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Telecommunications Strategy in Direct Mailing

Direct mail is a marketing approach in which potential prospects included on a list of names and addresses are sent information about a company or product. It is a controversial means of generating prospects, but has been used effectively for years. Some marketers rate it very highly and some hate it. According to the SBS web site, "direct mail addresses four stages of consumer purchasing patterns including:

Developing and identifying a need for a particular product or service

Examining alternatives that are available to them

Reactions and impressions once the purchase has been made"

It is not appropriate for every situation or company, but when used properly for the right product or service, it can yield good results.

The cost of direct mail is high compared to other means of marketing. In addition to the cost of producing a letter, brochure or other material, the major cost of direct mail is postage. According to the United States Postal Service (USPS) web site, the cost can range from $.37 per item to $.12 per item. The discounted rate can be used if the sender is willing to perform some of the tasks the USPS performs, such as bar-coding and sorting. An annual fee is also required.


Once the telecommunications company has selected a list and decided how to conduct a split test, it must craft a message on the envelop. The message must be created to do one thing only - keep the consumer from tossing the piece in the trash and motivate them to open the envelop. It hasn't been beautiful graphics that have accomplished this for these companies, nor has it been the company name or logo. There is only one thing that has motivated consumers to open that envelop, and that is the perception that there is something of value inside that envelop for them. In the case of the telecommunications company, it has usually been the chance to save money.

The final step in this process is to decide what action the company wishes the consumer to take next. In the case of a telecommunications company, that is to call a toll-free number and sign up for a particular service or switch their long distance carrier. This of course, allows the company to measure results of each of the split tests by using a separate toll-free number, or in some cases using a special promotion code.

Given the expense, why would a telecommunications company use direct mail? There are several guidelines for creating a successful direct mailing campaign. One of these is using a mailing list that is appropriate for the product or service offered. Here there is a tradeoff between cost and effectiveness. On one extreme, a telecommunications company could use a scanned copy of the telephone book generated for very little cost, which would probably yield a very low success rat

Some common words found in the essay are:
Service USPS, According SBS, , direct mail, telecommunications company, product service, mailing list, telecommunications companies, goal re-mail people, cost direct mail, switch distance, web site, re-mail people, cost direct, split test,
Approximate Word count = 1057
Approximate Pages = 4 (250 words per page double spaced)


  

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