Study Shows Personalization Trumps Other Factors In Improving Direct Mail Response Rates

In 2004 a study was commissioned by InfoTrends/CAP Ventures entitled The Impact of Color in Graphic Design. The basis for the study was to show how color, when used boldly and well in a design, can greatly increase the response rate of direct mail campaigns. While the study successfully showed that a color direct mail piece drew a greater response than a black and white piece, a closer look at the figures reveals something more interesting. Personalization of the direct mailer was the most important factor in driving up response rates.

Some of the results of the study are as follows:

Color Scheme	Personalized	Response Rate
Black & White	NO	1.0%
Black & White	YES	1.5%
Full Color	NO	1.5%
Full Color	Yes (Name Only)	2.0%
Full Color	Yes (Deep Personalization)	6.5%

As you can see, the direct mail campaigns with the deep personalization (in this case it took the form of a purchase history) had a significantly higher response rate than any other campaign. The adding of color to the mailer generally increased the response rate by only 0.5%. Adding savvy personalization increased the response rate by as much as 5%. When you consider that the average direct mail campaign only has a 2-4% response rate, these numbers become significant.

Since 2004 personalized marketing campaigns have developed to a point where variable data printing is not the only available option. VDP used in conjunction with PURL landing pages creates a powerful campaign with the potential to greatly increase responses and drive down the cost of each lead. Here at OneIMS we offer a number of different VDP and PURL solutions. For more information please go to www.oneims.com or email info@oneims.com.

Posted: November - 23 - 2008 | Author: OneIMS

4 Comments

Posted in: Digital Printing, Direct Mail Marketing, PURL Landing Pages, Personalized URLs, Variable Data Printing

Tags: PURL, PURL Landing Pages, PURLs, Variable Data Printing, VDP

4 Comments so far

On December 5, 2008 at 12:25 pm

[...] we have been writing about the benefits of personalization in a marketing campaign. Today we want to drill home the point further. One of the main reasons some people may be [...]

by VDPguru » Blog Archive » Fast Facts

On December 5, 2008 at 3:59 pm

[...] http://blog.oneims.com/2008/11/23/personalization-is-crucial/ [...]

by VDPguru » Blog Archive » More Numbers On The Effect Of VDP (Variable Data Printing) & PURL (Personalized URLs) on ROI (Return On Investment)

On December 5, 2008 at 4:06 pm

[...] we have been writing about the benefits of personalization in a marketing campaign. Today we want to drill home the point further. One of the main reasons some people may be [...]

On December 16, 2008 at 8:14 pm

[...] these figures with what we have learned about the effectiveness of deep personalization and good data management on campaigns, we see that if you want to boost the rate of return on [...]