4 ways to get referrals from handwritten letters

The folks who say “the best things in life are free” have never been to Disneyland. But, they’re on to something when it comes to business. Entrepreneurs love nothing more than free advertising. No advertising works like a referral. Social Media Today drops some key stats that reveal why. 60% of marketers say that referral programs generate a high volume of leads. 54% say that referrals have a lower cost per lead than other methods. And marketers rate referrals as the second-highest quality source of leads.

When it comes to lead generation, the best things in life really are free. That’s the great thing about referral marketing. All it costs is being great at what you do and a great person to work with.

There’s nothing not to love about referrals. The question is: How do we get more of them? Simple: being top-of-mind at all times for your past and loyal customers. That way, when their friends and family ask for a recommendation—say, needing a realtor for a first-time home buy—you’re the first person in your industry that comes to mind.

But how do you stay top-of-mind in a meaningful way? By creating meaningful connections and relationships with customers. The kind that transcends the transaction and becomes authentic and human. No method of communication creates a bond like handwritten letters. Handwritten letters help produce grateful, happy customers—the ones who recommend to others. How? Consider these four ways handwritten notes can boost your referral marketing.

1. Send an anniversary letter.

Let’s say you’re a realtor who helped a young couple buy their first home. That’s a huge step for any couple and one that is rich soil for a lasting, loyal customer relationship. Keep track of your sales and send a handwritten letter on the first anniversary of the buy. Imagine getting a home ownership “anniversary” letter: a reminder of this important milestone. Use the letter to reiterate how grateful you were to help and your best wishes for the customers’ future. It’s a warm human touch, and it will keep you top-of-mind for those customers well after you worked with them.

2. Encourage customers to leave an online review…

The digital revolution has brought with it new methods of referral. Strong online reviews have become non-negotiable for successful businesses. Nearly all consumers—97%—use online media when researching products and services in their local area, according to a consumer tracking study by BIA/Kelsey’s. And that research has a major impact on where consumers choose to buy.

The modern customer crowdsources trust from the digital market. 82% of consumers read online reviews for local businesses, according to the Local Consumer Review Survey, with the average consumer reading a whopping ten reviews before feeling able to trust a business. Your online reviews can make or break these digital-first customers. “Positive reviews make 91% of consumers more likely to use a business,” notes the Survey, “while 82% will be put off by negative reviews.”

The transition between an analog marketing experience and a digital one is seamless. To that end, a handwritten letter is a great way to request an online review from a happy customer. You could send a short note thanking them for their business, explaining the importance of their review for your success, and providing a QR code or other link to your Google Review. It’s an intentional, impactful way to inspire a customer to leave a priceless five-star review.

3. …And then thank customers for their online review.

Imagine how good a customer will feel if you send them a letter thanking them for positive reviews. Thanking someone for an online review in such a touching, personal way leaves an imprint in customers’ memories that no competitor could match. You will be the first name on their list when friends or family ask for recommendations.

4. Stay in touch for the long-term, using handwritten letters and free information.

With handwritten letters, you can find creative ways to stay in touch with customers. No hard-selling is needed. Do better: you can use these regular touchpoints to share your expertise for free. It’s counter-intuitive, but offering useful, free insights is a great way to “acquire” customers for no cost, create a sense of reciprocity while growing market share—a critical component of business success. Consider: An accounting firm might send a letter in the months leading up to tax season. The letter could share an overview of new tax changes—and a phone number if clients want to chat more.

A realtor may include a handwritten letter with a newsletter-style mailout, sharing an analysis of the real estate market. Think of it like opening the front door a bit, so customers can peek in and see everything you have to offer. There’s no better way to prove value than to share it. And expertise shared once is expertise that can be shared again. Potential customers will pass that information onto friends and family or will refer them to you. And in the case of past customers, they will be reminded repeatedly of the value you offer.

