Why a Direct Mail Franchise Is Profitable in the Digital Age
Video may have killed the radio star, but the internet hasn’t managed to off the value of direct mail marketing. In fact, a savvy direct mail franchise understands how to utilize direct mail and digital advertising in a way that can drive strong revenue for both the business client and the franchise owner.
Is direct mail still relevant?
The direct mail industry is enjoying a surprisingly long shelf life, given that we’re living in the digital age. It’s a common misconception that direct mail is dead. The reality is, relevant direct mail advertising companies augment their strategies with digital tactics.
The $8.6 billion direct mail industry is predicted to grow 2.2% this year, according to market research firm IBISWorld. The coupons to local businesses, free samples and eye-catching ad packs that end up in consumer mailboxes don’t get thrown in the circular file if they’re done well and targeted to the right demographic.
And yes, even the digital savvy millennial generation responds positively to direct mail: more than 65% of them surveyed by the USPS said they liked getting coupons in the mail for restaurants and retail businesses.
So for businesses that want to emphasize key parts of their messaging, a digital-only approach seems short-sighted. And for businesses that want to help other businesses grow, embracing the responsiveness and targeting abilities of direct mail is a smart approach as part of an overall marketing strategy.
Do direct mail franchises make money?
The RSVP franchise is proof positive that a direct mail business can be financially rewarding: 86% of RSVP advertisers renew annually. That’s a high return-customer rate, and they’re coming back because our products and services are delivering results. RSVP is a trusted franchisor that knows what it’s doing: We’ve been in the direct mail marketing business for over 30 years and are ranked as the #1 franchise in the advertising category by Entrepreneur.
Advertisers love us because our direct mail products boast an 84% open rate. Our marketing pieces representing local, regional and national advertisers are four-color, high gloss and printed on premium paper, delivered to homes in unique clear packaging, designed to stand out in the mailbox and provide remarkable staying power.
Direct mail vs. digital ads
Today’s consumer is bombarded with ads. We’re talking 6,000-10,000 ads daily, according to PPC Protect. The vast majority of those are digital ads, so it’s no wonder the small amount of mail people get can actually be very effective for local business marketing.
Mail offers of the quality RSVP sends is pleasant to the touch and colorful to the eye, making it easy to hold onto and redeem for favorite products and services. Digital ads are effective, too, but in a different way: Sometimes the targeted advertising that follows us around prompts people to research and buy the product they’ve been looking for; sometimes it just feels creepy and intrusive.
A direct mail franchise can help local businesses choose the best tactics for their advertising dollars. RSVP’s clients are marketing to an affluent clientele, and we offer our franchisees the tools and analytics to ensure they reach the right audiences at the right time.
All of one and none of the other is usually not the way to go. A smart business strategy will include the right mix of direct mail and digital advertising. And an RSVP direct marketing franchise will be able to guide those smart businesses to more customers, more sales and faster growth. It’s a win-win for everyone.
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