Direct Mail Campaign, Indianapolis

6 Replies

Im gonna be sending out yellow letters soon. Any suggestions on the quantity i should start with, the number of areas i target, and the frequency i hit those marks?

For a wholesaling biz

Hello @Joshua Howaniec !

There are two things that you should ask yourself that will help you determine your mailing quantity:

1) Your budget

2) Your ability to handle the calls

It might help you to answer these questions if you had an idea on what to expect in respect to the response rates. Here is the average response rates we have seen based on our customer feedback as well as our own mailings throughout the years: 

Yellow Letters- average response rate of 8%-9%, all kinds of calls (angry calls, curious calls, tire-kickers, quality calls)

Postcards- average response rate of .5%, mostly quality calls.

Zip Letters- average response rate of 2%, mostly quality calls. (Great for follow ups)

Greeting Cards- average response rate of 2%, mostly quality calls. (Great for follow ups)

Direct mail tends to work best when you send a campaign of 5-7 different pieces, 3-5 weeks apart from each other. Follow ups are key as the average person takes 3-5 touches before picking up the phone to respond.

Hope this is helpful! Good luck!

@Joshua Howaniec I agree with Claire, however, the response rate of 8-9% on yellow letters is likely in lower competitive markets.  In my experience, yellow letters have received a ~3% response rate in highly competitive markets.  

If your market is competitive, I would look at creative ways to stand out from all the other mailers that your prospects are receiving.  

If your not sending out at least 1000 every month for at least 6 months don't even bother. And realistically you will get a 1-2% response rate.

I try and focus more on the cost of acquisition versus the response rate. Realistically, I could get a 50%+ response rate if my yellow letter had some type of unrealistic message like, "we're buying up your neighborhood and will play twice what your house is worth". But, I don't want to waste my time with calls like that. 

Yellow letters are good but you spend a lot of time on the phone with tire kickers. A well written professional letter will have a lower response rate but the calls you do get will be higher quality.