DM 101 - PMG - Direct Mail Production Management

Direct Mail Production Management DM101

Presented by

Meg FergusonThe Production Management Group

Direct Mail Production Management

What We Do• Professional project managers

• Products, Services, Relationships and Processes

• A critical partner at the design table• A source for new package formats and capabilities• Bid and procurement experts• Master multi-taskers

pmgdirect.net | 410-290-0667

Direct Mail Production Key Disciplines

• Package Specifications – define and describe every aspect of your campaign in great detail

• Printing – applying ink to paper• Data Processing - ensure the most efficient and effective

use of your data to help you reach your goals• Personalization – applying variable data to the appropriate

components• Mail Shop/Insertion – logistics meets strategy• Postal Logistics – creative mailing strategies that give you

more control of delivery time and reduce postage expense



Considerations• Budget

• Package Costs• Postage Costs

• Strategy/Audience• Artwork• Mission related requirements (Union, FSC, Recycle)• Specific Client Requirements/Needs (i.e. caging)• Timing


Package Specifications

• Use as much detail as possible leaving no room for assumptions

• Understand the end product and the most efficient way it should be produced

• Consider whether the piece(s) will be generic or personalized

• Do the specs meet postal requirements?• Mock it up!



Component Sizes • Generic or personalized• Cut sheet versus Continuous• Flat and finished



Stock • Weight• Finish/Color• Recycled/FSC/Union requirements



Additional Instructions • Folds• Perfs• Scores• Die cuts




CMYK - Short for Cyan-Magenta-Yellow-Black, CMYK is a color model in which all colors are described as a mixture of these four process colors. Because such printing uses inks of these four basic colors, it is often called four-color printing.

PMS – Pantone Matching System is the most popular color matching system in the printing industry. A true PMS color is defined by a mixture of inks that will provide a specific color (i.e. PMS 185 is a very common bright red color). Pantone also allows process (CMYK) printers to closely, but not exactly, match any of the PMS standard ink colors.

Printing Inks – CMYK and PMS spot colors


Inks – Bleeds and Coverage


Package SpecificationsPrinting Envelopes•Flexo/Jet Printing/Litho (flat and convert)•Window Size and positioning


Printing

Considerations• Ganging• Print quantity + appropriate spoilage:

• Mail quantity• Number of panels/drops• Multiple up form• Machine or Handwork

• Proofing – PDF, live color or press check


Data Processing

Data • Working knowledge • File Layout - Ensure you receive one and that the

required fields are populated (exclude fields that are not needed)

• Reports – Understand data scans (input & output), data dumps, ask reports, NCOA reports

• ACQ - list of lists, suppression files – know the priority• Quantity – expected?• Instructions - Do you know how to communicate your

needs?


Data ProcessingSample Data Scan for Review


Personalization

Considerations• Types – Scitex/inkjet, traditional laser,

handwriting, auto pen, digital• Receive and give solid instructions

• Variable data clearly identified • Fonts, point sizes, positioning

• Personalization Set-ups – PDF and on live stock• Is live scanline testing necessary?


PersonalizationGive Detailed Instructions


Mailshop

Instructions and Considerations• Know your suppliers’ requirements and capabilities• Clearly identify each panel/version and it’s specific requirements• Material Delivery Notification – provide description and/or inventory codes,

quantity, how the piece will arrive (packaging, flat folded, multiple up, etc.), delivery date, shipper info

• Trim and fold specifications• Insertion order of components

• What is flying the package?• Is window position accurate?• What is the first thing the donor will see when they open the

envelope?• Postage due date and how is the package mailing• Additional services required (i.e. live stamp affixing, scitexing, etc.)• Maildate(s)


MailshopInsertion Order


Workflow/Scheduling

Managing the Products, Services, andStakeholders• Determine a schedule tool that works for all• Communicate with your partners regarding the

length of time required by each• Start with the end in mind – work back from the

mail date• Identify complexity of package• Involve your partners early


Workflow/Scheduling

Manage both trackssimultaneously:

• Design• Data


Strategy/Design/Production

Design Data

Laser Personalization

Pre-press/Printing

Mailshop

Workflow/Scheduling

Identify the interdependencies amongFunctions. A few examples:

• Final counts from data before final print approval

• Forms printed and delivered before actual personalization begins

• File analysis performed before postage is requested

• All printed material to the mail shop before inserting can begin


Workflow/Scheduling


2-J an 5-J an 6-J an 7-J an 8-J an 9-J an 12-J an 13-J an 14-J an 15-J an 16-J an 19-J an 20-J an 21-J an 22-J an 23-J an

Printing:

