Sie sind auf Seite 1von 11

Direct marketing is a channel-agnostic form of advertising that allows businesses and nonprofits organizations to communicate straight to the customer,

with advertising techniques that can include Cell Phone Text messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional letters, and outdoor advertising. Direct marketing messages emphasize a focus on the customer, data, and accountability. Characteristics that distinguish direct marketing are: 1. Marketing messages are addressed directly to the customer and/or customers. Direct marketing relies on being able to address the members of a target market. Addressability comes in a variety of forms including email addresses, mobile phone numbers, Web browser cookies, fax numbers and postal addresses. 2. Direct marketing seeks to drive a specific "call to action." For example, an advertisement may ask the prospect to call a free phone number or click on a link to a website. 3. Direct marketing emphasizes trackable, measurable responses from customers regardless of medium. Direct marketing is practiced by businesses of all sizes from the smallest start-up to the leaders on the Fortune 500. A well-executed direct advertising campaign can prove a positive return on investment by showing how many potential customers responded to a clear call-to-action. General advertising eschews calls-for-action in favor of messages that try to build prospects emotional awareness or engagement with a brand. Even well-designed general advertisements rarely can prove their impact on the organizations bottom line.

Popularity of Direct Advertising[edit|edit source]


A recent study by the Direct Marketing Association reports that in 2010, marketers commercial and nonprofit spent $153.3 billion on direct marketing, which accounted for 54.2% of all ad expenditures in the United States. Measured against total US sales, these advertising expenditures generated approximately $1.798 trillion in incremental sales. In 2010, direct marketing accounted for 8.3% of total US gross domestic product. Also in 2010, there were 1.4 million direct marketing employees in the US. Their collective sales efforts directly supported 8.4 million other jobs, accounting for a total of 9.8 million US jobs.
[1]

History[edit]
Mail order pioneer Aaron Montgomery Ward knew that by using the technique of selling products directly to the customer at appealing prices could, if executed effectively and efficiently, revolutionize the market industry and therefore be used as an innovative model for marketing products and creating customer [2] loyalty. The term "direct marketing" was coined long after Montgomery Ward's time. In 1872, Aaron Montgomery Ward produced the first mail-order catalogue for his Montgomery Ward mail order business. By buying goods and then reselling them directly to customers, Ward was consequently removing the middlemen at the general store and, to the benefit of the customer, drastically lowering the [2] prices. The Direct Mail Advertising Association, predecessor of the present-day Direct Marketing [3] Association, was first established in 1917. Third class bulk mail postage rates were established in [4] 1928.

In 1967, Lester Wunderman identified, named, and defined the term "direct marketing". Wunderman considered to be the father of contemporary direct marketing is behind the creation of the toll-free 1[2] 800 number and numerous loyalty marketing programs including the Columbia Record Club, the [5] magazine subscription card, and the American Express Customer Rewards program.

Benefits[edit]
Direct marketing is attractive to many marketers because its positive results can be measured directly. For example, if a marketer sends out 1,000 solicitations by mail and 100 respond to the promotion, the marketer can say with confidence that campaign led directly to 10% direct responses. This metric is known as the 'response rate,' and it is one of many clearly quantifiable success metrics employed by direct marketers. In contrast, general advertising uses indirect measurements, such as awareness or engagement, since there is no direct response from a consumer. Measurement of results is a fundamental element in successful direct marketing. The Internet has made it easier for marketing managers to measure the results of a campaign. This is often achieved by using a specific website landing page directly relating to the promotional material. A call to action will ask the customer to visit the landing page, and the effectiveness of the campaign can be measured by taking the number of promotional messages distributed (e.g., 1,000) and dividing it by the number of responses (people visiting the unique website page). Another way to measure the results is to compare the projected sales or generated leads for a given term with the actual sales or leads after a direct advertising campaign.

