1. ©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

2. 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

3. ©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

4. ©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

5. 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

6. ©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

7. 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

8. ©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

9. ©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

10. 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

11. ©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

12. ©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

13. ©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

14. 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

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

16. ©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

17. 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