OHT 18.1 © Pearson Education Limited 2003 Brassington and Pettitt: Principles of Marketing, 3rd Edition Direct marketing and exhibitions

OHT 18.1

© Pearson Education Limited 2003Brassington and Pettitt: Principles of Marketing, 3rd Edition

Direct marketing and exhibitions

OHT 18.2


Direct marketing definition

An interactive system of marketing which uses one or more advertising media to effect a measurable response at any location, forming a basis for creating and further developing an ongoing relationship between an organisation and its customers.

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Reasons for the growth in directmarketing

Figure 18.1

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The range of direct marketingtechniques

Figure 18.2

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Direct marketing techniques

• Direct mail - material distributed via the postal service to a recipient’s home or business to promote a product/service.

• Direct response advertising - standard broadcast and print media designed to generate a direct response, e.g an order or personal visit.

• Telemarketing - a direct personal, verbal approach via some kind of written or visual method.

• Mail order - the purchase of products featured in advertising or selected from a catalogue.

• Teleshopping - home based shopping.

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Direct mail - the advantages

• Targeting - for example using the post code, targeted campaigns can be developed using geographical / demographical criteria.

• Personalisation - large numbers of personalised mailings can be undertaken regularly.

• Response rates can be high.

• Flexibility of creative scope.

• Can hold attention of reader/recipient.

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Types of direct response advertising

• Freepost (coupon) and freephone.

• Pay post (coupon) and pay phone.

• Pay post (no coupon) and pay phone.

• Freepost and pay phone.

• Pay post (coupon) and freephone.

• Freephone only.

• Internet.

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Principles of direct response (McAlelvey 2001)

(1 of 2)

• The focus should always be on what sells.

• Not always necessary to reinvent the wheel when designing campaigns.

• Make the ‘offer’ the central theme of the designing campaign.

• Long copy can sell if the reader is engaged.

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Principles of direct response (McAlelvey 2001)

(2 of 2)

• Select creativity that sells, not that which just looks good.

• Always test and measure response.

• Select and retain media not on their ratings, but on their ability to sell for you.

• Always ask for the order or for further action.

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Applications of telemarketing

• Generate leads.

• Screen leads before follow up.

• Arrange opportunities for representatives.

• Direct sales.

• Encourage cross / up selling.

• Dealer support.

• Account servicing.

• Market research.

• Test marketing.

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Use of telemarketing

• New business and lead generation 28%

• Customer care 26%

• Customer service 26%

• Brand loyalty 14%

• Crisis management 6%

Source: Cobb 1998

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Do’s and don’ts of telemarketing - The do’s

Table 18.6Source: Clarke (2001), reproduced from Marketing magazine with the permission of the copyright owner, Haymarket Business Publications Limited.

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Do’s and don’ts of telemarketing - The don’ts

Table 18.6 cont.Source: Clarke (2001), reproduced from Marketing magazine with the permission of the copyright owner, Haymarket Business Publications Limited.

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Limitations of telemarketing

• Operational issues - requires systems that can cope with volumes of inbound calls.

• Regulatory issues regarding for example unsolicited mail and cold calling.

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Traditional strengths of mail order

Figure 18.3

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Weaknesses of traditional mail order catalogues

• Lack of speed.

• Downmarket image.

• Lack of targeting.

• Agency system.

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Overcoming the weaknesses

Figure 18.4

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Typical advantages of mail order over retail outlets

Table 18.7

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Objectives of direct marketing

• Direct ordering.

• Providing information.

• Visit generation.

• Trial generation.

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Managing a direct marketing campaign

Figure 18.5

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Database creation and management

Figure 18.7

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Benefits of trade shows & exhibitions

• Product launch and demonstration.

• Learning experience.

• Lead generation.

• Relationship building.

• Visitors’ sense of purpose and absorption in the atmosphere.

• Brand building.

• Market presence.

• PR spin offs and corporate boost.

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Poor exhibition performance

Table 18.13Source: Dudley (1990).

Documents

OHT 18.1 © Pearson Education Limited 2003 Brassington and Pettitt: Principles of Marketing, 3rd Edition Direct marketing and exhibitions