FREE ESSAY ON DIRECT-MAIL ADVERTISING

DIRECT-MAIL ADVERTISING

Direct-Mail Advertising
Advertising may be described as the science of arresting the human intelligence long
enough to get money from it. 
Stephen Leacock 
Philosopher extraordinaire 
Really good direct mail works like picking your prospect up by the ankles and shaking him
until all the money falls out of his pockets. 
Matthew Samp 
Direct Mail Copy & Graphic Design
As consumers, we are often bombarded by different types of advertisements each day.
Whether it's by television, newspaper, or billboards, advertising has reached us one way
or another. Yet, a majority of the ads that we encounter are often meaningless and
uninteresting mainly because of the fact that these ads are meant to reach a certain
target audience. 
This perception seems to change, however, when we look inside our mailboxes, pick-up our
telephone, and even check our e-mail. We often ponder how marketers know that we have a
pet snake, own a certain kind of computer, or even wear 70's clothing. That is because
every time we purchase products such as: electronics, computer software, and other
products, direct-mail advertising is in the air. Every time we send those warranties and
registration forms back to the manufacturer; as consumers we are often unaware that we
are sending information about ourselves that will be used as; statistical, personal, and
informative data for future marketing purposes. Thus, marketers and advertisers know what
kinds of products to target us with.
Although direct-mail, or as we call it "junk-mail", somehow finds its way to our homes
and businesses, it can be considered as a convenient way for us to shop without having to
leave the house, since as consumers, we are often pressed for time. 
In order to understand direct-mail advertising, we will be discussing this unique medium
in a broad spectrum of subjects and then give an example of a company that successfully
used direct mail advertising. Among the subjects we will be discussing are: what
direct-mail advertising is, the historical development of the medium, different methods
and types of mail, the future of direct-mail advertising, and the internet's use of the
medium for visual communication. 
Direct Mail
Direct-mail advertising is a form of medium used by direct marketers; it is the most
personal and selective of all media. This highly specialized mail can be purchased (among
the thousands available are lists of various level students, business professionals,
college professors, pregnant women, and even vintage car owners), but they can be
expensive. Printing and postage fees make the cost of direct mail per person reached
quite high compared with other forms of media. However, if direct mail goes only to the
people the advertiser wishes to contact, there is no wasted coverage. Reaching the
prospect does not, however, ensure that the message is received. Direct mail is pure
advertising. Therefore, a direct-mail ad must attract its own readers. This is critical
when you consider that the average American home receives more than 10 direct mail pieces
a week and that the recipient of such ads decide in few seconds whether to discard or
open it. 
Historical Development
During the 1950's and early 1960's, computers emerged to be common business tools.
Marketers were able to collect, store, and manipulate larger amounts of data to aid
marketing decision makers. Out of this capability developed the marketing information
system (MkIS)- an ongoing, organized procedure to generate, analyze, disseminate, store,
and retrieve information for use in making marketing decisions.
Another useful tool that developed for marketers is the decision support system (DSS).
This particular system is a computerized procedure that permits the marketing manager to
interact with data and use various methods of analysis to incorporate, examine, and
characterize information. This computer-based procedure adds acceleration and versatility
to the MkIS. 
These useful computer-based systems are then organized, stored, and updated in what is
known as a database. This is perhaps the nucleus for all direct-marketers, because it has
allowed them to narrow their specific target market by identifying the market's special
interests, buying behavior, and purchasing power.
With the developments of these three interrelated computer-strategically systems, direct
mail then emerged to be one of the many tools that direct-marketers conveniently use to
target their markets.
Growth of Direct Mail
Direct mail is successful because it matches today's lifestyles; families have less time,
so shopping by mail is more convenient. It is the most effective way to generate
immediate results, since it is addressed directly to the prospect. Today's leading
mail-order products include insurance and financial services, department store
merchandise, and many other services. 
Another reason for the global success of direct-mail advertising is the fact that this
type of medium can increase the effectiveness of ads in other media. For instance,
advertisers do not send un-solicited mail. They will tend to use other direct-response
media to reach their target market, and then use direct mail to respond to inquires.
Thus, making direct-mail advertising to be the most effective method for closing a sale
or generating attention of products, services, or ideas.
Direct-mail advertising is also the fastest-growing medium today. Since many large
companies have down-sized during the past, many people are working more and more hours.
Furthermore, people also have busy schedules and involved in many activities such as:
continuing education, personal fitness, and other professional or civic activities. Thus,
having less time to go out and shop for themselves. Direct-mail advertising then came
into the picture by providing consumers with convenience by having the product, service,
or idea come to them.
Throughout the history of advertising, newspapers and television have been the most
widely used medium, based on total advertising dollars spent. However, their share has
declined, as the amount of dollars spent for direct-mail advertising has increased. The
Direct Marketing Association estimates that national advertisers spent more than $27
billion on direct mail in 1994, that's nearly 20 percent of all the ad dollars spent in
the United States. Thus, making direct-mail advertising the third ranked advertising
medium used today, surpassed only by television and newspapers. 
