will respond.

  • The Objective of Your Campaign:

Once you have identified the appropriate consumer, the next thing you need to identify is the purpose and objective of the mail campaign. It is important to know the objective of your campaign as it will help you to design the offer accordingly using appropriate tools. The data model must be select according to whether the business wants to attract new customers or improve the relationship with existing consumers, making them re-purchase.

  • Get Verified Mailing Lists:

After the objective and specific consumers to be targeted are identified the business must get the mailing addresses of the specific consumer, these mailing addresses will be available from customer profiles. But the business must verify all the mailing addresses of its targeted audience. Because the Direct Mail Campaign will be successful only if it reaches the target consumers in real. Hence the certification of addresses is important, as it will save the additional costs and time for re-sending the mails.

  • Personalize the Offer:

The business will get high responses if the offer to be made is ‘personalized’ instead of general. It has been observed that customers tend to respond to personalized mails more than the general mails. It is recommended to design your mail with personal openers such as ‘Thank-you for purchasing our products/services, Mr. Specter.” the more personalize the mail will be the more the customers will likely to respond.

  • Know What Your Competitors Are Offering:

There are multiple businesses providing the same product/services, therefore it is essential to know what your competitors are offering to consumers. So that you can make your offer unique, superior and more tempting than others. You can make your offer more competitive by conducting a market research to know about your competition in the market.

  • Align Campaign Timing with Peak Market Demands:

The offers you are planning to make in the direct mail campaigns shall time according to the peak demands of the market. Set your offers according to consumer demands, and it will surely help you get high responses. The customer’s demands will vary in the first quarter of the year from the 3rd quarter.

How to Select the Right Data Model for Your Business?

The cloning and data models are designed on the basis of business type. Some businesses require a response data model while for others cloning model is effective. Here is how you can know which model is suitable for your business type.

The Cloning Model Is Right for Your Business If:

  • The business wants to find the similar prospects as its existing customers.
  • The business wants to keep up its offer by retaining the key aspects of its current marketing strategy.
  • The business has a limited time and budget and can’t carry out the test campaign.
  • The business does not have the historical data in response to conduct the responder analysis.

The Response Model Is Right for Your Business If:

  • The business needs a ‘Predictive Tool’ for predicting the estimated responses, revenue, and profit/loss for future continuously.
  • The business wants a flexible marketing strategy and changes the key aspects of its marketing strategy according to its targeted consumers, service/products, promotional strategy, and media.
  • The business has enough time and budget to run a test campaign.
  • The business has enough historical data of consumer’s response to conduct a responder analysis.


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