Effective List Management Can Save You Big
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Article Title: Effective List Management Can Save You Big
Author: Joy Gendusa
Word Count: 510
Article URL: www.isnare.com/?id=4914&ca=Marketing
Format: 64cpl
Author's Email Address: karla_jo@postcardmania.com
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Let’s talk about how to keep your postage costs down.
So far you have been following my advice and mailing to the
same list more than once. At some point you find lists that
will produce returns continually, but you notice that you are
receiving more returns than when you started mailing to those
lists.
You may see things like "Undeliverable as Addressed" or
"Forwarding Order Expired." Every time you mail to an address
and that prospect has moved or cannot be found for any reason,
you have just paid for the postage with no possibility of
getting a response.
Obviously it is a pretty big waste of money to continue to mail
to this address, but what do you do about it? You could simply
go into the list of names that you have purchased and delete
the returns. No more bad addresses, no more wasted postage,
right? That is one option but there is a better way to handle
the situation.
The US Postal Service has an NCOA (National Change of Address)
System that a limited number of companies are licensed to
access. These companies are able to take the list that you have
purchased, or compiled yourself, and check it against the USPS
system. You will receive a report that will let you know if
anyone on your list has moved, gone out of business, or even if
the zip code that contact was in was changed by the Post Office
itself. Along with the report you will receive a new copy of
your list that has been cleaned and updated.
The cost for having your list checked is very economical (about
$5.00 per thousand records) and will allow you to keep getting
your message out to as many people in your list as possible.
At times you can see up to a 10% undeliverable rate, and it can
even be higher on older lists that you have been using for a
while. Average is more like 5% undeliverable so let’s take a
look at the numbers at that rate.
If you mail 10,000 and get 5% back for bad addresses: 10,000 x
.05 = 500 pieces.
You will have paid postage on 500 pieces that did not reach
their destination.
So if you mail to your list again without cleaning it you have
just wasted: 500 x $0.23 = $115.00.
If you were to NCOA that list at a rate of $5.00 per thousand
you would have spent: 10 x $5.00 = $50.00.
So you have three choices when faced with a list that needs
cleaning:
1. Spend hours deleting every return that you receive from your
list.
2. Waste $115.00 or more in postage every time you mail to that
list.
or
3. Have the list checked by an NCOA service and get back in
touch with customers that may have moved, for around one tenth
the cost.
The NCOA service is the easiest and most effective way to keep
your postage costs down.
About The Author: Joy Gendusa founded PostcardMania in 1998;
her only assets a computer and a phone. By 2004 the company did
$9 million in sales and employed over 60 persons. She attributes
her explosive growth to her ability to choose incredible staff
and her innate marketing savvy. Now she’s sharing her marketing
secrets with others. Visit www.postcardmania.com
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