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How To: Do It Yourself – Yellow Letter Marketing

August 25, 2009 by Scott Costello 17 Comments
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Do It Yourself – Yellow Letter Marketing:

Materials Required:
- Stamps
- 8-1/2” x 11” yellow ruled-paper
- 8-1/2” x 11” white paper
- 4-3/8″ x 5-3/4″ Ivory Invitation Envelopes
- Red Ink Pens (Gel)
- Extra Printer Ink Cartridges
- Computer Scanner
- Image Editing Software
- Word Processing Software
- Local Personal Assistant
- Handwriting Font

Objective:
Yellow-Letter marketing has been proven over the years as one of the most effective marketing methods available.  When sending a personalized, handwritten, hand-addressed yellow letter; it is not uncommon for marketers to experience response rates as high as 15%.

As a Real Estate Investor, marketing is what drives your business.  A 15% response rate can inundate you with calls so be sure to be prepared.  Read on, and I will give you the complete Do-It-Yourself instructions for creating a Real Estate Investor Yellow-Letter Direct-Mail campaign.

Step 1: Write the Letter

Place a white sheet of 8.5” x 11” paper directly over a sheet of 8.5” x 11” yellow ruled-paper.  By doing this you should be able to faintly view the ruled lines from the underlying paper (if you have access to a light box, I suggest using it for assistance), this will keep your writing straight and the lines spaced according to the paper your letters will end-up printed on.  Write your marketing copy on the white sheet of paper and be sure to leave spaces for fields that will be specific to the recipient (mail-merge will be used to fill those spaces with specific text).  An example of the copy I wrote is below:

pic1

You may of course, use any copy you wish.  This is just an example of my letter that was used to target homeowners in my farm area.  Where you see circles, is where my Mail-Merge fields were to be placed.


Step 2: Scan the Letter to Image

Place the white paper with the handwritten marketing copy on a scanner and scan the image into an Image Editing Software.  I personally use Adobe Fireworks, but any basic Graphics application will work for this project.  You want to use the software to clean-up any smudges or inconsistencies that were scanned in (if necessary).  Then save the image as a JPEG file.

Step 3:  Edit the Image

Open a word-processing application.  I personally use Microsoft Word 2003; however any word-processing software with the Mail-Merge feature will suffice.  If you’re strapped for cash, you may obtain OpenOffice which contains a free word-processing application that has the Mail-Merge feature.  OpenOffice is fairly similar to Microsoft Word.

Open a new document and import the handwritten JPEG into the document.  You will do this twice as you need to crop the main JPEG twice to divide the image, so to make room for the mail-merge text fields.

pic2


Step 4: Create Handwriting Font

Create a font using your own handwriting.  I used the website www.yourfonts.com to create mine.  It is very easy to create a font with your own handwriting using their service.  I won’t detail the instructions for their service here, but after following their simple directions you’ll have your handwriting font as an option available in your word-processing application.  This takes 20 minutes or less.

Step 5: Setup Mail-Merge

I won’t detail how to use Mail-Merge here as the process differs per word-processing application.  However, since I am aware of the fact that Microsoft Word is the most widely used application you may view Mail-Merge instructions here: http://office.microsoft.com/en-us/help/HA010349201033.aspx

For any of you that use a different application and want to know how to use Mail-Merge for it, Google it.

Step 6: Apply the Handwriting font

Once you have your Mail-Merge setup, you will have place-holders that show where the Mail-Merge fields are.  If you’re using MS-Word, those fields will have containers of “<<” and “>>”.  So for instance, your first field may be “<<Greeting>>”.  You will need apply your handwriting font to the fields and adjust the font-size to match the size of your actual handwriting which was scanned in.

Step 7: Print your letters

After scanning in the static handwritten text of your marketing letter and applying your handwritten font to the dynamic Mail-Merge fields, you’re ready to go.  Load your printer with your loose-leaf, yellow ruled paper and print your campaign.

