Business Marketing Newswire

Vistaprint Small Business Survey

VISTAPRINT, December 10, 2009 – The Netherlands based company, Vistaprint, has published a recent survey of 300 small businesses on their marketing methods and outlook. The survey is available online at the Vistaprint Small Business Blog.

Focus on Small Businesses

The survey was conducted on small businesses where the respondents were self-reporters. Respondents had to be either a sole proprietor, independent contractor, owner or general manager of a business with less than 100 full or part-time employees. The purpose of the survey was to get some insight into the kinds of things that small businesses were focusing on from a marketing perspective and what they might be willing to try in 2010. The survey was also geared to find out where small businesses turned to for marketing knowledge, and the considerations small businesses held as to what some of the perceived barriers were in trying new marketing methods like social media.

Survey objectives

• Assess the overall importance of marketing to small businesses
• Understand what marketing tools small business owners are currently using, and which tools they plan to or would like to use in the future
• Gauge marketing spend in 2009 vs. 2008, and what tools small businesses are using more (or less) of because of the downturn
• Measure marketing budget and time spent

Survey Findings

Some of the key findings of the survey were:

• One of the most common marketing methods used was email marketing. It would continue to be a very important marketing tactic that small businesses would be likely to try moving forward.
• The biggest perceived barrier to trying new marketing efforts is time.
• Many small businesses will look to explore and capitalize on websites and Social media like Twitter and Facebook in the next 12 months.
• Currently only 38% of small businesses have a website but despite time and money being perceived barriers to starting websites for small businesses, the survey made it clear that their adoption rate will continue to increase. This was especially true for micro and single proprietor businesses.

Caveats

While the survey made it clear that email marketing was one of the most common marketing methods used by small businesses, no details were provided as to the kind of email marketing employed. Small businesses reading this survey should understand that there is a big difference between email marketing to cold mailing lists vs direct marketing to existing customers and qualified prospects.

Quality Mailing Lists are Essential to Marketing Success

A qualified prospect would be someone who has shown some initial interst in the products or services offered. Whether a prospect shows some interest by responding to a website contact form or print ad or trade show or customer referral or from a field sales call, if there is not some initial interest by the prospect, the likelihood of a decent response rate to an email campaign will be very low. For email campaigns to be successful, the offer has to be good, the presentation has to be good and the mailing list has to be good.

Direct Mail Marketing and Small Business

The recession has led small businesses to increase their use of the marketing technique they see as most important. Although the survey shows that 21% of small businesses have used email marketing more than other methods, still 9% see traditional marketing via direct mail (postcards and catalogs) as the most important and are planning increases in their direct mail marketing efforts. Over 20% of respondents are increasing their use of direct mail marketing campaigns. This is a significant finding and makes it clear that direct mail marketing is not only viable, it is essential to small business success.

Pitney Bowes

STAMFORD, CT – On November 30, 2009, the Pitney Bowes company announced a new online list management service for organizations that either use direct mail infrequently or who send mostly a small volume of direct mail.

Primarily targeted for small businesses, the new service is called AddressRightNow.The AddressRightNow platform is used to update mailing lists based on the US Postal Service change of address records and to eliminate incorrect mailing addresses. People using this new service will upload a mailing list to a Pitney Bowes Web site, and the mailing addresses and formats get corrected.

There already exists options for large mailers, but this new service addresses a need for small mailers and infrequent mailers.

The cost for the service is  and $60 for the first 1,000 addresses for move update and address verification and $6 for each additional 1,000 addresses. The cost for address verification only is $40 for the first 1,000 addresses. The company also offers the service as an ongoing subscription.

According to Jeff Platt, Director of Solutions Marketing for US Mailing at Pitney Bowes, the service new will help companies meet US Postal Service regulations for updating address lists. Mailing list updates must be applied 95 days before the mailing. As of January 4, 2010, mailings that do not conform to these new Postal rules will be subject to additional postage of 7 cents per assessed piece.

The service allows mailers to fix errors via the Internet and can also check if an address is deliverable plus it can convert rural addresses to city addresses.

When a mailing list is uploaded to the website it can be scanned for issues that lead to undeliverable mail. For example, the service can alert mailers when someone on their lists has moved, and then provide them with new mailing addresses. The new service also has auto-matching capability.

