7 REASONS WHY DIRECT MAIL?1. One can measure the results by counting how many order forms or reply cards come back.2. By direct mail advertisers always know whether a mailing is profitable or not.3. Direct mail can be targeted to select groups of prospects through the careful selection of proper mailing lists.4. The copy can be tailored or altered as per the various groups of prospects you want to reach.5. Direct mail is cost effetive.6. Direct mail gives you great flexibilty in your presentation, print media is limited by the size and space and broadcast media by length of commercial.7. Direct mail is almost always a response - oriented medium.
DIFFERENCE BETWEEN DIRECT MAIL AND SPACE ADVERTISINGDIRECT MAIL –Is a personal medium.A letter is a one to one communication from one human being to another.The information flows two ways: from prospect to advertiser and back to theprospect.Direct mail is structured to sell now.SPACE ADVERTISING –An ad appearing in a magazine will be seen by thousands or millions of readers.The goal of advertising is to build brand awareness or to create demand for anew product category.
STRATEGY Awareness of Inquiry/DIRECT MAIL the company Purchase Establish Awareness of Entry into contact product relationshipRecognition of Positive personal perception benefit
LEAD GENERATION AND CREATIONLead Generation - is a marketing term that refers to the creation or generation ofprospective consumer.Successful direct mail lead generation is greatly dependant on lists that possessup-to-date information and are built for the specific target intended.We will be generating/creating leads by the following process:1. Buy leads from lead brokers and lead companies2. Buy leads from the Internet Search Engines3. Advertise if necessary4. Computer Database
THE TOP 5 LEAD GENERATION SYSTEMS1) Direct Mail to your Best Buyers?The fastest way to build our business is to target the best customers with a“laser-focused” approach with direct mail to our “best buyers.” This strategy alone hashelped many businesses literally double their revenues.This disarmingly simple strategyis one of the most effective and least expensive ways to market and grow our businessfast!2) Buy leads from lead brokers and leads companiesAnother great way to generate hot “ready to buy” leads is to purchase them from leadbrokers and lead companies. These company’s sole focus is to generate leads and thensell them to companies like us who want a great source of consistent new business.
3) Buy leads from the Internet Search EnginesOne of the most effective online strategies for generating leads is by attractingtargeted traffic to our Website with the "Pay-Per-Click" Search Engines (PPCSEs).PPCSEs can and should become an indispensable part of your lead generating arsenal.PPCSEs allow us to tap into the searches occurring in our industry and put our sitedirectly in front of customers who are actively searching for what we are selling.The 2 best PPCSEs areGoogle AdWords http://www.google.com/ads/Overture http://www.overture.com/
4) Advertise if necessaryStudies show that 50% of all purchasing is motivated by advertising. Advertising isalso one of the best tactics for generating leads that a company can deploy. Plus,it’s also the great way to build name recognition in the market which can get us publicity, “word of mouth” advertising, and other great benefits.Here are a few tips for running an advertising campaign that brings us a high returnon investment…Place ads in the most targeted publications that our target market reads.Consider inexpensive ads in e-mail newsletters and Web Sites that our target marketreads. Use direct response ads5) Target Best BuyersIf you look at a financial statement that shows income generated from all our clientsjust 20 percent of our clients are giving 80 percent of the business and profitability.These are our “Best Buyers” or “Dream Clients.” It means we should target andconcentrate on these “Best Buyers” first, because this will be the easiest way to growour business and profitability.Eg: out 100%, 20% of our clients are giving 80% of business and profits. So we shouldconcentrate MORE on these 20% and not loose them at any cost.
COMPUTER DATABASE: THE KEY TO TARGETING THE BEST PROSPECTSOne can accurately locate their best prospects by buying names from a number ofdatabases-Trades with other companies,Motor vehicle records,Warranty card data from their own files,Birth announcements,Subscribers to selected magazines.
COMPUTER DATABASE: USESIdentifying prospectsDeciding about which customer should receive a particular orderDeepening customer loyaltyReactivating customer purchaseLead generationCustomer acquisitionStrengthening customer relationships
APPLICATION OF DATABASESDIRECT MAIL –Using the system to select customers to receive relevant mailings.RESPONSE HANDLING AND FULFILLMENT –Using the system to record our customers’response and manage the next step in contact strategy – Fulfillment.
LIFE TIME CUSTOMER VALUELIFE TIME CUSTOMER VALUE –Defines values –It helps you to define value of a customer.Acquisition costs –helps in figuring out how much we can spend onacquisition costs to get each customer.
HOW TO FIND OUR LTVAverage PurchasexNumber of purchases a yearxNumber of years they are as customersEg - If a dinner costs $35/- Diner comes in 12 times a year Number of years as a customer - 5 years 35x12x5= $2,100.00 This is a gross number
HOW DO WE USE LTVCustomer acquisitionEmployee trainingTargetBy knowing the Long term value of a customer we know how much we can spend onthem. if we know a customer is goin to be 2100$ then giving them one free dinner toget them into your business is really a VALUE.An employee who understands that his interaction with a customer is lot more thana single sale because it is worth 2100$.And by knowing the Long term value of customer it can also help us with our targetingand also helps us finding out more about our prospects who we should be going afterand how we should spend our money to get them.
PROSPECTS AND TARGET AREAS9 to 5 employees,frequent travellers,business executives.
WHY THE NAME THERMOPAL?Thermo –Accurate temperature.Pal –a synonym for "friend“.
MANUSCRIPTHEADLINE:How to keep your Iced Tea on Ice.SUBHEAD:A big gulp in a tiny bottle.VISUAL:Tall glass of iced tea sitting next to an open ThermoPal thermos.COPY:Nothing quenches thirst like a cold iced tea on a hot summer’s day. But the tea in a canor a carton won’t stay cool in summer heat. And an ordinary theroms won’t fit in yourbriefcase or bag or lunch box.Introducing ThermoPal, the pint-size thermos that makes sure your cool summer drinksstay cool...and is small enough to go where you go.ThermoPal is tiny enough to fit in the slimmest briefcase or in a tightly packed backpack.But it’s big enough to hold a frosty 8 ounces of tea, lemonade or fruit juice. That’s as much as youget in a tall, cool glass at home or from a machine.
But by carrying your lunchtime drink in thermoPal, your refreshment costs a few penniesinstead of better part of a rupees, as it would from a vending machine or fast-food stand.So ThermoPal pays for itself in just a few weeks...and brings big savings over the long,hot summer.We know you’ll be delighted with thermoPal for years to come. If not, just send the lidback in the mail for a full refund - no questions asked.To order thermoPal, clip and mail the reply coupon. But hurry- supplies are limited,and we usually sell out by the middle of spring.COUPON:YES, I want to keep cool. Please send meThermoPal(s) at Rs 225/- plus Rs 100/- each forshipping and handling.My check is enclosed. If not satisfied. I’ll sendback the top of the thermos for a full refund ofmy money.NameAdressCity State ZipTel