Intro: 00:02

Welcome back to the Response Drivers podcast, where we feature top marketing minds and dig in to their inspiring stories. Learn how these leaders think and find big ideas to push your results and sales to the next level. Now let’s get started.

Rick Rappe: 00:24

The Rapid Performance Method was developed to get programs up off the ground very quickly. So one of the challenges with direct mail is that a lot of pieces have to come together at the same time to make a successful direct mail program work. So we’re talking about targeting offers, creative, you know, copy design, messaging, all these things have to come together. And so we need to gather a lot of information about each one of these variables, kind of all at the same time to really quickly figure out and understand where that needle in a haystack is. Where.

Where these things kind of come together and make the peak performing direct mail piece. So the Rapid Performance Method was designed to do that. So it’s a testing methodology, a testing structure that we use to really take the first, the, the first program that we embark on with a new client and get as much learning as we can out of it so that we can hopefully find that, that winning combination. And then from there, the once we have the winning combination figured out, then it becomes much easier to become data driven and to start moving forward with something that’s proven and, and, and becomes predictable. Usually with a first test program, a normal timeline would be about a month for the development stage. 

 The creative, the writing, the strategy at the beginning, of course. And then there’s usually three weeks or so for production and personalization and mailing the actual producing of the mail packages and getting them out in the mail. So let’s say that’s together about two months time. And then, you know, you have to give it time for results to come in. So we’re talking about 30 days minimum to really read the results from a direct mail program. 

 And that’s another way that we’ve accelerated the learning process is we start to look at the results as they come in, and we’re able to sort of look at certain points in time, 30 days, for example, and get a real good read on what’s winning and and project the results towards the end of the response curve, which might be more like 60 days or even some in some cases, we let programs go for 60 to 90 days. So it takes a long time for direct mail results to come in. And that’s one of the things that is, you know, challenging and different than, say, digital marketing, for example, digital marketing can be quicker, but direct mail performance can be a lot higher. So it’s a bit of a trade off. Well, we have a tool that we call the RPM direct mail performance framework. 

 And here we really have broken down all the key drivers that affect direct mail performance. So the first and probably most important is targeting and data. You know, who you mail to is so critically important. And who you don’t mail to obviously is very important is in terms of getting the most efficiency from your marketing dollars. The second and very, very important factor would be offer strategy. 

 You got to give people a reason to respond. There’s. They need to have perceived value. We want to, through the offer, you know, try to reduce risk and, and provide exclusivity and urgency through making the right offers. So the offer testing is a very important aspect of the Rapid Performance Method, you know, process. 

 And then we kind of get into the second tier, which is our framework. And I think that includes things like format messaging and design. And the creative itself, which is, is, is important. But I think if you, if you’ve got the first two pieces targeting down and you’ve got a great offer, I always like to say that you could make that offer on with black ink on white paper, and it will probably work great. But if we can enhance the performance of that through great creative and great messaging and, you know, messaging also encompasses sort of emotional hooks and using emotion in the creative, which is something that we can do very, very effectively with direct mail. 

 So these are these. This is the next tier that we focus on as we’re building program strategy. When companies come to us with a existing direct mail program, we do. We follow the same framework, but we’re we break down what they’re doing and kind of do a review of what their current program looks like and develop ideas and concepts about, you know, what we would test against their top performing piece to try and beat it. We do a lot of extensive competitive research when we’re looking at existing programs. 

 So we’ll not only look at your program, but all your competitors programs as well, and try to really break down where we see things that are interesting. And, you know, in marketing, one of the great strategies is to steal smart, borrow from other people and see what’s working, what’s out there. And then and then we also just develop brand new concepts that are things that we’ve seen work in other industries and other places that, you know, where we think you could get traction. Years ago, I was doing creative work for LifeLock, and LifeLock had a whole bunch of existing packages and a great successful program, but they were asking me to create new creative. And I looked at a bunch of things and I came back to a triple A package that triple A, you know, roadside assistance. 

 And I remembered the chrome bumper sticker that people used to put on their bumpers that said they had triple a coverage. And I said, I thought, everybody needs a LifeLock sticker on their mailbox. So I created a version of a LifeLock package that was based on the triple A package that they used to send out that sticker, and it became a fantastic success for LifeLock. And there has been millions and millions of pieces of that package sent out with LifeLock sticker. Wow. 

 Based on that creative work. We talked about this first tier targeting and data offer strategy. I put those on the first tier, the second tier being format messaging, design. So the creative and what I’m actually sending out is really important. And then there’s kind of a third tier that I would frequency cadence is, is one of the components, how often you’re going to mail to people. 

 If you’re going to mail them a series, how are you going to mail them weekly, monthly? How much is too much is a good question to think about when you’re really hitting the market aggressively. The second aspect on that tier, I think that’s really important is to think about sales conversion. What kind of leads work the best for my sales force. We obviously we can do some things in direct mail that will drive a huge response rate, but the leads might be very hard to close or harder to close. 

 So it’s really important to think about the sales process and get alignment with the offer and what your sales force is comfortable with and capable of converting at a high rate. Because obviously the sales rate is a combination of the response rate and the conversion rate. And so both things have to be kind of optimized to really work the best. It is, it is a bit of an art and a science. And I think, you know, it’s also something that the sales team and the, and the sales conversion process isn’t, always static. 

 They can learn and evolve. And so initially they might not be able to handle a really hot lead. But if they get a chance to work with those leads over a period of time, they can figure it out and figure out how to convert. So we want to make sure that that’s something that we’re thinking about. Also the lead flow when, when we think about the sales organization, how many people are we driving calls into? 