Challenges and Solutions[edit]


While many marketers recognize the financial benefits of increasing targeted awareness, some direct marketing efforts using particular media have been criticized for generating poor quality leads, either due to poor message strategy or because of poorly compiled demographic databases. This poses a problem for marketers and consumers alike, as advertisers do not wish to waste money on communicating with consumers not interested in their products. Some of these concerns have been addressed by direct marketers by the use of individual "opt-out" lists, variable printing, and better-targeted list practices. Additionally, in order to avoid unwanted mailings, members of the marketing industry have established preference services that give customers more control over the marketing communications they receive in the mail. The term "junk mail," referring to unsolicited commercial ads delivered via post office or directly deposited [6] in consumers' mail boxes, can be traced back to 1954. The term "spam," meaning "unsolicited [7] commercial e-mail," can be traced back to March 31, 1993, although in its first few months it merely referred to inadvertently posting a message so many times on UseNet that the repetitions effectively drowned out the normal flow of conversation. To address the concerns of unwanted emails or spam, in 2003, The US Congress enacted the Controlling the Assault of Non-Solicited Pornography and Marketing (CAN-SPAM) Act to curb unwanted email messages. Can-Spam gives recipients the ability to stop unwanted emails, and set out tough penalties for [8] violations. Additionally, ISPs and email service providers have developed increasingly effective Email Filtering programs. These filters can interfere with the delivery of email marketing campaigns, even if the [9] person has subscribed to receive them, as legitimate email marketing can possess the same hallmarks

as spam. There are a range of email service providers that provide services for legitimate opt-in emailers to avoid being classified as spam. Consumers have expressed concerns about the privacy and environmental implications of direct marketing. In response to consumer demand and increasing business pressure to increase the effectiveness of reaching the right customer with direct marketing, companies specialize in targeted direct advertising to great effect, reducing advertising budget waste and increasing the effectiveness of delivering a marketing message with better geo-demography information, delivering the advertising message to only the customers interested in the product, service, or event on offer. Additionally, members of the advertising industry have been working to adopt stricter codes regarding online targeted [10] advertising.

Direct Marketing Channels[edit]


Any medium that can be used to deliver a communication to a customer can be employed in direct marketing, including:

Email Marketing[edit]
Sending marketing messages through email or Email marketing is one of the most widely used direct[citation needed] marketing methods. One reason for email marketing's popularity is that it is relatively inexpensive to design, test, and send an email message. It also allows marketers to deliver messages around the clock, and to accurately measure responses.

Online Tools[edit]
With the expansion of digital technology and tools, direct marketing is increasingly taking place through online channels. Most online advertising is delivered to a focused group of customers and has a trackable response. Display Ads are interactive ads that appear on the Web next to content on Web pages or Web services. Formats include static banners, pop ups, videos, and floating units. Customers can click on the ad to respond directly to the message or to find more detailed information. According to research [11] by eMarketer, expenditures on online display ads rose 24.5% between 2010 and 2011. Search: 49% of US spending on Internet ads goes to search, in which advertisers pay for prominent placement among listings in search engines whenever a potential customer enters a relevant search term, allowing ads to be delivered to customers based upon their already-indicated search [12] criteria. This paid placement industry generates more than $10 billion dollars for search companies. Marketers also use search engine optimization to drive traffic to their sites. Social Media Sites, such as Facebook and Twitter, also provide opportunities for direct marketers to communicate directly with customers by creating content to which customers can respond.

Mobile[edit]
Through mobile marketing, marketers engage with prospective customers and donors in an interactive manner through a mobile device or network, such as a cellphone, smartphone, or tablet. Types of mobile marketing messages include: SMS: (short message service) marketing communications are sent in the form of text messages, also known as texting. MMS: (multi-media message service) These messages

use elements such as images, video, and audio; Mobile Applications: Smartphone-based mobile apps contain several types of messages. Push Notifications are direct messages sent to a user either automatically or as part of a campaign. They include transactional, marketing, geo-based, and more. Rich Push Notifications are full HTML Push Notifications. Mobile apps also contain Interactive ads that appear inside the mobile application or app; Location-Based Marketing: marketing messages delivered directly to a mobile device based on the user's location; QR Codes (quick-response barcodes): This is a type of 2D barcode with an encoded link that can be accessed from a smartphone. This technology is increasingly being used for everything from special offers to product information. Mobile Banner Ads: Like standard banner ads for desktop Web pages but smaller to fit on mobile screens and run on the mobile content network

