Session 29 Direct Marketing
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Transcript of Session 29 Direct Marketing
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DIRECTMAR
KEDIRECTM
ARKE
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Direct Marketing is the process by which a- -firm approaches its customers on one to one
basis and markets its products directly to
.them
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Deals customers directly
,Interactive marketing-with two way
communication
Does not involve marketing/channels stores
Does not involve/advertising mass
promotion
Deals customers.indirectly
-One way activity
Relies heavily on
marketing/channels stores
Relies heavily on/advertisement mass
.promotion
irect Marketing onventionalMarketing
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Advantages of Direct Marketing over Mass Marketing
-Near Perfect Solutions to Customers Problems
Provides for customization : -Example Levis Strauss introduced web linked
,kiosks in its stores where customers can design, .their own pair of jeans choosing from a no of
, .styles colours shapes and sizes The information is.instantly delivered to its Tennessee factory
Helps achieve Excellence in Products andServices
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Requisites for success of Direct Marketing
Comprehensive, Reliable and Updated Database
Careful and Close Targeting of Markets/Prospects
Service Guarantee and Product Warranty.
Backroom Logistics
Mechanisms for attending the responses promptly.
Eye for Details Care should be taken in designing the mailer. Outside envelope,
the sales letter, the reply form and the reply envelope all mustbe developed carefully.
Effort
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Forms of Direct Marketing
1.Mail Order Marketing/Catalogue Marketing
2.Direct Mail Marketing
3.Direct Response Marketing
4.Database Marketing
5.Telemarketing6.Teleshopping (Home Shopping)
7.Online Marketing/Marketing on the Web.
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1. Mail Order Marketing (MOM) /Catalogue Marketingalso known as Mail Order Business (MOB)
Use catalogues for communication with the consumer. Interested consumers respond by placing a mail order
on the marketer, the product is supplied to theconsumer by mail.
Examples: Anjali Textiles - Sarees
Mother care India Kids Products
Surat Diamond Jewellery Products
Music Today - Entertainment
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2. Direct Mail Marketing
When a manufacturer markets his products by the same asprevious method.
In direct mail marketing not only letters/brochures aremailed to the prospects, but free product samples, giftsand compliments are also mailed, depending on thecontext.
Examples: Denim after shave direct mail to the elite clubs in the
metros. Mailed a brouchure. Order forms were includedin the brouchure.
Lux Soap a special concessional offer to prospects.Ordered item will be delivered at the doorsteps of thecustomer and cash could be paid on delivery.
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2. Database Marketing
Data base is the foundation for the direct marketing.
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3. Telemarketing Marketing
Call Centre
Planning and Preparation
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4. Teleshopping/Home Shopping
Marketers hawks the product on the air and the consumerwatches it on his TV screen at home, phones up the
marketer and buys his requirements. Benefits the customers:
Lower prices, discount, gift offers etc.
Wide range of selection
Demonstration about product
Benefits the manufacturer: Promotes their sales and reduces their costs.
Provides direct link to the consumer.
Save the margins, as it bypass channels.
Low-cost retailing system
Benefits the marketer/teleshopping network
Benefits the TV Channel
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Teleshopping in INDIA
CHANNEL - NETWORK
DD - Dees Home Shopping
DD - Teleshopping Network
Zee - Asian Sky Shop
United Television - United Teleshopping
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MARKETING ON THE WEB
Access to all markets
Renders global marketing feasible for even small firms
Helps constraints free growth
Scope for enhancing customer value and customer service
Helps target the customer individually
Helps relationship with customers.
Helps reduce costs
Business costs
Marketing cost
Channel costsCommunication/Promotion costs
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MARKETING ON THE WEB
Enhances marketing productivity
Keeps sales people together electronically and enables them
work as a team in serving the customers.Allows companies to fucntion to flexible
Enables to adjust quickly to market conditons.
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MARKETING ON THE WEB
Benefit to the customers :
Convenience
Scope for informed and competitive buying
Search advantage and options
Can get more for less.
Transparency
Accuracy
Shifting of the poor equation in favour of the consumer.