Return Rates on Direct Mail Marketing?
Looking to get an idea of the return rate people are getting from their current Direct Mail Marketing campaigns. I realize there are a lot of other factors that depend on your success (i.e. closing rate, market, competition, systems you have in place, etc), but listening to an old podcast (#81) with Michael Quarles he said that he saw a roughly 8-10x gross return on marketing. Obviously the market and competition have changed a lot in the five years since that podcast was published. But he was saying if you spend as an example $500/month on marketing for let's say Wholeselling / wholetailing you would get $4000-5000 in gross monthly returns, over time.
My market (Savannah, GA) seems to be extremely competitive and active with all sorts of investors, which could be good or bad since you can piggyback off of previous mailings from other people marketing.
Let me know what you think, thanks in advance for any input!