Personalize your Marketing to Increase Conversions
Variable Data Printing (VDP) is a technology that allows personalization of your marketing efforts, and it has the potential to dramatically impact direct mail. VDP is an automated process that allows each direct mail piece to be designed and printed for a specific recipient. Text and graphics can be modified, allowing marketers to tailor a targeted message to each and every recipient of a direct mail (or email) campaign.
The simplest form of this is the “mail merge” function you see in your favorite word processing program. If you’ve used this function before, you know it involves writing a generic email and then using placeholder code for entries in a database or spreadsheet. These placeholders can be used for data such as the recipient's name, address, phone number, or organization. It allows you to produce hundreds or thousands of individualized documents from a master page.
Consumers have much higher response rates to personalized direct mail pieces than generic mail pieces. Using VDP and personalization, you can expect to see ROI benefits from individualized and personalized communications. Data from multiple organizations shows that personalization and VDP are beneficial strategies that haven’t reached their potential in the current direct marketing landscape:
- According to the Direct Marketing Association (DMA), the average response rate for direct mail marketing is over four percent (compared to less than one percent for email).
- The USPS® says that households earning greater than $150,000 or more per year respond to an average of 2.2 pieces of direct mail each week.
- According to the DMA, a personalized direct mail piece has a 6 percent response rate compared to 2 percent for a non-personalized piece.
- The Association of National Advertisers (ANA) says that nearly 80% of consumers are more likely to do business with a company that offers personalized experiences.
- According to Segment, only 22% of shoppers are satisfied with the level of personalization they currently receive.