The future of charity direct mail
Today’s direct mail has impressive cut through. According to JICMAIL’s Response Rate Tracker for all mail*, 76% was read, looked at or glanced at in Q1 this year. It’s also driving record levels of digital engagement, with 9.4% of mail items prompting a website visit during this same period. Much of this is down to the levels of targeting, personalisation and integration with digital now possible, and means that for fundraising teams it’s a channel well worth considering – for acquisition as well as part of the ongoing supporter journey.
A deeper look into why
Firstly, with a unified view of supporter data and engagement, fundraising teams can attain a level of insight that was simply unachievable two decades ago. This insight enables informed decisions about who to mail, when, and with what message. Data-led targeting not only creates a more meaningful supporter experience but keeps mail volumes to a minimum for efficient use of budget.
In addition, integration with digital through QR codes that link to donation pages, along with personalised URLs and custom landing pages, extends a mail piece into a truly connected journey, while generating valuable data to support future decisions. Campaign performance can also be tracked and measured in real time, enabling fundraisers to observe performance as a campaign unfolds and adjust accordingly.
Mail is greener than you might think too, thanks to recycled and FSC-certified paper, environmentally friendly printing practices, and rising recycling rates. Close targeting keeps mail volumes to a minimum, which of course also helps budgets.
And as digital inboxes become more saturated, coupled with less coming through our letterboxes these days, direct mail gets noticed – including by younger audiences. Thanks to the space it provides to explain the ask for support, and show what that support will achieve – through well-crafted copy and imagery – it’s engaging as well as relevant. Encouraging people, once they’ve pick it up, to interact with it for longer, and inspiring that next action.
All in all, it’s no surprise then that we’re seeing more charities adding direct mail into the fundraising mix. It’s a growth trajectory that’s set to continue as AI and predictive analytics support mail to become even more impactful.
The future for direct mail
These technologies will bring further improvements to segmentation and targeting, with predictive analytics enabling the more precise identification of who best to reach out to. We can also expect to see next-level personalisation thanks to AI, with text, images and calls to action built on individual supporter data (such as campaigns supported in the past, and where they’ve browsed on your website) rather than on segments.
As automation increases, communication through this channel will also become more responsive, with charities able to automate trigger-driven mail that responds in real-time to actions, such as a thank you for a completed donation.
Of course, getting those messages right will still depend on understanding what works for direct mail, and retaining the skills needed to write compelling copy for this longer-form channel.
This shift will be immensely valuable in creating more meaningful supporter experiences. In receiving communications that reflect their own history with your cause, supporters are more likely to feel valued, to trust that their support is understood and appreciated, and to see themselves as part of something bigger than a single donation. All of which, over time, can help to deepen relationships and turn one-off donors into long-term supporters and advocates.
At the same time, we can also expect greater efficiencies in campaign planning and execution, as AI speeds up strategic decision-making, makes testing faster and more efficient, and opens the door to more campaign automation.
Top tips for moving forward
However, realising this potential will take preparation – so if you haven’t already, now’s the time to get started. To help, here are some top tips for ensuring your charity – and fundraising team – is AI ready and equipped to get the most from direct mail in the future.
Get your data in order. Clean, unified data is a prerequisite for effective segmentation, personalisation and automation.
Implement a clear AI policy. Establishing how AI will and will not be used gives teams the clarity they need to act quickly and within appropriate boundaries.
Invest in learning and development. Capability in AI, digital, data handling and data protection needs to extend across the team, not remain confined to a small group of specialists.
Start testing — small and low-risk. Contained, low-risk tests will enable you to develop experience and learnings so you can then scale with confidence.
Direct mail today is already data-driven, digitally integrated, and very measurable. AI and predictive analytics brings the potential for fundraisers to use it with even more precision in the future, to achieve greater impact and build deeper relationships. The first step however is to ensure your charity is positioned to capture the value this channel offers – both now, and in the future.
To discuss how Arc Data can support you in this area, contact Suzanne Lewis for an initial chat here.
*Based on 5,000 campaigns and covering direct mail, door drops and business mail