Direct Marketing System
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A direct marketing system will usually involve submitting advertising and promotional materials and opportunities directly to a potential customer. Usually there is some kind of connection between the purchasing habits and preferences of the targeted consumer and the product or service that is being offered. Lists of home addresses, phone numbers or electronic mail addresses are frequently compiled when a consumer makes a purchase. These list are then made available to companies and advertising agencies. In some cases, the lists are purchased out right. However, it is not uncommon for these lists to be rented to clients who wish to connect with a targeted market. Some examples of a direct marketing system could include traditional mail campaigns, telemarketing, email advertising, door to door sales, home party sales, consumer response radio, television or display ads, and direct marketing websites. In most cases, this contact with potential customers is unsolicited. Email campaigns are one exception. Opt in email advertising involves sending out promotional messages to recipients who have given permission beforehand. In this way a message is distinguished from spam emails that are generally not welcome in a consumer's in box. Passivity is not encouraged with this type of advertising. In most cases, a consumer is asked to take action. Such actions could include answering a survey, linking to a merchant website, or actually making a purchase. Some campaigns will be very targeted while others will use more of a blanketed approach, sending out multiple messages in a random manner, in the hope that at least some of the messages will meet with success.
Utilizing a direct marketing system has proven to be a very popular approach over the years. One of the reasons why this approach tends to be popular is that marketers can quickly and easily measure the effectiveness of these campaigns. Since consumers are encouraged to take action, it is easy to calculate success. If ten thousand mailings were sent out and three thousand responses were received, the marketer knows exactly how successful the campaign was. If the results are satisfactory, the methods may be repeated in future campaigns. But if the results were disappointing, the marketer knows that changes need to be made before a new campaign is launched. One of the most common types of approaches that may be used in a direct marketing system is called direct mail. Most consumers are familiar with this approach. Junk mail, as these messages are frequently called, arrives in most family's mail boxes on a regular basis. Post cards, circulars, and catalogs can be used to effectively acquaint potential customers with a particular product or service. Telemarketing is another method that may not always be welcomed by consumers. Contacting potential customers by phone is being done with less frequency since the advent of the do not call list in 2003. Email marketing campaigns can be more successful and tend to have a better reputation. This may be because of the opt in feature that insures that messages are only sent to interested parties.
One factor that can be very difficult to measure in a direct marketing system is the level of annoyance and bad will that such campaigns might produce. The National Do Not Call registry has provided consumers with a way to opt out of receiving phone calls that sell a product or a service. This registry was put in to place as a result of consumer complaints. Receiving phone calls during family meals and at other inconvenient times was frustrating to many consumers. By adding their names to a national list, consumers made sure that marketers were prohibited from contacting them. Having a choice as to whether or not to receive such calls is important to many families. The negative connotations that are associated with telemarketing campaigns can make this a less than appropriate promotional choice for many companies. Businesses that violate the terms of the Do Not Call registry may be subject to hefty fines and penalties. Junk mail can have an equally negative connotation. Having mail boxes that are crowded with postcards and pamphlets may be seen as annoying by many potential customers and can negatively impact the perception of a particular brand. However, items such as catalogs may be more welcome in many homes. There are options that are offered through the Direct Marketing Association that protect consumers from unsolicited mail. These annoyance factors must be considered when choosing a direct marketing system.
In spite of consumer annoyance, utilizing a direct marketing system can be very effective. This effectiveness is usually measured in higher sales revenues. And since marketers are appealing directly to the customer, the response time between the initial appeal and the sale is shortened. If this approach did not yield such strong and easily proven results, it would not have remained popular for so many years. The Bible tells believers to lean on the strength that God provides. "Finally, my brethren, be strong in the Lord, and in the power of his might." (Ephesians 6:10)
Offering coupons can be another effective method of implementing a direct marketing system. Placing coupons online or in print media invites potential customers to take part in an interactive way. Door to door sales was once a popular method of face to face contact with customers, but has declined in recent years. Home parties have declined in popularity as well, but still linger to some degree as an effective way to sell and market products. What ever approach a company might choose, connecting with customers directly can be a very effective method of increasing sales.
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