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Kevin shows how to use mail merge to customize letters for personalization. This can be useful for sending personalized letters, such as Christmas cards, to friends and family. By using mail merge, you can include a recipient's first name to make the message more personal. This can also be used in other scenarios, like utility companies sending customized letters. Mail merge allows for mass customization in letters for a more tailored approach. Kevin, a full-time Microsoft employee, provides a tutorial on how to use mail merge efficiently on a PC.