Mailing Lists Direct is a full service direct mail list company where you can find consumer lists, business lists and specialty lists at competitive prices. Mailing Lists Direct provides first rate customer support. No matter what your business needs in the way of an address list or managing your mailing list campaigns, Mailing Lists Direct will be able to satisfy all your needs. Call toll free at 800-741-0116.

GERMANY – On September 1st 2009 the new direct mail opt-in law goes into effect in Germany.  This new law has caused the entire European marketing and data industries to become concerned – similar laws could soon come to the UK. Although the new changes don’t prevent direct mail marketing literature from being sent to potential customers, it will nevertheless restrict businesses from sending it out to the same mass audiences as they have been used to.

The Debate Has Begun

This new law has no effect on direct marketing in the UK currently. Still, debates have begun on websites which discuss whether or not it is a foregone conclusion that all email and direct mail will soon be required to conform to a stricter opt-in policy than is currently enforced. We’d like to contribute to the debate by offering a few points on this issue.

According to UTalkMarketing.com, one person in the marketing and data field, Peter McCormick, co founder and general manager of ExactTarget, feels that the new law is of no concern to organizations whose communications philosophy has the customer at heart. He feels that by having stricter opt-in laws marketers would be guaranteed to only contact warm prospects who were interested in their products and therefore would be more likely to respond.

Cost is a Built-In Incentive For Mailing List Accuracy

While it is generally true that most people don’t want to be flooded with unwanted ‘junk mail’ there is the general idea that out of quantity comes quality. Let’s face it, businesses do have an incentive to use quality mailing lists when sending out direct mail. Each piece costs money and too many dups and too many duds can hammer your ROI. By using an accurate mailing list marketers already have a built-in incentive to make sure their marketing dollar is not wasted.

Direct Mail to Cold Prospects Reaches New Customers

Another point in favor of mass mailing is that without reaching brand new cold contacts, there is no expansion or reach into new territory. Direct mail to cold prospects is an effective way to reach brand new customers who would otherwise not be mailed to if businesses were to only send mailings to ‘warm’ prospects.

Businesses Are Already Required To Remove Names From Mailing Lists

Still, if some prospects absolutely object to receiving unsolicited direct mail, then it would most likely be a waste of money to send a mass mailing to them anyway because they would find it so objectionable that it is unlikely that they would respond to an offer. Most businesses who have any direct mail experience at all have received requests to be removed from future mailings and Postal regulations are already in effect that require this. So it works both ways – the customer is happy and the marketer is happy.

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Small Business Marketing Health Check

OTTAWA, CANADA – In a recent survey conducted by Campaigner.com it was shown that many small business owners are seeing the beginnings of a turnaround in the current economic climate and expect revenue growth. Even though the recession has been a challenge for businesses of all sizes, small business who rise to the challenge and increase their spending on effective marketing actually expect an increase in revenue.

The report is entitled, Small Business Marketing Health Check and is available as a free download in PDF format from the campaigner.com website: http://www.campaigner.com/lp/hurwitz.aspx.

A total of 46% of respondents to the survey said that they anticipate an increase in revenue growth while a total of 32% said that they expect a decline in revenue and 22% expect revenues to remain more or less flat.

The report shows that:

Of the 46% of small businesses who anticipate revenue growth:

• 32% of them expect an increase in revenue of more than 10%
• 14% of them expect an increase in revenue of less than 10%

Of the 32% of small businesses who anticipate revenue decline:

• 14% of them expect a decrease in revenue of less than 10%
• 18% of them expect a decrease in revenue of more than 10%

The report also shows a correlation of revenue growth with marketing spending:

• 65% of small businesses expect revenue growth if they either spend more or plan to spend more on marketing.
• 32% percent of small businesses expect no increase or decrease in revenue if there is no change in their marketing expenditures.
• 36% percent of small businesses expect a decrease in revenue if they spend less on marketing.

The report gets into more detail about how small business are positioning themselves in the marketing arena. They are positioning themselves stronger growth in 2010 through the use of web-based marketing tools. Small businesses are shifting more of their marketing efforts from traditional media to Web-based options.

