F I L E. Direct Mail Marketing: Dead on Arrival or Alive and Well? This Issue. Using marketing strategies cooperatively.

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1 F I L E June / July 2012 This Issue Direct Mail Marketing 1-2 Tips & Tricks 3 Q & A 3 The Idea Corner 4 A Vocabulary of the Graphic Arts 4 PIM Star of Excellence Awards 5 Writing That Sells 6-7 ISO SSAE 8 Direct Mail Marketing: Dead on Arrival or Alive and Well? What s your opinion of direct mail marketing versus and social media as a marketing tool? Do you see , Facebook and Twitter as today s relevant marketing strategies, replacing direct mail marketing? Are you convinced that most customers and prospects view marketing mail as junk mail? Did you try direct mail marketing once, with disappointing results? If so, you may be surprised to learn that a large body of research supports the fact that direct mail marketing remains an effective marketing tool and that it is enhanced, not supplanted, by and social media. It s not that direct mail is dead it s that singlechannel communication is dead. Using marketing strategies cooperatively Because not everyone responds to communications in the same way, today s marketer who uses only one method to reach customers and prospects is risking some effectiveness. Rather than use a method in isolation, several methods can be combined to multiply their effect: Scenario 1: Use a direct mail post card with a printed QR code to direct the target audience to your web site. At the web site, provide an incentive to gather addresses and opt-in permissions. Invite visitors to engage with your social media sites. Scenario 2: Use the opt-in list to direct a customer to your web site to request a direct mail pack. Send a follow-up message to be sure the pack was received.

2 Scenario 3: Use a direct mail piece to remind donors or members of the need to renew. Use to remind non-responders of the approaching deadline to join or give. Send a written communication to responders (thank you) and non-responders (second follow-up mailing). As Charles Gaudet, marketing expert and founder of PredictableProfits.com, reminds us, One would think that if digital communication was so good then the online giants of the world, namely Google and Microsoft (for example), would rely solely on and other digital communication, but they don t. In fact, they spend millions of dollars each year reaching out to customers and prospects using direct mail. Why? Because it works. Direct mail: the logical first step John Jantsch, the owner of Jantsch Communications and creator of the Duct Tape Marketing System, says Marketing is getting people who have a specific need or problem to know, like, and trust you. For most small businesses and organizations, direct mail is the logical first step to accomplish these objectives. Sending direct mail particularly a series of mailings allows prospects to become familiar with your company s name, logo, location, product line and services. Even if the prospect has no immediate need for what you are offering, you are building name recognition and allowing the prospect to get to know your business. Further, you increase the likelihood that if a prospect conducts an online search for a product or service you offer, the prospect will click through to your web site or may even visit it directly. Is direct mail junk mail? Although unsolicited advertising or promotional material is called junk mail by some, it is welcomed by others. According to the Direct Marketing Association 2010 Response Rate Trend Report, 79% of households either read or skim advertising mail sent to their home. This finding is consistent with a study conducted by International Communications Research (ICR) for Pitney Bowes. That survey found that despite the widespread use and popularity of digital media overall, 73% of consumers prefer mail for receiving new product announcements, compared to 18% who prefer . The survey also found that 31% of consumers are less likely to discard unopened mail (including new product announcements, coupons, brochures and catalogs) than they are to delete spam (53.2%). Unsolicited mail versus unsolicited To compare unsolicited mail to unsolicited , the ICR study asked consumers what specific advantages they saw in unsolicited mail. The results are interesting: 45.3% of respondents found mail to be less intrusive than ; 40.2% of respondents found mail to be more convenient (to be saved and considered at leisure); 30.2% of respondents found mail to be less high pressure (let them consider their decision); 22.7% of respondents found mail to be more descriptive (easier to picture the offer); and 12% of respondents found mail to be more persuasive. Other differences include: can be designated by the intended recipient as spam and blocked from the inbox. A direct mail piece, on the other hand, does get into the mail box. And because it is tangible, some part of the mail piece will be seen even if it is quickly discarded. Mail that arrives regularly may be more welcome than . Prospects unsubscribe from at a faster rate than they request to be removed from a mailing list. If someone moves and turns in change-of-address orders to the USPS, that information is made available to mailers. service providers do not provide similar update services for addresses. Prospects may be skeptical of messages. By contrast, mail is a familiar medium whose contents are likely to be seen as reliable. According to the United States Postal Service (USPS), in 2008 the average household received about 16 pieces of advertising-related mail per week, while the average consumer received marketing s a day. In 2009, Forrester Research predicted that marketing messages would reach an average of 25 per day by This means that there is significant competition for consumer attention with and relatively little for direct mail. Direct mail is a campaign, not a single event Effective direct mail marketing is a campaign rather than a one-time mailing the mail pieces are sent out on a regular, recurring cycle such as monthly or quarterly. If your budget allows for a 3000-piece mailing, it is better to mail three times to a list of 1000 rather than one time to a list of The costs will be nearly the same (especially if you don t vary the mail piece) but the total response rate will be greater. This is because each subsequent mailing reinforces your message and increases the likelihood that someone on the mailing list will have a current need for your product or service. Rely on us for help For many years we have been helping our customers communicate with their customers and prospects. We have the knowledge and experience to help you design a direct mail campaign; design and print the mail piece; process your mail list for data quality and hygiene; and provide mailing services to qualify for a discount on postage rates. We can also help you take advantage of any promotions currently being offered by the USPS. To learn more about our direct mail marketing services and how they help increase sales, contact David Hull at Providing you an edge in print communications.

