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October 27, 2003


Don't Call! Don't Email! Don't "Junk Mail"?
Don't Call Is Here, Don't Email Is on the Threshold. Will "Don't Junk Mail" Join the List of Don'ts? Is Relevance the Answer?

by Chuck Surprise

We had an interesting conversation last week with Bruce Otte, IBM's Worldwide Solutions Manager for Production Print. Bruce pointed out, and we agreed, that the recently enacted legislation blocking telemarketing calls to the 50+ million Americans who registered should create an opportunity for the direct mail industry.


Much as most of us dislike those dinnertime phone calls hawking timeshares in Afghanistan, they have been relatively effective. Had they not been, those two million pitchpersons about to join the ranks of the unemployed would long since have been otherwise employed. As Otte pointed out, the response rate for the calls is higher than the typical 1% to 3% rates for mass mailings. Callers can change or modify their message in mid-pitch, customizing it, to a degree, to the listener. Mass mailings, on the other hand tend to be of the "one message fits all" nature; with, perhaps, your name imprinted by the mailer in a final processing operation.

Email advertising came along more recently, and most of the truly obnoxious examples of this new media are simply "blasts" with no real targeting of an audience. But their very existence and exponential proliferation suggests that SOMEONE must occasionally buy into the message.

Tailoring the Message to the Audience
Digital printing is taking center stage in the effort to make the advertising message fit the prospective buyer. Bruce noted that production costs for digital print have been reduced dramatically in the past decade. Canon, Heidelberg, IBM, Indigo, Xeikon, Xerox and others also have been able to improve digital print quality almost as dramatically as they have cut costs of acquisition and consumables. These changes have set the stage for the production of truly relevant direct mail advertising, personalized and almost infinitely variable thanks to software from IBM, Creo, EFI and a host of other companies. Also playing a strong role in enabling this emerging new industry is PODi and its PPML language (see white paper on this site).

Personalization, also widely referred to as variable data printing (VDP) will be much in evidence at the Xplor Global Conference and Expo in Atlanta October 26-29 (Website). The software and related costs of database maintenance and manipulation now account for an estimated 80% of the total cost of producing personalized direct mail campaigns. But the return on investment can be dramatic as response rates to these relevant mailers often jump to 15-20% from the 1-3% typical for untargeted mass mail ads. Run lengths can also be shortened, reducing printing and mailing costs.

Take the "Junk" Out of Junk Mail
In order of their level of irritation to consumers, telemarketing takes first place, followed by email. But a significant number of recipients also resent "junk" mail. (For an excellent statistical breakdown, see the results of a recent study by DM News at Study.) The forward-thinking companies at Xplor will be showing people how to convert junk mail to relevant mail of interest to the specific consumer to whom the piece is targeted and mailed. It's worth a look. And developing relevant mailing programs is also a good opportunity for printers and service bureaus. While it's true that some of the largest transactional mailers -- utility companies, financial institutions, etc. -- take their projects in-house, more than half rely on outside suppliers. And smaller companies with a need to personalize their company communications, are almost certain to turn to outside suppliers. Why not be one of those suppliers?
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