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Case Study: Direct Mail vs. Email Invoices

Case Study: Direct Mail vs. Email Invoices.

AInvoicen electric utility used the Danish Post test methodology to prove that it would be paid faster and at less expense using paper invoices rather than digital invoices.

“Certainly one can’t beat the price of sending invoices by email. At least it appears that way, until one captures all the real costs of doing so.”

“When testing the letter versus email question, a Danish utility company was quite enlightened by the outcome. This Fresh Data Case Study will analyze the true costs of both options and present the quantitative results outlining which is really the most cost effective method. Possible spoiler alert, the results may surprise you.”

“The bottom line is that it cost the company $3.25 per customer to get paid by paper invoice and $5.75 per customer billed by email. That’s a difference of 42.8%.”

“Naturally, questions remain about the transferability of this experiment to other markets. For example, direct mail is pricey in Denmark. Each of those invoices cost Kr6 in postage, which is $1.06! But which way does that cut? Doesn’t it make the case even stronger in the US market where the invoice can go for under $.45, perhaps $.75 all in?”

Full article link: http://www.dataservicesinc.com/news/FreshDataArchiveRead.aspx?artid=79

Source: http://www.dataservicesinc.com

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