©2004 Pearson Education Canada Inc. Direct Marketing An interactive marketing system controlled by the marketer. Develop Product Communicate Message Deliver Product Accept Order Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-1

Direct Response Advertising “Messages communicated directly to prospects that generate a measurable response.” Direct Mail 1-800 Numbers Web Site Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-2

©2004 Pearson Education Canada Inc. Direct Mail Direct mail delivers detailed messages in a personal manner. Sales Letters Leaflets & Flyers Folders Statement Stuffers These elements are often combined in one mailing. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-3

©2004 Pearson Education Canada Inc. Direct Mail Strategy Solo Direct Mail Personalized mail delivered to individual prospects General mailing containing offers for non-competing products Cooperative Direct Mail Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-4

Information is Key to Success The “list” is the backbone of a mail campaign. House list Database Internal Sources External Sources List Broker Merge/Purge Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-5

©2004 Pearson Education Canada Inc. The List Business As a request for a list becomes more specialized (quality) the cost of each name increases. Response List Proven buyers Circulation List Lists of subscribers Prepared from public sources Compiled List Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-6

Direct Response Television A sales oriented broadcast message that encourages immediate action. Rapid pace, buy now style. Traditional Detailed communications in a lengthy format. Corporate/Brand Lengthier formats are called infomercials. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-7

©2004 Pearson Education Canada Inc. Catalogues Reference publications distributed by large retail chains. General and specialized formats Most catalogues are now online Catalogues play a key role in the marketing strategies of Sears and Canadian Tire. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-8

©2004 Pearson Education Canada Inc. Telemarketing Call Centre Inbound Outbound Telemarketing completes the sale at much less cost than personal selling or mass advertising. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-9

Interactive Communications Given the rapid pace of technology, the Internet has the potential to become the biggest single-source generator of revenues among all forms of direct response communications. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-10

©2004 Pearson Education Canada Inc. Online Advertising Online advertising has been slow to take off…it generates only a fraction of advertising revenues. Traditional media are passive in nature, online communications are interactive. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-11

©2004 Pearson Education Canada Inc. Advertising Language Impressions or Page Views Clicks Clickthrough Rate The success of an ad is based on the click rate. The formula is clicks divided by impressions. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-12

©2004 Pearson Education Canada Inc. Banner Advertising A variety of shapes and sizes are available. Standard Skyscraper Rectangle Bigger is better!! Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-13

Other Online Advertising Online advertising is getting more polished and sophisticated…more TV-like. Animated banners Interstitials Superstitials Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-14

©2004 Pearson Education Canada Inc. E-Mail Advertising Database marketing technology has spurred growth in e-mail advertising. Permission-based (Opt-in) Sponsored e-mail A majority of Internet users (79%) agree to receive e-mail advertising. Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-15

©2004 Pearson Education Canada Inc. Online Alternatives An extended relationship with another Web site. Sponsors target the content of that site. Sponsorships Web Sites An opportunity to “tell a story.” Information and more! Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-16

Benefits of Internet Advertising Database opportunities are available from site registrations, questionnaires, contest entries and customer feedback. Ability to target Personalization (customers come to company) One-to-one relationships Canadian Marketing in Action, 6th ed. Keith J. Tuckwell ©2004 Pearson Education Canada Inc. 15-17