Direct Mail Campaign Planner



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www.canadapost.ca Canada Post Direct Mail Campaign Planner 6-640 (11 04) A step-by-step guide to help you plan and create your next direct mail campaign.

Use your Canada Post Direct Mail Campaign Planner to build your business one campaign at a time. You can put the power of direct mail to work for your business all it takes is a bit of planning. That s where the Canada Post Direct Mail Campaign Planner can help. Inside, you ll find step-bystep guidance on all phases of campaign development, from the early considerations of defining your campaign objectives, establishing your budget, and profiling your product/service, right through to positioning your copy, estimating your production costs, finalizing your postal arrangements, and analyzing your campaign response. Once you ve completed these steps, you re ready to get started on creating and delivering your campaign. With the help of the Canada Post Direct Mail Campaign Planner, you can connect your product or service with the right customers and get the results you need. Canada Post representatives can assist and guide you through the entire campaign planning process. Call us at 1 800 260-7678.

Preparing a successful direct mail campaign Campaign objectives Being as specific as possible, list your campaign objectives. A campaign objective is a statement that summarizes the quantifiable goals you expect your campaign to achieve (e.g., to generate 150 new sales leads over a 12-week period; 300 visits to my store to redeem a coupon; 50 telephone calls from prospects; upsell my new products to 250 users of my old product; have 100 people download my new tool on our website). 1. 2. 3. 4. Define your target audience Being as precise as possible, list the attributes of the typical customer your campaign is directed towards. Build a target profile based on gender, age, lifestyle, level of education, household income, location, and purchasing behaviour or any other criteria that are relevant to your business. Target profile Gender Age Lifestyle Education HH income Location Purchasing behaviour Other criteria Budget Evaluate your total budget by segmenting the campaign into its necessary components. Total budget Creative development (art/copy) Evaluate your budget in relation to the anticipated response rate and cost per response. 1. No. of responses needed (your objective) 2. Anticipated response rate from your mailing (%, according to forecasts) 3. No. of pieces to be mailed (divide 1 by 2) 4. No. of pieces (1000) 5. Cost per thousand packages (CPM) 6. Budget required to reach objectives (multiply 4 by 5) 7. Budget required 8. No. of responses required 9. Cost per response (divide 7 by 8) Mailing list selection Determine the lists (in-house, bought or rented) you plan to use to reach your target audience. You may have your own lists of customers and prospects, or you may wish to purchase some from list brokers. Within those lists, identify the segments that are most likely to respond favourably to your offer. Outline the list size, the quantity you plan to test, and the list rental cost. List Segment Size Test quantity Cost (CPM) Your offer An offer is designed to motivate your prospect to respond immediately. It must be attractive, compelling, and easy to understand. Being as precise as possible, define your offer. Type of response desired (e.g., purchase, request for sales call, redeem a coupon) Incentives or premiums Production/printing Mailing list expense Method of payment (if applicable) Outgoing postage Business reply charges Fulfillment Respond by or cutoff date Total estimated costs List the customer needs that your offer will satisfy 1. 2. 3.

Your product/service profile To help you represent your product or service in the most favourable light, list its main features (tangible attributes) and the corresponding user benefits (positive improvements in the customer s well-being as a direct result of using the product or service). Product feature Customer benefit Creative considerations When developing the campaign copy and layout, keep your objectives and your target audience in mind. An effective campaign will be in line with your objectives, appeal to your target, and effectively convey your proposition. Copy points What is your main positioning statement? (The positioning statement is a summary of how you want to present your product/service to your audience.) Determine the writing tone that will best complement your proposition (e.g., informative, promotional, hard-hitting, corporate, etc.). Determine the image your package should project (e.g., prestigious, conservative, glitzy, etc.). Production costs Evaluate your production budget by segmenting its necessary components and their costs. Your printer can help you with the costing of most of these elements. Keep in mind that recent advances in printing technologies now make smaller print runs more affordable. Component Creative Artwork Film Printing Outer envelope Reply envelope Letter Reply device/business Reply Card Brochure Buckslip* Lift note** Other At this stage you will likely require the services of a lettershop to format your mailing list and prepare your direct mail package for mailing. To find lettershops in your area, ask your printer for a recommendation or consult your local Yellow Pages directory (look under the heading Advertising Direct Mail). Other costs Data processing Mail preparation Fulfillment Postage Ask your lettershop for advice on the best mailing options for your direct mail package. They ll be able to handle the payment on your behalf. Postage Finalize your postal arrangements Your lettershop will take care of contacting Canada Post to arrange deposit dates. At this point, if you need to talk to a Canada Post representative, call 1 800 260-7678. For more information about the direct mail services from Canada Post, visit www.canadapost.ca. Response analysis Keep a detailed record of your campaign results. This will provide excellent reference material to ensure the efficiency and success of your future campaigns. No. of pieces mailed No. of responses % of response Cost per thousand (CPM) Cost per response Average order value Response by type Mail (by list) Phone In person Online Number of requests Number of sales Average length of time to fulfill order/request * A separate slip of paper calling out your offer ** A second, short promotional letter written by someone other than the author of the main letter

Direct mail services from Canada Post Canada Post provides a diverse range of effective direct mail products to suit every need and every budget. Simply select the medium that best suits your business message. Addressed Admail TM Addressed Admail is a cost-effective way for businesses to send personally addressed promotional information and offers to targeted prospects and customers. Addressed Admail rates are lower than regular postage rates; however, there are minimum quantity restrictions and presortation requirements to qualify for Addressed Admail. Unaddressed Admail TM As the name suggests, Unaddressed Admail provides targeted delivery to every home, apartment or business within specific geographic locations, based on postal delivery routes. AdCard TM AdCard is a one-stop direct mail advertising solution that takes care of everything for you. Just supply your artwork and Canada Post will handle the targeting, printing, mail preparation, transportation and delivery. Choose from Addressed or Unaddressed Admail delivery. Business Reply Mail Business Reply Mail is a proven response vehicle used by thousands of Canadian businesses. Choose from pre-addressed, postage-paid Business Reply Mail cards or envelopes. It s an easy way for your prospects or customers to respond to your mailing, and as you only pay postage on the pieces that are returned to you, it s also very cost-efficient. For detailed information on these or other Canada Post services, visit www.canadapost.ca. TM Trademarks of Canada Post Corporation