Carrier

Return

Letter

Reply

Insert

Data Proc:

Flash Report

Presort

Postage Request

Mailshop:

Live Stamp

Inkjet

Insert & Mail

Pre-pressAA's

Final QuantityApproval to Print

Typical "Original" Schedule

Bid and Procurement Process

To secure the best price/quality/delivery:• Bid to your network of suppliers’ strengths• Get at least 5 competitive bids per

component/function• Correct specs are a must• Think of/be open to options/alternatives• Be mindful of hidden costs (plates, dies, set-ups,

deliveries, etc.)• If it’s too good to be true…



To ensure a successful outcome:• Get suppliers involved in the planning stages of

your project – schedule and strengths• Stay on schedule – meet your critical dates • Provide accurate and detailed instructions

(garbage in equals garbage out) • Build relationships!


Postal Logistics

Save money on postage

• Deliver your mail directly to the NDC/ASF or SCF for NDC(ASF)/SCF discounts

• Consolidate your mail with other mailers to minimize freight costs and max. savings

• Commingle your mail with other mailers for deeper volume discounts


Postal Logistics

Entry Point Mail delivered to your mailshop’s local Post Office.

NDC Network Distribution Center, an automated USPS distribution facility, presently 29 throughout the USA.

SCF Sectional Center Facility, a USPS mail-processing hub that serves the large area designated by the first three digits of a ZIP code.

CommingleTo integrate dissimilar mail into the same mail stream, resulting in further postal discounts by taking advantage of the increased volume to intended ZIP codes.


How Most Mailings Move Through the USPS


Origin SCF Origin NDC

Destination NDC

Destination SCF

Local Post Office

Residence

Mail Shop

Local Post Office

Here’s One Way We Reduce Postage and Expedite Delivery:

Drop Shipping


Origin NDC

Destination NDC

Destination SCF

Local Post Office

Residence

Mail Shop

Local Post Office

Origin SCF

Here’s Another Way to Reduce Postage and Expedite Delivery:


Origin NDC

Destination NDC

Local Post Office

Residence

Mail Shop

Local Post Office

Origin SCF

Commingler Destination SCF

Commingling

Postal Analysis


Postal Analysis Date

(Estimate) 2/4/14

Entry Point Drop Shipment Commingle Best Option

Zip String Qty Postage Per PieceTotal Postage

& Freight Per Piece

Total Postage &

Freight Per Piece Best Rate Option Best Postage

A 142,112 $21,172.14 $0.1490 $18,752.44 $0.1320 $18,673.52 $0.1314 $0.1314 Commingle $18,673.52

B 176,743 $26,304.32 $0.1488 $23,266.28 $0.1316 $23,224.03 $0.1314 $0.1314 Commingle $23,224.03

C 132,507 $20,754.59 $0.1566 $18,399.17 $0.1389 $17,411.42 $0.1314 $0.1314 Commingle $17,411.42

D 25,020 $3,901.23 $0.1559 $3,901.23 $0.1559 $3,287.63 $0.1314 $0.1314 Commingle $3,287.63

E 25,021 $3,897.56 $0.1558 $3,897.56 $0.1558 $3,287.76 $0.1314 $0.1314 Commingle $3,287.76

F 520,168 $76,379.07 $0.1468 $66,562.10 $0.1280 $68,350.08 $0.1314 $0.1280 Drop Ship $66,562.10

G 25,021 $3,899.15 $0.1558 $3,899.15 $0.1558 $3,287.76 $0.1314 $0.1314 Commingle $3,287.76

H 25,021 $3,902.20 $0.1560 $3,902.20 $0.1560 $3,287.76 $0.1314 $0.1314 Commingle $3,287.76

I 25,021 $3,902.17 $0.1560 $3,902.17 $0.1560 $3,287.76 $0.1314 $0.1314 Commingle $3,287.76

1,096,634 $164,112.43 $146,482.30 $144,097.72 Postage $142,309.74

Per Piece $0.1298

Your Estimated Savings: $ XX,XXX.XX

Postal Analysis Shows You How to Save the Most


$164,112.43

$146,482.30

$144,097.72

$142,309.74 Postal Logistics finds the best

blended rate for your campaign,

maximizing your savings.

PostalLogistics

Commin-gling

Drop Ship-ping

Entry Point

It’s in the mail but your job isn’t over:• Budget reconciliation/Invoicing• Mail tracking/Seeds• Samples• Results Analysis• End of Job Recap



Thank You!

The Production Management GroupMeg Ferguson410-290-0667

[email protected]


Marketing

DM 101 - PMG - Direct Mail Production Management