I’m a strong proponent of testing direct mail premiums. Why? Because they typically increase the mailing’s response rate and its net profit!
Take, for instance, those personalized address labels you receive in mailings. Practically all of us have a use for them. And as soon as we run out, we go looking for more.
Yes, they add to the mailing’s cost. But typically, they also spike the number of people responding, raise the average gift and increase the mailing’s net income.
Premiums work because of (more…)