DIRECT MARKETING

Prepare by –
Nikhil
Kalpana
Reena
Nishita
DEFINITION OF DIRECT MARKETING

“Direct marketing is a system of

marketing by which organizations
communicate directly with target
customers to generate a response
or transaction, this response may
take the form of an inquiry, a
purchase or even a vote.”
OBJECTIVE OF DIRECT MARKETING

“Objectives of direct
marketing is usually focus
on seeking direct response
in terms of behavior.”
PROPERTIES OF DIRECT MARKETING
There are mainly three properties of direct
marketing as follow –
i. A definite offer to the consumer

ii. All the necessary information provided to make a

decision and
iii. A mechanism to respond to the offer. Within this
framework fall all direct marketing options—sales
letters, catalogues, telemarketing, direct response
TV advertisements, and the Internet
4 FEATURES OF DIRECT MARKETING
1) Targeting – Enable precision targeting

2) Interaction – Generates direct enquiries and

order from prospect and customers

3) Control – Accountable since direct enquiries

and order are easily measurable

4) Continuity – Develop the seller-buyer

relationship and ultimately results in
customer loyalty
BENEFITS OF DIRECT MARKETING

1. Benefits to the Customer

• Time Savings
• Larger Selection
• Comparative Shopping
• Convenient
• Easy to use
• Private
• Access to a wealth of information
• Immediate
• Interactive
BENEFITS OF DIRECT MARKETING
2. Benefits for Seller
• Powerful tool for building relationships
• Allows for targeting of small groups or
individuals with customized offers in a
personalized fashion
• Can be timed to reach prospects at the
right time
• Offers access to buyers that couldn’t be
reached via other channels
• Low-cost, effective alternative for reaching
specific markets
POPULAR EXAMPLE OF DM
 DIFFERENT TOOLS OF DM

Direct Tele- Interactive

Mail marketing TV

Public
Print Advertising
Relation

Personal Sales Support

Selling Promotion Media
EFFECT OF DIRECT MARKETING
There are a number of ways you can measure the
effectiveness of your direct marketing campaign
including:
• Increased sales
• Additions to your database
• Product inquiries
• Profitability
• Return on investment
MARKET SEGMENTATION AFFECT DM

Market segmentation and targeting

the right customers are critical to the
success of promotional programme.
Customers can be grouped on the
basis of age, sex, income, education,
lifestyle, and stage in family life cycle
etc.
 D ir e c t M a r k e tin g

M a r k e t in g R e s e a r c h

DIRECT MARKETING
M a rke t D ir e c t R e s p o n s e A d v e r t is in g
S e g m e n ta tio n A d v e r tis in g C r e a t io n

M e d ia

FLOW CHART D ir e c t M a il T e le p h o n e B ro a d c a s t In te rn e t N e w s p a p e r M a g a z in e O th e rs

D ir e c t R e s p o n s e E x p e n d it u r e s

D ir e c t M a il T e le p h o n e B ro a d c a s t In te rn e t N e w s p a p e r M a g a z in e O th e rs

D is t r ib u t io n C h a n n e ls

M e a s u r a b le R e s p o n s e

V e n d in g M a il O r d e r, P e r s o n a l V is it P e r s o n a l V is it o r
M a c h in e s M a il /P h o n e to S e lle r C a ll to B u y e r

C u s to m e r / P ro s p e c t
D a ta b a s e

R e s p o n s e / T r a n s a c tio n
C o m p le t io n
ADVANTAGES OF DIRECT MARKETING
 Direct marketing offers the advantage of reaching
large number of well- defined target customers and
almost eliminates waste coverage.
 Good quality databases are available from
independent suppliers and the marketer can
segment customer groups with considerable
precision.
 Direct marketing can deliver almost perfect
offers to customers.
 Marketer can build desired frequency level based
on media
ADVANTAGES OF DIRECT MARKETING
 Direct marketing offers creative flexibility in
different media.
 Direct marketer can personalize the message.
 Direct marketer can quickly develop a list of
specific profiles for direct mail.
 Direct marketing is more effective in building
customer relationship.
 It is very cost effective considering the sale
generated per contact.
 The results can be measured most accurately
 DISADVANTAGES OF DM
 May be seen as competing with existing
intermediaries

 May be seen as intrusive by consumers

 May be seen as costs

 Sometimes it was difficult to find