All four of these are critical ways of staying top-of-mind. And a top-of-mind business is one that will enjoy the fruits of referrals: high-quality lead generation on the cheap. If handwritten letters sound like the right referral marketing solution for you, well then, allow us to refer you to some folks who can help with that.

Want to level up your direct mail? Contact us.

Three ways to frame choices and get better answers with direct mail

Every day, people make decisions. We make those decisions of our own free will. Or do we? Consider: you walk into a grocery store to buy a carton of eggs. We want to buy one thing: that carton of eggs. But then we pick up a loaf of bread, primed by a bright yellow “For Sale” tag that tells us the loaf is a steal. Then we notice a chocolate bar at eye level and grab that too. We’re home-free to the checkout line, but then we notice a bag of chips right below the register. We buy chips too!

Yes, we are free to make our own decisions. But in making decisions, we face what behavioural psychologists call “choice architecture.” It refers to the context and conditions of a decision that shapes our choices. By shaping those choices, we influence them. So, for instance, we are more likely to buy products at eye level. We are unconsciously primed to buy a product when it seems cheaper than normal.

These and other tactical framings of choice architecture form the basis of nudge theory. It’s a popular movement of psychological insight in marketing, government, and every area of human life. It’s all based on a simple idea: How can we frame peoples’ choices to encourage better choices?

You can integrate the insights of nudge theory into your direct mail campaigns. Here are three ideas for how to be tactical about choice architecture. These ideas will help you get better results through your direct mail campaigns.

Help readers stick with the crowd

You’ve heard the adage that humans are social animals. But that’s so much more than conversation and cliques; social life requires much unspoken cultural understanding. From firm handshakes to eye contact in conversation, unspoken rules define social life. These social norms can be powerful tools: psychological cues to encourage particular behaviour.

For instance: littering. In 1990, researchers wanted to determine what social cues might encourage people to litter. Their results found that participants were more likely to litter in a space where litter was already present. They were even more likely to litter after watching someone else litter first. But they were less likely to litter when they saw neatly-swept piles of litter in the same space. These subtle cues set the norm for whether it was acceptable to litter in the area or not. People responded right on cue.

How can we use this in handwritten letters?

Use your letter to show readers how most people are behaving in a given situation. They will aim to ride with the crowd. British taxpayers late on their return received letters with social norm messaging, like “9 out of 10 people in your area are up to date with tax payments.” Recipients of these letters were 15% more likely to end up settling their debts. Find ways to establish similar social norms in your own letters. For instance, share a fact like “9 out of 10 donors donated at least $100.”

Research shows that the social norm effect becomes even more influential when visualized. Show the people setting the norm. Britain’s Behavioural Insights Team once worked with a client to encourage greater employee charitable giving. All employees received a card from an existing donor to the charity, explaining why they give and why employees should donate. A control group received the same card but with a picture of the donor. This control group gave at much higher rates than the non-control group. For example, why not throw in a picture of yourself if you’re a realtor mailing potential clients?

Anchor readers’ choices to encourage the best option

Let’s say you walk into a high-end clothing retailer. You see a t-shirt priced at $1000. “That’s ridiculous,” you think. But a step later, you see another t-shirt “on sale” for $200. Still a ridiculous price for a shirt? Yes. But you’re now primed to see that $200 t-shirt as a bargain because the first shirt you saw set your expectations. Psychologists call this the anchoring effect. The first information received about a particular subject will distort our thinking.

This effect is so powerful, it can undermine our objectivity. And it can manifest in ridiculous ways. One study showed participants the last two digits of their social security number and then asked them if they would pay the same amount as those digits for a series of products. There is no connection between the two. The price of a chocolate bar shouldn’t be set to $21 if the last two digits of your social security number are 21. Yet, the study found that those with higher digits priced the same items at higher amounts. That’s how powerful this effect can be.

How can we use this in handwritten letters?

