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chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
chap020p.ppt
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Transcript

  • 1.  
  • 2. Chapter 20 Direct Marketing Communications McGraw-Hill/Irwin Copyright © 2004 by The McGraw-Hill Companies, Inc. All rights reserved.
  • 3.
    • Understand the objectives of direct marketing communications, and describe its distinguishing characteristics.
    • Discuss the factors driving the growth in direct marketing communications.
    • Understand traditional direct marketing communications techniques such as direct mail, broadcast and print media, and telemarketing.
    After studying this chapter you should be able to:
  • 4.
    • Recall examples of the use of technology such as electronic media in direct marketing.
    • Understand some of the ethical and legal issues facing marketers who use direct marketing communications.
    After studying this chapter you should be able to:
  • 5. The Role of Direct Marketing Communications
    • Marketing Communications has two primary objectives:
      • To establish relationships by soliciting a direct and immediate response from prospects or customers.
      • To maintain and enhance customer relationships, whether those relationships have been established by direct marketing communications or by some other means.
  • 6. Characteristics of Direct Marketing Communications Direct marketing targets a carefully selected audience, as opposed to a mass audience. It typically involves two-way communications; direct responses from customers make it interactive. Direct-response results are quite measurable- marketers can determine what works and what does not.
  • 7. Customer Databases
  • 8. Benefits of Direct Marketing Communications Offers Immediate-Response Orientation Measurable Action Objectives
  • 9. The Growth of Direct Marketing Communications
    • Global direct marketing communications increased because of saturated domestic markets.
  • 10. Growth Catalysts
    • Increase in Customized Products
    • Fragmented Markets
    • Product Price Sensitivity
    • Shrinking Audiences for Network TV and Newspapers
    • Emphasis on Immediate Sales
  • 11. Growth Catalysts
    • Lifestyles Changes Create a Need for Convenience:
      • Two-worker families have more discretionary income but less time
      • Ease of communication
      • Increased use of credit cards
      • Advancing Technology:
        • Predictive modeling
        • Neural networks
  • 12. Direct Marketing Techniques
    • Direct Mail
    • Broadcast Media
    • Print Media
    • Telemarketing
    • Electronic Media
  • 13. Advantages and Disadvantages of Direct Mail Advantages: Disadvantages: Self-contained message Flexibility in message content and form of delivery Thorough coverage of target market Fewer distractions from other media Large numbers of consumers prefer mail-order purchases High cost per exposure Potential delivery delays Lack of support from other media “ Junk mail” in easy to ignore Seen as wasteful, harmful to the environment
  • 14. Types of Direct Mail
    • Sales letter
    • Postcards
    • Catalogs
    • Video catalogs
    • Promotional videocassettes and audiocassettes
    • Promotional interactive computer disks
    • Leaflets and flyers
    • Statement stuffers
  • 15. Business-to-Business Direct Mail B-to-B marketing uses the same forms of direct mail!
  • 16. Broadcast Media infomercials Direct-Response Radio Advertising Direct-Response Television Advertising
  • 17. Print Media
    • Consumers Can Respond To:
      • Ads Carrying an Address
      • Order Form
      • Coupon
      • Telephone Number
      • Freestanding Insert (FSI)
      • Reader-Response Cards
  • 18. Telemarketing
    • Telemarketing:
      • An interactive direct marketing communications approach that uses telephone calls to initiate, develop, and enhance relationships with customers.
        • Outbound telemarketing, also called “teleselling”
        • Business-to-business telemarketing
        • Predictive dialing systems
  • 19. National Consumers League’s Top 10 Telemarketing Frauds List
    • Work-at-Home Schemes
    • Prizes / Sweepstakes
    • Credit Card Offers
    • Advance Fee Loans
    • Magazine Sales
  • 20. National Consumers League’s Top 10 Telemarketing Frauds List
    • Telephone Slamming
    • Buyers Clubs
    • Credit Card Loss Protection
    • Nigerian Money Offers
    • Telephone Pay-per-Call Services
  • 21. Electronic Media
    • Interactive Computer Services
    • Interactive Computer Kiosks
    • FAX Machines – FAX-on-Demand Systems
  • 22. Ethical and Legal Issues in Direct Marketing Communications
    • Invasion of Privacy
    • Deceptive Practices:
      • Automatic Number Identification
      • Caller ID Intrusion Systems
    • Wasteful Practices

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