Email marketing, when used in combination with social media (Twitter, LinkedIn and YouTube, blogs and discussion boards) are growing in popularity and effectiveness. These new marketing tools are generally less expensive to use than traditional marketing initiatives (print advertising, direct mail and mailing lists).

A small investment can help a small business to significantly boost their marketing reach and return. With both email marketing and social networking on the rise, companies should consider how they can integrate the more impromptu nature of social media with more structured nature of email marketing campaigns. the value of both methods can be significantly increased with intelligent and well planned integration.

Mailing Lists Direct is a full service direct mail list company where you can find consumer mailing lists, business lists and specialty lists at competitive prices. Mailing Lists Direct provides first rate customer support. No matter what your business needs in the way of an address list or managing your mailing list campaigns, Mailing Lists Direct will be able to satisfy all your needs. Call toll free at 800-741-0116.

MT. PLEASANT, MI – On Friday, Oct 23, 2009, former postal worker and direct mail technician Bobbie J. Sinko, appealed her 33 month sentence for Federal fraud and embezzlement charges. Sinko is the 53 year old bulk mail technician who worked at the Mount Pleasant Post Office from 2004 to 2007. During this time she and 49 year old Matthew E. English, conspired to defraud the U.S. Postal Service.

English is the owner of English Direct Mail Services who prepared bulk mail for the post office. Authorities have stated that Sinko manipulated postal records so that bulk mail shipped free from Central Michigan University.

Sinko was convicted and received 31 fraud-related and embezzlement counts on which a jury delivered guilty verdicts earlier this year in March.

U.S. Attorney Terrence Berg stated that the amount involved was in the hundreds of thousands of dollars.

On Tuesday, Oct 20, U.S. District Judge Thomas L. Ludington sentenced Sinko 33 months for each of 31 fraud-related and embezzlement counts on guilty verdicts delivered by a jury. Sinko was ordered by the judge to serve the sentences concurrently.

In addition to her prison sentence, Judge Ludington ordered Sinko to pay restitution in the amount of $354,498. She was also ordered to surrender her $6,000 retirement account toward the sum.

Court records show that English pleaded guilty to 33 counts of conspiring to defraud the Postal Service in October 2008. In February, English received a 24 month prison sentence from Ludington who also ordered him to pay restitution of $428,559.

Purchase an address list or direct mail list from Mailing Lists Direct, a full service direct mail provider.

REUTERS – In a report by Ben Gruber on May 22, 2009 he cites that direct mail – or “junk” mail – whether you love it or hate it, is here to stay and that it can help stimulate the troubled U.S. economy.

In his report, Gruber points out that nearly one third of all mail delivered anywhere in the world is U.S. direct mail. While that volume has decreased in 2008, the figure is still staggering. According to the U.S. Postal Service, nearly 100 billion pieces of advertising mail were delivered to U.S. households last year.

Direct Mail Supporters and Detractors

Direct mail has its supporters and its detractors. William Craven works for an environmental group called ForestEthics. He says direct mail is a “pointless waste of natural resources.” Craven says, “Direct mail’s impact on the environment is enormous, especial considering that it’s something that most Americans don’t want and have no user for.” Craven points out that for direct mail there are 100 million trees are logged every year for something people largely don’t want and don’t use. Aside from the logging issue,  he also points out that the carbon footprint for the production and distribution of direct mail equates to that of some 6 million cars on U.S. highways.

But a strong case can be made for direct mail. One of direct mail’s supporters is Matthew Broder from Pitney Bowes, whose company represents the interests of direct mailers. He says that direct mail is recyclable and emits the same amount of carbon as that consumed by Americans when brewing their morning coffee. Broder says that the benefits of direct mail far outweigh the costs. He points out that direct mail very much stimulates economic activity. He says that study after study shows that consumers respond to direct mail. He points out that Pitney Bowes did a study showing that almost half of Americans have started a relationship with a business because of a direct mail piece they received.

According to the Direct Mail Association, the industry generates some two trillion dollars of sales and charitable contributions annually. Gruber points out in his report that although opinions on direct mail vary, most people are not ambivalent. They either love it or hate it.

As one woman being interviewed in the Reuters video report says, “If it can bring attention to a particular product or service, we need to stimulate the economy. We need to have people go out and purchase and buy and so the best thing I think to do is to find really creative, good ways to recycle those papers and to be creative as far as using it best for the environment.”