The Development of Direct Mail in the Internet
The future of direct-mail advertising has developed side by side with the technology
development of the World Wide Web. Through the Internet, conventional ways of direct-mail
advertising is transformed in many ways through the advances of the developments of
computer technology.
Direct-mail advertising now uses the World Wide Web extensively to target their specified
markets. One meaningful contribution of the Internet to direct-mail advertising is the
process of selective binding. This innovative technique enables the advertiser to build
unique versions of each type of direct-mail ad to reach their intended target audience
more efficiently through the Internet.
Another innovative use of direct-mail advertising through the Internet is again, the
database. This form of technology is widely used by direct marketers, who maintain lists
of their specific consumers and web-surfers. Through the use of the database, marketers
can now maintain an informative list of their consumers. However, marketers are often
reluctant to maintain their databases in the Internet, because they claim that it is too
complicated and time consuming.
Types of Direct-Mail Lists
The nucleus of any direct-mail program is the mailing list. Marketers and advertisers use
3 unique lists that will assist them to promote their products, services, or ideas. 
1) House Lists: This is the marketers or company's relational database of current,
recent, and long-passed customers as well as future prospects for direct-mail programs.
This list is the primary source used by the company.
2) Mail-in Response Lists: This is the people who respond direct-mail pieces from other
companies, especially those with complementary products or services. These types of lists
are the house lists of other direct-mail advertisers, and they can be rented with a wide
variety of demographic breakdowns
3) Compiled Lists: This particular list can be described as "available lists". Also,
these readily available lists generate the lowest response rate. Therefore, marketers use
them along with house lists, combining them with mail-in responses, and then eliminating
the duplicate names. 
Types of Direct-Mail Advertising
Direct methods of advertising and selling grew astronomically in the last decade.
Direct-mail advertising comes in various formats from handwritten postcards to
dimensional mailings. The message can be one sentence or dozens of pages. And within each
of the following formats, the creative and marketing options are infinite.
1) Sales letters: These are the most common direct-mail format and are often mailed with
brochures, price lists, or reply cards and even envelopes.
2) Postcards: are used to announce sales, offer discounts, or generate customer traffic.
3) Business reply mail: enables the recipient to respond without paying postage. On
receiving a response, the advertiser pays postage plus a handling fee of a few cents.
Postage-free incentives usually increase response rates.
4) Folders and brochures: are usually printed in multiple colors on good paper stock that
reproduces photos or other illustrations well. 
5) Broadsides: are larger than folders and are sometimes used as window displays or wall
posters in stores. They also fold to fit in a mailbag. 
6) Self-mailers: are any form of direct mail that can travel without an envelope. Usually
folded and secured by a staple or seal, they have special blank spaces for the prospect's
name and address.
7) Statement stuffers: are direct-mail advertisements that are enclosed in monthly
customer statements from department stores, banks, or oil companies.
8) House organs: are publications developed by associations or business organizations
such as; stock holder reports, newsletters, and consumer magazines.
9) Catalogs: are reference books that list, describe, and often picture the products sold
by a manufacturer, wholesaler, jobber, or retailer. Some mail-order companies prosper
with specialized products like outdoor clothing and gear, electronic gadgets, or even
gourmet foods.
The Use of Visual Communication
The use of visual communication for direct-mail pieces are made to be unique for each of
the individual target markets. Therefore, the writers, artists, publishers, marketers,
and advertisers need to be intelligently selective about the visual communication that is
involved on the mail. For instance, to name two different audiences, it may require using
distinct art and design strategies. 
As a designer of a direct-mail piece, they must first attract the reader, get the piece
picked up, opened, and read. Also, in direct mail, the advertising must be present. To be
successful, each direct-mail piece must contain the following principals, which are
interrelated with one another:
1) Letterhead: a clever letterhead is what counts on direct-mail pieces, it cannot be too
small not too large, the font must also relate with the visual communication that is
presented on the direct-mail piece.
2) Intriguing Visuals: Perhaps this is the single most attractive feature of a
direct-mail piece. This may include: photos, cartoons, high adventure, fantasy, classic
to modern pictures, and even sexual messages sometimes.
3) Benefits: Since direct mail is pure advertising, the piece must present the reader of
the benefits of the product or service, this may include: safety, image, discounts or
incentives, sweepstakes, and convenience to name a few.
4) Company logo: The company's name, logo, or signature must be present in the
direct-mail piece. In order to have success, the company must be recognized by the
reader. 
5) How To: How to get the product, where to buy it, how much does it cost. Basically all
the necessary information that the reader needs. This can include: an 800 number, the
name of store or mall, a website address, or even a map of the participating retailer. 
Internet's Use of Visual Communication
The Internet's use of visual communication is a different story. Direct-mail experts do
not seem to have confidence on the visual communication involved in their Websites. Since
direct mail online is still in it's developing stages, many of us "web surfers" simply
ignore, block, or trash our junk e-mail that is sent to us. Also, to get into the
e-mailing list, a consumer must fill out an information form, which is often ignored. As
a matter of fact, many advertisers do not maintain their databases. Thus, possible
consumers are not sent vital information about their products, sales, or current trends.

However, we visited a few Websites that involves direct-mail companies. These companies
used different visual communication devices to attract their possible target audience.
