In the direct mail world, every response counts. So does using stamps versus indicia improve your response rate?

Indicia 101

An indicia takes the place of a stamp or postage meter imprint and is generally printed directly on the mail piece to save time and the expense of applying postage manually. Using an indicia requires a postal permit and is only used in batches (usually 200 or 500 at a time) rather than individual pieces of mail. Indicias must be formatted a certain way and follow certain rules to be used properly.

Stamp Success

Stamps, as you know, can be applied by hand or by machine to individual mail pieces. And though it adds a little time and a little more expense, the results and return can make it worthwhile.

To illustrate stamp success, a company tested a personal loan offer through direct mail by using a live stamp versus a generic indicia on a 6,000-piece mailing (3,000 stamps vs. 3,000 indicia).

Though response rates were close, the average loan balance was significantly higher for the live stamp group: $7,318 compared to $4,716 for the control group. The higher loan balance means a higher ROI (Return on Investment) for the company. A closer analysis revealed that those who responded to the live stamp were younger, clustered in the upper affluent segments, and tended to have higher deposit and loan balances and a significantly higher cross-sell ratio.

Signed, Sealed, Stamped

You can take stamping even further with a current USPS promotion that celebrates National Letter Writing Month in April with a new sheet of 20 From Me To You Forever^® stamps. A new Digital Color Postmark First Day Cover can also be purchased for these stamps (First Day Covers are envelopes that bear a stamp canceled on the first day it was issued). You can learn more and purchase the From Me To You stamps and first day cover here.