How Do I Start A Direct Mail Campaign...?

Question

Hey BP,

So as part of my initial ad campaign I know that I want to have a direct mail campaign for a month, limited to $1,000. I'm wondering how I get started with this? All I really know is that I need a list, likely from ListSource, but how do I design the fliers, who prints them, etc? I'd prefer to seal and stamp them my selves if it would be cheaper than someone with a mail certification, but I'm not sure about the design or print out aspect and how much each piece of mail should cost. Any advice?

Best Regards,

Jason  Eyerly

Sharon Vornholt · Answer

Jason -

You don't send flyers; you either send letters or postcards. I would recommend starting with postcards too for everything expect probates.  They are much cheaper than letters.

I have written about all of these topics here and on my blog. The subject is just too big to put in an email. You have to have list "criteria" such as out of state absentee owners that own houses with an ARV of $00-$00, and 50% equity or whatever you choose. You can't just get a generic list and expect to get results.

My best advice is to scan the articles here on direct mail. lists, marketing etc. Get ready to do a lot of reading. You will wast a lot of money if this isn't done right.

Sharon

Jimmy Hong · Answer

Best of luck and let us know what progress you are making.

Jason Eyerly · Answer

Thanks for the help everyone! I'll get to reading Sharon's blog and registering to those podcasts now to set this up!

Eric M. · Answer

The questions you asked have been answered multiple times throughout BP. I would highly suggest searching "list source criteria" and "direct mail response rates" to gain some helpful insight. My favorite on the subject is @Sharon Vornholt as she has multiple blog posts regarding DM.

I'm going to write the following assuming you mean $1000 total - not $1000 per month. If you meant $1000/mth, just quadruple my suggestions. A list of 2000 names from LS will run you around $200. If you are running on a flat $1000, I suggest breaking it into 4 mailings to the same 500 people using standard postcards. Mail in 6 week intervals so you'll hit the same 500 people 4 times in a 6 month spread. This is recommended versus hitting 2000 people once, which would use the full $1000.

If you send 200+ postcards at a time, you get "bulk rates" which cuts postage in half. My mailings are out-of-state so it costs $.26/each or $70/250 cards. My printer charges $35 for the printing so I pay $105/250 postcards and I mail a batch every week. I break them into multiple campaigns of 250 and have 6 running at a time. Hence why having a list of  more names than you can mail to is a forward thinking idea. Once you land deals, up your volume of mailings.

Brian Wilson · Answer

Hi Jason,

I think i can help you with this without getting flagged for promoting.  Your design may take a little bite out of your up front cost if your getting it done professionally but if its done properly your design cost become minimal as you establish your brand.  Depending on what your mailing you are probably looking at $150-$300 dollars on your first mailing. Cost wise at least for your first mailing to keep it under $1000 you might want to consider half page postcards.  If you use a digital printer that has variable technology and mailing permit you can take care of addressing without much additional cost keeping you closer to budget.  Your postage rate should be anywhere from .22 - .27 cents each depending where its mailed from.  The quantity will depend on your list but your budget will probably only allow 500 per month for 2 months but id say that's a good start.

All the Best,

Brian

Jason Eyerly · Answer

In addition, since I'm looking for properties that I can fix and flip or wholesale what should be in my list criteria other than geographic restrictions?

Thanks in advance!

How Do I Start A Direct Mail Campaign...?

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