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Permission Marketing: Chapter 1

Permission Marketing: Chapter 1

Published in: Business, News & Politics
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  • 1. Permission Marketing Chapter 1
    • Interruption Marketing:
    • The key is to interrupt viewers and get them to think of something else
    • This interruption will make a mark in consumers’ minds and cause us to take action
    • No consumer action means the ad failed
    • For ads to interrupt, they need to stand out above other ads
    • But more competition = more clutter
    • Today’s Consumers:
    • Are not seeking alternative solutions
      • Quality of products increased dramatically
      • We buy almost everything
      • Are quite happy with our product
    • Surrounded by advertisements and marketing ploys
      • Average consumer sees 1 million marketing messages a year, 3000 a day
      • Society has learned to block out the clutter
  • 2.
    • The Mass Market is Dying:
    • There are too many options for broadcasting(channels)
    • Too many means of media
    • A marketer can’t reach a significant percent of the population with any single communication
    • Four New Approaches:
    • Spending more money for stran ge ad space (eg. Parking meters, back of receipts, supermarket floors)
    • Making ads more controversial and entertaining
      • More competition
      • More clutter
      • Cost more per minute than a big budget blockbuster
    • Changing ad campaigns more often keeps them fresh and interesting
    • Replacing commercial advertising with direct mail and promotions
      • 52% of ad budget spent on mailers, promos, inserts and coupons
      • More effective at interruptions
      • So effective, others caught on and created more clutter
  • 3.
    • Direct Marketers Respond:
    • Today’s technology
      • Access to computerized consumer databases
      • Can target and filter demographic information
      • Results in highly targeted consumers
    • Overspending strategy
      • All or nothing approach
      • If they can actually breakthrough clutter, they will surely reap rewards
    • Will eventually trend and add more clutter
    • Ultimately only media companies selling airtime and ad space will profit
    • Why Ad Agencies Don’t Solve Problem:
    • No loyalty from clients
    • Stock market conducive to agency consolidations
      • Ad agencies bought out
      • Focus more on building agency rather than brand
    • Commission structure dismantled
  • 4.
    • Summarizing the Problem Facing Interruption Marketing:
    • Human beings have a finite amount of attention
      • Can’t take in everything
      • Noise increase=decrease in messages received
    • Finite amount of money
      • Because attention is limited, we only buy the things we do notice
    • The more products offered, the less money there is to go around
      • More choices=smaller shares
    • In order to capture attention and more money, interruption marketers must increase spending
      • Spending more than competitor is a must
    • But increase in marketing exposure costs big money
      • Spending always increases dramatically
    • Spending more and more money in order to get big returns leads to even more clutter
    • Catch-22: The more they spend, the less it works. The less it works, the more they spend.