This is the
first key question – within the companies you are writing to, who are you
trying to talk to? It may seem obvious
but it isn't – because some people who you might want to talk to are so busy
that they might not read your direct mail.
Sometimes it is better to get the person who is going to use your
product or service to take your ideas on board. That person then goes up the chain and
convinces the next in command to spend the money.
Thinking
about who you are writing to is a vital first step when mailing businesses,
because the “who” defines the issue of “how you write”. You will need to write differently to a
chairman from the way you write to a Personnel Director or a Marketing
Director.
Sometimes
some experimentation is a good idea.
Try a small mailshot to several different people and see what
happens. Assess which mailing brings in
the ultimate results.
Sometimes
you have to go through several levels to get any sort of sale – maybe inviting
people to a seminar first, or offering a meeting. Other times you might feel you can go
straight in and make the sale. Sometimes
you might mail two people at once – the person who will use the product or
service and the person who authorises its purchase. All these factors influence how you write.
What you
should absolutely resist at this early stage is any sort of dogma. Personally I shudder each time someone
announces to me that they “know their business” or that they “always go to the
top man”. Apart from the sexist nature
of that last comment, most people who express their ideas in this dogmatic
style are using dogma to cover their failure to experiment. The person who tells me that they know what
they are doing and they always go to the Marketing Director (or whatever) is
the person who quite often ends up getting zero response and then blames me for
supplying a duff mailing list.
My view is
that if you have not experimented with who you send your promotions to within
the last two years, you should do such an experiment now. Your assumptions might just be completely
wrong.
The
overwhelming majority of people who mail businesses seek to mail people by
name. “Junk mail sent to generic titles
doesn’t get through” is the common view.
Like all
common views this one needs to be challenged – not least because the dominance
of this view has warped the way in which marketing is working.
To explain
this we need to take a step back.
Imagine you
want to mail a particular senior person in companies with over 20 staff. There are (in rough figures) about 50,000
such companies in the
So assuming
you have got a potential market of 50,000, and you are insistent that you only
want to mail those companies where you have a name, you might now be down to
20,000 people.
The problem
is that it isn't only you that has made this decision just to mail the named
people. I can tell you, based on the
enquiries and orders that we get, that about 85% of the firms wanting to mail
senior managers and directors in
Let’s
assume that you reduce the chance of someone reading a mailshot by 50% by not
having a name. You have still done far
better – because the 15,000 you have actually got to don’t get very much direct
mail at all.
(Actually
there is no evidence at all that not putting a name on reduces readership by
50%. I’m actually not convinced there is
any reduction – but if there is one I can’t see how it is anything more than
10% at the very most.)
We might
pause for a moment to consider why so many marketing managers and directors
don’t appear on mailing lists. This has
to do with the way data is gathered.
Most names on mailing lists are researched either by sending the
companies questionnaires or by telephoning.
Quite simply there are many companies that have a policy of not replying
to such enquiries when it comes to names.
In these cases researchers might turn to company reports, but even here
there are many firms that don’t readily publish the names of senior staff.
The only
other approach widely used is subscriptions to magazines – when you subscribe
(or applies for a free copy) you are asked your job title – and then go on the
mailing list under that title. But once
again one gets only a limited number of people – the people who subscribe to
the magazine. The majority don’t
subscribe – and so don’t get your advertisement.
To go much
further in the research would increase the cost of the research considerably,
and so most people don’t do it.
If we now
return to the question of the more popular job titles – the chairman, managing
director and the like. These names are
more widely known, and so these people get more mail – both because they appear
on named mailing lists and because many people who sell believe that they have
to come to a top person in a company.
This final
belief is, in my opinion, just plain daft.
I’m chairman of a modest sized plc.
We’re not by any means huge, but nevertheless it is pointless sending me
mail (or come to that phoning me up) about telephone services, the cost of electricity,
car rentals, computer networks, warehouse space, new mailing lists and the
like. I don’t deal with these things,
and we pay other people in the company to make sure we get value for money in
each area.
To pull
this together, let’s now consider the senior people in companies which don’t
give out the names of senior staff other than maybe the MD. These people can be addressed by title. These people don’t get that much mail.
Overall I
think it is worth addressing these unnamed people from time to time. One way I have found of doing this with some
success is to write and offer them something free – a report or something like
that – so that you collect the person’s name.
Then you put them on your own database and mail them by name each month.
Selecting
companies by what they do is a prime way of making a business list
selection. There are around 4500
standard classifications of businesses covering the million or so companies in
the
We do often
get requests for “all the businesses in the CB postcode” and I am invariably
bemused by this. What could you
possibly sell that is of interest to an engineering company with 1000 staff and
a flower shop? Do you really want to
reach “all” companies?
Selection on
all business lists can be arranged by postcode and by county – and of course
you can select in this way as well as by the other factors mentioned here. However if you are doing an initial trial
mailing it is usually best to work by selecting businesses at random across the
UK, unless you really only want to sell into one geographic area.
Company
size is normally measured by turnover or by number of staff. Companies can be selected by profit as
revealed in Companies’ House reports but this does add a lot to the cost of the
list. Figures are gathered either from
Companies’ House reports or from what the company says in answer to
questionnaires and surveys.
Both
categorisations (turnover and number of staff) have problems – although
generally speaking they are the best measures of companies that we have. Turnover can be misleading in that some
companies add in turnovers which pass through the company but which have little
impact on trading. Companies are also
often far less ready to declare turnover in response to a telephone survey, and
so figures are taken from Company House reports, which can be very out of
date. Total number of staff figures
tend to be more accurate, and do, in my opinion, give a clearer indication of
what is actually going on in a company.
Generally speaking most firms don’t employ people unless they have
something to do.
