Main Channels for Direct Marketing

Direct marketers use various channels for reaching their prospective customers. Such channels include:

FACE-TO-FACE SELLING

This procedure uses sales call and door-to-door retailing approach. Companies rely heavily on a professional sales force to locate prospects, develop them into customers and grow the business. They also use manufacturers representatives, sales agents to implement direct selling plans. This procedure enjoys wide applications such as - insurance agents, stockbrokers and sales agent working part-time or full-time for direct sales organization.

DIRECT MAIL MARKETING

Includes the dispatch of an offer, announcement, promotional message, reminder or other material to a customer or prospect at a particular geographical location. The direct marketer develops a selective mailing list, which can be used to dispatch letters, flyers, foldouts and other materials such as audio tapes, video tapes, and in some situations, computer diskettes to prospects and customers. The diskettes menu which is used usually for high-tech products provides technical information and visual graphics about the product with answers to frequently asked questions, relating to the product.

Direct mail is a popular medium because it permits high target-market selectivity. It can be personalized and is flexible - it allows early testing and response measurement, though it costs per thousand people reached is higher than using mass media, the people reached are much better, quality prospects.

INFLUENCE OF ELECTRONIC MAIL ON DIRECT MARKETING

The advent of electronic mail systems has changed the mailing procedure. Instead of hand delivery mails, more direct marketers now use electronic mailing system. Three new types of electronic mail delivery are now commonly used, such as:

1.FAX MAIL Fax machines enable one part)- to send a paper based message to another party over telephone lines. The message contents can be sent and received almost instantaneously. Marketers use fax mail to announce offers, sales events to prospects and customers through fax machines. Fax numbers of companies and individuals are now available from published directories but some prospects and customers may dislike receiving fax mail without prior notice from the marketer.

2.E-MAIL OR ELECTRONIC MAIL: allows marketers to send a message or file from one computer directly to another computer. The message arrives almost instantly and may be stored until the receiving person retrieves the message from his computer. Some e-mail programmes, offer notification feature which announces the arrival of new messages. There are software programs to sort out the more important messages from those which can be ignored or discarded. Marketers use this system to publish sales announcements, offers and other messages.

3.VOICE MAIL: is a system for receiving and storing oral messages at a telephone address. Telephone firms sell this service as a substitute for answering machines. The person with a voice mail account can check messages by dialing into the voice mail system and punching in a personal code. Marketers have set up programs that can dial a large number of telephone lines and leave the selling message in the recipients voice mail boxes. Direct mail marketers can construct an effective direct mail campaign by deciding on campaign objectives, target markets and prospects, offer elements, means of testing the elements and measures of campaign success.

DIRECT RESPONSE ADVERTISING

All forms of advertising done in direct marketing are regarded as direct-response advertising.

MAIL ORDER ADVERTISING: is a method of bringing goods from sellers to buyers by direct selling through catalogs.

DIRECT MAIL ADVERTISING: is an advertising medium for delivering message. These differentiation's should be understood clearly to avoid mixing up their meaning during usage.

DIRECT MAIL IS A MEDIUM, one of several used in DIRECT RESPONSE ADVERTISING, a method of selling goods and services by DIRECT MARKETING.

DIRECT RESPONSE COPY

Direct response copy written for direct mail has a different format from copy written for publication advertising Direct response publication copy has a strong promise-of-benefit headline to attract immediate attention. It is done in a news of a special value to attract a selected type of audience. Subheads appear frequently, describing the offer in a different way. This is immediately followed by an abundance of dear copy, spelling out details of the offer. Provision of information is made about all forms of evidence available to give assurance to the reader, specify money-back guarantees and close with a special bonus for promptness in replying. The order form should be big enough for the reader to fill out easily. Terms should be clearly presented, including handling and shipping charges, approval offers or money-back guarantees and use of credit cards if allowed. It is available for marketer to use professional services for the preparation of direct response copy or messages.

CATALOG MARKETING (MAIL-ORDER CATALOG )

Catalog marketing occurs when firms mail one or more products catalogs to selected prospects or potential customer or addresses who have a high probability of placing an order. The seller mails a catalog to a selected list of customers and also makes the catalog available on the company premises. Big merchandisers operate catalog counters in their stores and catalog offices in small communities where customers can visit to examine the catalogs and place orders. The customers order is dispatched from a central warehouse to these catalog office location, upon the arrival of the goods, the customer is phoned and asked to take delivery of his orders.

