Let’s look at how practical and profitable it is to mail your customers a printed newsletter.
A feature of a printed newsletter is that the more you print the lower the unit cost.
Some businesses produce just a few hundred while others have them produced in their thousands.
Having a few hundred written – designed – printed and dispatched means that the unit cost will be significantly higher.
For instance we have a client who invests in the region of $2,000 once a quarter for just 250 newsletters.
This means the cost for each newsletter is $8 which means by the time the publication is packaged and posted the client has spent about $40 a year on each customer.
The client sells a high value product and considers the investment well worth spending that amount for the return on investment.
Other clients may have as many as 10,000 or more copies produced.
A business having 10,000 copies produced is investing after writing, design, printing and posting in the region of $13,000 a quarter.
The unit spend on each client in this instance is just $1.30 per quarter or $5.20 a year.
In his book 'Automatic Marketing', Benjamin Hart writes about the awesome power of a newsletter and gives a great 'dollars-and-cents' illustration of how important newsletters are to a business. He breaks it down as follows.
Supposing you were investing $10 a year per client.
If the profit on your average sale to a customer is $100, you would have to make only one sale every 10 years to that customer to break even on your newsletter. But what if the profit on your average sale is $300 or even $l,000?
You can see why sending a regular newsletter to your customers, prospects, and former customers can yield an excellent return on investment – better than most other forms of promotional activities.
Contact us
For any enquiries you can speak to us from anywhere within Australia for the price of a local call on 1300 557 660 or via email: info@mediasupportservices.com.au
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