This document discusses building direct customer relationships through various forms of direct marketing. It begins by defining direct marketing as connecting directly with targeted customer segments. The benefits of direct marketing for both buyers and sellers are then outlined, including convenience, access to information, and the ability to build customer relationships efficiently. Customer databases are discussed as a tool for direct marketing by providing comprehensive customer data. Several forms of direct marketing are then described, including direct mail, telephone marketing, television, kiosks, catalogs, and digital/online methods. The promise of online marketing is noted for building relationships and improving sales, though challenges also exist.

1. BUILDING DIRECT CUSTOMER
RELATIONSHIP
BY :
AMAAN KHAN
MBA
INTEGRAL UNIVERSITY

2. The New Direct-Marketing
Growth and Benefits of Direct Marketing
Customer Databases and Direct Marketing
Forms of Direct Marketing
The Promise and Challenges of Online Marketing
Topic Outline

3. DIRECT MARKETING
Connecting directly with carefully
targeted segments or individual
consumers, often on a one-to-one,
interactive basis.

4. Growth and Benefits of
Direct Marketing
 Convenience
 Ready access to many products
 Access to comparative information about
companies, products, and competitors
 Interactive and immediate.
Benefits to Buyers

5. Growth and Benefits of
Direct Marketing
 Tool to build customer relationships
 Low-cost, efficient, fast alternative to
reach markets
 Flexible
 Access to buyers not reachable through
other channels
Benefits to sellers

6. Customer Databases and
Direct Marketing
 Customer database is an organized
collection of comprehensive data about
individual customers or prospects,
including geographic, demographic,
psychographic, and behavioral data.
Customer Database
Best Buy mines its huge database to glean actionable insights on
customer interests, lifestyles, passions, and likely next purchases. It
uses this information to develop personalized, customer-triggered
promotional messages and offers.

7. Forms of Direct Marketing
Personal selling direct marketing
Direct-mail direct marketing
Catalog direct marketing
Telephone marketing
Direct-response television marketing
Kiosk marketing
Digital direct marketing
Online marketing

8. Forms of Direct Marketing
Direct-mail marketing involves an offer,
announcement, reminder, or other item to a
person at a particular address
 Personalized
 Easy-to-measure results
 Costs more than mass media
 Provides better results than mass media
Insurance companies like Farmers Insurance rely heavily onTV
advertising to establish broad customer awareness. However, they
also use lots of good old direct mail to communicate with
consumers in a more direct and personalized way.

9. Forms of Direct Marketing
Marketing via
television, including
direct-response
television advertising
(or infomercials) and
interactive television
(iTV) advertising Large, well-known companies—such as
Kodak—are now using direct-response
TV to get the message out directly to
customers
Direct-ResponseTelevision(DRTV)Marketing

10. Forms of Direct Marketing
KioskMarketing
• Product or service
information and
ordering machines
are placed by
companies in stores,
airports, hotels,
college campuses,
and other locations Red box operates more than
27,000 DVD rental kiosks in
supermarkets and fast-food
outlets nationwide

11. Forms of Direct Marketing
Benefits ofWeb-based
catalogs
• Lower cost than printed
catalogs
• Unlimited amount of
merchandise
• Real-time
merchandising
• Interactive content
• Promotional features
Challenges ofWeb-based
catalogs
• Require marketing
• Difficulties in attracting
new customers
Catalog direct marketing involves printed
andWeb-based catalogs

12. The Promise and Challenges
of Online Marketing
• Online marketing will remain an
important approach in the marketing mix
to:
• Build customer relationships
• Improve sales
• Communicate company and product
information
• Deliver products and services more
effectively and efficiently