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The Secret of Direct Marketing
By Scott F. Geld

Everyone has come face-to-face with direct marketing. In
fact, that’s what direct marketing is: it’s one-on-one
marketing. Direct marketing uses several advertising forms
to form an interactive relationship with consumers. If
a direct marketing campaign works, consumers will purchase
the product or service. Direct marketing may be so popular
because, of all of the marketing strategies, it is the most
personal and consumer oriented. It is part of the
Integrated Communication Program, but its objectives,
budgets and strategies are separate of the ICP.

Traditional direct marketing channels are catalogs, direct
mail, direct response ads and telemarketing. To this emails
and internet sales are added in the e-age. The growth of
sales through direct marketing is more than the growth
through any other media. The growth is due to many factors.
Ever increasing number of market niches with distinct
preferences. At home shopping is increasing due to higher
time and cost (transport) involved in traditional
marketing, parking problems, queues at check out counters.
Efficient and quick express deliveries have added to the
convenience of shopping from home.

The growth of computers, the Internet and customer
databases have enabled sellers to target specific
customers. It is more cost effective than using a sales
force. Many websites describe the offerings, show pictures,
list prices and have online ordering facilities.

Direct marketing benefits the customers in many ways. Time
saving and hassle-free, comparative costs can be checked
out, more options and merchandise is available. The seller
also benefits as they save on sales force, there is no
crowding in the shops, and infrastructure requirements are
more controlled. The group specific mailing lists (for
example new mothers, teachers, and doctors) help in
personalizing the message and build an ongoing relationship
with the targeted customers. The marketing can be timed to
reach the prospects at the right time such as Christmas or
Easter. As it is sent to prospects that were discovered to
be more interested in the offering, direct response
marketing has higher readership. It also can keep the
competition guessing. It also can measure responses and
align strategies to the most effective and important
expectations.

Companies spend a great deal of time and money maintaining
databases of present and prospective customers. A customer
database contains current information about consumers but
is much more than just contact information. Databases
generally include buying preferences, purchase frequency
and other such information. These databases are maintained
and are used to generate leads and sales and to build a
company-client relationship. The first customer databases
were used by business markets and service companies.
Today, customer databases are used by all companies whether
they market services or packaged products. Most companies
now realize how effective personalized marketing can be.
It’s little wonder why a well maintained database can give
a company the edge over the competition.

Companies use their databases in 4 ways. To identify
prospects, to decide which customers should receive a
particular offer, to deepen customer loyalty, and to
reactivate customer purchases. It needs big investment and
careful handling. Otherwise it may have adverse effect.
Buyers may consider it invasion of privacy, but properly
handled database utilization will give rich benefits.

About the Author

Scott F. Geld is the CEO and President of Marketing Blaster, Inc., a pay-per-click traffic source that consistently beats the major search engines in conversion ratio and ROI.

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