Direct mail response rate is very hard to estimate because there are many factors that contribute to the response rate, but generally we see a 1-2% response rate for direct mail campaigns.
Here are a few key factors that affect response rates:
1. The Offer: Mailings with the highest response rate usually have an incentive for recipients to respond. This can be a free gift for calling, a discount on services, a coupon, a guarantee, or any other promotional offer that suits your direct mail campaign and organization.r
2. The List: An in house list will most often drive the highest response rate because respondents already know of your company and have built a relationship with you. If using an in house list is not an option or you are looking to target a new audience purchasing a high quality list with demographics that correlate to your mailing will drive response rates. Set yourself up for success by targeting an audience that your mailing will appeal to and will be inclined to respond.
3. Creative: Designing a mail piece that will grab your recipient’s attention is crucial. Make sure your creative design is clear and attention grabbing. Your offer and branding should be highly visible, and make sure that your contact information is easy to read and accessible.
4. Time of the year: Sending your direct mail campaign to the right place at the right time will drastically improve your response rates. Selecting a time when your offer will be relevant to your consumer is the difference between your piece being stuck on the fridge for later or your audience picking up the phone to contact you.
Response rates will vary. It is best to do A/B testing so you can gauge the response rate more effectively, and make any necessary changes prior to implementing a large scale mailing campaign. You can use different offers, mail to specific list segments or use different messaging to test which factor will contribute most to your response rate. It is also common to see a higher response rate after sending multiple mailings to the same address.