Chandni Devani 10/23/2010Group 4_Viva IMS_FYMMS1 of 16 DIRECT MARKETING MULTI LEVEL MARKETING.

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Presentation transcript:

Chandni Devani 10/23/2010Group 4_Viva IMS_FYMMS1 of 16 DIRECT MARKETING MULTI LEVEL MARKETING

Direct Marketing Direct marketing is a form of Advertising. Traditional Ways: Modern Ways: Using, techniques such as promotional letters, street advertising. 10/23/2010Group 4_VIVA IMS_FYMMS2 of 16

TYPES marketing Tele Marketing Tele Sales Telephone Research Direct mail 10/23/2010Group 4_VIVAIMS_FYMMS3 of 16

Database Marketing It is an interactive approach to marketing, that uses all communication tools to reach out to target market. What it Does? Records the details like name Address Frequency of product use R-F-M Formula 10/23/2010Group 4_VIVA IMS_FYMMS4 of 16 Recency Frequency Monetary Amount

Benefits Flexible Multiple Sale Cost Effective Rapid Delivery Relationship Building Comfort to customer 10/23/2010Group 4_VIVA IMS_FYMMS5 of 16

Criticism Large amount of waste Cannot Refuse to pay customer claim. Low response rate Misuse of Database Hostility and resistance to junk mail. Database needs to be updated regularly. 10/23/2010Group 4_VIVA IMS_FYMMS6 of 16

How a company uses Direct Marketing 10/23/2010Group 4_VIVA IMS_FYMMS7 of 16 Landsend.com Dell Computers Direct Online Shopping Marketing

Group 4 Chikoo Chips 10/23/2010Group 4_VIVA IMS_FYMMS8 of 16

Future of Direct Marketing Personalized Direct mail Wide use of Debit & Credit card Reaching out Rural & Semi-Rural Markets Emergence of Specialized Database By 2020, text-to-voice converters will allow access to from cell phones. 10/23/2010Group 4_VIVA IMS_FYMMS9 of 16

Multi level Marketing Multi-level Marketing is a popular way of retailing in which consumer products are sold, not in stores by sales assistants, but by independent businesspeople or Direct Sellers, usually in customers' homes or offices. 10/23/2010Group 4_VIVA IMS_FYMMS Word of Mouth Marketing Plays an important role in multiple marketing, because it all starts with network of people. 10 of 16

Benefits of MLM Product direct from the firm. The material is of superior Quality Always genuine. Business without any investment or liability. Less advertisement cost. Grows on co-operation. 10/23/2010Group 4_VIVA IMS_FYMMS11 of 16

Criticism of MLM Non fulfillment of promises for the majority of participants. Fixing and making exaggerated income claims. The exploitation of personal relationships for financial gain. Eg. Amway was found guilty of price fixing & making exaggerated income claims. 10/23/2010Group 4_VIVA IMS_FYMMS12 of 16

How a company uses Multilevel Marketing 10/23/2010Group 4_VIVA IMS_FYMMS13 of 16

Difference 10/23/2010Group 4_VIVA IMS_FYMMS Direct Marketing Multilevel Marketing Salary As Benefit. One gets Superior Position, SILVER,GOLD STAR DIAMOND,PRESIDENT CLUB, CROWN. Product Directly reaches to End consumer. Product Reaches through chain of People So it Multiplies At each level. 14 of 16

Bibliography 10/23/2010Group 4_VIVA IMS_FYMMS Books : Marketing Management - Rajan Saxena Marketing Management Book - Philip Kotler Complete Guide Direct Marketing - Chet Meisner 15 of 16

10/23/2010Group 4_VIVA IMS_FYMMS16 of 16