Tag: direct mail

USPS testing new standards for ‘slim jim’ catalogs

The U.S. Postal Service is preparing to test new standards around letter-size booklets, also known as “slim jim” catalogs. As more catalogers may switch to the lower-priced format in light of the current rate increase, the agency fears these slim jims may jam the agency’s delivery bar code sorters.

The USPS, as a result, is cautioning catalogers who may be considering switching to a slim-jim format to put those plans on hold until the standards are set. Testing will begin in about six months and could result in revised specifications for such mail pieces.

Slim jims measure 6.125 inches by 11.5 inches. The USPS considers them folded self-mailers and booklets. If they weigh 3 ounces or less and are tabbed, they are the largest size qualifying for letter-rate postage, which is significantly lower than recently increased Standard Mail flats postage.

Under the postal rates that go into effect today, mailers could save about 10 cents per book in postage by switching from a Standard Mail flat size that weighs less than 3 ounces.

Slim jims also could be mailed under the Heavy Letter subclass, which includes catalogs weighing more than 3 ounces and up to 3.5 ounces that are placed in envelopes. This subclass of mail qualifies for a hybrid rate that is still significantly below the rates for Standard Mail flats.

Some mailers question whether or not the change could affect response rates negatively.

The USPS has said there are not many slim jims in the systems now, and when they do appear in USPS facilities, postal employees will put them through the more robust AFSM-100 flats sorter as opposed to the delivery bar code sorters, which handle letter mail. However, to get the lower rates, they will have to be able to go through the delivery bar code sorter machine.

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Postcard marketer advises for businesses as postage rise takes effect

A two cent postage increase and other postal restrictions now in effect, coupled with pending do-not-mail bills in state legislatures, probably has some businesses wondering about their future ability to promote. PostcardMania is not one of them, however, as its owner and CEO Joy Gendusa staunchly refuses to be intimidated by negative forecasts and instead peers over the heads of worriers toward the real issue — getting her clients to continue running through the economic gauntlet with their direct mail postcard campaigns.

According to a United States Postal Service study, postcards were found to have the highest read rates of all direct mail media, compared to other media such as letters, flyers and magazines. Considering consumers are hit with over 3,000 advertising messages on a daily basis, having the highest-read-rate percentage speaks for itself.

The United States Postal Service has new regulations regarding the size and cost of packages — cost that is more technical, based not only on weight, but shape as well.

Moreover, 11 states currently have do-not-mail bills in their state legislatures, including New York, Michigan, New Jersey and Texas. If these bills are passed, a company wanting to send un-requested mail to consumers would need to buy an updated copy of the state’s do-not-mail list and check it against their own mailing lists — adding unwanted workload to businesses that will curtail productivity in response to government red tape.

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Catalogers Deliver to Chicago Area via the Tribune

With the recent hike in postal rates, delivering direct mail via newspapers has become a popular way of getting catalogs into the hands of consumers.

With that in mind, the Tribune Company launched Direct Delivery +, a low-cost alternative available via the Chicago Tribune that allows catalogs to be delivered with the newspapers, writes DM News.

For 9 cents per catalog, a marketer provides the Chicago Tribune with their mail files, which are then matched against a list of paid newspaper subscribers at the sub-zip code level, looking for areas where there is a high percentage of matches between the brand marketer’s list and Tribune subscribers. Mailing via the USPS can cost as much as 20 cents per catalog.
The Tribune also offers lifestyle segmentation analyses of areas that are not necessarily on the cataloger’s mailing list to see if those areas are worth targeting.

The program is available only in Chicago, where the Chicago Tribune has more than 660,000 home-delivery subscribers on Sundays. The Tribune Company expects to roll out the program in other markets in 2008.

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Austrian Post Acquires Direct Marketing Service Provider meiller direct GmbH of Germany

Österreichische Post AG (Austrian Post) announces the acquisition of meiller direct GmbH (to be termed “meiller” hereafter), a 100% subsidiary of the listed schlott Group. The Management Board and the Supervisory Board of Austrian Post have already approved the transaction, which is subject to approval by the responsible anti-trust authorities.

meiller is one of the largest direct marketing service providers in Europe. The services provided range from the production of documents and mailings, dialogue services (e.g. CRM, address management and response management), as well as the further processing and finishing of dialogue media (e.g. binding and polywrapping of catalogues). meiller operates production facilities in Schwandorf (Germany) and Nyrany (Czech Republic), and is also represented with sales offices in several Western and Central European markets. Last year, meiller produced a total of 685m documents, of which 175m were designed for international delivery. Starting with its initial business focus on the mail-order business, meiller has succeeded in attracting top customers from other branches in recent years (e.g. Daimler Chrysler, E-on/IS).

In the year 2006, meiller achieved revenues of EUR 112m, employing a total of 1,180 people (business year Oct 2005 – Sep 2006). The enterprise value of the company as at March 31st, 2007, was determined to be EUR 60.5m. It was agreed by the parties to the agreement that the purchase price (enterprise value less net financial liabilities) would not be disclosed.

”With meiller, we are consistently pursuing our acquisition strategy along the value added chain. In addition to the recently acquired company Scanpoint, specialist for the scanning and digitalisation of documents, meiller complements the service portfolio of Austrian Post in the field of printing and direct marketing”, says Anton Wais, Chairman of the Management Board of Austrian Post.

“Based on the acquisition of meiller, Austrian Post has emerged as a full service provider for our customers. National and international customers of Austrian Post now have access to comprehensive services, ranging from the production of their mail items (e.g. invoices, account statements, official letters of notification, policies, mailings) and delivery to the internal processing of documents (e.g. digitalisation and response management)”, says Walter Hitziger, Member of the Management Board with responsibility for the Mail Division and the Parcel & Logistics Division.

In particular, meiller will be able to provide considerable support to the subsidiaries recently acquired by Austrian Post in the core countries of Slovakia, Czech Republic, Hungary and Croatia, to assist them in more effectively penetrating these markets. At the same time, the transaction opens up significant new sales potential for meiller in the Central and Eastern European region.

Austrian Post customers with subsidiaries in neighbouring countries can now take advantage of cross-border services in the fields of direct marketing and document production by one single provider.

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British Heart Foundation calls pitch

The British Heart Foundation (BHF) is holding a pitch for its fundraising direct marketing account, currently held by Target Direct Marketing.

The charity is the UK’s tenth largest charity direct mailer, spending GBP 2.7m on the medium in 2006.

The Foundation is currently at the chemistry stage and the client is close to drawing up a shortlist of prospective agencies.

Charlotte Guiver, head of supporter acquisition at the BHF, said: “After a number of years of collaboration with Target Direct Marketing, and with major development underway, the time was right to re-assess our agency needs. We are looking to work with an agency who consistently demonstrates a fresh and innovative approach in engaging new and existing supporters.”

The project is being overseen by consultant Allan Freeman of Freestyle Marketing.

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