Postal rates are continuing to rise, with the U.S. Postal Service announcing its most recent increases in January 2024. Considering this is the fourth rate increase in less than two years, many nonprofits are considering cutting direct mail altogether, or have already done so.
However, direct mail has an average response rate of 5.3%, making it still an effective channel for marketers. While digital marketing has introduced a variety of new possibilities for nonprofit marketers, direct mail is still extremely effective at reaching donors and encouraging them to help further your mission.
Since leveraging direct mail may take a bigger hit to your budget than it used to, it’s more important now than ever to upgrade your direct mail strategy. That way, you can maintain a high return on investment (ROI) despite increased costs. In this guide, we’ll provide five tips that allow you to transform your direct mail strategy for more effective campaigns.
1. Enrich your database.
Did you know that in the United States, nearly 28 million people move each year? Chances are, a portion of the people you’re trying to reach will have moved, making it difficult for your organization to get in touch with them.
Luckily, you can update the addresses in your database with the help of a data append. The right data provider will have accurate, updated records of where your supporters are located so you can be sure to reach them with direct mail.
Once you can successfully reach your supporters with direct mail, you may want to personalize your efforts based on certain characteristics. A data provider can also help you enrich your database with the following information to upgrade your direct mail strategy:
- Demographics
- Lifestyle information
- Presence of children in the home
- Income
- Past nonprofit involvement
Work with a provider that prioritizes data privacy while still obtaining the insights you need to propel your direct mail efforts forward. For example, your provider should notify you if any of your supporters are on “Do Not Mail” lists so you know not to target them with direct mail.
2. Segment your supporters.
Use the data you’ve collected to group supporters based on factors such as demographics, giving history, engagement level, or location to personalize your communications. Deep Sync explains that segmentation allows you to tailor your direct mail content to supporters’ interests, preferences, and behaviors and ultimately match them with the messaging and opportunities they’re most likely to respond to.
For instance, if your organization is based in the Tampa area, and you identify a segment of supporters who live nearby, you can send them information about upcoming in-person events you’re hosting. Additionally, you may find that some of your supporters are avid volunteers at other organizations and invite them to join your own volunteer program.
If you’re unsure of how to appropriately group your supporters, consider experimenting with artificial intelligence (AI). You may ask a generative AI tool for potential segments based on your current data or your nonprofit’s niche.
3. Include storytelling elements.
Storytelling grabs supporters’ attention and elicits an emotional connection to your cause, making your direct mail messaging come to life. Check out the following examples of direct mail fundraising appeals to better grasp the power of storytelling:
Example #1:
At Cats and Dogs Animal Shelter, we help thousands of pets find their forever homes. Please support our animal rescue efforts by donating today.
Example #2:
At Cats and Dogs Animal Shelter, we help thousands of pets find their forever homes, like Daisy. In November of last year, one of our volunteers, Sarah, found a six-week-old kitten under her front porch. The kitten was scared and malnourished.
Sarah immediately brought the kitten into the shelter where we evaluated her health and took her into our care. Once we brought her up to a healthy weight, we listed her as adoptable on our website. Within days, a local family with two children had taken home their sweet new kitten, Daisy.
Without generous donors like you, we would have never been able to give Daisy the care she needed to get her ready for her forever home. Please support our animal rescue efforts by donating today.
When comparing the two examples, the second uses storytelling to offer a detailed and persuasive explanation of the donor’s impact. You may choose to highlight your impact on the community with testimonials from beneficiaries, donors, board members, volunteers, or other supporters that encapsulate your mission.
4. Create a strong call to action.
When supporters open the mail you’ve sent them, it should be clear what action you’d like them to take. Even if you’re sending a general welcome letter that informs new supporters about your cause, you should still include a desired next action to encourage further engagement with your nonprofit.
You may include calls to action that prompt supporters to:
- Sign up for your newsletter
- Explore your website
- Register to volunteer
- Purchase an event ticket
- Follow your social media accounts
Accompany each call to action with clear steps for how to complete it. For example, if you’d like supporters to donate, include directions for how they can access your donation page and what information they’ll need to have on hand to fill out your donation form.
5. Integrate your campaign with other channels.
To combine the power of direct mail and digital marketing, integrate your direct mail campaigns with other channels. Double the Donation recommends using a variety of digital platforms to reach different segments of your audience and increase supporter touch points.
Get the best of both the direct mail and digital marketing worlds by:
- Driving traffic to your website. Your website is the central hub for all your organization’s most important information. Despite the main call to action of your direct mail campaign, encourage supporters to visit your website to dive deeper into your organization’s mission, history, and events.
- Adding social media handles. An easy way to integrate your direct mail with your digital marketing efforts is to include small icons at the bottom of your letter with your organization’s social media handles for each platform. That way, supporters can easily find your accounts and start engaging with your social media content.
- Including a text-to-give QR code. The convenience of donating from your phone cannot be overstated. Use direct mail as a stepping stone to easy conversions by adding a text-to-give QR code. Donors can simply scan the code on their phones and immediately contribute to your nonprofit.
By mixing direct mail and digital marketing, you offer different ways to engage with your organization, increasing the chances that supporters will respond to your efforts.
While direct mail fundraising is becoming more expensive due to postal rate increases, it can be very impactful and well worth your investment. If you put the appropriate time, resources, and data toward your direct mail strategy, you can effectively leverage this marketing technique to increase support and fuel your mission.
Gabrielle Perham, MBA
Director of Marketing & Sales Operations
Deep Sync
Gabrielle is the Director of Marketing & Sales Operations for Deep Sync. She joined the organization in 2017 and brings 20 years of experience in strategic marketing, branding, communications, sales enablement, and digital marketing. With a roll-up-your-sleeves-and-get-it-done attitude and a big-picture mindset, Gaby loves solving marketing and business challenges. She earned both a B.S. in Marketing and an M.B.A. in Marketing Management from the University of Tampa. Gaby enjoys spending time with her fiercely outspoken daughter; hiking and kayaking; rocking out in the first row of a live show; and giving back to her local community.