It is very hard to distinguish the handwritten-font from the scanned-in handwriting, thus the reason I suggest using a mix of both.  When you use a handwritten-font for the entire document and don’t scan-in your actual handwriting, it looks very computer-generated like this:

pic3

Although this is my custom handwritten-font that I generated on www.yourfonts.com, the font does not look natural.  But when you mix in the handwriting font with your actual scanned-in handwriting, you get a great result as seen below:

pic4

Looks pretty good right?  If, I didn’t tell you I doubt you’d be able to identify the mail-merged fields.
Step 8: Local Assistant

After you have a stack of papers printed, each unique to the homeowner recipient, you will need to find a local assistant to hand-address and stuff your invitation envelopes.  Here is an example envelope:

Front:

pic5

Back:

pic6

Try to keep the envelopes as simple as possible.  Only write the destination address on the front and place the return address on the back.  Do not include your company name in the return address.
Step 10: Affix Stamps and Send

Go with actual adhesive stamps and not any printed-type, the common theme here is personalization.  You may have your assistant affix the stamps or you can do that yourself.  Then take the envelopes to your nearest mailbox or Post Office and send them out, wait a couple of days for the flood of calls!

Price Break-Down:

You may be saying to yourself, “Why would I go through such trouble, when there are services out there that can do this for me”.  Well, if you’re just starting out, doing this yourself can get you in the game with quite a bit of cost savings.  However, if you’re a veteran I wouldn’t suggest going the DIY route as it is very time consuming, at least for the initial run.  Here is the itemized price break-down/comparison for a campaign of 900 letters (actual prices from a campaign of mine):

pic7

by Justin McClelland

www.justinmcclelland.com

Information about me:

I’m a rookie wholesaler that is working exceptionally hard to make it in Real Estate Investing.  Through my preparation and hardwork, I plan to accumulate a networth of 7 figures before the age of 30, and I turn 29 in November 2009.

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Filed Under: All, Articles, Featured, Guest Writers Tagged With: Articles, budget, Getting Started, How To, Marketing, Wholesaling, Wholesaling Real Estate, yellow letters

Comments

  1. Dave Peniuk says:
    November 30, 2009 at 12:24 pm

    Thanks Justin/Scott for this step by step tutorial on how to do the yellow letter campaign. We are currently in the process of doing the campaign and DIO (did it ourselves). We are saving a considerable amount of money as well. We too hired local assistants to not only write the address on the letter but also on the envelope (and stuff it too). We are finding it is costing us a little under $1.00 per name (but our postage is more in Canada and we aren't using Word mail merge like you are).

    Our response rates are hitting 20%++ thus far, but to date, we aren't finding many motivated sellers. How are your's looking?

    Cheers

    Reply
  2. strugglinginvestor says:
    November 30, 2009 at 2:19 pm

    Always look forward to your comments Dave!

    I'm not sure if Justin is still checking for comments on this article, but I will forward your comment to him.

    Reply
  3. Dave Peniuk says:
    November 30, 2009 at 5:24 pm

    Thanks Justin/Scott for this step by step tutorial on how to do the yellow letter campaign. We are currently in the process of doing the campaign and DIO (did it ourselves). We are saving a considerable amount of money as well. We too hired local assistants to not only write the address on the letter but also on the envelope (and stuff it too). We are finding it is costing us a little under $1.00 per name (but our postage is more in Canada and we aren't using Word mail merge like you are).

    Our response rates are hitting 20%++ thus far, but to date, we aren't finding many motivated sellers. How are your's looking?

    Cheers

    Reply
  4. strugglinginvestor says:
    November 30, 2009 at 7:19 pm

    Always look forward to your comments Dave!

    I'm not sure if Justin is still checking for comments on this article, but I will forward your comment to him.

