DIRECT MAIL PROSPECTING
Direct mail as a means of prospecting
offers the major advantage of allowing you to reach a large number of people
without being physically present. There are two basic kinds of direct mail
strategies -- one-time mailings and "campaigns." The one-time mailing is aimed
at generating an immediate response to an attractive offer. The "campaign" is a
process that seeks to make the prospect increasingly more aware of you as a
viable answer to his needs in a particular area. This involves a long-term
campaign to create confidence and interest in your abilities as a professional
salesperson. Many experts believe, as we do, that direct mailings should be
followed by personal phone calls, within one to two weeks after the mailing.
Although this is time-consuming, it can significantly increase your "hit" ratio
(actual appointments or outright sales).
MAILING LISTS
No matter how effective your direct mail letter, if you send it to the wrong
prospects you've wasted your time and money. Who you mail to is often more
important than what you mail to them.
Where will you get your mailing lists? In every major city there are firms that
do nothing but compile mailing lists. You can rent these lists for $25 or more
per thousand names. Renting lists from a list broker offers you many benefits:
1. Categorized. A list broker has already taken the time to classify his lists
by many different variables. Some of these include geographic location, yearly
income, age, interests, and so on. The larger the broker, the greater your
choices will be. You may be able to save time in qualifying your prospects by
asking for a specific type of list.
2. Business expense. Renting a mailing list is a business expense and therefore
tax deductible.
3. Zip-code ordered. When you're sending out a mailing to more than 200
addresses you can take advantage of bulk mailing rates. This requires separating
the mail into groups by zip code. A rented list is already categorized by zip
code, saving you hours of work. Bulk mail permits must be obtained from the post
office but are worth the nominal fee for certain types of mailings.
4. Computer-ready. The mailing list you get from a broker is available in a form
which makes it ready to feed into a computer. You can then employ a typing
service with word processors to print out the names and addresses automatically
and merge them with your letter. You can also get the mailing list printed out
on labels ready to be put on envelopes.
5. Clean and updated. Most list brokers will guarantee that the list is current
and has no "dirty" addresses on it. Dirty addresses are those which cause the
letter to come back marked "addressee unknown" or "return to sender."
DIRECTORIES
Depending upon the size of your mailing, you may want to compile your own
mailing list. This can easily be done by using directories from your library as
sources of prospects. In fact, whether you rent a list or not, you may want to
go through local directories and add companies which may not be on your rented
list. Make sure there are no restrictions by the directory preventing you from
doing this.
PERSONAL MAILING LIST
As a professional salesperson you should develop your own file of people to whom
you'll send mailings. This is by far your best list. This file can be
accumulated over time and, like any list, needs to be cleaned periodically.
Whenever you meet prospects, trade business cards with them. Don't immediately
throw that card into your mailing list, however, because it may not qualify. So
qualify all new prospects for your personal mailing list just as you would if
you planned to call on them in person.
When compiling your mailing list, it pays to be organized! Have separate lists
with categories such as:
1. Customers already doing business with the company.
2. Prospects by potential (high, medium and low).
3. Prospects by industry (if you sell to several).
4. Prospects by territory (geographical breakdowns).
5. Centers of influence.
6. Friends, relatives, etc.
You then need to determine when each of these groups should be contacted and how
often. For example, you may want to contact pre-existing customers on a
quarterly basis and low-potential prospects twice a year. Mark your calendar or
devise other systems for organization. A sample of my direct mail planning
matrix is included to show you how you can keep track of your overall mailing
program. It pays off in the long run.
Typically, direct mail yields a low percentage return. One to three percent is
often good when you figure in the cost of developing the letter, postage,
mailing lists, and so on. The sales on just one to three percent can be quite
sizable. We've attached a form to help you keep score.
After you've qualified your prospects and familiarized yourself with direct mail
and the various types of mailing lists you'll be much more savvy about how to
find and contact good potential customers. Then your real work just begins --
building and servicing a long-term clientele. Finding the right potential
customers at the outset is the first giant step toward that success.
ARTICLE TAGLINE FOR DR. TONY ALESSANDRA
Dr. Tony Alessandra has authored 13 books, recorded over 50 audio and
video programs, and delivered over 2,000 keynote speeches since 1976.
The ideas in this article, and many others, are adapted from Dr. Alessandra's
book, The Sales Professional's Idea-A-Day Guide (Dartnell).
If you would like more information about Dr. Alessandra's books, audio
tapesets and video programs, or about Dr. Alessandra as a keynote speaker
for your group, call (800) 222-4383 or visit his website at http://www.alessandra.com.
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