Mail Order Defines
A mail-order business is one that advertises goods or services in direct marketing media (such as direct mail, magazines) then receives and fulfills orders for such merchandise through the mail.
How does mail order work?Several recent socioeconomic factors have contributed to the growth of "at-home shopping." These include changing lifestyles, most notably an increase in the number of women working outside the home. Increased consumer acceptance of the telephone as a way to place orders has also helped mail-order businesses. Coupled with telephone-based ordering are faster order fulfillment and the elimination of delays previously associated with the mail.
Here is how it works:
- Ads are placed in advertising media
- Interested prospects place order or inquire about what is being offered
- Product or information is delivered to the customer via mail or parcel delivery service
- Follow-up by soliciting more orders from same customers for related products or services
Why people shop by mail
Today, placing an order by phone offers almost the same "instant gratification" as picking up a piece of merchandise at the store. This has been made possible largely through the widespread use of credit cards and toll-free telephone numbers.
- Not everyone though will buy product by mail. This is very important to understand because it will help make important promotional decisions later.
- People order through the mail for a variety of reasons. Historically, mail-order businesses became successful because they offered a wider variety of goods than could be found in local retail outlets.
- Goods purchased through the mail were often cheaper than those available locally.
- Mail order shopping offer consumers more convenience than shopping at retail stores.
- Individuals pursuing a hobby or special interest were more likely to locate those hard-to-find items in a specialty catalog than in a store.
- Novelties seekers
- Product available from far away places. With gasoline prices and high transportation cost so high, some people prefer to place orders through mail order instead of driving.
- Working moms
- The elderlies and the disabled
As a mail order operator you can be very selective of your "audience". You can litteraly pick your market!
What can be sold by mail order
Mail-order businesses today offer consumers a wide array of products and services.
- Magazine subscription sales represent a large segment of mail-order sales.
- Books and newspapers also account for a significant portion of mail-order business.
- It is legal and can be easily shipped.
- The fastest-growing segment of the mail-order business is that of specialty catalogs.
- The list of specialty goods sold through the mail is endless and encompasses virtually hundreds of categories.
- Kitchenware, fancy foods, outdoor clothing, health products, gardening products, sporting goods, records, collectibles, computer software and equipment are but a few of the more popular categories.
- Something that can be easily described
- Legal and easy to ship
- Something new that can be mass-produced
- Something not easily available locally
- Information, how to, software, music, instructions, courses, books, videos, subscription services, hobby supplies, reaching to club members and association…
- To be sold by mail order the items or services should be able to be mass-produced
Mail Order And The Internet
Certain types of merchandise seem to sell better on the Internet than others. For example, items such as books, software, and music tend to sell well, because they can be described with words rather than pictures. Less successful are items such as apparel and gifts, which require an element of "romance" as part of their sell. Food and flowers, however, have reportedly done well over the Internet.
Mail Order Advertising Media
Mail-order businesses have a wide range of media to choose from when marketing and advertising their products. Mail-order advertisers may use any of the following to promote their products or services: direct mail (including catalogs and sales letters), classified and display ads in magazines. Other media that can be used to advertise a mail-order business include television, radio, matchbooks, package stuffers, bill stuffers, comic books, daily newspapers, free-standing inserts in Sunday newspapers and the Internet.
Mail Order and Advertising Metrics
The response to any mail-order advertisement can be precisely measured. It is this measurability that allows direct marketers to test a variety of lists, offers, and media before committing valuable resources to a specific campaign.