Among these sites are: 
J. Crew, Victoria's Secret, and The Gap, which are all involved in direct-mail
advertising, as well as in the clothing and apparel market. 
1) J. Crew- This particular sight used the Christmas season for it's visual imagery.
Also, the use of models with different races, social classes, and social backgrounds,
reminded me of a lighter side of Bennetton advertising. Unfortunately, this particular
site did not have many enticing visual communicative imagery. It did contain snow and
pine trees in the background as well as on the clothing of the models. The website is
very easy to use, and the use of normal everyday models is very appealing, which targets
just about every possible consumer market. However, the site lacked important visual
communication.
2) Victoria's Secret- This site mainly uses beautiful models as the visual imagery. I
also noticed the possible use of subliminal advertising in Victoria's Secret's website,
catalogs, and direct-mail pieces. Victoria's Secret places the company logo on the
breasts of their models, thus enticing the viewers mind on the sexual part of the female
body ( or is it just the man in me?). Also, this was the only site out of the three, that
uses a two table format, which made the site easier to use. The visual communication
involved in the website appeared in just about every picture. It involved the models with
visual communicative imagery such as: a spiral staircase, fountains, angel wings, low and
distorted background lighting, and office and household furniture's. The spiral staircase
may represent a step up on your love-life, the fountain as purity and youth, while the
angel wings representing strength and comfort, and the lighting just added a more classic
and seductive view of the models.
3) The Gap- This Webpage used the seasonal clothing apparel as it's storefront. However,
it did not involve any visual communication in it's storefront. However, it is simple to
use and I was able to find the proper information that I requested such as: products,
store location, and customer service. There was a interesting feature in the Gap's
website, they involved the visitor with the popular television commercials by adding the
download feature of the chosen commercial, as well as numerous desktop pictures. The
visual communication used for the commercials were focused mainly on the musicians and
the clothing they wear. That is the main reason that the company used a plain white room,
with no eye catching visuals. Therefore, the audience's eyes will not wander around and
will recognize the spokesperson and the apparel they wear. A simple yet ingenious
advertising idea if you ask me.
Hal Pawluck's 4 R's
All three Websites use Pawluck's four R's quite well. All three Websites the were quick
to load and responsive to my needs. They were simple, yet effective. The Websites were
also relevant, it consisted with every information that a consumer needs, such as:
customer service, new products, and sweepstakes. The repeatability of the webpages were
well maintained. All three focused on the up coming Christmas Season, and also the future
products that the store will be acquiring for the next fashion season. It also had a
sweepstakes, extra incentives, and even a online discount card, which may have an
positive effect for customer return. All three sites were rewarding, although they all
varied from elegant to simple use of visual imagery, all three were good overall sites to
visit.
Future of Direct-Mail on the Internet
Direct-mail online or ?online-retailing?, in which consumers use their computers to shop
for products and make purchases, primarily through online services (such as America
Online and Prodigy) and the World Wide Web. Direct-mail online is in its infancy,
generating a meager total of $125 million in sales during 1995. Thus far, most vendors
have not come up with the proper marketing mix for direct-mail online. For instance,
assortments are very limited, discounts are rare, and the graphic ?showrooms? are often
are not particularly attractive or entertaining. Also, the expense of establishing an
appealing, functional Web site is considerable, ranging from $300,000 to $3 million or
more.
?However, as vendors gain online experience, it is expected that the effectiveness of the
Web sites should improve as the costs decline. Furthermore, it is estimated that as many
as 30 million potential buyers will be online within the next several years, most of them
computer proficient and many of them with substantial buying power. For these reasons,
the prospects for online retailing are bright, with predicted sales of around $5 billion
by the beginning of the new century? (Etzel, Stanton, and Walker 394).
Many of the sites that I have visited are now involved in many innovative ideas to
promote their products. Among them is the personal information file, where consumers can
fill out a form with an e-mail address, in order to receive a weekly information about
sales, products, incentives, contests, and seasonal fashions. As consumer behavior
changes, technology will adapt to it's needs. Sooner or later, I predict that databases
will be so advanced, that on-line marketers will be capable of identifying the needs and
behaviors of the consumer market. Perhaps consumers will not need to fill out the time
consuming personal information form, thus getting e-mails from the companies that we
visit or interested in. 
As a matter of fact, some of the largest commercial sites on the World Wide Web have
agreed to feed information about their customer's reading, shopping and entertainment
habits into a new and improved database system that is now tracking the moves of more
than 30 million Internet users, recording where they go, and what they read, often
without the user's knowledge. This agreement by participating Web sites is primarily used
for direct-advertising, it promises to deliver precise, direct, and personalized ads,
specifically for that target user. Eventhough this is said to be an invasion of privacy,
many of the powerful commercial sites are using, selling, and distributing these consumer
behaviors and informations to numerous retailers, advertisers, and marketers for
direct-advertising use. Many advertising and marketing experts believe that direct-mail
online is only in it's early developmental stages. As an evolving mass medium, online
direct-mail advertising is where radio was in 1920, where television was in 1950, and
where cable was during 1970. All of these, you may have observed, are now universal.