3 A mail piece that fails to arrive at its intended destination, an incorrect addressee, or content that is of no interest to the recipient is the very definition of junk mail. And Charles Gaudet cites poor list management as its primary cause. The way to avoid creating junk mail is to maintain a mailing list with complete and accurate names and addresses, without spelling errors or typos, and with additional personal information as appropriate. Here are some tips to help you with this task: 1. Create standards for data entry. Use the same format and spelling for the salutation (such as Mr. and Mrs. or Mr. & Mrs.), business titles (such as CEO or Chief Executive Officer), and secondary address designators (Apt. 1 or #1). 2. Separate names into component parts. Use separate fields for first name, last name, spouse first name, nickname. 3. Use USPS-approved abbreviations for street designators. The USPS provides a list of abbreviations for street type (such as St., Ave., Ln., Pkwy.). Also, use N,S,E and W to indicate directionals. 4. Don t use quotation marks within an address. Use 123 E. M St., not 123 E. M St. Before we mail, we will check your mailing list for completeness of each address, add the final four digits of the ZIP code, and check to see if the USPS has change-ofaddress orders on file. We ll let you know if we find any addresses that we know can t be delivered or if an address has been updated so you can change your mailing list. Q Should I use a QR code on my direct mail marketing piece? a Yes! Adding a Quick Response (QR) code to any printed piece makes it interactive for smart phone users. A QR code is a two-dimensional graphical representation of information; after scanning the QR code with a smart phone, the information will be displayed on the smart phone screen. Early uses of QR codes were to display a web site or telephone number. Now they are used to display a coupon, an , an SMS message, or to initiate download of an audio file or video stream. QR codes were introduced in Japan in 1994 and quickly spread to Europe. Adoption of the technology in the United States and Canada has been slower but is steadily gaining momentum. Visions

