Are the Days of Direct Mail Marketing Dead For Insurance Agencies?

We certainly like our mailman who faithfully delivers ourunprecedented declines in mail volumes that began in
mail, or to be politically correct perhaps we should say2008."
mail person or postal worker. Yet on most days, we- "The Postal Service projects debt outstanding at
should simply say why is he coming at all? Though weyear-end to increase over the September 30, 2009
do receive physical checks each week, these could bebalance by the maximum allowable $3 billion, to $13.2
delivered twice a week, or we could simply ask clientsbillion. The $15 billion debt ceiling will become insufficient
to pay via PayPal or online transfer, something we arein 2011."
currently discussing. On occasion we receive a letterThough taxpayers don't fund the loss directly, the
from family or a friend, but 99% of the time, ourUSPS borrows from the treasury to pay for the
communications are delivered via email or socialdeficits. The net result is dollars out of taxpayer
networking. My children's grandparents, as they nearpockets. Recently, it was proposed that six day a
80 years old, have now moved to email as theirweek mail service should end in favor of five day a
primary method of communication.week delivery. This is a ridiculous interim step.
Last Tuesday, our diligent and timely mail personDiscussions should revolve around reducing deliveries
delivered 11 mail items to our house which is also ato three days a week, and we should increase the
home based office. All of them were solicitations offees to direct mail marketers to encourage companies
one type or another including: Asian Food, Poolto utilize more electronic marketing and communication.
Supplies, Electronics, Cosmetics, ReplacementInsurance Agencies which still use direct mail marketing
Windows, Credit Card Offer, Window & Guttershould take this initial proposal for a reduction in snail
Cleaning, University Fund Raising, Household Items,mail service as an ominous omen, and embrace a
Religious Fund Raising and a Technical Schoolmore digital means of marketing and communication.
Brochure. If there was an insurance agency marketingAfter all, there are now many choices available that
brochure which comprised the 12th mail item, it wouldare more efficient and environmentally friendly than
have joined all of the others as they were casuallydirect mail: eMail, Social Media Marketing, Search
discarded into the recycling bucket. I'm not sure whyEngine Optimization (SEO), Pay Per Click (PPC)
agencies and other companies continue to send snailAdvertising and Web Seminar Marketing to mention
mail, it's expensive, slow, difficult to track and measurejust a few. Television and radio offer more
and environmentally unfriendly. I suppose someenvironmentally friendly opportunities than old fashioned
companies still find this type of marketing worthwhile,direct mail, though these alternatives can be more
or at least familiar. However, there are far bettercostly and difficult to target than eMarketing, Web
ways to invest insurance agency marketing dollars.Seminar Marketing and PPC Advertising for insurance
After all, direct mail, now known as snail mail, is anagencies.
anachronism, a phonograph type solution in an iPodRegardless, all of these non paper based options are
age.less oil consumptive and labor intensive than the
Don't get me wrong, I respect the right of these"596,000 workers and over 218,000 vehicles" the post
companies to market their products and services, Ioffice uses to deliver mail according to Wikipedia.
simply think they should do it electronically, and weThat's a lot of brick and mortar infrastructure to deliver
shouldn't have to subsidize it, or expend time, money11 pieces of direct marketing junk mail (or 12 if your
and gas to deliver it. I say we, because it is really ouragency brochure was included), and I doubt we want
tax dollars that subsidize the vast wasteland of directto run a $6 Billion annual deficit to accomplish this. Will
junk mail. The post office, which has been runningsnail mail slowly slither along to a slow and silent
losses of roughly $1.5 Billion per quarter, recentlydeath? Ultimately, some day in the foreseeable future, I
offered the following statements in their 10-Q quarterlythink so. But for now, my credo for insurance agency
report.marketing remains the same, "Don't go postal, go
- "The recent losses are primarily attributable tovirtual.