Direct mail - how many to start out with

4 Replies

Getting ready to start my first direct mail campaign.  My question is: How many yellow letters should I start out with?  500,700,1000?  I will have another person make the yellow letters.  All I will need to do is put them in the envelopes, stamp and mail them.    

Obviously the more the better, as far as a potential deal is concerned but I do not want to get overwhelmed with calls.  I work a full time job and would be returning phone calls during breaks or after work.  

What are your thoughts?

Thanks.

If you are taking the calls yourself it's always best to do no more than 500 per a week. You will get around 25-75 phone calls (depending on your list and area). That will be pretty manageable. I would look into using patlive to field the calls. 

BTW, Folding, stuffing, and putting the stamps on are the hardest part. At best you will be able to do 150 per an hour. 

That is a HUGE question and the wrong answer will cost you a ton.

Before you pick a number choose your market. Carefully. Run your market numbers based upon the following.. 

  • Cash sales
  • Units
  • pre foreclosures
  • REOs
  • median value
  • Days on market
  • number of equity units below median
  • number of units in bottom, middle and top thirds of median. 

Then set your budget. If you have a 1000 dollar budget 1000 will get you about 1400 names and monthly marketing pieces.

Then don't mail yellow letters each month. I would do the following by month.

M1 - 1400 Small Text Post Cards 2 color first class postage

M2 - 1400 yellow letters standard postage with cancel

M3 - 1400 Large Text Post Cards 1 color Standard postage

M4 - 1400 Professional Letters in a Hand Addressed Urgent Envelope. Standard postage.

Then reevaluate. 

And only consider five people for the answer to your question... These five will give you the best answers although their opinions may be a little conflicting they are EXPERTS in this stuff. 

@Jerry Puckett @Dev Horn @Sharon Vornholt @Rick Harmon 

@John Hixon  I wanted to know will you have a website connected to those cards? If not then It will be wise to set that up and have some form of opt-in to capture those leads. So is this something you will be interested staring?

Here are a few "Real Estate Marketing Posted" I wrote here on BP that will get you started.

http://www.biggerpockets.com/renewsblog/author/antoniocoleman/page/2/ 

Set up a consistent budget. Dont think of it in terms of bulk. Send less more often to keep things consistent. 

Would you rather send 1000 at once and get one flood of calls or have a consistent flow of leads if you send 250 each week?

Is there a reason you are sending yellow letters as opposed to something else?

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