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In this tutorial, Kevin demonstrates how to use mail merge to personalize letters. Mail merge allows users to customize greetings in letters, making them feel more personal and relevant to recipients, such as friends and family during the holiday season. This functionality is particularly useful for scenarios where customized communication is essential, like for utility companies sending out letters. Kevin, a Microsoft employee, prepares to guide viewers through the mail merge process on his PC, emphasizing its versatility beyond just holiday letters.