Telemarketing[edit]
Another common form of direct marketing is telemarketing, in which marketers contact customers by phone. The primary benefit to businesses is increased lead generation, which helps businesses increase sales volume and customer base. The most successful telemarketing service providers focus on generating more "qualified" leads that have a higher probability of getting converted into actual sales. In the United States, the National Do Not Call Registry was created in 2003 to offer consumers a choice whether to receive telemarketing calls at home. The FTC created the National Do Not Call Registry after a [13] comprehensive review of the Telemarketing Sales Rule (TSR). The do-not-call provisions of the TSR cover any plan, program, or campaign to sell goods or services through interstate phone calls. The provisions do not cover calls from political organizations, charities, telephone surveyors, or companies [14] with which a customer has an existing business relationship. Canada has its own National Do Not Call List (DNCL). In other countries it is voluntary, such as the New Zealand Name Removal Service.

Voicemail Marketing[edit]
Voicemail marketing emerged out of the market prevalence of personal voice mailboxes, and business voicemail systems. Voicemail marketing presented a cost effective means by which to reach people directly, by voice. Abuse of consumer marketing applications of voicemail marketing resulted in an abundance of "voice-spam," and prompted many jurisdictions to pass laws regulating consumer voicemail marketing. More recently, businesses have utilized guided voicemail (an application where pre-recorded voicemails are guided by live callers) to accomplish personalized business-to-business marketing formerly reserved for telemarketing. Because guided voicemail is used to contact only businesses, it is exempt from Do Not Call regulations in place for other forms of voicemail marketing. Voicemail courier is a similar form of voicemail marketing with both business-to-business and business-to-consumer applications.

Broadcast Faxing[edit]
Broadcast faxing, in which faxes are sent to multiple recipients, is now less common than in the past. needed] This is partly due to laws in the United States and elsewhere which regulate its use for consumer marketing. In 2005, President Bush signed into law S. 714, the Junk Fax Prevention Act of 2005 (JFPA), which allows marketers to send commercial faxes to those with whom they have an established business relationship (EBR), but imposes some new requirements. These requirements include providing an optout notice on the first page of faxes and establishing a system to accept opt-outs at any time of the day.
[citation

Roughly 2% of direct marketers use fax, mostly for business-to-business marketing campaigns. Also, due to the popularity of a variety of digital communication methods, the overall use of faxes is less than in the past.

[15]

Couponing[edit]
Couponing is used in print and digital media to elicit a response from the reader. An example is a coupon which the reader receives through the mail and takes to a store's check-out counter to receive a discount. Digital Coupons: Manufacturers and retailers make coupons available online for electronic orders that can be downloaded and printed. Digital coupons are available on company websites, social media outlets, texts, and email alerts. There are an increasing number of mobile phone applications offering digital coupons for direct use. Daily Deal Sites offer local and online deals each day, and are becoming increasingly popular. Customers sign up to receive notice of discounts and offers, which are sent daily by email. Purchases are often made using a special coupon code or promotional code. The largest of these sites, Groupon, has over 83 [16] million subscribers.

