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Chapter 11

Direct Response Media

Copyright © 2012 Pearson Canada Inc.

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Learning Objectives

 Describe the various types of direct-response advertising  Explain the advantages and disadvantages of the various forms of direct-response advertising  Assess the factors considered in, and procedures used for, buying direct mail  Assess the strategies for delivering effective media messages via direct-response techniques.

Copyright © 2012 Pearson Canada Inc.

Direct-Response Advertising

     Direct response advertising “asks for the order” (or other explicit action) in the same communication which presents the offer to prospective customers.

Direct Mail Direct Response Television Direct Response Print Telemarketing 11-3 Copyright © 2012 Pearson Canada Inc.

Trends Affecting Direct Response Advertising

 Need for accountability in advertising spending  Targeting capabilities through customer-relationship management programs – CRM  Diversion of ad dollars from traditional TV and print media for many reasons previously discussed  The rise of social media sites like YouTube and Facebook Copyright © 2012 Pearson Canada Inc.

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Direct Mail

The use of direct mail is widespread due to:

 the ability to personalize the message prospect’s name with the   the ability to send lengthy messages the ability to provide a high degree of geographic coverage economically Copyright © 2012 Pearson Canada Inc.

Direct Mail

Mail is the most common form of direct response advertising. Options include:

     Sales Letters Leaflets and Folders Order Forms Statement Stuffers DVDs Copyright © 2012 Pearson Canada Inc.

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Advantages of Direct Mail

        Audience selectivity High reach Geographic flexibility Creative flexibility Distribution of Incentives Advertiser Control Exclusivity Measurability Copyright © 2012 Pearson Canada Inc.

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Disadvantages of Direct Mail

 High cost per exposure  Absence of editorial support  Image and life span  Potential delivery delays Copyright © 2012 Pearson Canada Inc.

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Buying Direct Mail

There are three basic steps involved in buying direct mail:

1.

Obtaining Direct Mail Lists 2.

Production 3.

Distribution Copyright © 2012 Pearson Canada Inc.

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Obtaining Direct Mail Lists

Lists of names are obtained from internal and external sources.

 Internal  Customer database —a house list  Development of prospects  External    List Brokers Merge / Purge Geomapping Copyright © 2012 Pearson Canada Inc.

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Types of Lists

Specialized quality lists cost more. Names are bought on a CPM basis. Lists available include:

 Response Lists  Circulation Lists  Compiled Lists Copyright © 2012 Pearson Canada Inc.

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Direct-Response Television

1.

2.

Forms of direct response television:

Short form (120 seconds or less) Long form or Infomercials (30 or 60 minutes) 3.

 Direct home shopping In each case, the use of toll-free telephone numbers, websites, and credit cards makes the purchase more convenient for the viewer.

Copyright © 2012 Pearson Canada Inc.

Introducing “Vince Slap Chop” •

http://www.youtube.com/watch?v=rUbW jIKxrrs

• This spot has spawned many takeoffs all of which also promote the brand

Copyright © 2012 Pearson Canada Inc.

Direct Home Shopping

  

Cable television channels (i.e.The Shopping Channel) offer products for sale by broadcast message.

Product messages presented by close-up shots Ordering details presented frequently Provides shopping convenience  The medium lacks glamour, but must not be underestimated for its sales potential.

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Direct-Response Print

It’s common for advertisers to communicate direct-response offers through newspapers and magazines.

   Generate leads for future marketing programs Drive prospects to a website or social media page Get prospects to take action immediately Copyright © 2012 Pearson Canada Inc.

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Inserts

Another direct-response print media alternative is the insert.

 A single or multiple-page document inserted loosely or stitched directly into a publication.

 It can be strip-glued placed as a tip-in (a gum-like glue) or (place an ad and then attach the insert on top of the ad) Copyright © 2012 Pearson Canada Inc.

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Telemarketing

Much telemarketing activity is conducted through call centres.

 A call centre is a central operation that handles all inbound and outbound calls.

 Two types of telemarketing:  Inbound telemarketing  Outbound telemarketing Copyright © 2012 Pearson Canada Inc.

Inbound/Outbound



Telemarketing

Inbound – receiving calls by order desk, customer inquiry, and direct –response calls often through toll-free 1-800 or 1-888 numbers  Outbound – calls that a company makes to customers to develop new accounts, generate sales leads, and even close a sale.

11-22 Call Centre Inbound Outbound Copyright © 2012 Pearson Canada Inc.

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Telemarketing

 Telemarketing is cost efficient.

It is much less expensive than personal selling and mass advertising.

 Proper training and preparation representatives is crucial.

of  The message delivered is as important as the medium itself.

Copyright © 2012 Pearson Canada Inc.

Strategic Considerations for Telemarketing

Scripting plays a significant role in the success of a telemarketing campaign:

       Focus on the relationship Adjust the script approach for your audience Empathize with the receivers Establish rapport and gain attention quickly Keep it short and simple Be prepared Make it easy to say yes Copyright © 2012 Pearson Canada Inc.

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