Transcript DIRECT MARKETING

DIRECT MARKETING
Chapter 19 with Duane Weaver
DM (Direct Marketing) Defined
Direct Marketing…an interactive
system of marketing, which uses one or
more advertising media to effect a
measurable response and/or transaction at
any location.
O’Guinn, Allen, Semenik, 4E, p. 673
CHARACTERISTICS OF DM:
1. Interactive…creates dialogue towards action with
consumer over time
2. Usually produce immediate measurable response
3. Takes place anywhere, follow ups by mail, phone,
visit to store, internet…
Database (Direct) Marketing
• Direct Marketers use Databases and
Database Warehouses to accumulate
knowledge about their consumer to facilitate
more effective DM Campaigns:
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Who is the Best Customer for a product or service?
What do they buy?
How often do they buy?
E.G.’s:
• Simple mailing list
• Customer list with characteristic detail: buying
habits, preferences, psychographics,
geographics, demographics, behavioural
graphics, sites visited, information search path,
buying path, promotion sensitivity, information
source points, leisure style and habits, political
orientations, relationships…
Database Applications:
• Frequency-marketing programs
(customer loyalty programs):
– Have a database
– Have a benefit package
– Have a communications
strategy/curriculum with the customer
• Cross-selling:
– Targeting current customers for
alternate/related products and services
based on buyer profiles.
Database Marketing and Privacy
• New Privacy Laws
• Permission based Marketing
Media Applications of DM
• Direct Mail
• Telemarketing
• E-mail
• Informercials
Discussion Questions
• Question 3
• Question 7
• Question 8