Direct Response TV[edit]


Direct marketing via television (commonly referred to as DRTV) has two basic forms: long form (usually half-hour or hour-long segments that explain a product in detail and are commonly referred to as infomercials) and short form, which refers to typical 30-second or 60-second commercials that ask viewers for an immediate response (typically to call a phone number on screen or go to a website). TVresponse marketing i.e. infomercials can be considered a form of direct marketing, since responses are in the form of calls to telephone numbers given on-air. This allows marketers to reasonably conclude that the calls are due to a particular campaign, and enables them to obtain customers' phone numbers as targets for telemarketing. One of the most famous DRTV commercials was for Ginsu Knives by Ginsu Products, Inc. of RI. Several aspects of ad, such as its use of adding items to the offer and the guarantee of satisfaction were much copied, and came to be considered part of the formula for success with shortform direct-response TV ads (DRTV)

Direct Mail[edit]
Main article: Advertising mail See also: Direct mail fundraising The term "direct mail" is used to refer to communications sent to potential customers or donors via the postal service and other delivery services. Direct mail is sent to customers based on criteria such as age, income, location, profession, buying pattern, etc. Direct mail includes advertising circulars, catalogs, free-trial CDs, pre-approved credit card applications, and other unsolicitedmerchandising invitations delivered by mail to homes and businesses. Bulk mailings are a particularly popular method of promotion for businesses operating in the financial services, home computer, and travel and tourism industries. In many developed countries, direct mail represents such a significant amount of the total volume of mail that special rate classes have been established. In the United States and United Kingdom, for example, there are bulk mail rates that enable marketers to send mail at rates that are substantially lower than regular first-class rates. In order to qualify for these rates, marketers must format and sort the mail in

particular ways which reduces the handling (and therefore costs) required by the postal service. In the [17] US, marketers send over 90 billion pieces of direct mail per year Advertisers often refine direct mail practices into targeted mailing, in which mail is sent out following database analysis to select recipients considered most likely to respond positively. For example, a person who has demonstrated an interest in golf may receive direct mail for golf-related products or perhaps for goods and services that are appropriate for golfers. This use of database analysis is a type of database marketing. The United States Postal Service calls this form of mail "advertising mail" (admail for short). Advertising mail, also known as direct mail (by its senders), junk mail (by its recipients), or admail, is [1][2] the delivery of advertising material to recipients of postalmail. The delivery of advertising mail forms a large and growing service for many postal services, and direct-mail marketing forms a significant portion of the direct marketingindustry. Some organizations attempt to help people opt out of receiving advertising mail, in many cases motivated by a concern over its negative environmental impact. Numerous polls have found that Americans consider advertising mail to be intrusive. Advertising mail includes advertising circulars, coupon envelopes (Money Mailer, Valpak), catalogs, CDs, pre-approved credit card applications, and other commercialmerchandising materials delivered to homes and businesses. It may be addressed to pre-selected individuals, or unaddressed and delivered [3][4] on a neighbourhood-by-neighbourhood basis. Postal systems offer lower rates for buyers of bulk mail permits. In order to qualify for these rates, marketers must format and sort the mail in specific ways which reduces the handling required by the [5] postal service. Income from advertising mail represents a significant and growing portion of some postal services' [6] budgets, and it is a service actively marketed by them. In Canada, addressed and unaddressed [7] advertising mail accounted for 20% of Canada Post's revenue in 2005, and the share is [8] increasing. Postal services employ the terms advertising mail, admail, and direct mail, while avoiding [9][10] and objecting to the pejorative term junk mail. The United States Postal Service offers a direct mail service "Every Door Direct Mail" that provides resources for businesses to target, design, print and mail to specific households without needing to know the addresses. In many developed countries, advertising mail represents a significant and growing amount of the total volume of mail. In the United States, "Standard mail: advertising" comprised 29% of all mail in 1980 and [11] 43% in 2003.

Direct mail marketing


Direct mail is a common form of direct marketing, and may be employed by for-profit businesses, charities and other non-profits, political campaigns, and other organizations.

Targeting[edit]
Advertisers often refine direct mail practices into targeted mailing, in which mail is sent [12] following database analysis to select recipients considered most likely to respond positively. This reduces costs for mailers by narrowing the mailing universe to only the most likely audience. For example, a person who has demonstrated an interest in golf may receive direct mail for golf-related

products, or perhaps for goods and services that are appropriate for golfers. This use of database analysis is a type of database marketing. Alternatively, unaddressed direct mail may be sent on a neighbourhood-by-neighbourhood basis. Whether at the individual or neighbourhood level, direct mail marketing allows recipients to be targeted, attempting to match the demographic profile of the recipients to one most closely matching that of likely customers. Individually targeted direct mail may be tailored based on previous transactions and gathered data. For example, all male recipients of an offer may receive a personalized package with a mans picture on the cover, while all female recipients receive a picture of a woman. Often advertisers will include a Johnson Box in letters. These are aimed at drawing the targeted [13] consumers into reading further in the letter.