Here’s one way we can put the anchoring effect to good use in fundraising letters. Let’s say you are mailing donors on behalf of a food bank. Open the letter with the number you’re hoping these recipients will gift. Even the presence of the number will prime readers to give that amount. For instance, you could write: “It costs our food bank $100 to feed one client for a week.” Then, later in the letter, ask for $100. The anchoring effect will go to work in priming potential donors to give your preferred amount.

Don’t ask readers to take action. Give them a plan to take action.

You’ve decided you want to lose 20 pounds. Good for you! But we’ve all seen the following happen. We commit to weight loss, cut back on meals or exercise a bit more, then fall back time and again. The ones who make it happen are always the ones who put together implementable plans. In nudge theory, this is known as implementation intentions. It’s the process of planning out specific actions in pursuit of a goal.

In the case of losing weight, that could be how often one will exercise, at what time, and how much; meal-planning in advance to improve nutrition; and more. Research suggests that implementation intentions have an enormous effect on ensuring that intended outcomes happen.

Behavioural scientists put this insight to the test during the 2008 U.S. presidential election. They studied the effects of implementation intentions by helping potential voters enunciate a specific plan for voting on Election Day: “What time they would vote, where they would be coming from, and what they would be doing beforehand.” Turnout among this control group grew by nearly 10%.

How can we use this in handwritten letters?

Let’s say you’re a realtor sending out a solicitation letter to potential clients. Put together a specific, step-by-step strategy for anyone looking to sell their home. Include a list of questions and considerations for every stage of the process. Show the potential clients what the process looks like. Provide clarity and prove how you can help. Watch as these soon-to-be customers recognize your expertise and follow your plan.

Want to level up your direct mail? Contact us.

The Revenge of Analog

Life is moving online—so why are so many of us going offline? The Revenge of Analog explains why.

If you’re a literary junkie, you know there’s been a quiet civil war raging among the community of book-lovers. At the core of this conflict is a sacred question—would you ever peruse a book using an e-reader? Is a book really a book if it isn’t on paper? On one side are those who appreciate the practicality of their Kindles and Kobos. No wonder why. They make books more affordable, take up less space than shelves, and are easier to travel with.

And the other side of the divide? To them, it isn’t a practical argument. To them, the sanctity of the paper book is spiritual.

Consider comments in this Reddit thread explaining why users prefer paper books:

“I love the feeling of a good book in my hands.”

“There is nothing more satisfying than opening a new book and getting the honour of breaking the spine.”

“Seeing withered spines and taped covers makes me smile, and I like to think the reader is reliving so many memories just from that one book.”

Note the commonalities. “Feeling,” “opening,” “breaking the spine”—these describe the physicality of the book. They say: Nothing compares to the experience of touch. Touch is connected to memory, and especially to good memories. Touch becomes the doorway to the soul.

The sanctity of touch is the theme of David Sax’s 2016 bestseller, The Revenge of Analog: Real Things and Why They Matter. The book explores a contradiction in the digital revolution. At a time when most of life is moving online, more and more consumers are showing a clear preference for analog—or physical—alternatives. Essentially, things they can hold in their hands—and how feeling things makes them better. Where a Google calendar offers efficiency, a paper calendar offers beauty. Where a Facetime call provides convenience, a conversation over coffee creates intimacy. Where digital can feel distant, the physical feels closer—even in the case of a handwritten letter, where the sender can live far away.

Sax chronicles the analog revolution through anecdotes that would make Malcolm Gladwell smile. He opens with the unexpected resurgence of vinyl records. Sales reached half a billion dollars in 2015—the highest level since the late 1980s. Vinyl is an experience of music that feels “heartfelt, raw, and organic,” says Sax. “You watch the record spin, and it’s like you’re sitting around a campfire,” one musician tells him. “It’s hypnotic.” And hypnotism remains a face-to-face art.

Do you think this anti-digital vengeance comes from older demographics pining for simpler times… a Bingo club of “You kids, get off my lawn” consumers? You’d be wrong. Those now dipping their toes in analog grew up bathing in digital products: Millennials and other young consumers. They are driving the success of analog alternatives like old-school Polaroid cameras with built-in printers.