4 How do people process marketing messages? To answer that question, the British Royal Mail commissioned a study in 2007 that used functional Magnetic Resonance Imaging (fmri) to understand differences in how online and print media communicate a message. The research was conducted by Millward Brown in conjunction with the University of Bangor in Wales, UK. Ten males and ten females were shown images presented on screen (to simulate the online experience of ) and then on printed cards (to simulate direct mail). Here is a summary of the findings: We saw that the physical material facilitated greater emotional processing seen as more brain activity in the area associated with the integration of visual and spatial information suggesting it is more real to the subject. The benefits for advertisers here are multifold. Greater emotional involvement leads to more positive brand associations along with easier brand recall. As well, this more tangible experience is also more readily internalized by the viewer, which means the ads should have a more personal effect that in turn positively influences motivation. In contrast, the response to online materials demonstrated a greater difficulty to focus. Direct marketing: a form of marketing that communicates directly with the target audience. Every Door Direct Mail (EDDM): a program of the United States Postal Service designed to encourage direct mail marketing. Offers low postage rates and does not require an address on the mail piece. Effective for businesses who want to reach an audience within a defined geographic area. Firewall: a set of related programs, located at a network gateway server that protects the resources of a private network from users from other networks. Gateway server: a computer that connects a private network to the private network of a servicer or other business. House list: an internally-developed mailing list consisting of the customers, members or donors of a business or organization. A house list may also contain contact information for prospects who match the demographic profile of customers. Mobile marketing: distribution of promotional or advertising messages using wireless networks; marketing to a mobile device such as a smart phone. Multi channel marketing: using several methods to sell products and services. Prospect: in selling, an individual, company or organization that has been qualified as a potential customer. PURL: an acronym for personalized URL. A unique URL that leads to a web site landing page or microsite that has been personalized for a specific individual visitor. QR code: an acronym for Quick Response; a two-dimensional barcode symbology for graphical representation of information. Permission-based marketing: the practice of sending marketing communications only to recipients who have given their consent to receive them. Generally agreed to be the safest way to send marketing messages. SMS: an acronym for short message service, the method of sending text via a mobile phone or other mobile communication device. Social media: media for social interaction; the use of web-based and mobile technologies to turn communication into interactive dialogue. Also called consumergenerated media. Spam filter: a program that detects unsolicited and unwanted and prevent those messages from getting to a user s inbox. UBE: an acronym for unsolicited bulk mail. Also known as junk . URL: an acronym for uniform resource locator. A means of representing and identifying a page of information on the Internet. 4 Providing you an edge in print communications.

5 VISIONS INC. ACKNOWLEDGED FOR OUTSTANDING ACHIEVEMENT Visions, Inc. was once again acknowledged for outstanding achievement at the 2011 Printing Industry Midwest (PIM) Star of Excellence Awards. PIM recognizes printing and graphics arts firms responsible for the creation and production of outstanding print communications. This year Visions earned a total of thirteen (13) awards, competing with hundreds of entries from five (5) Midwest states. The prestigious awards include: Best of Category in Cookbooks Best of Class in Cross Media Promotion Best of Class in Brochures and Broadsides Best of Class in Cookbooks Best of Division in Product Catalogs Eight (8) Certificates of Merit The mission of the Printing Industry Midwest is to be the leading resource to enhance the strength and profitability of the printing, graphic communications and related industries through advocacy, education, insurance, safety and environmental information. These awards are symbolic of the high-end quality our clients have come to expect from Visions, said Rick Hansen, President. It s especially gratifying to have our efforts recognized for outstanding craftsmanship. For more information about Visions, Inc. or the awards, please contact David Hull at or david.hull@visionsfirst.com. Visions

