Direct Mail Company DK Solutions Among Fastest Growing Companies In US

Inc. Magazine ranks DK Solutions, an East Brunswick direct mail marketing firm, as one of the 5,000 fastest-growing private companies in America, marking a significant milestone for the New Jersey-based company, now in its seventh year of operation.

“Direct Mail marketing in 2022 is not often thought of as a fast-growing industry, so in our minds this is not just a win for our company, but for the industry in general,” said Liran Kapoano, co-founder and Chief Operating Officer of DK Solutions.

“We worked very hard and executed under extremely difficult conditions over the past three years, but mostly we’re just thrilled that this marketing tactic is making a huge comeback in the 21st century,” he continued.

DK Solutions is also among the top 100 fastest-growing companies in New Jersey and 300 fastest in the greater-New York City region. According to the Small Business Administration, there are over 900,000 small businesses in New Jersey.

Joel Dickstein, co-founder and Chief Executive Officer of DK Solutions, also commented on the company’s accomplishment.

“We are extremely proud to be included in this year’s Inc. 5000 list. To be in the company of the likes of past recipients like Microsoft, Under Armour, Oracle, and Timberland just to mention a few, is both exciting and humbling at the same time,” he said.

Since its founding in 2015, DK Solutions has had one focus: to disrupt the direct mail industry by reducing the overall waste and costs often associated with mail. As experienced leaders and entrepreneurs, Dickstein and Kapoano knew the power of direct mail from their years of digital and print advertising experience.

The two New Jersey residents formed DK Solutions in East Brunswick initially as a consulting firm, that would guide businesses on how to best utilize this well-known, but often poorly implemented, marketing channel. It did not take long before they realized it would be easier, more efficient, and less expensive for everyone involved if they just did the work themselves.

Business was steady for the first five years, and the company found a niche in the insurance world, where direct mail-generated leads are considered the gold standard. Many insurance agents like showing a physical lead that was filled out by the prospect, as part of their in-person sales pitch.

Then Covid-19 happened, and in-person sales disappeared literally overnight, as states implemented stay-at-home orders, and individuals took steps even after they expired to limit their interactions with strangers.

“It had been a long hard road fighting through the normal day-to-day trials and tribulations of a small business. And then the pandemic hit,” Dickstein said. “Aside from shifting response and buying patterns, we had to fight off production prices and postal rates skyrocketing along with supply chain challenges like paper and manpower shortages. I am proud of our team as we were able to fight off every obstacle thrown at us”

Until the mid-2000s, direct mail marketing was the primary marketing choice for many direct-to-consumer businesses. With the advent of digital advertising, more and more marketers left this crucial marketing method behind in favor of paid search ads, email marketing, and social media.

This divergence left a nearly 20-year gap of expertise, which Dickstein and Kapoano sought to remedy. They were shocked to see how many companies were underutilizing direct mail; or conversely, doing it poorly by spending millions of dollars on mass-produced print mail campaigns with abysmal results.

Simultaneously, the wide-spread adoption of digital marketing created an explosion of new firms who specialized in SEO, paid search, social media, email marketing, and sometimes all of the above. While some firms have managed to separate themselves from the pack, others had to distinguish themselves by cutting prices in order to compete – cheapening the hard work they do.

“Today, whether you are a brand or a marketer, differentiating yourself from competitors in the digital space, while keeping up with the endless arms race of algorithm shifts, spam filters, ‘promotions tabs’, and the rise and fall of various platforms is excruciating,” Kapoano said.

After spending some time in the digital advertising world and experiencing these challenges firsthand, Kapoano saw an opportunity. He and Dickstein had worked together for years at another NJ-based firm, managing weekly multi-million mail drops across the United States. So they knew that direct mail success was mainly about finding the right prospect lists, managing the logistics and costs of printing and mailing large quantities of advertisements, having the right message, and then analyzing what worked and what didn’t.

It's a very complex business, but what they never have to be concerned with is what changes Google or Facebook decide to make to their algorithms – or their users’ experiences – as many email marketers were devasted to experience when “promotions” tabs or “focused” inboxes wrecked their business models nearly overnight.

“In our world, none of that matters. If you have a compelling message, the right prospect list, and your ad catches someone’s eye when they go to their mailbox – you’ll get a response,” said Kapoano.

“There’s no spam filter for your mailbox,” he continued.

By developing a strategy to target quality prospects – a methodology they refer to as “TargetList” – DK Solutions can provide companies with a constant flow of leads strictly from prospects that are similar to their existing customers. This increases response rates and closing rates, while lowering the volume of mail sent.

The Inc. 5000 rank further validates this approach and the re-emergence of targeted direct mail advertising, as the company seeks to aggressively expand its client base and position itself as the premier direct mail marketing company for the 2020s.

“We now look forward to taking on new clients and expanding into new verticals.” Dickstein stated, “We are currently executing on our plan of building a significant business outreach program through the fourth quarter of 2022 and into the first quarter of 2023.”

The Inc. 5000 ranking is not the first time DK Solutions has been in the news this year. On Earth day, the company announced a partnership with One Tree Planted, as DK Solutions launched an annual initiative to replant triple the number of trees that were cut down to create the advertisements for their mail campaigns. In May, thousands of new trees were planted in Montana’s Flathead National Forest, creating a net positive environmental impact for DK Solutions.

While the future is always uncertain, one thing is clear: DK Solutions will continue making waves in the direct mail industry as it moves forward with its unique TargetList methodology. With the pandemic receding, the supply chain finally showing some signs of normalizing, and 2022 revenues outpacing last year, the company is aiming to land much higher up on next year’s Inc. 5000 list.

ABOUT DK SOLUTIONS

DK Solutions is a direct mail marketing company that specializes in lead generation for consumer businesses. Its TargetList methodology utilizes data modeling to decrease overall spending without sacrificing response and conversion rates. The firm serves companies in all verticals, including specialization in the insurance industry, home services, mortgage protection, senior needs, and more. For more information, visit www.dksmo.com.

About Inc.

The world’s most trusted business-media brand, Inc. offers entrepreneurs the knowledge, tools, connections, and community to build great companies. Its award-winning multiplatform content reaches more than 50 million people each month across a variety of channels including websites, newsletters, social media, podcasts, and print. Its prestigious Inc. 5000 list, produced every year since 1982, analyzes company data to recognize the fastest-growing privately held businesses in the United States. The global recognition that comes with inclusion in the 5000 gives the founders of the best businesses an opportunity to engage with an exclusive community of their peers, and the credibility that helps them drive sales and recruit talent. The associated Inc. 5000 Conference & Gala is part of a highly acclaimed portfolio of bespoke events produced by Inc. For more information, visit www.inc.com.

For more information on the Inc. 5000 Conference & Gala, visit http://conference.inc.com/.