Our favourite part of the analog trend is what it reveals about our enduring love of good old-fashioned paper. For instance, beyond books, Sax raises the hopeful future of magazines:

“The newer magazines that are succeeding today, publications like Kinfolk and Monocle magazines, they’re saying, ‘Okay, we might have a few ads in here, but we’re really not dependent on ads in the way that time and Newsweek and Vanity Fair is. We depend on your subscription dollars. If you like it, you pay for the subscription, you pay for each issue, and it’s going to cost you more than those Sports Illustrated things, and we’re not sending you a football phone. You’re going to pay for this, but you’re going to get something that’s a high quality and that you’ll like and it won’t feel as disposable’. And if enough people think that, then, that’s a business.

In our industry, we at Postalgia see the paper preference at play with the power of direct mail. From the huge plurality of consumers who look forward to checking the mail to the ways direct mail gets better response rates than comparable digital marketing, we see paper’s incomparable capacity to create an emotional connection between you and your stakeholders. Forging a connection in a way that digital marketing hasn’t yet matched.

This is why the paper preference is so powerful. Paper creates relationships. We’ve seen that during the COVID-19 pandemic, with the enormous proliferation of pen pal groups and letter-writing among family members as an antidote to social isolation—and in contrast, how draining the endless Zoom meetings can be.

Nowadays we hear a lot about disruption—and that the only way to be disruptive is digital. Today, the opposite is true. The revolution of analog products is on. This revolution won’t be televised—it will be handwritten on paper you can hold in your hands.

Want to level up your direct mail? Contact us.

Turn e-commerce into an IRL relationship with handwritten letters

E-commerce is everything for entrepreneurs in 2020. The NASDAQ estimates that by 2040, 95% of purchases will be facilitated by e-commerce. But we are already seeing that shift happening now. Consider: An Adobe report found that American consumers spent more than $50 billion on their smartphones during the 2019 holiday season—accounting for 84% of the holiday season’s spending growth that year.

E-commerce represents an amazing growth opportunity while also being plain scary. Why? Two words: frictionless and spontaneity. E-commerce sales represent a nearly frictionless experience for consumers. Today, a customer can see an ad for a watch, feel an instantaneous emotional connection, and make an impulse purchase under a minute from their phone with pre-loaded credit card information. The time between initial awareness and purchase decision can be less time than it takes for a freshman to microwave a bowl of instant noodles—a food that literally has the word “instant” in its name.

But a spontaneous purchase decision is also an easily abandoned one, and that’s a scary thing for online retailers. That Adobe report we mentioned above found that 50% of smartphone shoppers abandon their carts—half of online shoppers! You can lose them as quickly as you get them, and you can lose them as soon as they click off their browser to open a text from the ex they weirdly still talk to. Distractions abound. But as long as these distractions continue to negatively impact the bottom line—letting checkout carts collect dust in your backend—online retailers are left with a critical challenge.

How do you create a personal relationship online with an easily distracted customer you’ll never talk to?

You see, back in the good ol’ days…  (Narrator: “They weren’t that good.”)

Customers would come into your store, and you would talk to them. Over time, you could build a relationship. They would recognize you and your expertise. And you had opportunities to persuade them about the value of a product or a purchase.

Today, persuasion is happening over ad images and tight copy. And as much as you’re competing with others in your product category, you’re also competing for customers’ attention as they scroll through the device in their hands. Insert The Simpsons’ “Old Man Yells At Cloud” headline. Your enemy in this scenario is a calendar notification as much as a competitor.

To win the fight, get off the digital battlefield onto winning ground. Go analog. Handwritten letters can be a surprising but effective counter-measure in the battle for customers’ online attention.

E-commerce retailers think everything about their customer experience has to be digital. Flip that thinking on its head.

Here are six specific ways an e-commerce retailer can use handwritten letters to outsmart the competition—not to mention that pesky calendar notification.

