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Direct Mail Marketing Postage Costs: Tips to Keep Them Low

Tips on how to reduce direct mail postage costs.

Every now and then a direct mail postcard, catalog or brochure grabs your attention, right? This is because direct mail marketing is a powerful and effective tool when done well. In fact, it’s been a canvas for many of the greatest ad copywriters—from Robert Collier to Eugene Schwartz—and for good reason.

Direct mail can be an inexpensive path to achieving incredible results. The majority of money you’ll spend on direct mail will be on postage costs. If you haven’t done much work with direct mail, that may surprise you since you'd likely assume graphic design or list selection would impose the greatest costs. But no matter the design costs or the class mailing you choose or whether you presort or use Every Door Direct Mail, postage will consistently make up the greatest portion of your direct mail marketing cost.

Cutting some of those postage costs will lower your direct mail cost per piece, which can be vital for small business direct mailers or others with more limited marketing budgets. Many of these direct mail postage cost-cutting measures will occur during the design and printing process.

Here are some of the best ways to reduce your overall direct mail postage costs along with your overall direct mail campaign costs.

Direct Mail Postcards and Postage Costs

Clean Up Your Direct Mail Lists

In direct mail marketing your mailing lists are your most valuable tools. They consist of your target audience, which will determine how you create effective direct mail materials. It’s important to keep those lists uncluttered and “clean.” The more mail you send to non-existing or incorrect contacts, the more money you waste. Make a point to periodically remove any duplicates, deceased individuals, or past customers that have moved away. List hygiene, or updating and cleaning your list of contact records, is one of the most valuable ways you can save money by ensuring every direct mail piece you send out will reach your intended recipients.

Nearly three-quarters of businesses that use direct mail say they trim their lists at least twice a year. And many direct mail list providers, compile new data every month to keep information up to date and relevant.

The US Postal service can help match your list to the NCOA (National Change of Address) list to clean up your data. If you don’t have much direct mail experience, this can be a challenging task. Some businesses outsource their list management in an effort to maintain the best quality lists possible. Whether you use a third-party or handle it yourself, it’s critical to remember this step of the direct mail process.

IdentityLogoStrokeWhen configuring your printed mailer with Conquest Graphics you can use your own mailing list or build a new one using our mail list compiler, and then you can choose to automatically run your list through the NCOA database to clean it up and/or dedupe your list by names or addresses.

Plan Ahead To Avoid Mistakes

When you advertise or post a blog article online, it’s easy to go back and fix mistakes. But, it’s not so easy with direct mail. If you make a mistake with your direct mail, you’ll have to pay to recreate it before sending. If you’ve already sent it out, you may opt to resend a corrected version to a new set of recipients. These types of mistakes can be costly and could ruin your cost per acquisition.

Planning ahead gives yourself more time to catch errors and prevents them from happening in the first place. Even though you can usually approve your printing with digital proofs, you may want to order a physical sample—a contract proof—or seed yourself into the mail list. Seed list direct mail is where you add yourself into the mailing list so you can experience and hold your direct mail piece and actually see what your audience sees.

Another key consideration to keep in mind is that your mailer aligns with your existing marketing strategies, including your online advertising. An uncharacteristic mail piece can be off-putting and push customers away by making them question their perception of your brand. Making sure that your messaging aligns with your marketing strategies and includes consistent branding beforehand will prevent any potential brand confusions among your recipients.

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Size Matters With Direct Mail

Postage costs are often based on the size and weight of each piece being mailed. Before deciding on a specific direct mail piece, you should check the rates on the different sizes. A postcard costs less to mail than a catalog. A smaller envelope will likely cost less than a larger envelope. A lot of this is common sense but there are a few sizes and weights that are trickier.

While size is important, you should still consider what you’re trying to say to your customers and what you want them to do. Do you want them to order from your mailings or visit your website to order. The fewer components there are to your direct mail, the cheaper it will be to send. Just make sure you’re not sacrificing a more expensive option that doesn’t deliver the same value as the cheapest direct mail options. For example, you could take advantage of the cheapest direct mail postcards by using the smallest size and thinnest paper stock available. However, your postcards will not be as durable and may not represent your brand and message in the most effective way.

When in doubt, take a sample piece to your local post office and ask about the mail rate. Or go online to USPS.com to calculate postage in advance.

Presort For Direct Mail Discounts

The USPS offers bulk mail discounts if you presort your direct mail. When you presort, you create less work for the post office, so they’re able to pass the savings to you. One way of using presorted mail is to print IMBs (Intelligent Mail Barcodes) which allow for automation discounts. To use IMBs, you simply attach the barcode to the outside of the package when addressing the mail.

You can also presort by separating your mail by ZIP code, delivering bundled items directly to postal distribution centers, or combining multiple mailings into single pallets. There are many different ways to save money by sorting your mail. It may be worthwhile to use a mailing service, like Conquest Graphics’ in house mailing center, where they know the best ways to optimize your mail and how to get the best discounts and can even provide mailing fulfillment, so you don’t have to worry about any of the heavy lifting.

