Mind will managing and process its own data using the "bureau in a box" software, with ongoing support from The Software Bureau.
The software offers users a range of data preparation techniques and a number of key suppression files, allowing users to clean, process and utilise their own data without the costly retainers charged by other operators.
Mark Dobson, client services director at The Software Bureau, said: "Mind is an important win for us at The Software Bureau. At a time when badly targeted direct mail is increasingly criticised, Mind has recognised how important it is for a charity to get this right while keeping costs down.
"From its initial conception, we always knew that Cygnus would be perfect for charities. It's great that Mind has led the way and we'll sure many more will follow."
Yael Dion, database marketing analyst at Mind, said: "Keeping expenditure down is something that any charity owes to its supporters and beneficiaries. We're ever mindful of the importance of donor recruitment and retention, and constantly looking for ways to enhance this aspect of what we do in a cost-effective way.
"Working with The Software Bureau is a great way for us to take control of our data and consequently cut costs, with the support of a dedicated team of experts."