1. Send a handwritten thank-you note along with a shipped product.

A thank-you note is just an incomparably personal and simple way to build a connection with a customer. You’re shipping to this customer anyway—why not include a personalized, handwritten note thanking them for their purchase? There’s so much research to support the conclusion that expressing gratitude is a powerful way to build trust and relationships. Telling a customer how much you appreciate their business is just one effective way of making a one-time customer a loyal and long-term one.

2. Send a follow-up letter months after a customer has purchased a product…

There’s an impactful generosity to giving a customer free information before they become a customer.  In turn, to check in on a customer’s experience of your product months after they’ve purchased shows how deeply you care. Consider including your phone number or email address so they can follow up personally with feedback. This is also a great way to keep you top-of-mind with a previous customer, and an encouragement for them to come back.

3. …And up-sell in that letter.

Use that follow-up letter as an opportunity to up-sell the customer on new products. This is especially true if you’re in a product category where certain items can complement your customers’ purchases, like a new hamper for a towel set, or a travel bag for shampoos and other bathroom items.

4. Drive direct mail targets to your website.

One InfoTrend survey found that more than half of customers who responded to direct mail either went to the brand’s website or visited their offline store. Once you’ve piqued a potential customer’s interest with a piece of mail, they’ll visit your website and start browsing. Worst case, they are sharing data through their clicks, allowing them to be targeted with paid ads. The boundary between online and offline is gone. With handwritten letters, you’re sending recipients straight to your website—right where you want them.

5. Try special discounts for letter recipients.

Send handwritten letters at scale with the help of Postalgia to a new market segment in a certain geographic area. For any new customer receiving your letter, include a QR code or a special checkout discount code. Like the thank-you note mentioned above, a personal invitation, combined with the opportunity to save a little money on their first purchase, is a great way to create a relationship.

6. Send a newsletter with product tips, along with a handwritten introduction.

People love getting things for free. Especially when those things are valuable. And whether it’s fashion tips for a new season, the most up-to-date info on local real estate prices, or the hottest trends in home furnishing, a colourful, visual newsletter can deliver high-value information to potential customers that might inspire them to buy from you. Even better: with today’s direct mail targeting, it’s easier than ever before to micro-target a newsletter right to your best consumer demographic.

Including a handwritten introduction with a newsletter is a great way to personalize the information shared—include an email or phone number so a potential customer can reach out to you and learn more.

These are just six examples, but any creative entrepreneur can think of occasions than fit their sales process. The lines between the offline and online worlds haven’t just been blurred—they’re gone. Take advantage.

Want to level up your direct mail? Contact us.

12 Tactics for Using Handwritten Letters in Your Sales Funnel

Sales funnels. If you’re an entrepreneur or salesperson, you’ve heard the term enough to make your ears bleed. Yes, those YouTube ads by teenage sales “gurus” are torturous. (“Here’s how my 15-year old daughter made six figures in two months as an Amazon reseller,” she says. Ok, Karen.) But they’re right about one thing—you need a sales funnel, and well-defined tactics for every stage of the funnel, to succeed in your business.

But first, a quick refresher on sales funnels. In a perfect world, we wouldn’t need them: customers discover our store or website, take a close look, decide to buy—no questions asked—and then tell their friends and family.

We don’t live in that world. We live in a world where companies go to war for the attention of their customers’ over-extended brains. And even when we get a flash of that attention, we have to get them interested enough to learn more. Then we need to convince them to buy something. Even when we’ve done that, we actually need them to click the “Confirm purchase” button to complete the sale.

That’s the traditional sales funnel: how we move a potential customer from awareness of our offering to interest in it, to making a decision to buy, to taking action.

Proven tactics for each stage of the sales funnel are helpful when you are putting one together. Handwritten letters—of the kind Postalgia can produce in spades—fit into any stage of an effective sales funnel. Here are just some examples to get you thinking creatively about how handwritten letters can build your business.

