Arden Direct Marketing News

Every brand manager is now in no doubt that making their brand as green as possible is a must.  As a result all suppliers, postal carriers and mailing houses must be able to offer “Green” Direct Mail options. 

To emphasise the point you may have been the recipient of our mail shot with a FREE bamboo and cardboard clicker pen.  Lucky you!

Its different, a bit of fun and we are asking for feedback from the pen chewers alike on if and when it fell to bits.  However the message is to help you think about sustainable mail; seek advice; look at the postal discounts on offer.

If you cannot bear to think you have missed out on your free pen, email and we will see if we have any left!  More importantly email us for advice and help to keep your mail GREEN.  

Sally Hollis

With my DMA Response Management Council Chair’s hat on, I am pleased to tell you that the Royal Mail are reviewing their Response Services.  This is smart on their part as none of the new entrants into the postalmarkets appear to have any appetite to offer such services.  I and other Response Management companies also record that their is still a healthy demand for postal reply services.  Surprisingly many people prefer to return a card, return an addressed freepost or business reply envelope to going to the web or making a call!  Think it is the anonymity of it and still a cheap and effective way to gain replies.

Good brownie points too to the Royal Mail in asking the very people who have to set it up, advise, manage and fuflill replies - i.e. Response Management Suppliers.  We all have loads of suggestions and horror stories on this service, which needs a serious overview. If you are a DMA Response Management Specialist - look out for your questionnaire.  We need input.

Sally Hollis

I think the Royal Mail strikes in Autumn 2009 proved that the intentions of a providing a real alternative to Royal Mail has not happened.  However as you will see from your home door mat the Down Stream Access suppliers have successfully seduced large mailers.   But is it all that it seems?

Following years of criticising the Royal Mail, as a Mailing House, I am now thinking of extolling their virtues! It’s taken a long time but I can see shoots of them becoming “customer centric”

DSA’s such as TNT, UK mail, DHL etc have taken on the old Royal Mail ethos and treat mailing houses shabbily. The promises are good, but in my experience:-

More work in processing, dispatching, forecasting etc.  Each DSA supplies different software, containers, vans and arrive at ridiculous times.  Any time benefits are eroded and environmentally it cannot be right that we currently have 4 vans each day, rather than one big red one at 5pm. Every mailing is a battle, with the client in the middle.

Our clients have also been disappointed to find that whilst there are reduced rates quoted per item, when the invoice finally arrives they are not always better off.  In my experience the Salesman rarely includes the Residue items, and standard tariff items, which always exist.

Think the message is BEWARE of Greeks baring Gifts.   Sally Hollis Jan 2010

We know from the news that talks are taking place again today, but the fear is that further strike action may escalate and seriously affect your businesses.

What can you do? Basically it depends what you are sending.

Letters/Large Letters/ small packets.
The recent strikes have had you asking for alternatives to using the Royal Mail. Reports in the press talk of business moving away, perhaps for ever, from Royal Mail. Whilst this makes good headlines – for direct mail on letter/large letters to consumers throughout the UK – there IS no option – unless you are happy to pay £3 to £4+

Down Stream Access – or DSA’s
These are the companies which have entered the market since deregulation and include UK Mail, TNT, Citipost etc.
BUT surprisingly not everyone realises that they do not have a universal network of staff delivering mail to the private letterbox! And it would seem – in spite of rumours – they have no appetite to do so. This is a very labour intensive side of the business and plainly cannot be done up and down the country at a universal rate of a stamp. Perhaps at £1.00 each they may think about it!

So what does a “DSA” do? Literally take a unit (cage full of pre sorted mail bags or a consolidated number of mail pieces) and pass them onto the Royal Mail for the final mile, missing several stages within the normal process. This is done at an agreed rate between the DSA and Royal Mail. The DSA charges on to you, the account holder- but don’t forget the VAT.

The benefit is that the agreement between the two parties includes a very strict KPI. This will guarantee the date your mail falls onto the door step (strikes excluded of course!). The other benefit is financial. Whilst DSA’s cannot at the moment compete with Royal Mail Mailsort 3 (5-7 days delivery) they can provide a 2-3 day service cheaper than the equivalent Mailsort 2 service from Royal Mail. Carriers differ, some giving you a very competitive price on light letters, some a good price if heavier when large volumes are involved. It’s quite a science to work out the best, but Arden Direct would be pleased to look at all the options for you.

Disadvantages are that the agreements with Royal Mail will demand good and accurate forecasting, days before the mail is due to be posted. Many of our clients have lost the days gained using DSA’s, due to delays in print production, being unable to accurately forecast in advance.

And of course – if Royal Mail strikes it will not make a jot of difference.

