test 3 Flashcards
direct marketing definition
when organizations communicate directly with target customers rather than through retailers or mass media advertising vehicles
Advertising vs direct marketing
Advertising:
difficult to track success
generic
drives consumers to retailers or websites
Direct marketing:
Easier to track success
personalized
drives consumers straight to the product
Direct mail
direct marketing tool that delivers personalized info to mailbox (junk mail because over 50% is not opened)
Statement stuffers
Advertising that comes with mail that you would receive regardless (Credit card bill, phone bill, etc)
Direct Response
Interactive marketing that allows a customer to purchase a product directly through the advertisement
Advantages of direct marketing
high degree of personalization
highly measurable
able to target effectively with data bases
drives direct responses
Disadvantages of direct marketing
high cost
high amount of clutter
limited reach
low response rates (2%)
Four reasons direct marketing should be included in IMC campaign
drive sales
encourage product trial
facilitate easy purchase opportunities
eliminate middleman (retailers, websites) from process
Sales promotion
a direct inductment that offers extra value or incentive for the product with the primary objective of creating an immediate sale
What 3 qualities of sales promotion?
- an extra incentive to purchase a product
- multiple target audience
- an acceleration tool imbedded in design
What is the oldest and most highly used, and the most effective sales promotion tool?
Coupons
Samples vs bonus packs vs premiums
Samples - have to have short life cycle, easily divisible
bonus packs - Giving extra of something for no additional value (15 Nattys)
Premiums - An offer of an item that is either free or at a low price
Contests vs sweeptakes
Contests are judged based on how good an entry is. Sweepstakes are purely by chance
Utility of internet is 3 fold
Communications medium
Direct response medium (allows users to purchase and sell products)
Tool for building customer relationships
Display ads
print ads displayed on a digital screen or medium