Cost-effectiveness[edit]
To the non-professional direct mail may seem wasteful, yet the medium can be one of the most costeffective. Database targeting combined with an effective pricing, creative and list strategy can reduce waste and maximize profitable results for the mailer. Testing is accomplished in a variety of ways [14] including A/B split testing of new mailings versus a control, testing lists through "Nth" name selects.

Political usage
Political campaigns make frequent use of direct mail, both to gain votes from the electorate as a whole, and to target certain groups of voters thought to be open to a candidate's message and to appeal for campaign funds. Certain organizations and individuals have become known for their prowess in direct mail, including in the US, the Free Congress Foundation in the 1970s, Response Dynamics, Inc. in the 1980s, the National [16] Congressional Club, and Richard Viguerie. With the advent of the Internet in political campaigns, direct mail became just one of many campaign management tools, but still played a significant role.

Current relevance[edit|edit source]


Direct mail marketing is under scrutiny by many of its former and current advocates. The arguments against using direct mail marketing include possible impact on the environment and changing attitudes among consumers. The common practice of address standardization can defeat the purpose of [citation needed] advertising mail by stripping away local identity, thus leaving many recipients alienated. It is also argued that direct mail is not cost efficient. It has been suggested that social media will eventually [citation needed] replace direct mail as the preferred method for marketing communications. Those who believe direct mail marketing has a future cite its strong growth in 2011. It has been reported that large publishers like theTribune Company and RR Donnelley have growing direct mail divisions. Nonprofit organizations continue to use direct mail at a subsidizedUSPS rate. The drama will continue to unfold with more answers coming in the first quarter of 2013.
[17]

Business-to-Business mailings (B2B)[edit]


When targeted to other businesses rather than individuals, direct mail is known as a business to business mailing. Traditionally, this worked in one of two ways: as a direct sale, therefore precluding the use of a salesperson or a retail store, or as a method of generating leads for a salesforce. The former method was ideally used by products that were easy to sell, were familiar to the prospect and needed no

demonstration. The latter method was used for large-ticket items or for those that needed demonstration, for example. One method of direct mailing used in B2B is known as "bill-me". In this direct-mail marketing offer, the [18] buyer is shipped the product prior to payment and then is sent an invoice later.

Opting out[edit|edit source]


Several organizations offer opt-out services to people who wish to reduce or eliminate the amount of [19] addressed advertising mail they receive. In the UK, the Mailing Preference Service allows people to register with them for removal from posted as opposed to hand-delivered mail. In the United States, there [20] are several nonprofit organizations offering these services, such as 41pounds.org, as well as private [21] sector alternatives like Greendimes. Several websites critical of junk mail have guides for people [22] interested in reducing the amount of junk mail they get, such as the Center for a New American Dream. In response to a US Supreme Court ruling (Rowan v. Post Office Dept. ), the United States Postal Service enables an applicant to obtain a Prohibitory Order, which gives people the power to stop nongovernmental organizations from sending them mail, and to demand such organizations remove the consumers information from their mailing lists. In Canada, the highly-publicized Red Dot Campaign offers advice on reducing unaddressed advertising mail. The campaign focuses on advertising the Canada Post policy to respect "No Junkmail" signs, noting that this policy is not promoted by Canada Post itself. The name "red dot" refers to an internal marker used by Canada Post to indicate which households do not wish to receive unaddressed [8] [25] [26] admail. The UK Royal Mail also offers an opt-out service, though it sparked public outrage by warning that unaddressed government mailings could not be separated from advertisements, and those [27] who opted out of the latter would stop receiving the former as well.
[24] [23]

