• Los Angeles Times, Wednesday, June 13, 2007 11:32 AM

Trying to capitalize on rising postal rates and an aversion to junk mail, Newport Beach-based PowerDirect delivers colorful and glossy door-hanger ads that often come with coupons for department stores such as Macy's or Old Navy.

PowerDirect CEO Bill Borneman tracks his workers with global positioning systems to make sure the door hangers are delivered to the right places and on time, and he uses direct-mail targeting strategies to make sure the ads are reaching people who might respond to them.

The Quiznos restaurant chain used PowerDirect when it began offering home delivery last year. Josh Kern, who was then senior vice president of marketing for the company, says that nearly 3% of households that received door hangers responded to the ads--more than double the response rate to direct-mail ads for the same campaign. Door hangers, at 31 cents apiece, were half the price of direct mail.

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