NON sorted mail. Yes DSA’s can offer an equivalent and sometimes better price on standard tariff. HOWEVER they will not want to call at your premises (or mailing house) unless it is worthwhile! It costs them to specifically send transport. So if you want a daily response fulfilment service – regardless of volumes - you may be asked to either PAY for the transport OR have to hold your mail until volumes increase to justify the collection. This may not work with your marketing strategy of providing a speedy response to your customer’s enquiry.

We are always pleased to look at and cost alternatives on the mailing packs and advise when it is viable to use DSA’s

Packets and items over 1.5 Kilos
The Royal Mail are of course in direct competition with couriers when we look at items weighing over 1.5 Kilos. For several years now Royal Mail have lost their competitive edge and this of course has been the Headline in the press that mail order clients are moving away from the Royal Mail. It is of course vital that delivery of your product – especially since the rise in purchasing across the Internet – is not jeopardised at this major purchasing time of the year. However the Royal Mail still do not have to charge VAT. Not an issue unless you cannot reclaim. Adding VAT to postage we believe has been in the Government’s sights for sometime anyway, and we expect it will be raised again in the next Parliament.

Door to Door.
It has long been accepted in the industry that the Royal Mail has been perhaps the only supplier who can offer a reliable, universal Door to Door Service. The strikes do threaten this business as private companies are gearing themselves up more and more to offer you real alternatives. Please let us know if this is a solution for you and we can easily arrange. Obviously mail cannot be personalised, and response rates are not as high.

E mail Broadcasting/ SMS (texting) and even re emergence of the Fax (B2B)
The strike will drive many more of you into these cheaper options, and many may not return to using Direct Mail. Again Arden Direct can advise/design/broadcast. Most importantly data needs to be carefully handled and updated, ensuring that “opt-ins” and “unsubscribes” are dutifully and legally managed.

What ever options may be right for you Arden Direct can provide a solution.
Sally Hollis. Arden Direct Marketing Ltd.

Businesses are overlooking new sales opportunities, in spite of the tough operating climate, according to a new research study undertaken by the Direct Marketing Association (DMA). The research shows that a quarter of companies failed to respond to a customer enquiry via their website and that even when prompted, 14 per cent still did not respond.

The study was carried out with the intention of testing response times and personalisation of the response. A simple email request for a catalogue or brochure was sent to 100 UK-based companies covering 10 different sectors (hobbies/sport; children/nursery; clothing; food & drink; gardening; gifts; health & fitness; travel; home; and female interest catalogues). Of those companies that responded, the average response time was 3.6 days and only 34 per cent sent a personalised response.

John Dyson from the DMA Response Management Council, comments: “Incredible as it may seem, companies are falling at the first hurdle and turning away potential sales. Consumers have come to expect rapid response times, even real time responses to enquiries, and so it is vital that companies are not just acting upon queries but acting quickly.

“It is a proven fact that a fast personalised reply results in an increase in response and conversion rates, greater customer loyalty and, as a result, a rise in sales. With budgets under more scrutiny than ever, marketers really need to extol these benefits to prove their worth. Judging from our research findings, it would seem that some companies need to go back to the drawing board and reassess their response handling.”

The sectors registering the fastest average response rates were children/nursery (2.3 days), gardening (2.4 days) and home (2.6 days). The food and drink sector was the slowest by far with an average response time of 7.6 days while the gifts sector recorded the largest number of non-respondents.

However, there are some improvements when the results are compared like for like with a similar survey conducted in 2005. Response times have improved, going from 3.9 days to 3.6 days and there has been a 14 per cent rise in companies using personalisation over the past four years.

Sally Hollis, chair of the DMA Response Management Council and Managing Director of Arden Direct Marketing Ltd, adds: “The research findings underline the impact of the response management process on a business’s bottom line. As a result, clients need to be confident that they are putting their business in the right hands. The DMA Response Management Commitment Scheme aims to facilitate their choice by providing response handling companies with a stamp of approval – showing that they operate to the highest standards and codes of practice.”

For further information on the DMA Response Management Commitment Scheme, visit: www.response.dma.org.uk

There are a few tricks and tools we can employ to get better prices by considering with you:

• Clean Mail. For smaller mailings from 1,000, even if it’s just your statements
• OCR/CBC. That’s barcodes or optical character reading for machinable mail. Use whenever you can, if suitable for your packs. We can work with you to get you accredited, so you have a choice for the future.
• Alternatives with Down Stream Access. Arden is pleased to be able to offer you options and advice for mailing with other carriers, where it proves advantageous for you. This can be potentially faster at the same price as Royal Mail 5-7 day service – tends to favour lighter weights when used with sorted mail services.
• Response Plus. If you use response services, ensure you change when you can to the Royal Mail “Response Plus” service. It will require new artwork, but will prevent prices on replies going up during the next 12 months! Speak to Arden for advice.
• Sustainable Mail. Consider this new Royal Mail product which, if your materials and print production allows your mail to qualify, will go some way to mitigate the latest price increases.