    Reply
  5. schwaps says:
    February 2, 2010 at 6:01 pm

    Hey Dave, I'm two months late…but better that than never right? As far as response rate, I experienced about 14%. If you're getting over 20%, maybe you need to be posting an article and not me! But even with my 14%, I didn't reach many motivated sellers (unfortunately we have that in common). Out of about 700 letters, I had 5 solid leads and all fell through. Oh well, I learned alot. And my Realtor got some good listing-leads out of the deal.

    Reply
  6. KathyInPhilly says:
    February 3, 2010 at 2:16 pm

    Oh I just ran into your blog and this is great that I'm not the only struggling investor! By the way I use a yellow letter company that charges a little less than $.80 per mail (yellow letter, handwritten letter, live stamp): http://www.gofastink.com and they mail out your pieces in 2 days or so.
    Can I ask you for your probate investing, how many times do you send mail to them? I started mailing to a preforeclosure mailing list but am getting very little response, so I think I'll go back to probate (but it's more work to find the list)

    Reply
  7. strugglinginvestor says:
    February 3, 2010 at 3:07 pm

    Thanks for the helpful tip about gofastink.com. I will check it out and compare costs with what I'm doing now.

    I mail to my probate leads twice, 1 letter and a follow up postcard. In the future I may start mailing more, but I'm following Ron Meads advice and sticking with the above. For many it's a pain to get the probate leads, I was lucky enough to stumble onto someone who sells them to me. Costly at $100 a month, but I can't make it to the the courthouse during the week so it's my only option.

    Reply
  8. ron says:
    February 3, 2010 at 4:34 pm

    can anyone share the content of your yellow letters?
    ron at orbitelcom.com.

    thanks,

    Ron

    Reply
  9. ron says:
    February 3, 2010 at 4:36 pm

    justin. i saw your youtube video on getting your content to “lined up” correctly on your yellow paper. Can you share how exactly you did this?

    Reply
  10. schwaps says:
    February 3, 2010 at 4:54 pm

    I haven't perfected this, however you will need to do alot of adjusting to the image-size and page margins before you can have your letter semi-lined up. You will most likely run through about 20+ test sheets before you get it right.

    Reply
  11. Mike says:
    May 1, 2010 at 6:39 am

    Where can I find the yellow paper?

    Reply
  12. Eugene says:
    September 6, 2011 at 9:55 pm

    Thanks for this info on yellow marketing, Makes perfect sense.

    I needed a bit more info on the subject, I believe I’m all caught up now.

    I’ll start writing my letters.

    Again, thanks.

    Reply
  13. Eddie says:
    October 7, 2011 at 1:41 pm

    Love the info! I’m a newbie as well. Got you site lock in as a favorite. Keep up the good work!

    Reply
    • Scott Costello says:
      October 7, 2011 at 1:54 pm

      Hey Eddie,

      Thanks for coming by and reading my blog. Let me know if you ever have any questions.

      Reply

Trackbacks

  1. My Real Estate Quarter Year Progress Report | Struggling to Get Started says:
    March 26, 2010 at 8:59 am

    [...] The top spot is my homepage, which should naturally get the most traffic.  Surprisingly though the number 2 spot is taken by an article Justin McClelland wrote for my site about Yellow Letter Marketing. [...]

    Reply
  2. Yellow Letter Marketing — JonathanMickles.com JonathanMickles.com says:
    January 12, 2011 at 2:16 am

    [...] I would recommend that you take a look at the above in conjunction to what I used on “Struggling Investor” – http://www.strugglinginvestor.com/2009/08/how-to-do-it-yourself-yellow-letter-marketing/ [...]

    Reply
  3. Sending Yellow Letters To Homeowners In Pre Foreclosure at preforeclosuredata.net says:
    April 24, 2011 at 12:06 am

    [...] Justin McClelland, a real estate wholesaler, wrote a great how-to resource that shows you, from start to finish, how to write your letter, scan it and put the project on auto pilot. > Read the article here. [...]

    Reply

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