Allow Direct Mail Recipients To Unsubscribe

Even though you want your direct mail to connect with customers, you don’t want to waste resources trying to reach people who are not interested. Sending repeat mail advertising pieces to residents who will throw them in the trash is a waste of your money. Although multi-drop campaigns generate greater success for new audiences, some companies send out two different mailings–for instance, a full catalog to frequent shoppers and a postcard to less-frequent shoppers.

When you allow recipients to unsubscribe, you’re basically letting them fine-tune, or clean your list for you. It’s not good for you or the recipient if they’re not interested in your mail yet they’re getting it anyway. The money you save on unsubscribes can even be used to target a new audience who is interested.

Always check your mailing list when mailing catalogs to save big time.

To collect the addresses and recipients who you should eliminate from your list, simply provide a short URL on the mailed piece that links to a webpage that provides an easy form for the recipient to submit their name and address so you can build a suppression list for your next mailing. Even if you don't have a website on which to post the form, you can always use a service like Google Forms to easily make a form and collect responses.

Stay Within USPS Regulations

There are a lot of mailing options available with the post office. Staying within their guidelines can be confusing. But, if you know how to navigate their regulations, the mailing process will be smoother and your costs will drop. Here are some general guidelines to help you stay on track and to get an idea of USPS rates for direct mail:

  • Letter size is inexpensive. You’ll find savings if you stay within the 3” x 5” to 6” x 10” range. Above that and they become “flats” which can increase how much direct mail costs per piece. For example, a 8.5”x11” direct mail flyers cost will be more expensive than a 6”x9” postcards.
  • Address tri-fold mailers correctly. To qualify for automation discounts, your tri-fold pieces must be addressed on its center panel.
  • Make room for the address. You need to leave some clear space on your mail for the address and barcode. You should be okay if you leave a 4” x 2” space open. You can have an image in this area as long as it’s light enough in color to meet the USPS direct mail postal regulations.
  • Fold it correctly. For folded pieces, the final fold should be below or to the right of the address. Other layouts may be acceptable but additional costs will be incurred if it's not a standardized specification on the USPS' list.
  • Keep the weight down:
    1. Mailers under an ounce only require 70 lb paper and one inch tabs or wafer seals.
    2. 1-3 ounce mailers require at least 80 lb paper and larger tabs.
    3. 3+ ounce mailers require an envelope
  • Be mindful of coatings and textured materials. The ink used for addresses doesn’t stick well to some coatings and may rub off during the mailing process. To avoid this, stay away from coatings or ask your printing rep what coatings are okay to use. Using high quality papers with heavy textures can impact the readability of the barcode. When the barcode can’t be scanned properly, you’ll face extra charges on top of your base postage rate.
  • Watch for inconsistencies. For automation discounts, your pieces must have consistent shapes and thickness. That means all mail within a single mailing needs to be the same size and weight. You must also stay away from bumps in your mailers. Bumps could be from pens, keys, coins or even paper clips and string.
  • Stay away from wrapping. Any wrapping or cover you add to your letter-sized mailings will earn an additional charge.
  • Don’t go too thin. Although it seems counterintuitive, the post office will charge you more if your mail is extremely thin. By keeping your paper thickness at 0.009 inches and above, you’ll avoid extra costs.

Remember that these are general guidelines, and they may change. To be sure you’re getting the lowest costs possible, call USPS or your mailing service representative.

Commingle Your Small Mailings

If you have a small mailing list that doesn’t meet the requirements of bulk mailing postage costs, you can utilize Direct Mail Commingling.

For this direct mail solution, you need to utilize 6” x 9” postcards and follow the commingled postcard guidelines. However, when you take advantage of commingling services, your small mailing will be grouped together with other companies’ mailing to obtain bulk mailing discounted postage rates.

Decrease Your Direct Mail Costs For Incredible Results

To have an effective direct mail campaign, your messaging needs to be engaging and compelling. Your direct mail design, including images and copy, should work with your message to create an emotional response from the recipient.

One of the best ways to do this is by personalizing each mail piece for its intended recipient so they feel like your company or brand is speaking directly to them. The more you incorporate personalized touches to each of your mailed pieces, the more likely the recipients are to respond to your campaign by taking whatever action you point to in your piece's call-to-action.

Including things like QR codes or short links to your social media sites (or even just the icons to indicate you’re on them if your brand's page is easy enough to find) can help you bring in even more leads and potential customers for the future.

You can make your efforts even more rewarding and your campaign more cost effective by decreasing the cost of printing and mailing your direct mail, too. Clean up your mailing lists and take measures to prevent mistakes in your mailing lists or variable data datasets, and you’ll avoid unwanted costs. You should also understand the regulations for direct mail automation and what choices will save you money.

Click below to take advantage of our free direct mail idea pack which includes a sample direct mail letter, pocket folder, postcards, options on how to send direct mail and more.

Have questions or need help finding the direct mail printing costs and direct mail advertising costs that fit your direct mail budget? Contact Conquest Graphics at 800-707-9903 today.

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