Awareness

  • Many companies use direct mail targeting through their postal service. Consider leveraging this tactic with a handwritten note to introduce yourself to potential customers. For instance: a realtor could send ageing homeowners in a local neighbourhood a handwritten introduction. It could include the realtor’s history selling houses in that neighbourhood, and how the realtor can help any family looking to downsize. It’s a friendly way to introduce yourself and build credibility in a new market with a targeted segment.
  • Starting a new business? Why not send a letter to all your professional and personal contacts, letting them know you’re hanging your shingle? You’ll find no greater advocates than your closest friends and family. The human touch of a handwritten letter may inspire them to share your info with others.
  • Mail your list of loyal and past customers, letting them know about a new line of products or a major sale you’re launching. Consider connecting your letter to their previous purchase. “Sarah, if you loved the fall scarf you purchased from us last year, you’ll adore the new fall scarves we’re releasing this October!”

Interest

  • Many companies keep subscription lists for branded newsletters. Consider surprising subscribers with a handwritten letter. For instance: if a non-profit or charity offers a regular newsletter, that organization could mail their first edition to a new supporter with a special handwritten letter thanking them for their support.
  • Consider sending a letter with a timely call-to-action related to a topical news event. For instance: Let’s say meteorologists are predicting a chilly winter. If you sell outerwear, send a letter to local residents, letting them know about the cold to come and offering a discount on coats. Connecting your product to a top-of-mind challenge is a great way to clinch a purchase decision.
  • If you offer product samples, especially online, accompany those samples with a handwritten letter thanking the potential customer for their consideration and explaining the many benefits of your products. It’s a great way to create a personal connection right when a potential customer weighs whether they want to go further.

Decision

  • There’s nothing an e-commerce entrepreneur dreads more than seeing a user with a full shopping cart, who hasn’t hit the “Checkout” button. Worry not—if you have their shipping information, send them a handwritten letter reminding them to complete their purchase. You can even offer a special discount as an incentive to finish.
  • Do you host informative webinars for potential customers exploring your product or market? It’s easy to connect that experience to a handwritten letter. Whether you use EventBrite or another event management platform, require that attendees share their mailing information. Follow up with each attendee by letter after your webinar, thanking them for attending and providing your phone number if they’d like to learn more. That personal touch will take the sometimes-impersonal experience of a webinar and make an attendee feel valued.
  • If you provide personal consultations to potential customers—say, the way a realtor will offer a free, no-obligation house appraisal—you can offer to follow up that consultation with a one-page summary of your recommendation for the customer. Helping customers for free—and encouraging them to purchase your services along the way—is a great method for building loyalty.

Action

  • We know the extraordinary effects of gratitude on the human psyche. It’s not surprising then how effective a simple thank-you letter for a new customer can be. Sending a thank-you letter with any product you ship, or after service you provide, will leave a memorable mark – particularly among new customers whom you hope to keep for the long-term.
  • Handwritten letters are also a great way to upsell a customer in a non-pushy, friendly way. Let’s say you sell furniture. If a customer buys a new coffee table, you might attach a handwritten letter to their shipment, letting them know your recommendations for rugs, side tables, or chairs that would perfectly match. Connecting your helpful suggestions to their purchase shows that you are offering personalized advice tailored to their tastes—and may convince them to buy more.
  • Show customers how much you care about their experience with your company. An appropriate period after their purchase, send them a follow-up letter asking about their use of the product. Are they fully satisfied? Do they have any questions? Are they enjoying the product as you hoped? Provide your email or phone number—show the customer you care deeply about their enjoyment of the product, long after they have paid you. It’s an excellent way to build a relationship and earn a customer’s loyalty in the long-term.

These are just a few ideas for every stage of the sales funnel. Handwritten letters are an effective tactic, no matter where your customer is at in their journey. And with the power of Postalgia’s robots, you can produce handwritten letters on mass for any sales campaign. Click here and learn how.

Want to level up your direct mail? Contact us.