Recently, a colleague who works with a software product gave the following numbers for a similar 5-part mailing package:


                  Quantity:                          25,000                  500,000

                  Printing:                          $260/M                  $120/M
                  Lists:                                120/M                    120/M
                  Lettershop                          42/M                      25/M
                  Data Processing*              25/M                      14/M
                  Postage:                          200/M                    170/M**

                  TOTALS:                        $650/M                  $500/M
                                                      ($16,250)              ($200.000)

* DP is an added costs if you have to merge/purge your lists or "de-dupe" or enhance
  them with other data.

** Different costs depend on different levels of qualification.

You're unlikely to get the same numbers from any two printers for the same mailing. It's critical to shop around. Use only printers with deep experience in volume mailing. Most so-called "job shops" can't do this kind of work efficiently. Also, the cost of paper -- which sometimes skyrockets for periods of time -- will heavily impact prices.

If you're inexperienced in pricing jobs, find a direct mail package (you should be keeping a dm "swipe file") that closely resembles what you plan to mail and take it to two or three printers so they can question you on paper stock, colors, bleeds, photos, etc. The person who designs your package should also be able to give you a set of specs to take to printers.

Recently, a client of mine ruined a job trying to save money by going to a small local printer who gave him a low quote. He printed on available stock, a coated paper that had no tactile appeal whatsoever, and he printed and folded the 8«x11 order form so they were all interwoven like Kleenex in a box. The lettershop had to spend hours pulling them apart, and then the coated stock kept sliding off the inserting machines. YUCK!

You can save time and money by using a printer/mailer. Someone with both capabilities under one roof. But always get and check references.