Direct Marketing and Personal Sales IMC TOPIC 5 Chris Njunge Maksim Feofanov.

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Direct Marketing and Personal Sales IMC TOPIC 5 Chris Njunge Maksim Feofanov

Transcript of Direct Marketing and Personal Sales IMC TOPIC 5 Chris Njunge Maksim Feofanov.

Page 1: Direct Marketing and Personal Sales IMC TOPIC 5 Chris Njunge Maksim Feofanov.

Direct Marketing and Personal Sales IMC TOPIC 5

Chris Njunge

Maksim Feofanov

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Martin Evans, Maurice Patterson, Lisa O'Malley

The direct marketing-direct consumer gap: qualitative insights

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Introduction: Consumers and DM

1998 – over half of UK used phone for telebisiness (Transactions)

Now - Internet Satisfaction with DM rate: 1989 – 30% 1995 – 45%

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The Study - Qualitative Research Objectives: Investigation of changing

consumer values Appropriateness of

relationship marketing Consumer reaction to DM

Methodology: Phase 1: Interview series (40). Phase 2: Phenomenological

group discussions (9)

•Main goal:

•To identify the issues that the industry should address

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The StudyMajor issues uncovered

Advantages:

Convenience

Greater product selection

Disadvantages:

Privacy concerns

Control

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The Study - Results

1. Convenience: Phone (Internet) vs. mail.

Phone (Internet) More convenient Speed (Immediate) Reliability Mail Lack of time to read Too much of it

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The Study - Results

Negative attitudes to overall DM volume increase:

Male 25-34 General resistance/ ignorance:

Too much of it – doesn’t bother No-response attitude – don’t sign up, don’t get on

the list Female 25-34 Offensive, silly Male 45-54 Too much, overburden, slightly intimidating

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THE STUDY - Consumer perceptions

Positive:Form of discount, general convenience DM gives information (Choice): Informs about product variety, new products (Female, 25-34) Reminds consumers of their needs: “Makes me want to try it”:

(Woman 45-54) Like if offers local services (Male 45-54) Like if freebies (Male 18-24) Negative: Control related, privacy Can be more accurately targeted Central data bank Companies know everything you do Trading of consumer information

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Poor targeting annoyance

Irrelevant targeting: Content: (Both men and women) Unsolicited offers Improper target audience Repetition of irrelevant offers Women: Color Appeal

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Marketer’s Note

women and young men are more receptive,

men 25-34 less receptive, more ignorant,

men 45-54 – lowest reception, greater skepticism and negative attitude.

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Marketer’s note(Conclusion) Relevance issues

Irrelevance effect– invasion of privacy concerns, control issue, Consumer receptiveness effect (will pay less attention to mail offers if too much

irrelevant). Need for better targeting:

Interests (right offer), timeliness (right time), repetition, information processing effect

(create best ways for information to be processed better – visuals, content etc.) More real offers vs. “traps” – “junk mail" effect Control and privacy Empower consumers to contact Explanations about data collection and use

Control – internet