Transcript Direct mail offers are carefully planned based on historical

Chapter 6
Direct Response
Communications
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Direct Response Advertising
Direct response advertising can be a component of a direct
marketing campaign or a component of an integrated
marketing communications campaign.
Direct Marketing
Developing an offer; communicating
the offer; accepting orders; and
delivering orders
Direct Response
Advertising
Ads placed in any medium that
generate an immediate and
measurable response.
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Direct Response Communications
Blue chip marketing organizations effectively integrate
direct response communications with traditional forms of
communications.
• Direct Mail
• Direct Response Television (DRTV)
• Direct Response Print
• Telemarketing
• Catalogues
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Direct Response Planning
Marketing
Plan
Other IMC
Plans
Direct Response
Plan
Direct Response
Message Strategy
Direct Response
Media Strategy
Fulfillment
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Database Management
It’s the list that makes or breaks the campaign!”
1. Lists are obtained from internal sources
(house lists) and external sources (list
brokers).
2. Data mining is the key to maximizing the
potential of a customer list.
3. Continuous compiling and analysis of
customer information is essential.
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Data Mining
The analysis of information that establishes relationships
between pieces of information; the uncovering of “nuggets” of
information that leads to great offers and increases in sales.
Data mining offers two benefits:
1. It provides a means of profiling the best and
worst customers.
2. It provides a means of predicting future
sales.
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List Brokers and Lists
Brokers provide lists based on demographic characteristics
that marketers are interested in. Lists go through a
merge/purge process to eliminate duplicate names.
• Response List
• Circulation List
• Compiled List
• Online Database
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The Direct Mail Offer
Direct mail offers are carefully planned based on
historical experience. There are numerous components to
an effective direct mail offer:
• Envelope
• Order Form
• Letter
• Postage Paid Return Envelope
• Leaflet or Folder
• Statement Stuffer
• Incentive
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Distribution Options
An organization can go it alone (higher cost) or join
forces with other organizations (to lower costs).
Solo
Direct Mail
Cooperative
Direct Mail
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Unique offers for unique
customers by individual
organizations.
Offers from non-competing
companies in one envelope.
©2005 Pearson Education Canada Inc.
Direct Response Television
DRTV is growing in popularity among traditional
television advertisers. There options include:
• Infomercials
• 30- and 60-second direct response commercials
• Direct home shopping
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Infomercials
The quality of infomercials has improved greatly. A
good infomercial serves a variety of marketing
communications objectives:
• Establish leads
• Build retail traffic
• Launch new products
A brand message can be
combined with a direct
response technique.
• Create awareness
• Protect and enhance image
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Direct Response Print
Print is a good alternative when targeting an audience
based on geographic and psychographic characteristics.
1. Ads in newspapers and magazines
2. Inserts
3. Tip-ins
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Telemarketing
Despite negative perceptions among consumers, telemarketing is
very popular with marketers. The efficiency is incredible!
Call Centre
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Inbound Calls
Outbound Calls
Offers from TV,
Mail or Print
Offers for
Specific Targets
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Roles of Telemarketing
To be effective the telemarketing call must be carefully
planned, and the representative must be thoroughly
trained. Telemarketing is effective for:
• Fundraising
• Sales Support
• Personal Selling
• Fulfillment
• Customer Service
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Catalogues
Catalogue marketing involves the merchandising of
products through catalogue sales.
1. Leaders such as Sears and Canadian Tire see
the value of integrated marketing
communications: catalogues, 1-800 , e-mail,
and traditional forms of media advertising.
2. U.S cataloguers now offer CD versions.
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Catalogues to Grow
There are several factors that will continue to influence
growth in catalogues:
1. Catalogues offer convenience, a top priority
among busy shoppers.
2. Consumers are into “multi-channel” shopping.
3. Companies are producing their own magazines
to stay in touch with customers (CRM).
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