Keep a note that we can help with:

• Print and envelope procurement and management
• Database management
• Mailings – from 500 to 500,000 in polythene or paper envelopes
• Handling calls, emails, web files and post for response handling or mail order
• Telemarketing
• Sales promotion handling

To discuss ways to save on postage costs, call the sales team on 01455 852522, email us at sales.arden@ardendirect.co.uk or use our web contact page.

Arden Direct are mindful that being in the mailing industry we have a responsibility to ensure that we do not send mail which is only filling landfill sites, at the detriment of society. However Direct Marketing remains a very important channel to our clients in their marketing mix, ensuring that information on their products and services is received by their customers.

As a result we are firstly delighted to have achieved the ISO 14001 accreditation. We will be actively supporting the new PAS 20-20 accreditation which will make further tougher demands upon our processing and fully support Royal Mail and other carriers to promote the use of sustainable materials and encourage recycling. All of our clients understand the need for clean accurate data, carefully targeted towards their prospects and clients. No mail is sensible, nor a good return on investment, if it is received by the wrong audience. Our account managers are trained to discuss with you how to make your mailings more successful and less wasteful.

Sally Hollis

Whilst we were aware of the rules on size and format of Postage Paid Impression, Royal Mail - shock, horror - are saying if your PPI is the wrong size, as of Dec 1st 2008, they will RETURN your mail!

So ensure it’s right on print covers, envelopes and polythene.

To check if your design is right, go to www.royalmail.com and key into the search “PPI”.  Arden Direct are checking all clients stock and advising as a matter of course.

What is of  great concern to Arden Direct is that the Royal Mail is bringing up that small item in their Terms & Conditions which says  the “Account must match the postage paid impression”

Sounds fair - but what the Royal Mail fail to recognise is that ALL mailing houses have “stock” envelopes/film/polythene bags on the shelf - already printed - for the convenience of the client!

This provides fast response for urgent mailings – clients benefit from economy of purchase – and encourages mail and revenue for the ROYAL MAIL.

We shall be fighting this rather short sighted rule with the Royal Mail at our “partnership” meetings.  S A Hollis

In pursuit of a “green” polythene for use in Direct Mail I have now come across Biothene. It would seem to be a trade mark of another option on perhaps the same theme of material which degrades faster - subject to how waste is treated.

The Manufacters quote “Biothene starts to degrade upon exposure to UVlight/sunshine, and this process can be accelerated by heat. Once the material has been reduced to small particles these then degrade biologically into non-toxic residue within approximately 12 months” 

The debate continues……… Sally Hollis

I often get asked about “green Polythene”. Many Arden customers continue to see the benefits of using polythene to wrap and send mail order catalogues, holiday brochures and the like, due to its ability to show-off the glossy contents, reduce weight and protect – cost effectively.

However we now have added to all of our agendas reduction of polythene usage, as do all supermarkets in the UK. There is the threat of Government pressure or legislation to reduce or eliminate Polythene.

So what choices are there? Well no single answer exists at present.

Bio-degradable polythene. It is good for your brand to use biodegradable polythene provided you tell your customers. It will cost you more however and of course you can’t buy and store a lot of stock – avoiding fluctuating oil increases – as by its very nature it will deteriorate over time. Exactly how well (if at all ) it degrades is entirely dependent on the end user’s local refuse department! If it is exposed to the air it degrades very quickly. If buried – and certainly if deeper than 12 feet deep – it degrades very slowly.

Starch Based Film. A new product and certainly sounds the best for the environment. This degrades due to damp conditions, such as being buried in a landfill site or placed in a consumer’s composite heap. However to date – very costly, possibly produces more fumes into the atmosphere during manufacture than it saves, and to date Arden Direct’s trials have not been able to “seal” during production. Perhaps one for future development.

Normal Polythene. Recyclable of course together with other plastics. Our advice therefore is twofold:- i) consider using a new blend of polythene with an additive to provide more strength, allowing a lower gauge (micron) of film to be used, and consequently reducing the amount of fossil fuel being used to produce. (Arden Direct have replaced all in-house stock with this alternative – care has to be taken however when using with printed film as its stretches more and can distort the print). ii) Do tell your end user how to recycle the polythene with your mailing pack.

I will keep you posted, and certainly invite contributions to this debate.
Sally Hollis