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The Dollars and Sense of Deceased Suppression Processing
By Kerri Cheshire,

Marketing Manager, Anchor Computer, Inc.

Nothing is more insensitive, embarrassing or costly to a direct mailer, than sending a mailing piece addressed to someone who has passed away.

Sending direct mail addressed to a deceased individual can be upsetting to the family members left behind and costly to the mailer. Slogans meant to catch your attention, can seem cruel when received by a relative of someone who has passed on. Headlines such as, “A beautiful smile can make a world of difference,” “You’re Pre-Approved” or “Once in a lifetime offer,” could be considered insensitive to the recipient.

Recently, a woman complained after having received a direct mail piece addressed to her deceased husband promoting a romantic getaway on a Caribbean cruise. In another case reported to The Privacy Rights Clearinghouse based in San Diego, a woman filed a complaint against a hearing aid company after repeatedly receiving direct mail addressed to her mother six years after she had passed on.

In a recent analysis, direct mail sent to a deceased individual was collected for up to four years from the time the person had passed away. The results, broken down by industry, suggest specific industries more than others would have benefited from deceased suppression processing services.

This data, although a small sampling, clearly reveals financial institutions to be the worst offenders when it comes to mailing to the deceased population. Charities, political campaigns and the telecommunications industry were among the other top offenders.

Taking a proactive role in preventing these situations from occurring is best for everyone involved. Direct marketers repeatedly state that mailings to the deceased are strictly unintentional, however the fact remains these mailings are getting through. Most companies have detailed information in their customers’ records, but few have procedures in place notifying them when a customer passes away. The reason…most direct mailers’ do not perceive deceased suppression as an easy task to achieve.

However, these perceptions are false. There is a solution that can significantly reduce mailings from going to deceased individuals. A number of direct marketing industry firms have been providing Deceased Suppression Processing, and they have found it to significantly reduce complaint mail resulting from inadvertently mailing to deceased individuals, as well as, increase cost savings on printing and postage.

Direct solution providers offering this service have found marketers are being served better than ever before in terms of this cleansing service and the majority of direct marketing clients who use the service find it to be an effective process.

Deceased Suppression software can be licensed for internal processing or files can be cleansed externally with a quick turn around. Exchanging files electronically also expedites the transfer process and improved PC processing capabilities enables the process to be completed within one day, if not faster.

So, why would direct marketers use Deceased Suppression as part of their pre-mail processing procedures? First, it addresses the issue of privacy and adds another level of sensitivity to customer relations. Secondly, it reduces mailing costs by reducing wasted printing and postage.

The following case studies illustrate the value to direct marketers of performing deceased suppression processing. It should be noted that match rates vary by the nature of the file, frequency of updates and address maintenance procedures, but marketers often use a benchmark of one percent (1%).

Case Study I – Leisure Travel Company

A large leisure travel company has dramatically reduced its complaint mail, lowered promotion costs and improved response through the use of deceased suppression processing. They were able to remove over 19,000 records per million (almost 2%). This represented a net postage and material savings of $7,100.00 on just the first mailing, -- a 284% ROI.

Case Study I – Leisure Travel Company

ITEM RATE AMOUNT
Match Records (1mm Record File) 1.92% 19,200 records
Mailing Costs Avoided (Postage & Materials) $500.00/M $9,600.00
Less Client Processing Fee $2.50/M $2,500.00
Net Amount Client Saves On First Mailing N/A $7,100.00
Client ROI On First Mailing N/A 284%
Net Amount Client Saves On Second Mailing N/A $9,600.00
Total Net Amount Saved on 1st and 2nd Mailings N/A $16,700.00
Client ROI on First & Second Mailings N/A 668%

Case Study II – Financial Company

A major national financial company was extremely satisfied with the results they achieved with deceased suppression processing. They discovered that for every 1 million records processed, 22,700 names were deceased individuals (almost 2.3%). This represents a net postage and material savings of $8,850 on just one mailing – a 354% ROI.

Case Study II – Financial Company

ITEM RATE AMOUNT
Match Records (1mm Record File) 2.27% 22,700 records
Mailing Costs Avoided (Postage & Materials) $500.00/M $11,350.00
Less Client Processing Fee $2.50/M $2,500.00
Net Amount Client Saves On First Mailing N/A $8,850.00
Client ROI On First Mailing N/A 354%
Net Amount Client Saves On Second Mailing N/A $11,350.00
Total Net Amount Saved on 1st and 2nd Mailings N/A $20,200.00
Client ROI on First & Second Mailings N/A 808%

Deceased suppression processing is an important step in the address cleansing process. This service should be incorporated into the address purification process along with NCOA, merge purge, as well as, many other established techniques. In today’s unpredictable economic environment, marketers and database owners must be keenly alert to Customer Relationship Management (CRM) techniques and cost containment options to improve their return on investment.

For more information on how Deceased Suppression Processing can improve your bottom line, contact Anchor Computer at 1-800-452-2357 or visit us online at www.anchorcomputer.com.

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Anchor Computer is a non-exclusive licensee of the United States Postal Service® for NCOALink, DSF2, DPV™, & LACSLink.
Pricing of these products and services is neither established, controlled, nor approved by the United States Postal Service®.

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11/6/2001 11:21

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