Direct Marketing

Broadcast Media

Direct Marketing Broadcast Media

• Radio– Tailor message to station format– More personal than TV / high involvement– Simple, intrusive, testimonials, celebrity

• Videocassettes– Sponsoring a video eliminates clutter– Fulfilment device for high ticket items that

need demonstration (NordicTrak)

Direct Response Television

• Leave production and scheduling to experts• Commercial length: 60-120 seconds • Reach & Frequency not as important as actual

response rates, but still useful• Avoid specific time/program buys--too costly.

Use ROS (run of station) and specify daypart if product audience is highly segmentable. However, ROS is pre-emptible.

Direct Response Television

• Look for dayparts that have good viewer demographics, but contain programs that don’t demand attention (reruns, talk, etc)

• Seasonality: 1st & 3rd quarters (like print)

• Infomercials: very popular but no sure thing--expensive: $100-$500,000 to produce and $30-$40,000 to perform basic tests.

Direct Response TelevisionMedia Choices: Network

• Major networks can still reach most of US TV HH’s, but share

continues to decline.

• Disadvantages:– Few, if any, 120 seconds spots available– Usually cost prohibitive– Telemarketing inbound blockage is likely to

occur with simultaneous national coverage

Direct Response TelevisionMedia Choices: Spot TV

• Most common for direct response

• Advantages: – localized, maximize best performing markets– cost-efficient

• Disadvantage– more difficult to manage for a national

campaign

Direct Response TelevisionMedia Choices: Network Cable TV • Reaches 65% + of US

• Advantages– cost efficient– particularly effective if the network’s audience

properly matches your target audience– back-end response outperforms broadcast TV

• Disadvantages: limited availability of two minute spots (sometimes even 1 minute)

Direct Response TelevisionMedia Choices: Local cable

• Market-by-market basis; very effective for products with narrow segments

• Disadvantages– no two minute slots available– rates (considering number of exposures) are not

particularly cost efficient– many media markets require 4 to 5 operators

for complete coverage

Direct Response TelevisionMedia Choices: Syndication

• Sponsors market the show (including commercials) to TV stations on a market-by-market basis

• Advantages:– unlikely to be preempted & reaches 80-90% US

– little telemarketing blockage

– allows product-to-program matching

• Disadvantage: only 60 seconds & expensive unless you buy “distressed” slots

Direct Response TelevisionCreative Tips

• Show 800 # 25 seconds of every 60• Immediacy--call this number now!• Clarity--clear offer, no room for doubt• Lack of retail availability

“Not available in stores.”

• Limited options--yes or no only• Early close--ask for order early & often• De-emphasize total price of installments• Demonstrations work. Use all features.