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Dear “Send It” Colleague,
Gifts
from individuals acquired through the mail are the most cost effective,
dependable means of income for social-profit organizations. In order to keep costs low, it helps to know something
about postage, especially since rates are scheduled to increase
this month. Gain some ideas for managing your postal solicitation
expenses by using the ideas and information below.
It’s
All in the Envelope
Postal Rate Distinction Summary
Test Your Response Rate Results
Do
you have questions about mail solicitation? Contact us through LEADline@CampaignConsultation.com.
Access previous issues of On-the-Go eTA by clicking on the title
at the right.
It’s
All in the Envelope
We all love to get a letter, especially when we are far away from
family and friends. Direct mail is a fundraising technique that
can bring your program to your donor’s home or office. But,
in order to receive a return gift, your letter has to be opened
and read. The outer envelope is your first (and maybe your last)
chance to appeal to the donor. Every inch of it is important. If
the envelope is right, the prospective donor will open it.
Consider
these aspects of your mailing envelope:
The Address
This is where the eyes go first. Although the size of the mailing
and your resources may dictate which method you use, you should
know that the method you use to address the envelope says a lot
about your relationship to the donor. A hand-addressed envelope
is very personal, indicates the donor is valued and therefore, will
usually be opened. A label fixed to a card or letter inside an envelope
viewed through a glassine window says mass-mailed. This is more
impersonal, the donor is less valued and the chances of having your
enveloped opened are greatly diminished.
The
Return Address
The address from which a mailing is sent lets the donor know that
the letter they are holding is from your organization. Its type
face should be consistent with other type faces you use to brand
your organization. Often the return address will include the name
of the person who wrote the letter as the first line. This is especially
effective if the person is a leader in your community. And then
again, sometimes leaving off a return address, especially if sent
standard class bulk mail, can also get your mail opened if the teaser
is compelling enough to increase their curiosity.
The Postage
You
may choose to use a live stamp and send first class or print a permit
imprint to send bulk rate (See Postal Rate Distinction Summary).
Tests show that a first class stamp indicates a more personalized
approach and will usually get the mail opened because it is important
enough to spend the money to send first class. Other organizations
do better when they show they are being economical. This may depend
upon the size and timing of your mailing. Also you should incorporate
both methods – use live postage for your special and major
gift donors. Send the bulk rate imprinted permit to donors who give
less.
A
Teaser
A teaser is used to entice donors to open the letter. Sometimes
it includes a picture, or gives an impelling reason to give. It
may offer a benefit or pique curiosity.
The
Logo
Your
logo should be readily recognizable and lends credibility that you
organization is who you say you are. It should be a point of pride
for your initiative.

Postal
Rate Distinction Summary
Your
mail costs will be lower the more work you are willing and able
to do for the Post Office. By selecting from a variety of mailing
options, you may be able to save a significant amount of money and
still have your mailing reach your donors in a timely and efficient
manner.
Click
here to learn about the different classes of mail you can choose:

Test
Your Response Rate Results
Postage is a major expense of any mailing, so looking for ways to
save money in this area is prudent. But where can you save and still
maximize your dollar response from an appeal? Certainly you want
to get more people to open your envelope, read your letter, and
make a gift. You also want donors to give constantly larger gifts.
The major issue in testing is cost to dollars raised or the return.
Will spending more money mean you will get more money? You can test
many different factors of your direct mail package—your envelope,
your letter, your reply device, but for a test to be valid, you
must test only one characteristic at a time in a test mailing.
Otherwise, you will not know for sure if your success is due to
more expensive postage or a more personalized ask, for instance.
You
can create a test mailing by randomly dividing your mailing list
in half. Check to make certain you have equal representation of
large and small donors and non-donors in each half. Code your gifts
received so that you know which gift is from group A and which from
group B. A simple way to do this is to run a colored highlighter
along the bottom of a stack of reply envelopes for one of the mailing
groups.
Here
are some variables you may want to test:
First
class postage vs. standard bulk mail rate
Nonprofit stamp vs. indicia
Reply envelope stamp vs. Business Return Envelope
Business Return Envelope vs. No return postage
Hand dressed envelope vs. laser printed envelope
Teaser on envelope vs. no teaser
At
the end of your appeal season, tally the results. It may be worth
spending more money to bring in more money. If there is no significant
difference, you can probably save money using the less expensive
alternative.

Let
us know
Do
you have insights to share about making annual fund donor and prospect
lists?
Contact
us at LEADline@CampaignConsultation.com
(LEADline
is sponsored by the Corporation for National and Community Service
through its Resource & Fund Development Initiative.) We would
be happy to answer questions or to give you more support.
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