According to Broder, one thing is for certain – direct mail is not going anywhere, anytime soon. Broder also points out that there are several ways for consumers to decrease and have a say in the type of direct mail they receive. One such online service is dmachoice.org  that has 4 million registered users. Ironically, the association is seriously considering using direct mail to increase their membership.

Mailing Lists Direct is a full service mailing list company where you can find consumer lists, business lists and specialty lists at competitive prices. Mailing Lists Direct provides first rate customer support. No matter what your business needs in the way of an address list or managing your mailing list campaigns, our mailing lists will be able to satisfy all your needs. Call toll free at 800-741-0116.

In the wake of the global economic slowdown, small businesses are faced with a big challenge: how to cost-effectively build their business with an extremely limited budget. Many of these businesses should consider a “DIY” (do it yourself) direct mail campaign.

Sometimes small businesses balk at the idea of spending money on a mailing list, especially when they are unfamiliar with direct mail marketing. Hopefully this article will shed some light on how easy and cost-effective it can actually be.

Get a 10% – 20% Response Rate on a 500 Piece Mailing For Under $400

Challenge: How can a small business owner on a limited budget use direct mail to cost-effectively market their business? Secondarily, how can a small business increase their odds of obtaining a meaningful return on their investment?

Background: Most small businesses lack the funds to do a large-scale direct mail campaign. Even a mailing of just 5,000 pieces can cost upwards of $2,500 for a simple postcard. Add another $1,000, or more, if you want to send something in an envelope via First Class Mail. Many companies offer small direct mail campaigns (called “short run” in printing vernacular) however the unit costs on these small campaigns can be as high as $2 per mailed item.

Solution: Create the mailing in-house and break the mailing up into smaller, manageable pieces.

Handwritten envelopes have been proven to increase response rates by upwards of 500%. Add a First Class stamp and a local return address and some businesses see a 1,000% increase versus machine-created bulk mail.

Many small businesses obtain a 10% – 20% response rate when using this method of direct mail marketing. That’s 50 to 100 new potential customers obtained from sending just 500 mail pieces.

Creating a Cost-Effective DIY Direct Mail Campaign is Easy

1. Work with a mailing list company that offers low minimums on smaller mailing lists. Look for a $50 minimum which can get you up to 1,500 names depending on the list. A New Movers list will allow you to target new people to your area who probably aren’t familiar with your business.
2. Create your marketing materials in-house or use a freelance designer to do a quick and easy design. Many freelancers will have direct mail templates to which they simply add your copy, contact information, etc.
3. Use your own color printer to print your marketing materials or find a printer who specializes in combining (“ganging”) multiple small print jobs into a single, larger job for cost efficiency.
4. Buy closed-faced envelopes and a roll of self-stick “Forever” stamps that are good for life even if postage increases before you use them all.
5. Buy an address “stamper” with your business name and return address to use on the envelopes.
6. Hand address the envelopes, stamp the envelope and insert your marketing materials.
7. Send out as many or as few per week as you like.

Do the Math

 
With less than $400 you’ll be on your way to generating sales leads for your small business!

Direct Mail Forecast

CHARLOTTESVILLE, VA – A comprehensive forecast of the use of digital printing in the direct mail market has been undertaken and published by INTERQUEST, a market research and consulting firm that serves the digital printing and publishing industry. The document is entitled Digital Printing in Direct Mail: Market Analysis & Forecast (2008-2013) – 260 pages.

The study contains 155 tables and charts and also provides an assessment of the impact of the financial crisis on the direct mail printing business. It was published in January 2009 and complements a previous study from June, 2008 entitled North American Transactional Printing: Market Analysis & Forecast.

This new study is based on in-depth surveys of 40 leading North American direct mail printers and large mailers. The collective volume of the survey participants interviewed for the report account for about 20% of the total digital direct mail impressions produced in North America.

INTERQUEST President, Gilles Biscos, pointed out that direct mail printing has generally been a bright spot in the printing industry for a some years, now. He has seen some dramatic advancements in recent years – the latest generation of equipment in particular – so he and his company felt that the time was right to take a serious look at how digital printing technology was being used in direct mail.