Environmental effect[edit|edit source]


Several of the above organizations, as well as environmental groups, express concern about the environmental impact generated by direct mail. In the US, the Environmental Protection Agency estimates that 44% of junk mail is discarded without [28] being opened or read, equalling four million tons of waste paper per year, with 32% recovered for [29] recycling. Further, the Ohio Office of Compliance Assistance and Pollution Prevention (OCAPP) estimates that 250,000 homes could be heated for a single day's junk mail (70,000,000,000,000/3 btus of [30] energy or 28,870,000,000/21 kwh of energy). In the UK, the Minister of State responsible for the Department for Environment, Food and Rural Affairs estimated that "direct mail and promotions" accounted for between 500,000 and 600,000 tonnes of [31] paper in 2002, with 13% being recycled. The government and the Direct Marketing Association (UK) together agreed on recycling targets for the direct mail industry, including a goal of 55% by 2009, though [32] the DMA's latest estimates are that the industry will fall well short of this mark. The CO2 emissions from 41 pounds of advertising mail received annually by the average US consumer is [33] about 47.6 kilograms (105 pounds) according to one study. The loss of natural habitat potential from [34] the 41 pounds of advertising mail is estimated to be 36.6 square metres (396 square feet). Mike

Berners-Lee estimates that receiving five letters per day plus two printed catalogs per week results in 480 [35] kilograms (1,100 lb) CO2e per year.

Privacy Issues[edit]
Recipients may conceive of advertising mail as a privacy problem, both because its generation requires extensive collection and use of information, and because receipt of mail can be an intrusion into the [36] home. Numerous public opinion polls have found that Americans find advertising mail intrusive, for instance, in June 2003, the Pew Internet & American Life Project found that 19 percent of Americans found, "junk mail delivered by the postal service" a very big intrusion and 33 percent found it to be a big [37] intrusion. Researchers at the University of California recently found that four out of five Americans favor [38] a do-not-mail law, similar to the existing do-not-call telemarketing registry.

Direct Response Radio[edit]


In direct response radio, ads contain a call to action with a specific tracking mechanism. Often, this tracking mechanism is a "call now" prompt with a toll-free phone number or a unique Web URL. Results of the ad can be tracked in terms of calls, orders, customers, leads, sales, revenue, and profits that result from the airing of those ads.

Insert Media[edit]
Another form of direct marketing, insert media are marketing materials that are inserted into other communications, such as a catalog, newspaper, magazine, package, or bill. Coop or shared mail, where marketing offers from several companies are delivered via a single envelope, is also considered insert media.

Out-of-Home[edit]
Out-of-home direct marketing refers to a wide array of media designed to reach the consumer outside the home, including billboards, transit, bus shelters, bus benches, aerials, airports, in-flight, in-store, movies, college campus/high schools, hotels, shopping malls, sport facilities, stadiums, taxis that contain a callto-action for the customer to respond.

Direct Response Magazines and Newspapers[edit]


Magazine and newspaper ads often include a direct response call-to-action, such as a toll-free number, a coupon redeemable at a brick-and-mortar store, or a QR code that can be scanned by a mobile device these methods are all forms of direct marketing, because they elicit a direct and measurable action from the customer.

Direct Selling[edit]
Main article: direct selling Direct selling is the sale of products by face-to-face contact with the customer, either by having salespeople approach potential customers in person, or through indirect means such as Tupperware parties. Direct selling is the marketing and selling of products directly to consumers away from a fixed retail [1] location. Peddling is the oldest form of direct selling. Modern direct selling includes sales made through

