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The pairing of digital printing technology with sophisticated data processing promises great possibilities for producing customized, targeted direct marketing communications. But putting the two together can be quite a challenge, as there are many facets that must be coordinated to create successful campaigns.

To maximize relevance to recipients, an immense amount of data must be collected on each market segment to be reached. Significant data processing knowledge is then needed to process that information quickly enough to fit into a fast-moving production work flow.

The design of the communication itself must attract attention and induce responses while being flexible enough to handle all permutations of the data. Last but certainly not least, digital output capabilities must be in place to create finished pieces that compel recipients to respond to an offer that appears to have been created just for them.

It's these output capabilities that are perhaps the most-improved functions in direct mail personalization. Current digital printing presses offer reproduction quality so close to offset that most people can't see the difference. In addition, faster running speeds, a wider range of stock and coating choices, and lower overall production costs have allowed variable data printing to fit into many more budgets.

These advantages mean digital printing can improve the production of many direct mail applications. Here are a few ways digital printing can be used:

• Static printing

  These are short-run color printing applications, such as a few hundred copies of a self-mailer booklet. Although none of the content changes, static printing applications take advantage of digital printing's speed to offer quick turnarounds and high-quality production of projects that might otherwise be done by offset printing. This could be an ideal solution when a select group of customers, prospects or donors need an up-to-the-minute communication in a very short time.

• Hybrid printing

  Hybrid products combine static and variable content elements, such as a personalized cover applied to an offset-produced booklet. Another possibility is to print “shells” for direct mail pieces on an offset press and then customize them on a digital printer. One of the main advantages to hybrid print production is the ability to create a high volume of customized products at a lower cost.

• Variable data printing

  This is perhaps the most powerful — and most talked-about — digital printing application. It involves the placement of variable content elements that allow for differing degrees of customization on a printed piece. There are several different levels of variable data printing, ranging from the simple change of a name and salutation to pieces comprised completely of data-driven content, including charts, graphics, images and paragraphs of text.

Variable data printing allows marketers to put to use all the information they have on recipients. In a marketing program involving a sequence of mailings, for example, responses to early campaigns can be used to tailor messages for subsequent drops.

A growing telecommunications client wanted its representatives throughout the country to be able to quickly distribute customized marketing materials tailored to both the location and demographics of each rep. To accommodate these requirements, the client was printing nearly 100 versions, with total production quantities approaching 500,000 per month. The customer found it was destroying a high percentage of pieces after just a few months once rates and other time-sensitive information became obsolete.

A Web-based interface was developed to enable reps to place orders for materials from any location. In addition, each rep was able to choose from among several personalization options — including images and text specific to the rep and their area — from easy-to-use drag-and-drop menus. Once an order is placed, customized pieces reach representatives in less than three days. To keep costs down and provide a measure of control, all agents are allotted a monthly quota of pieces they can order. This function is managed centrally.

Results have been good. While the cost for each piece is higher than before, total production costs are much lower, as reps only order what they'll use. Waste has been trimmed to less than 5% and response rates are up.

Another company was struggling to estimate production quantities of several marketing pieces in a promotion kit. These kits are sent to prospects on request, so they must be fulfilled quickly to capitalize on the opportunity. To do this, hybrid-printed shells were imaged with customized information before distribution.

This manufacturer of technology products wanted a solution that would reduce overall costs, enhance responses and allow for increased customization to make the kits more relevant to recipients. And of course, fulfillment and distribution had to remain fast.

An online order-management system was set up to let the company select from several options to personalize its materials. This helped control production costs by allowing customers to order only the pieces they needed when they needed them. The Web site's interface was designed for fast ordering; the entire process of selecting personalization options and placing an order took less than 15 minutes.

Regardless of the specific application, variable data printing gives marketers the power to take full advantage of all the information they've collected on customers and prospects. Combined with digital printing technology and Web interfaces that simplify ordering and personalizing, making direct mail more powerful has never been easier.

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Sylvia Konkel (SKonkel@euservices.com) is vice president of marketing for EU Services in Rockville, MD.