Mailing House vs. In-House Mailing: Which Option Is Best for Your Company?

patriciawilliams01
Nov 8, 2024
4 min read

When it comes to sending direct mail campaigns, businesses have two primary options: using a mailing house or handling mailing in-house. Both options come with their advantages and challenges, and choosing the right one depends on various factors such as business size, budget, resources, and mailing volume. This article will help you understand the differences between these two mailing options and guide you toward selecting the best solution for your company.

What Is a Mailing House?

A mailing house (also known as a print and mail service provider) is a third-party company that specializes in handling the printing, preparation, and distribution of mail for businesses. Mailing houses typically offer a wide range of services, including printing marketing materials, addressing envelopes, sorting mail, and even handling postage.

Mailing houses are equipped with large-scale machinery and specialized software that streamline the process of producing and mailing large volumes of direct mail. Many companies opt for mailing houses when they have high-volume or complex mailing needs.

What Is In-House Mailing?

In-house mailing refers to the process of managing all mailing operations internally within the company. This option involves businesses using their own resources, staff, and equipment to print, prepare, and send mail. Smaller companies with lower mailing volumes often choose in-house mailing because it gives them more control over the process.

However, in-house mailing also means that the business must invest in equipment, such as printers, mailing software, and envelope stuffers, as well as dedicate staff to handle tasks like data entry, addressing, and mailing. The business is responsible for ensuring that the entire process runs smoothly from start to finish.

Pros and Cons of Mailing Houses

Pros:

Efficiency and Speed: Mailing houses specialize in mailing operations, so they can complete tasks faster. With state-of-the-art equipment and streamlined workflows, they can process large volumes of mail more efficiently than most in-house setups.
Cost Savings for High Volumes: For businesses with high mailing volumes, using a mailing house can be more cost-effective. Mailing houses can secure bulk postage rates and have economies of scale that reduce the overall cost per piece.
Expertise and Experience: Mailing houses have deep expertise in direct mail campaigns. They understand postal regulations, data privacy, and best practices for sorting and addressing. This experience can help ensure that your mail reaches its destination on time and complies with all necessary guidelines.
Focus on Core Business: Outsourcing mailing to a mailing house allows businesses to focus on their core operations, like sales, marketing, and customer service, without worrying about the logistics of mailing.

Cons:

Less Control: When using a mailing house, companies give up some control over the mailing process. While this may not be a problem for most businesses, those with very specific needs may find it difficult to communicate their expectations.
Initial Setup Costs: Depending on the scope of the mailing campaign, there may be setup fees involved. Businesses may need to invest in their mailing lists, creative materials, and custom options.
Potential for Delays: Relying on an external company means you’re subject to their timelines and availability. If there’s a delay in production or shipping, it can affect your campaign schedule.

Pros and Cons of In-House Mailing

Pros:

Full Control: Managing the mailing process internally gives businesses complete control over every aspect, from creative design to the timing of when the mail is sent. Companies can also make last-minute adjustments without waiting for an external provider.
Customization and Personalization: With in-house mailing, companies have the flexibility to customize their campaigns as they see fit. This could mean including special offers, using unique formats, or personalizing mailings to specific customers.
Flexibility: In-house mailing allows for greater flexibility, particularly for smaller campaigns. Businesses can easily adjust the volume or type of mail depending on the immediate needs of their marketing strategy.
Cost-Effective for Low Volumes: For smaller companies or low-volume campaigns, in-house mailing might be the most cost-effective option since it eliminates the need for an external provider.

Cons:

Labor-Intensive: In-house mailing can be time-consuming and labor-intensive, especially for businesses that lack the proper resources. Staff needs to be dedicated to printing, sorting, and preparing the mail for distribution.
Limited Expertise: While businesses may have some experience with mailing, they likely don’t have the same level of expertise and resources as a professional mailing house. This could lead to errors in addressing, printing, or postage calculations.
Higher Operational Costs for Larger Campaigns: If a business plans to send out large mailings, in-house mailing may become expensive due to the need for specialized equipment, higher postage costs, and staff time.
Space and Equipment: In-house mailing requires space for the equipment and staff necessary to manage the process. Small businesses may not have the space or budget to maintain an in-house mailing operation.

When Should You Use a Mailing House?

A mailing house is the right option for businesses that:

Have high-volume mailing needs.
Want to save time and resources by outsourcing the logistics of mail.
Need to meet specific deadlines or postal regulations.
Want access to bulk postage discounts.
Don’t have the necessary equipment or staff to handle mailing in-house.

When Should You Opt for In-House Mailing?

In-house mailing is ideal for businesses that:

Handle small or infrequent mailing campaigns.
Want to have full control over their marketing efforts.
Have the resources (staff and equipment) to handle mailing tasks efficiently.
Are focused on personalization and customization.
Have the budget to cover the costs of in-house mailing.

Conclusion

Both mailing houses and in-house mailing have their merits, but the decision ultimately depends on your company’s needs, budget, and resources. For high-volume mailing, tight deadlines, or when seeking to cut costs, a mailing house can be a great choice. On the other hand, for smaller campaigns, personalized touch, and greater control, in-house mailing might be more suitable.