Direct mailing campaign (Data/input needed)

8 Replies

Hey guys!

We are currently averaging about 1 single family deal per month and looking to ramp up some marketing to increase deal flow.

Currently I am handling mailings personally, handwriting envelopes, stuffing envelopes, etc

We are looking to automate our direct mail campaign. Looking to target single

Family homes. Currently we mainly do lighter rehabs/flips and wholetail.

First, I know there are a lot of threads regarding best direct mail campaigns, strategies, etc.

I have found a lot of the information is dated enough that I wanted to see something more current and a thread we could get some active discussion going.

We are going to throw $2,000/month at automated post card mailings. I’ve gotten quotes from 7-8 companies and think I have our

Pricing and company figured out.

What I am curious about :

How much time between a follow up letter to owners? We were looking at mailing each owner every 8 weeks.

What list criteria has been most effective for you? We are looking at age (greater than 60), equity > 65%, and absentee owner. Anything we need to look into more or add that has worked great for you?

What has your response rate been on your post card mailing campaign?

How often do you purchase new lists?

Have you found that certain days of the week are more ideal for mail delivery?

Any other tips, pointers, cautions, etc.

Thanks guys! This community has been super helpful to myself and my team and is much appreciated!

James Watson

I mail every 4 weeks to stay top of mind. I think most others do as well. I mail postcards and letters, alternating them each time on a 6 month campaign. Then I let the list rest for a couple of months, scrub it for solds and then start it back up on another 6 month campaign.

List criteria is different for every list type.

Typical response rate for direct mail is 1-3%, but in very competitive markets it can be less than 1%.

I no longer buy lists, and source the info directly from the courthouse. Lists need to be pulled with different frequency depending on which list it is and how often the county updates or adds to it.

I have heard some people say they think one day or another is better to have mail hit, but I don't think it matters much. It is more important to be consistent than anything else.

Margarette:

Hey Charles... charles... CHAAARLES you cenile old coop,  where are you.

Charles:

I am right here Margaret 2 feet from you you old prune. Whayoowawnt! Can't you see Imalookin at these smeksie hotties ovamathere?

Whayou want?

Margarette:

I just received this postcard in the mail. Some delicious piece of meat called @James Watson send us this odd looking mailer here. He says he wants to buy our house  in cash. Isn't that the darnest thing. Kids today buy houses in cash?

Charles:

Come on you old hag. No one buys houses in cash don't be silly. Look it up on that intermanet thing, Smeagle. Or was it Google?!

Margarette:

You know what? I will do that.

So smeksie 82 year old pruny Margarette flocks to Google and types in

Do people buy houses in Connecticut?

And lo and behold.. not sure how many do... but these guys here do!

Charles:

Ohh wow, James is actually quite a pretty lady. I wouldn't mind a rump with that'one hubba hubba.

Margarette:

Well well, this hunkie monkey Jerryll is not too shabby either. Lets call them!!

And We get yet an other lead one of our competitors was so gracious to send our way.

And now I can officially say.. 

"We Rank #0, #1, and #2!)

BOOyahhh.

Dude.. don't do DMM. It is a bad method. It sucks, expensive, and you are giving people like me your most motivated leads.

Only motivated sellers will go do a google search, and they WILL find us:

Don't do it!!

Don't you dare do it!

And if you are going to do it...

Thank you... Thank you very much! 


Originally posted by @Braden Smith :

I mail every 4 weeks to stay top of mind. I think most others do as well. I mail postcards and letters, alternating them each time on a 6 month campaign. Then I let the list rest for a couple of months, scrub it for solds and then start it back up on another 6 month campaign.

List criteria is different for every list type.

Typical response rate for direct mail is 1-3%, but in very competitive markets it can be less than 1%.

I no longer buy lists, and source the info directly from the courthouse. Lists need to be pulled with different frequency depending on which list it is and how often the county updates or adds to it.

I have heard some people say they think one day or another is better to have mail hit, but I don't think it matters much. It is more important to be consistent than anything else.

Hi James, 

I completely agree with Braden's approach to mailing. Two things that are always important with direct mail (like all marketing) are consistency and the quality of your leads. Braden is smart getting his leads from a separate location where not even will take the effort to get them. Anyone can log onto the computer to pull a list, but if you have a way of obtaining lists that not everyone has access to, that will put you above the competition. I completely agree with Braden's mailing habits and prospect list maintenance. His numbers and expectations are correct. 

Best!

 

 

Originally posted by @James Watson :

@Jerryll Noorden Oh how things have changed!  Look at this beauty I found from last year. 

DUDE, we knew eachother a LOOOG time ago.

This is so weird 

@James Watson I'll speak to the lists. Absentee with Equity have been the go-to list for years with investors. Lots of people use it and the absentee owners get LOTS of offers in the mail. In the more competitive markets I hear people talk about getting several a week.

Consider working with a list broker to learn about some of the newer lists. These might include Owners with Low Financial Stability Scores and Seniors with Long-time Ownership. One good thing with these lists is that you can combine both absentee and owner occupied.

Good luck with your ramp-up. 

@James Watson I agree with @Braden Smith  on mail practices. This is important to keep in mind when planning a campaign, you need to base your prospecting lead quantity on how many responses youd like to get. If you have an idea of how many calls it takes to get a deal, even better.  And agree with @May Emery on the list types, Absentee with equity is the go to. Its really important to diversify your lead types in a given area to see who is reacting to direct mail most.



Originally posted by @Jake Soper :

@James Watson I agree with @Braden Smith  on mail practices. This is important to keep in mind when planning a campaign, you need to base your prospecting lead quantity on how many responses youd like to get. If you have an idea of how many calls it takes to get a deal, even better.  And agree with @May Emery on the list types, Absentee with equity is the go to. Its really important to diversify your lead types in a given area to see who is reacting to direct mail most.



If any newbies are reading this and they are getting inspired by these answers, please know don't get trapped. All this you see here where people are saying "I agree", it is actually wrong.

If you want to know how and why it is wrong, read this:

https://www.biggerpockets.com/...

So this covers sending multiple mailers to a single person.

Now on to the next reason this is all wrong:

You all are spending money time and effort reaching "people" without having a damn clue if they are even motivated. Only after you spend 1000's of dollars sending mailers, skiptracing wrong addresses and resending mailers.. what are you getting? Well 97%+ of the people you paid to reach will tell you to go "love" yourself, and get them of your list.

Anyone? I chicken dare you to tell me I am wrong! No one? Didn't think so!

The data above is not for REI, it is general DMM... and for REI as we are commonly known as scammers and making lowball offers, the response rate is minuscule.


So you spend all that money reaching people that want nothing to do with you.

Isn't it WAY better for you to only spend time money and effort AFTER you KNOW they are motivated?

Yes right?

OK so now again.. why do you all think that that method you "agree with"?

So..

you all can agree all you want. That is perfectly fine.. 

But..

Not because you agree with something does it mean you are right, or that what you agree with is right!

Let the stubborn people do what they want to do. Just make sure you are not one of those! use your head! Be smart and dominate!

Ohh before I forget.. Proof?

Ok here are the results to my strategies.

And I use these exact same strategies for ALL my businesses.

So again, you can be deviant and stubborn. Or you can just say I may not like this monkey but he is right, and step up!

Up to you!

Seriously people, it is time you make money and become successful at this. It is not going to happen following people that are not successful either. The choice is yours!

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