Letterbox Advertising Cost

Australia Post states that 65% of Australians read all mail items they receive! 

We cannot deny that the power of direct mail exceeds almost all digital advertising forms. It yields better results and leaves an everlasting impact on your audience.

As industry leaders. We meet many clients who are torn about which mail delivery type to choose. One option they consider is— a letterbox advertising campaign!

But what is letterbox advertising, and are there better alternatives?

How much does letterbox advertising cost to initiate a campaign? 

Considering these aspects is crucial to maximise your marketing budget and preserve your brand’s reputation.

This blog answers these questions and helps you decide which mailing type is best for your business! 

Let us dive right in!

What Is a Letterbox Advertising Campaign?

Letterbox advertising is an unaddressed mailing type for businesses. They can use it for location-based promotions and increasing brand publicity.

They don’t need a mailing list to launch a letterbox advertising campaign, simplifying the process and saving effort. Australia Post lets them drop off postcards or flyers at every household in specific localities.

It benefits local businesses, like restaurants, real estate agents, car dealerships, and retail outlets. But it is also effective for larger companies to spread the word about their products or services.

The letterbox advertising cost is more affordable than personalised mailing campaigns! But why?

• You don’t need a mailing list.
• You don’t spend on personalisation.
• You only target one or a few neighbourhoods, saving on delivery expenses.

At PostGrid, many clients ask us if letterbox advertising is worth their time and money. Though the letterbox advertising cost is low, they want it to produce positive results.

Our reply? It works, but not as well as a well-curated, customised campaign.

Letterbox advertising is a spray-and-pray method of marketing your brand. You send out your branded materials to everyone in the area and hope some of them reply.

Personalised direct mail helps you focus on relevant prospects with targeted messages. Thus, it increases your chances of getting high responses and engagement.

Also read: Renting a Letter Box

Reach Millions of Letterboxes

The letterbox advertising cost is quite affordable compared to its reach. Australia Post has an updated database of 13 million addresses. You can choose your delivery routes and market your brand in any locality, city, or postcode you want!

A letterbox advertising campaign allows you to reach thousands of people under one program. You may target

• Post Office boxes
• High-rise buildings
• Apartment blocks
• Metropolitan areas
• Rural and regional addresses

Imagine you want to promote a new product line or plan to open a city store. Letterbox advertising lets you start without worrying about building mailing lists. It aims to spread brand awareness and improve recall rates.

Editor’s note:

Direct mail works best with digital marketing channels like email and social media. However, tracking recipients is difficult in a letterbox advertising campaign. Choose personalised mailings whenever possible to use your marketing budget more wisely.

CTA: Read our eBook to learn more about combining direct mail with digital marketing by clicking here!

Reliable Deliveries With Australia Post

Delivering your items via Australia Post is one of the primary benefits of letterbox advertising.

The Post Office ensures your letterbox advertising campaign works within the specified timeframe. It delivers to all households within your preferred delivery routes on a date of your choice. But be careful about the cut-off times to prepare and submit your mailings.

Another benefit is that you don’t get mail returns! Australia Post only drops off your mailers at addresses that aren’t vacant. It updates its address files frequently, helping you ensure people get and read your marketing message. Hence, you can save on your letterbox drops advertising costs and ensure zero waste.

Also Read: Letterbox Advertising: How to Conduct a Successful Campaign to Increase Brand Awareness

Most businesses think spending less than a dollar per item makes the letterbox advertising cost affordable. But considering other factors is critical!

Will the campaign’s ROI be enough to cover the expenses? 

What other elements should you consider when calculating the letterbox advertising budget?

Let us get into it!

Design

Based on the layout, creating your mail artwork can cost between $50 and $150. Postcards and flyers are easier and faster to design, helping you save on costs.

If you already have artwork ready, you can launch your letterbox advertising campaign without spending on the design. Try re-using designs whenever possible, but remember to be unique each time you ship items to the same prospects.

Printing

Cutting design expenses may seem simple. But you cannot compromise on printing costs.

If they don’t know you already, your letterbox advertisement items are the first thing they see. Hence, try making an excellent first impression to get better responses.

Printing can cost you $0.10 to $1, depending on your paper weight, size, quality, and finishing.

Overall, keeping your costs under budget is challenging. And you cannot guarantee the desired outcomes because most people don’t engage with non-personalised pieces.

So what can you do?

Leave little to chance and take charge!

The only way to optimise your mailing performance is to launch tailored campaigns.

You may pay a little more than the letterbox advertising cost, but it is worth it!

Also, PostGrid’s direct mail services ensure you get the lowest rates in the country, solving this dilemma for your company!

Now you can send data-driven mailers to targeted prospects quickly and affordably, surpassing the benefits of a letterbox advertising campaign or program. Isn’t that exciting?

Sending curated mailers to a segmented mailing list isn’t as daunting as it used to be! You can use automated solutions like PostGrid to compile a list and leverage variable data printing without any in-house effort.

We help you segment your lists based on

• Age
• Gender
• Income level
• Profession
• Preferences

“But what about targeting my audience according to my preferred location? The letterbox advertising campaign helps do that.”

One of our clients posed this question during our recent coffee conversations. They were convinced letterbox advertising was the only way to target prospects location-wise. After a short discussion, we broke this myth!

Yes! The letterbox advertising cost is low, and this channel allows you to send mail to entire neighbourhoods and postcodes. But personalised mailing can also do the same, just more!

Our client was a leading player in real estate. We recreated a scenario to explain the benefits of personalisation.

Case A: Imagine dropping off postcards or flyers with your company’s name, services, and contact information. When recipients pick them up from their doorsteps, they see a generic message. Your letterbox advertising campaign does not resonate with their exact needs or preferences.

Case B: Imagine gathering the names and addresses of everyone in your city looking to buy a house. Using PostGrid, you can send tailored mail items with their full names and address their needs. Also, you may add custom QR codes or links to track responses.

Unlike the letterbox advertising campaign, Case B will likely get better engagement. Hence, you can channel your time, money, and effort in the correct direction and boost your ROI!

Also, don’t forget- letterbox advertising needs you to do the heavy lifting. You must pay for the artwork and printing. And your staff does most jobs in-house, like stuffing envelopes, labelling, sticking stamps, and lodging the items.

PostGrid saves 1000s of manual hours and improves mailing efficiency by automating everything.

The letterbox advertising campaign suits businesses that want to target local audiences. They can book mailings via Australia Post, which lets them ship branded items to all households in specific localities.

The letterbox advertising cost ranges between $0.220 and $0.690. But you need to bear the design, print, and other expenses. Also, your staff may spend days and weeks planning and executing the campaign.

If you want to ditch this old-school mailing method, use data-driven customised mail campaigns! It is more effective, interactive, and result-driven, making it an excellent option for brand promotions and customer correspondence.

Sign up to automate your upcoming mailing with PostGrid instead of relying on a letterbox advertising campaign!