Bulk Mail vs. First Class

Future clients often ask me "do you use bulk mail?" My answer is..."sort of..." Here's the low down on bulk mail and how it can mean very different things to different industries and companies. The best way to describe is - yes we take advantage of bulk postage pricing, however we do what we can to control the delivery window. If you ask the post office they will tell you it takes 12-15 days for bulk mail to be delivered from the day you send it. If you ask me it takes 2-3 days on average from the day we deliver it. We go to great lengths to ensure this time frame and on average 90% of our mail hits within it. Check out some of the things we do and a few you can control to help your mail delivery here in my MailPlus post from this summer. So, to the real match up today-First Class vs. Bulk Mail. Which is it? It does depend on what and who you are mailing. As long as you are doing at least 3,000 pieces in a realistic area around your dealership I'm going to say Bulk Mail all the way. Why?

1. It's CHEAPER-much cheaper
2. It's trackable-after we drop First Class mail there is no finding it-it floats around in post office la la land until it reaches its destination.
3. I trust Bulk Mail through our MailPlus system to be more reliable than First Class.

Reputable Mail Companies-How to Find Them

Many of the dealers I work with have told me lately that they've received more sales calls regarding direct mail lately than ever before. Automotive Direct Marketing providers are directly linked to the Automotive Industry, so we, like you have seen the impact on our businesses.

As much as I would love it if everyone who read this blog contacted me for their mail needs, I also realize some of you are just trying to figure out who is legit in this game and who isn't. Here are just a few red flags and questions to ask to separate the quality from the...not.

How long have they been in business? and How long have they been in business under their current name?

There are a lot of businesses that have "closed" under AG scrutiny & lawsuits and have reopened under new names. The names have changed but the people haven't.

What's the level of professionalism with this company?

If they don't have a website, or any marketing material, or even a solid address--any or all of these could be a red flag. Professional companies have marketing collateral, samples, desks and a website. That's not to say that some professional companies aren't smaller and may have fewer resources than some of the big boys--but taking the time to do a little research in this area is time well spent.

How do they feel about providing you with postal verification?

Some companies try to get around sending postal documentation to their customers. These are your basic documents from the post office that says how much mail was sent and how much money was paid in postage. If they are strange about providing these up front-that's probably not good.

Where do they fall on the price line?

I know you don't want to hear this but cheaper isn't always better. If they are considerably less expensive than anyone else you've spoken to, ask more questions. With the economy like it is some companies are truly just trying to stay in business--for some that could mean selling their product at cost to keep people & machines working, for others that could mean telling you 30,000 pieces of mail are being sent out and sending out 10,000.

Have they challenged any of your ideas?

You know cars. I know mail, and so do some other mail professionals. Those of us that do this to help dealers are not afraid to tell you when we feel something is a bad idea or to suggest something different to help increase your results. We don't do this to be know it alls-we do it to assist you. It's your choice if you want to listen to us :) Beware the mail company that doesn't have any insights to share. They may only be in it for one sale and one pay day.

What does your gut tell you? Intuition is our best friend when it comes to things like this. If you don't trust the person on the other end of the phone (or on the other side of your desk), why would you hand them a check? If something doesn't feel quite right it probably isn't.

There are many, reputable, quality mail providers out there. Go with someone that has a proven track record, industry knowledge and plenty of references for you to contact.

This post is intended to educate. By no means am I implying a company that falls into one or more of these categories is practicing illegal or immoral business. This isn't directed at any particular company-please don't send me hate mail :) Thank you!

How much are ups costing you?

A colleague got an email today from a competitor. This competitor was touting 11x17 tri-fold self mailers for "cheap." The price really wasn't all that cheap but you do get something free with purchase! Boy does that sound familiar :) With the market as it is it's important that the money you are spending on marketing is actually bringing in results. Some dealers are religious about collecting data about what brought people into the dealership, others go by a gut feel. The gut can be a dangerous thing. Through our recent MarketVision data we can prove that the 11x17 tri-fold is, simply, the worst direct mail product on the market (an average sale yields a .046% response)...yet so many dealers call asking for it because it's cheap. But is it? How do you find out?

• First, you have to know the true traffic count of the sale. Many dealers use the registration cards that most companies send out to do this, make sure you note if they came in from the mailer on the card though. Not every up through the door is from the mailer. If you or the sales guys struggle doing this with every person that comes in you can also utilize MarketVision to get a precise count.
• Second, do some basic math. If you need help with this--do not call me. Even with a calculator I still manage to mess up the most simple math problem! Figure out how much each up cost you on the sale. (Total sale price divided by number of ups). Once you have that number you'll know how much the mailer actually cost you.

In some markets the 11x17 tri-folds can still be effective. These are typically very rural markets with little to no aggressive direct mail marketing. In these markets the tri-fold is still a great value! In markets that have seen this product since Pat Gunning was a child, it may be time to start looking at the more sophisticated products. You'll only know what's best for you when you do the math for your store. Happy calculating!