40/40/20 Rule of Direct-Mail Marketing - Resources (2024)

Many print marketing pieces focus heavily on design to persuade their audience to take the next step in the purchasing process. Great layout and design alone, however, won't propel your direct-mail marketing efforts to success status. In fact, traditional marketing dogma dictates that design is one of the last elements to consider when planning a successful direct-mail marketing promotion. Developed by marketing guru Ed Mayer, the 40/40/20 rule of direct marketing is a tried-and-true formula for success that all businesses should follow. The dictum is that 40 percent of your direct marketing success is dependent on your audience, another 40 percent is dependent on your offer, and the last 20 percent is reserved for everything else, including how the material is presented. The following is a brief breakdown of the 40/40/20 rule of direct-mail marketing.

Audience (40)

Having a highly targeted audience is crucial to direct-mail marketing success. This means that your mailers should be going to people or businesses that are likely to purchase the products and services you are selling. Dollars would be well-spent marketing mortgage refinancing to middle-aged individuals, for instance, but wasted on marketing that same promotion to college students. The key to successfully targeting your audience is through a well-defined mailing list. If you don't have a mailing list or the time to build one, purchase a pre-qualified list from a merchant such as PsPrint, which have mailing lists that target a broad range of consumer demographics and businesses and can help you define your niche in the market place.

Offer (40)

A hot offer goes a long way toward determining your direct-mail marketing success. Even if much of your target audience knows that your business exists, they're not likely to purchase unless you entice them to do so with a great sale, rebate or bonus. Offering value-added incentives, especially on a limited-time basis, can result in high sales conversions. When planning your promotion, try to approach your bonus or sale from your customers' perspectives. If you really want to attract droves of new and repeat business, you'll have to give them something so good that they truly won't want to miss it — even if you have to take a cut yourself. Generating new business now can pay big dividends in the form of repeat business in the future.

Everything Else (20)

Once you have your target audience, and can offer them something they absolutely have to possess at a great price, you're ready to present your message. The last 20 percent covers everything from the price of postage to which day you'll be mailing your printed piece, but we're going to focus primarily on presentation. Great design that serves as an extension of the offer and connects with the audience can reinforce the persuasive power of any direct-mail marketing effort. You must also decide if your message is best delivered through a brochure, postcard, greeting card or other medium. Other considerations such as paper weight and gloss add a touch of professionalism and credibility to your company and should not be ignored. Ultimately, each element of the 40/40/20 rule of direct-mail marketing depends on the next. You can't forget about the offer and audience when 80 percent of your campaign success depends on them. Find your audience, give them what they want, and be creative; and you'll be on the right track for a profitable direct-mail marketing campaign.

40/40/20 Rule of Direct-Mail Marketing - Resources (2024)

FAQs

40/40/20 Rule of Direct-Mail Marketing - Resources? ›

It says that 40% of direct marketing success is about finding the right audience, 40% relies on the offer itself, and 20% is driven by timing, format, and overall design elements. With postage costs from the USPS rising again, it's the perfect time to re-evaluate your strategy and streamline it for more efficiency.

What is the 40 40 20 Rule in direct marketing? ›

The dictum is that 40 percent of your direct marketing success is dependent on your audience, another 40 percent is dependent on your offer, and the last 20 percent is reserved for everything else, including how the material is presented.

What is the 40-40-20 Rule? ›

The 40/40/20 rule comes in during the saving phase of his wealth creation formula. Cardone says that from your gross income, 40% should be set aside for taxes, 40% should be saved, and you should live off of the remaining 20%.

What is the direct mail marketing strategy? ›

Direct mail marketing is a strategy used by marketers to engage prospects and customers offline by sending printed mailers, dimensional packages, perishable items, corporate swag, or other physical items.

What is a good ROI for direct mail marketing? ›

Using the return on investment model alongside the direct mail response rate may provide you with an even deeper understanding of the value of your direct mail marketing campaign. In general, direct mail marketing statistics show that the average ROI for direct mail campaigns ranges between 18 percent to 20 percent.