There are,
as I have mentioned, around one million active businesses in the
Let me
stress this point: if someone quotes a higher number of businesses than one
million then the only explanations are that they are either including these
tiny part-time operations, or they are including registered companies that are
not trading. My company (for example)
retains the registration of a couple of limited companies that have not traded
at all – but which might do one day. We
rather like the names and don’t want to let them go, so each year we spend a
few pounds to retain the name. Yes they
are companies, and yes we occasionally get bits of direct mail for them – but
they don’t do anything, they have no staff, no budgets no nothing.
Most
commercially available mailing lists ought to be able to exclude the companies
you already have on your own database.
Let’s
imagine you want to buy a list of Consulting Engineers. There are around 3900 such people in the
It is quite
possible that you may not be quite sure which types of companies are your prime
customers. However it is quite possible
to find out who you sell to – in terms of company size, company type, company
location etc.
This process
is called profiling and involves you sending in a copy of part of your database
(500 addresses is usually enough) which we then run against the database of one
million companies in the
But if we don’t
find something as exciting as that, there is no charge.
You have
decided on the companies you want to mail.
You have selected them by size, by location, and by what they do. Then you think about who you want to mail in
each company – you consider the issue of names and/or generic titles. And now you have to write the advert.
At this
point most people (in my experience) do one of two things. They either
a)
Take
what they did last time, tart it up a bit, and use that advert
b)
Knock
out some text quickly, and send it to a designer, asking the firm to “do its
stuff”.
My view is
that this is a false step in both cases.
What you should do is spend a lot of time thinking about the text. Everything I have learned in direct mail over
the last 25 years, from the launch of my part-time mail order business, to the
creation of Hamilton House Mailings plc, leads me to believe that there are two
things that determine how well your advert works.
a)
The
product or service
b)
The
text
Of course
there are some products and services that you simply cannot sell no matter
what. And there are a few that just sell
and sell no matter how bad the advert.
But in
between most of us have the job of promoting products and services that will
sell a bit. Our job is to raise that
“bit”. Any old advert for product X
might get a 1% response rate. With the
right text that can go up to 2%, 3% or even more.
I’ve
endlessly told the story (sorry if you have heard it before) about how I wrote
a one page advert twice. Version A was
my first attempt. Version B had two
extra sentences at the end. We sent out
each advert to 200 target addresses selected at random. Version A got no replies. Version B got a 2% response rate. This sent us dancing in the streets, because
with this promotion we were breaking even at 0.5%. 2% was big time profit. Had we not tested, and just used Version A
the dancing in the streets would have been replaced by brick walls and banging
heads.
The text
does make a difference. A huge difference. Much more difference that the design. Good design helps a bit. Bad design drops your response a bit. But design by itself doesn’t make that much
difference – it just helps the page look nice.
What makes the sale is the text.
And yet
despite this fact people still go out and spend ££££ on design, while knocking
out the text themselves on a dull Wednesday afternoon when they are regularly
interrupted by phone calls.
Just
consider the costs. A mailing to 5000 potential
customers selected from a business mailing list (that is, a list you buy in –
we are not talking about your own list of existing customers here) could cost
you around £2000 excluding design.
Imagining you get 1% of these people to buy from you straight off – that
is 50 sales. Assuming you make £50
profit per sale your income is £2500 – you are just creeping into profit,
unless you have spent a fortune on design.
If you
asked a professional to write you the text for your letter or brochure it could
cost you anything from £200 to £500.
Supposing that letter or brochure text raised your response rate by
another 1% you have just got another £2500 profit, for a cost of between £200
to £500. Added to which you will
probably have got the rights to use that letter as much as you like – which
means next time you mail out another 5000 companies you are probably going to
get 2% sales again – but you don’t even have to pay the extra £200 to £500.
Of course
designers will tell you different. They
will talk about design, and minimise the importance of text. You have to decide which of us is right.
To help you
in your decision here are a few things you can do.
Read
the report on writing good copy. There
is a link at the bottom of this page
Send
me a copy of your current advertising. I
will then phone you back and tell you how I would change it in order to raise
response rates. The call takes about 15
minutes normally. Most people who go
through this process then find they are left with two options – their existing
promotion, and my suggestions for a new approach. They can then do a trial mailing – half the
list get the existing promotion, half the list get the new one. They then measure the results and see if I
was talking a load of whatnot, or whether my ideas made sense.
In this approach I always restrict myself to
changes which add little or no cost to the existing scenario. For example if you have 100,000 copies of a
catalogue in a warehouse I try to avoid saying “bin them and start again”. Normally in such circumstances I work on the
idea of changing (or adding) the covering letter. If you are doing a two colour 4 side piece,
I don’t suggest you go to 32 page full colour.
I try and stay in the budget you have set.
This review
process is free and without obligation.
Hamilton House offers it because:
a)
I
enjoy doing it, and I learn a lot from the discussions I have through this
process.
b)
Lots
of the companies that go through this process tend to end up thinking that I am
quite a nice chap (very gratifying) and they then go on and place their list
and mailing orders through Hamilton House.
c)
Some
of the people I talk to then ask the creative team at Hamilton House to write
for them. We are very happy to do it –
although you won’t be surprised to hear that at this stage we start charging.
If you want
to send a leaflet in for review you can fax it to me on 01536 399 012. If faxing please write “To Tony – for review”
on the top. Otherwise the piece will not
get to me, but will be treated as if it you are trying to sell us something.
Alternatively
you can mail it to me (with an appropriate covering note asking me to review
the piece) to Tony Attwood, Hamilton House Mailings plc, Earlstrees Ct.,
Earlstrees Rd., Corby, Northants NN17 4HH
You can
also email it to me – but please do note that if there are several files, or
the files are large I might end up having difficulty printing them or reading
them.