The study is aimed at industry professionals involved in sales and marketing, product management, engineering and product development, application and technical support, market research and strategic planning, sales and technical training, selection and purchase of printing solutions and printing and publishing operations.

Among the topics undertaken in the study are:

• The state of the direct mail market – both current and future
• The use of digital printing in direct mail – including technologies and applications for black-and-white and color
• Important business issues to consider – such as postage, the environment and legislative matters
• The use of laser and ink jet printing in direct mail
• The impact of promotional transactional applications on direct mail inserts
• The impact on direct mail by the current financial downturn

Business who use marketing lists for their direct mail campaigns will certainly be affected by the conclusions arrived by this new study. The study findings suggest that digital providers should be in a stronger position than non-digital providers and should stand a much better chance to weather the current economic downturn. Providers of direct mail lists who use the new digital printing technology will be on the bleeding edge.

UPS Logo

NEW YORK, NY – The direct mail industry is about to get more competitive – especially for business who use mailing lists for traditional direct mail advertising. United Parcel Service (UPS) is testing a new direct mail service called Direct to Door.

The pilot program is to be conducted in five markets – Chicago, Dallas/Fort Worth, Miami, Phoenix and Washington, D.C. UPS drivers will be delivering boxes containing about 12 premium offers and samples to targeted consumers. Some of the brands participating in the test are Zappos.com, FTD.com, Bed Bath & Beyond and Sephora. Over a dozen brands are said to be participating in the pilot program, according to a recent AdWeek article.

The AdWeek article also emphasizes that UPS feels that its drivers are its secret weapon. Being the world’s largest package delivery company puts its drivers on the doorsteps of more households than any other package delivery service. UPS director of new product development, Lisa Lynn, says that customers trust the drivers and see them all the time. She also states, “We can leverage the familiarity and trust people place in us to help our customers grow their businesses.”

Lynn also added, “There will always be packages that need to be delivered. It’s unique because it’s brought to you by the drivers. That personalized delivery is going to break through the clutter of those other channels.”

If the test is successful, then UPS plans to expand the program and support it with a full-scale marketing campaign. UPS is currently conducting an ad agency search where it is looking for traditional and digital advertising, media planning, media buying and customer relationship management efforts. Estimates on annual media spending by UPS on its brand is $200 million worldwide and more than $100 million in the U.S.

The UPS Direct to Door program will undoubtedly create more competition for companies who buy mailing lists for traditional direct mail and only the future will say exactly how competitive it will be.

HAVANA, Cuba – Today, officials sat down for the first time together to discuss restoring direct mail service between U.S. and Cuba. This is a small but positive move toward improved relations that comes after a bitter week of accusations over the extension of the U.S. trade embargo with Cuba.

The U.S. delegation is headed by Bisa Williams, who is the current deputy assistant secretary of state for Western Hemisphere affairs. The negotiations are being held at the Cuban capital of Havana. Representatives of the U.S. Postal Service were also present.

Since there is no U.S. embassy in Cuba, Washington maintains a U.S. Interests Section in Havana, a spokeswoman for which is Gloria Berbena. Berbena told The Associated Press that this is the first time State Department officials have traveled to Cuba for talks since late 2002.

The talks seem to be pretty hush hush. The Cuban government has no comment on the talks, not even to confirm they are happening … nor will either side disclose exactly where in Havana the talks are being held.

In August 1963, direct mail service between the U.S. and Cuba was suspended. Washington imposed its embargo a year later. Because of the ban on direct mail, a letter currently mailed between the two nations can only arrive by first going through a third country like Mexico or Canada … with a little bit of luck … maybe. Still, it can sometimes take months for letters to arrive.

The U.S. first attempted to restore direct service in 1999, then tried again in 2000, 2002 and 2008. Cuba finally accepted in May, of this year and agreed to host the talks when representatives from U.S. and Cuba met in New York in July when the bilateral talks on migration were held.

According to the Associated Press, Berbena stated that the talks would be limited only to direct mail service and that the talks were expected to take all day.  Berbena said that the Obama administration sees the talks “as a potential avenue to improve communication between our countries’ peoples.” The outlook does appear to be optimistic for families who are separated by this political divide and for users of mailing lists in general.