Thursday, February 25, 2010

What's a Good Response Rate for a Direct Mail Appeal?

We've been talking with Brian Weiner of the One to One Group about direct mail and successful fundraising appeals. What's a good response rate for a direct mail appeal? Here's what Brian says:

It’s easier to describe a “bad response rate” since the statistical norm is less than one-half of one percent. That would unquestionably be a bad rate of response. We are seeing well-targeted, socially centered, and personally messaged appeals deliver an average single mailing rate of response of 4% to 20%.

Those results today depend in great measure on how the donor or donor prospect views the charity’s position in “the social safety net.” In other words, food banks, which are at the center of the social safety net are typically going to do very well in this economic climate. Arts organizations, which are deemed less socially vital, be that right or wrong, seem to find the current climate more challenging.



Will direct mail ever die?

As a student of marketing, I believe in the product life cycle and so, to some degree I believe that direct mail will change as it matures. Variable direct mail and pURLS are but two examples. Last I looked, direct mail still accounts leads the way as the preferred donor vehicle by about a margin of 2-1. I don’t see that changing soon. Social media, cause marketing, email will play a part…but donor caution will cause direct mail to retain it’s dominance for some time to come.

Best of all, since most organizations are not using dialogue tools, pURLS, variable messaging, or responsive email…there is plenty of room for conventional growth. In the end, each of us wants to be recognized for the role we play in the support of a charity, and we want to be acknowledge for our value.

Any thoughts or questions about direct mail? Be sure to leave your comments and thoughts for Brian here.

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