What is the 7 11 4 rule in marketing? ›

Before they'll buy, a consumer needs 7 hours of engagement, across 11 touchpoints, in 4 separate locations. This is according to research done by Google on the buying behavior of digital consumers. Let's break this down a little, beginning with 7 hours of engagement.

What is the 10 4 1 rule in marketing? ›

Final Thought: The 1 in the 10:4:1 Rule

Metrics consistently show that people will usually only perform an action when they're told to. As a result, for every 14 pieces of content you come up with, 10 of them should be curated from leading blogs, 4 of them should be your original content, and 1 call-to-action.

What is the 40 40 20 rule in copywriting? ›

Over a century of conventional wisdom tells us the success of any direct-response advertising effort depends: 40% on the “List” 40% on the “Offer” 20% on the “Creative”

Is 40 40 20 a good split? ›

Some IIFYM sites and blogs advocate for a strict 40 percent protein, 40 percent carbohydrate, and 20 percent fat split, but Schoenfeld says “there is no optimal ratio. Some people do well on lower-carb plans, and some people do well on lower-fat. It all depends on the individual.”

What does 40 40 20 look like? ›

For example, let's say you're going to eat 2,500 calories in a 40/40/20 split. In that case, 40 percent of your total (1,000 calories) would come from protein; 40 percent (1,000 calories) would come from carbs; and 20 percent (500 calories) would be from fat.

How to run a successful direct mail campaign? ›

Top 7 Tips for Running a Successful Direct Mail Marketing...
  1. Plan in Advance. ...
  2. Define Your Target Audience. ...
  3. Craft a Compelling Message. ...
  4. Personalise Your Mailings. ...
  5. Design Eye-Catching Materials. ...
  6. Include a Clear Call-to-Action. ...
  7. Track, Measure, and Optimise.

How to improve direct mail marketing? ›

9 Effective Direct Mail Ideas You Can Start Using Today
  1. Include an Irresistible Offer. ...
  2. Personalize Your Direct Mailers. ...
  3. Combine Your Direct Mail with Digital Marketing. ...
  4. Choose the Right Materials. ...
  5. Include Bonus Items. ...
  6. Target the Right Audience. ...
  7. Reach Out to Your Current Customers. ...
  8. Send Multiple Mailings.
May 20, 2022

What are the four steps in a direct mail strategy? ›

We've boiled direct mail success down to four key components: the list, the offer, the creative, and tracking methods. Whether you're just starting out with direct mail or struggling to find success, concentrating on these four keys will put you on the right track.

How often should I do direct mail marketing? ›

According to top Google search results, you should send a piece of direct mail to the same audience three times, with 21 days in between each drop for the highest response rates. Contrary to this popular rule of thumb, there is no one-size-fits-all formula for a successful direct mail campaign.

How to increase direct mail response rates? ›

Personalization and Segmentation play a role in creating a good response rate for Direct Mail, with Segmentation being more powerful. Personalization usually involves adding a name or an image (like products more likely to be attractive to a particular buyer) that relates to the prospect in a more one-to-one manner.

How successful is direct mail marketing? ›

While direct mail and email marketing campaigns get similar response rates, a recent study found direct mail campaigns generate purchases five times larger than email campaigns. Combining email with direct mail led to the best results of all: purchases six times larger than email alone generated.

What is the 80 20 rule direct marketing? ›

The 80/20 rule, known more formally as the Pareto Principle, states that 80% of your effects are usually generated by 20% of your inputs. For example, in B2B sales it's often the case that 80% of the revenue comes from 20% of the customers.

What is the 50 30 20 rule in marketing? ›

It's important to connect with your followers using a healthy balance of content that engages, informs, and promotes your products. In general, you'll want to aim for 50% of your posts to engage, 30% to inform, and 20% to promote.

What is the 30 30 30 rule in marketing? ›

The 30/30/30 Rule for Social Media

This means you'll spend 30% of your content talking about yourself, 30% talking about others and 30% posting fun and engaging info. This also gives you room to post real-time messaging and responses with the other 10% of your content.

What is the 80 20 30 rule of marketing? ›

The 80/20/30 rule expands on the 80/20 rule. While it agrees that 80% of your revenue comes from the top 20% of your customers … the important point it makes is that … 80% of your cost will come from the bottom 30% of your customers.

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