6 Writing That Sells: A Guide to Effective Copywriting If everything begins with a sale, then we are all selling something to somebody. Some of us are selling products or services for cash, while others (such as charitable organizations) are selling the idea that their cause is worthy of support. Even people who offer things for free are selling something that what they are providing is useful. Copywriting services Copywriting is an essential element of any sales or marketing effort, regardless of the medium chosen to deliver it. Here are some typical projects that benefit from copywriting: Printed sales material: brochure, display ad, direct mail campaign, product description, sales letters Printed informational material: case study, white paper, newsletter article Web sites: landing and inner pages, SEO content Social media: blogging, Facebook, Tweets, etc. Besides creating original material, copywriting services may also include proofreading and editing of existing text. Proofreading checks for spelling, grammar and sentence structure the basic elements that readers use to judge the quality of the writing. Editing looks at context and syntax the elements that improve or hinder the reader s comprehension of the text. Neither proofreading nor editing includes rewriting, though. Effective copywriting matters Direct response copywriting using the written or spoken word to get people to take some form of action requires the same skills when used for traditional media (print, television, radio) or new media (web sites and social media). In addition, search engine optimization (SEO) is a new use for copywriting that is growing in importance. When we are selling, communication with our audience is grounded in the mechanics of the sales process. One enduring description of the sales process is summarized by the acronym AIDA: get the reader s attention; engage his interest; create desire to own; and provoke action. The AIDA concept is attributed to E. St. Elmo Lewis, an American advertising and sales pioneer, who developed it in 1898 well over 100 years ago. Based on customer studies in the U.S. life insurance market, the steps are still accepted as a description of four phases buyers follow when accepting a new idea or purchasing a new product. Here is a way to apply the four AIDA steps to a copywriting project: Attention: Use a compelling headline to attract the reader s attention. Then use a subhead to reinforce the headline, and an illustration or photograph for emphasis. Interest and desire: Develop interest beginning with the first sentence of the body copy. Its sole purpose is to get the reader to read the next sentence. So focus on benefits to the reader rather than features of the product or service. Desire: Use the second and subsequent paragraphs to elaborate on benefits and describe how the product or service will solve a problem or enhance the reader s life. Aim for a logical progression of benefits that ends with the reader concluding I must have this. Action: The final paragraph is the call to action it tells the reader what to do next. Add a final thought as a P.S. to further stimulate desire and action. Compelling content is based on knowledge Before you begin writing, it is important to understand the target market, the benefits your product or service brings to the target market, and what motivates the buying decision. Very large corporations or businesses find these answers with research, focus groups and other techniques outside the budget of a small business or local non profit organization. So then, how can you get the information you need? An excellent way is to ask your top customers. Most businesses follow the Pareto principle, better known as the rule. As applied to business, the Pareto principle states that 80% of sales come from 20% of customers, making the task of surveying customers a lot more manageable. Here is what you want to learn from a combination of survey questions and what you already know about your customers: What demographic characteristics do your customers share? For individuals, this could include age, marital status, household income, ethnicity, etc. For businesses and organizations, SIC code, annual sales, number of employees, etc. What separates your product or service from those of your competitors? Look for measurable characteristics like better performance, more features and benefits, on time delivery, ease of ordering, etc. What motivates your customers to buy? Is it price? Delivery time? Superior quality? With the answers you are better prepared to write the copy to develop the interest and desire. You will also know what kind of an offer to make. Copy that sells Using the AIDA approach means keeping the reader engaged from the headline all the way through to the call to action. This is best done by keeping the copy itself straightforward, focused and easy to understand. Here are some guidelines: 6 Providing you an edge in print communications.

7 Keep the focus on the reader. An excellent test of this concept is to be sure the copy answers the reader s question what s in it for me? When you apply this test, it becomes instantly apparent why leading with benefits is more persuasive than a list of features. Made of titanium (a feature) is less persuasive than will last a lifetime (a benefit). Use a topic sentence for each paragraph. A topic sentence is the theme or main idea for the paragraph and is usually the first or last sentence. All sentences in the paragraph support the topic sentence by providing evidence or a persuasive argument. Present evidence. By citing accepted positions, research or statistics you ll be giving the reader more than your opinion and be building credibility. This is especially important if you are developing a new or counterintuitive idea. Provide a specific offer. No matter what you are selling a product, service or idea it has to be specifically stated to be accepted. Without a clear, even bold offer, you risk the reader misinterpreting what you have said. End with a summary. Restate the original benefits and remind the reader of the evidence you presented to support the benefit. Don t settle for bad writing Some people are natural writers they intuitively know how to develop an idea that persuades others. That s why people follow syndicated columnists and read editorials. But if writing is not your strength, or if you lack experience in direct response copywriting, consider hiring a writer to do this work. As a skill, it is as important as good graphic design. Visions

8 F I L E This Issue Direct Mail Marketing 1-2 Tips & Tricks 3 Q & A 3 The Idea Corner 4 A Vocabulary of the Graphic Arts 4 PIM Star of Excellence Awards 5 Writing That Sells 6-7 ISO SSAE 8 ISO 9001:2008 and SSAE 16 Certifications Visions is pursuing two certifications that will ensure quality assurance standards, as well as, provide our clients with controlled data security measures. The ISO 9001:2008 standard is a demanding certification level with stringent auditing, management reviews, and process improvements. The standard identifies requirements designed to help companies create and maintain procedures to ensure quality in their products and services. The Statement on Standards for Attestation Engagements (SSAE) No. 16 is a certification of a vendor s policies, procedures and data security controls. Upon certification, the SSAE 16 will demonstrate Visions ability to handle data in a secure, sound environment. We hope to have the certifications completed by the end of Look for more information in future issues of the Idea File. This newsletter is printed on 80# Winner gloss text Wyoming Avenue North Brooklyn Park, MN PRESORTED STANDARD U.S. POSTAGE PAID TWIN CITIES, MN PERMIT NO Address Service Requested