the party plan, one-on-one demonstrations, and other personal contact arrangements as well as internet [2] sales. A textbook definition is: "The direct personal presentation, demonstration, and sale of products [3][4] and services to consumers, usually in their homes or at their jobs." Industry representative, the World Federation of Direct Selling Associations (WFDSA), reports that its 59 regional member associations accounted for more than US$114 Billion in retail sales in 2007, through the [5] activities of more than 62 million independent sales representatives. The United States Direct Selling Association (DSA) reported that in 2000, 55% of adult Americans had at some time purchased goods or services from a direct selling representative and 20% reported that they were currently(6%) or had been [6] in the past(14%) a direct selling representative. According to the WFDSA, consumers benefit from direct selling because of the convenience and service it provides, including personal demonstration and explanation of products, home delivery, and generous [5] satisfaction guarantees. In contrast to franchising, the cost for an individual to start an independent direct selling business is typically very low with little or no required inventory or other cash commitments [5] to begin. Most direct selling associations around the world require their members to abide by a code of conduct towards a fair partnership both with customers and salesmen. Most national direct selling associations are represented in the World Federation of Direct Selling Associations (WFDSA). Direct selling is distinct from direct marketing because it is about individual sales agents reaching and dealing directly with clients. Direct marketing is about business organizations seeking a relationship with their customers without going through an agent/consultant or retail outlet. Direct selling often, but not always, uses multi-level marketing (salesperson is paid for selling and for sales made by people he recruits or sponsors) rather than single-level marketing (salesperson is paid only for the sales he makes [7] himself).

Grassroots/Community Marketing[edit]
The door-to-door distribution of flyers and leaflets within a local community is a business-to-consumer form of direct marketing used extensively by restaurants, fast food companies, and many other business focusing on a local catchment. Similar to direct mail marketing, this method is targeted purely by area and community, and costs a fraction of the amount of a mailshot, since it is not necessary to purchase stamps, envelopes, or address lists with the names of home occupants.

Advantages and Disadvantages of Direct Marketing The term marketing implies the single goal of profit. It is categorized into two, direct marketing and indirect marketing and there is a significant line of difference between the two. Direct marketing is basically business from manufacturer to consumer without the involvement of middlemen, whoever it is. This is generally done by mailing the consumer or contacting him directly, so he can know about the products. The use of media advertisements is very limited and whatever little use is made includes only

the demonstration of their products with call back numbers. Direct marketing is a boon and a bane, both in some respects: Advantages: - Direct marketing involves direct business. So it is cost beneficial for consumers, as there is no price hike due to wholesalers or retailers. - Marketing executives can state certainly of the exact response to their products. - The profit or loss can be more accurately judged. Disadvantages: - Sometimes, direct mailing offends the customers and many do not endorse it as they say it inhibits their private lives. But most marketing managers are in support of this kind of business. The various forms in which direct business is made are: - Direct mailing: Here, paper mails are sent to the selected groups of people, who likely to give positive response e.g. the paper mails of latest food processor is sent to all homes where house wives are resident so that immediate response is seen. Also CDs can be used as demonstrating media. - Email Marketing: Here, emails are sent to all the selected customer categories with repeated intervals of time. But most of these are put into trash and spams. So the effectiveness of this form cannot be predicted. - Telemarketing: In telemarketing, calls are made directly to the consumers and the concerned product is advertised. People sit at call centers to sell products on behalf of their clients. But this form of direct business is quite unpopular and most people oppose the uninvited calls. It was initially made illegal but later on new laws were re-enforced and calls are now made only to those who dont mind them. - Voicemail: Telemarketing created a lot of consumer opposition and consumers would abuse the ones advertising on the phones. In order to avoid this, voicemail marketing was introduced, wherein; the entire advertisement is digitally recorded and presented. - Use of coupons: Coupons are attached to direct mails and sent to the consumers. These generally advertise and give cost benefit to the consumers. So they avail these coupons and respond fast. - Television marketing: Advertisements are given on the television and demos are with toll-free call back numbers or certain websites for the consumer to get in touch with the manufacturers. - Broadcast faxing: This is the least popular form of direct marketing. The ads are directly faxed to the consumers. Direct marketing can thus become successful only if the entanglements with the consumer are good. It can be B2B or B2C. It measures exact consumer response.