TELEMARKETING

Is defined as a marketing communication system using telecommunication technology and trained personnel to conduct planned, measurable marketing activities directed at targeted groups of consumers.Direct marketer uses the telephone to sell direct to customers. Some telephone marketers have developed computerized phoning systems where households are dialed automatically and computerized Message presented. Telemarketing has become a major direct marketing tool used for selling products and services.Effective telemarketing depends on choosing the right telemarketers, training them well and providing

Incentives to perform. Telemarketers should have pleasant voices and show enthusiasm. Women are more effective than men for many products. New telemarketers may, at the beginning, train with a script and eventually advance towards more improvisation. The opening lines are critical; they should be brief and lead with a good question that catches the listeners interest. The telemarketer needs to know how to end the conversation if the prospect seems to be a poor one. The call should be made at the right time, that is, late morning and afternoon to reach business prospects and evening hours to reach households. The telemarketing supervisor can build up telemarketers’ enthusiasm by offering prizes to the best or top performer or the first one who gets an order. An accurate and adequately selected telephone list is very essential in telemarketing.

CONSULTATIVE SELLING

The technique of consultative selling would be useful to a telemarketer. Consultative selling technique puts an emphasis on what the customer needs and wants. It involves listening more than talking; objections are addressed, not overcome. The seller asks a series of questions to find out if and how the seller’s product, service or idea will help the prospect. The questions are probing and open-ended. The telemarketer looks for needs and desires that are not being met or that can be met more fully, a greater part of this process requires that the telemarketer listens actively. Telemarketing program can be used to assist business in its marketing functions. Benefits that a firm can derive include:

• Increased potential customer sales
• Sales upgrading
• Encouragement of multiple orders
• Old accounts reactivation
• Support for the current sales team

DIRECT MARKETING THROUGH TELEVISION

Television is used in three ways to market products directly to consumers. These ways are:

1. Direct-Response Advertisin
2. At-home Shopping Channels
3. Videotex

DIRECT-RESPONSE ADVERTISING

Marketers air television spots, often 60 to 120 seconds long, that persuasively describe a product and provide customers with telephone number which is toll-free for ordering or where a customer has to pay for telephone an incentive may be given to encourage prospects call.

AT-HOME SHOPPING CHANNELS

These are entire television channels dedicated to selling goods and services, which broadcast 24 hours a day. These channels show home shopping programs, with the program host offering bargain prices on various products. Viewers are asked to call a toll-free telephone number to place order for goods. Orders are dispatched and delivered within a short time, usually 48 hours.

VIDEO TEXT

The consumers television set is linked with a sellers computer data banks by cable or telephone lines. The video text service consists of a computerized catalog of products offered by producers, retailers, banks, travel organizations and others. Consumers place orders through a special keyboard device connected to the system by two-way cable.

DIRECT MARKETING THROUGH PRINT AND RADIO

MAGAZINES, NEWSPAPERS and RADIO can also be used in direct-response selling channels. The buyer hears or reads about an offer and dials a toll-free number to place an order.

KIOSK MARKETING

A few companies have designed "customer-order-placing machines" called KIOSKS. These machines are placed in stores, airports and other locations to take orders from customers. For example, a shoe company based in the U.S named Florsheim Shoe company includes a machine in several of its stores in which the customer indicates the type of shoe he wants, along with the color and size. Pictures of Florsheim shoes appear on the screen that meet the customer’s criteria. If the particular shoes are not available in the store, the customer can dial an attached phone and type in his credit card number and where the shoes should be delivered. This method is different from vending machines, which dispense actual products.

AUTOMATIC VENDING MACHINE

Automatic vending machine is operated with coins, which are dropped into the machine and actual products are dispensed by the machine directly to the customer. Automatic vending machine is also called automatic merchandising or ROBOT RETAILING.

ONLINE DIRECT MARKETING CHANNEL

Is one that a person can reach through computer and modem. A modem connects the computer to a telephone line so that the computer user can reach various online information services. Online services are now available in some banks in Nigeria.