 If it’s driving to the web, there might not be any concern with lead flow. So we want to make sure that if it’s, you know, 100,000 pieces of mail, that we break that up into small enough drops so that the lead flow comes in over a nice period of time where they can handle it. Because obviously we don’t want any calls to go unanswered or any leads to go through the cracks. A typical response curve from direct mail, it goes up and peaks, you know, after 10 to 15 days after the mail drops, and then it sort of comes down and has a long tail. So we want to make sure that when that peak happens in the response curve, that it doesn’t break the call center or break the sales organization. 

 Yeah. And the last piece I would mention real quick before we move on to the next piece, which is compliance and deliverability. We obviously have to think about legal compliance and deliverable deliverability, logistics and timing of getting the mail in the homes at the right time and things like that. So. We’re always working with our clients to capture the response information. 

 So we’re looking at things like 800 number volume, QR code, clicks, URL hits, you know, all of the different things that are part of the call to action are very trackable. And, you know, and then at the point of sale, there’s also an opportunity to capture things like capture a code or. Capture the information that you need based on that sale. So then it is difficult sometimes when clients are driving a lot of volume from a lot of different media to attribute it accurately to direct mail. So we do some things like match back to from with addresses from the sales data to the mail files. 

 And then sometimes we also would hold out a control group where that doesn’t get mailed so that you can see, well, here’s the sales and where those, where those sales come through without any direct mail influence. And then here’s the sales and where they come through with direct mail. And it’s really interesting because sometimes direct mail drives a lot of sales through the obvious direct mail channel, but it also can drive sales through the web where you. You don’t really see that they came from direct mail. It can also drive sales to retail. 

 It can drive sales to a bunch of different places. That’s where we want to make sure that we’re looking at a comparable group that probably didn’t get the direct mail that non mailed control group is really helpful because we can study what are people doing without the direct mail. And then we look at what are they doing with the direct mail. And you can see the lifts in different channels and see where the people are coming through. I mean, obviously we want to have our tracking and, and processes as buttoned up as possible so that we’re getting good tracking and good attribution. 

 Part of that is working with the, working with the call center or the sales organization to understand the importance of tracking and to build that into your training process so that they know, Okay. I start the call every time by asking for, hey, this is AT&T. Can you give me your offer code? And once you have that system built and really everyone understands why it’s so important, then it becomes a lot easier to get that direct tracking, which is really, really helpful. But we work with every client to kind of understand their organization and understand and help them build the right tracking and the right attribution model and the right processes to get good data, because direct mail is so powerful because it can be so data driven, but you really have to be able to trust that data. 

 Otherwise it, you know, that process breaks down. A lot of our clients come to us and they know that direct mail is working for their competitors, but they haven’t been able to make it work themselves. And in that situation, that’s a good that’s a great situation to be in because they know that they’re. They just haven’t found the right process yet. All the big successful direct mail programs out there, I believe, are built on this foundation of testing and optimization. 

 And so they have to be able to answer key questions about targeting, about offer, about messaging, you know, which, which, which is going to work the best this over this. It’s sort of a B testing, but we take a B testing to and continue to, you know, do it on a much broader scale. So I think the important thing for people to think about when they’re thinking about testing direct mail is they have to understand that there needs to be a research and development phase at the beginning to build a successful program. And so that’s where the first program is an investment. And you’re going through it with not necessarily the goal of like, I have to hit stellar results from this entire program, but you’re wanting to find the cells within the program that hit stellar results. 

 And then from there, those things become very obvious and accessible. And then you can scale those and go back with predictive, you know, predictions and predictive results. And you can just mail that part that wins and, and roll it out at a larger quantity. So you have to go through that research, research and development phase to get as much data as you can as quickly as you can. And then from there, you roll it out. 

 I mean, the alternative is, and we see a lot of companies do this iterative testing where I’m going to test a postcard with one offer and do one thing at a time, and they send that out and they’re like, yeah, that didn’t really work. Okay, well, what do we do next? Well, they do something else next. And, you know, it’s three months later, two months later, and it’s not a head to head test with what they did before. So it’s hard to read the results. 

 And iterative testing is really difficult and super slow. So and a lot of companies honestly have walked away from direct mail thinking that it doesn’t work. And it’s, it’s not that it doesn’t work. It’s just that they didn’t do it right. They didn’t come at it with the right approach. 

 So you have to think about it almost as a scientist and go, yeah, there’s a winning there’s a winning combination here. I just have to find it. And I have to be willing to lead my team through this research and development phase and explain to the board that there’s a research and development phase. And then once everybody gets that in their mind, then it makes a lot more sense. And it’s when you think about it, testing and doing a lot of testing all up front, it’s way lower risk than doing one thing at a time. 

 I mean, one thing at a time is like standing up at the bat and swinging for the fences. And you only have one pitch. I mean, that doesn’t make any sense, right? Oh, quite a bit. I mean, quite a bit. 

 I mean, there are certain things that after all these years of testing that we know works, work pretty consistently. And so we definitely try to lead our clients to those things right off, right off the bat. But we do still do a lot of testing with different copy platforms and different ways of positioning the offer. And, you know, we’re frequently surprised by the results. That’s why we don’t just make one single recommendation. 

 It’s the methodology that works. It’s not necessarily our expertise that works. But I think that, you know, we have to be consistent and apply the methodology. And then we know that with the right approach, we get a 99% success rate. That’s what that’s what really matters at the end of the day. 

 Well, you’d find me on LinkedIn for sure. And rpmdm.com is our website. And they can shoot me a message through the website or on LinkedIn. And I’m happy to give anyone a free consultation, a free review of what they’re doing and try to explain how we can help.

Outro: 18:10

That’s a wrap for this episode of Response Drivers. Thanks for tuning in. If you found today’s insights valuable, make sure to subscribe so you never miss an episode. And if you’re enjoying the show, we’d love it if you left a review. Got a question or a topic you’d like us to cover?

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