Of all the marketing tactics available to home service companies, is direct mail the right choice for your business?
I reached out to Jordan Crawford for answers. Jordan runs Scout, and has sent hundreds of thousands of direct mail pieces, so I knew he’d have some great advice.
Check out the video below.
I had three questions for Jordan, which were related to my 14 marketing tactics for home service pros: what’s the minimum investment for direct mail, how soon can you expect results, and how long it will take to see success. I’ve summarized the answers below.
Do the math
First I wanted to know what the minimum investment for a successful direct mail campaign. Specifically, how much money do you need to spend to get a positive return on your investment?
Where I was looking for a general number, Jordan’s response made it clear that it’s not as simple as a single dollar amount. Response rates for direct mail average between 0.3% and 3%. He referenced a study Scout and Housecall Pro did for a solar installer, in which a $2,500 campaign resulted in a 2X return on their investment.
Consider doing a blanket campaign
While answering my first question, Jordan revealed a fascinating fact: as a general rule, it’s more effective to do a blanket postcard campaign to your whole area rather than pay more per card to target specific houses in the area.
Wait a few weeks
For my second question, I wanted to know how long it would take to get results from a direct mail campaign. Generally we can expect results within a few weeks, but it’s not unusual for customers to wait several months before contacting you.
Don’t jump to conclusions
Finally, I asked about the average time frame for a successful campaign. Jordan’s advice? Wait a wait at least a month before deciding whether a campaign was successful or not. Remember, direct mail is not digital. From printing and delivery to customer procrastination, results may take a while. And be sure to use call tracking numbers and campaign-specific URLs so that you can accurately track your success rates.
So is direct mail a good marketing tactic for your business? At the end of the video Jordan mentions an ROI calculator for direct mail, which is a great place to start. As a part of a broader marketing strategy, direct mail can provide extra revenue and increase your brand recognition in households all over your service area.