TO STUDY FOR THE FINAL EXAM MAR207

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In direct marketing, some basics never change; but those basics need to be augmented with some updated insights from time to time.Erich Kominsky, CEO of US Data Corporation, says, “For every dollar spent on direct email marketing the average return on investment is $44.25. It will only get better as marketing companies continue to develop innovations that boost ROI.”Here are six tips that will improve your direct-mail marketing business:

Target Your AudiencePart of the 40/40/20 rule of direct marketing is knowing who your audience is and being able to target that audience with your direct marketing. This will save you a lot of money and increase your return on investment.Building your own list can be tedious and unscientific at best, and it’s easy to get scammed by online companies selling dirty lists full of false leads that cost you a lot of money. Make sure you get your lists from a reputable business. Consider renting a list if you don’t think your budget can afford buying one.

Create a Memorable LookHaving a great design that stands out and also reinforces your message is essential to email marketing success.Make sure you follow basic design rules, but don’t be afraid to get creative. If you don’t have the software or inclination to create stunning professional designs, hire a graphic designer. The credibility that a professional design lends to your direct email marketing message is well worth the investment.

You’re Selling Solutions, Not ProductsNo one cares about you. What they care about are their own needs and wants. For instance: Bob doesn’t want a new drill, he wants to finish his to-do list faster so he can go golfing. Mary doesn’t want a dress, she wants to look thin at the party this Friday. Alice doesn’t want an investment newsletter, she wants to find a great investment that will let

her retire at 45. Ted doesn’t want a recipe book, he wants new ways to impress his friends at dinner parties.

The Heart Comes Before the BrainMost direct marketers are number-crunching, logical people. It’s easy for them to fall into a cold, left-brain, bullet-pointed, 714-reasons-why type of sales pitch. However, people make decisions in the right brain based on emotion. Then, they justify that decision with logic. To set up a sale, appeal to emotion first. Then, to close and confirm the sale, use logic.

Remember the Basic ElementsEvery direct marketing message includes three basic elements: An offer Enough information for immediate acceptance of the offer A mechanism for responding to the offerWithout each of these, you are not doing direct marketing but merely using a medium associated with direct marketing. And for direct email marketing, the response button must be prominent and not make customers jump through hoops. Each second of delay will see more of your prospects back out of the sale.

Mobile MarketingMobile marketing is taking over the marketing world. It is getting huge.Google says that mobile search will surpass desktop search by the end of the year. Perhaps the most stunning statistic is this: 70 percent of mobile searches lead to action within one hour. By way of comparison, 70 percent of desktop searches lead to action within one month.According to PEW research the percentage of adults in the U.S. who now have cell phones is at 90 percent. It would be marketing madness to ignore this gigantic subset of the consumer market.Snapchat is becoming a huge player in the mobile marketing game. Large corporations like McDonald’s, GrubHub, and Mountain Dew have used Snapchat to promote new products and standard services. This segment is only going to grow larger as new technology advances what mobile apps can do, and how easily they can do it.

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Telemarketing

Telemarketing involves contacting customers by phone to make product or service offers. A successful telemarketing campaign turns contacts into new customer prospects. Businesses running telemarketing campaigns either use their own sales staff or outsource to a specialist call centre.

Telemarketing is personal and interactive, and capable of generating new customer prospects in large volumes. However, as many businesses use telemarketing, people's tolerance of and responsiveness to telemarketing campaigns has reduced. You should approach telemarketing campaigns with clear thought and caution.

Successful telemarketing campaigns tend to be highly targeted, relying on accurate and well-defined customer data that matches customer profiles to product profiles.

Types of telemarketing

Types of telemarketing include:

cold-calling - calling someone for the first time and without their permission to generate a new lead

warm-calling - a cold call that uses 'warm' communication techniques designed to create a rapport, or a call made to follow-up on an initially positive response

follow-ups - calls designed to turn a lead into a prospect, renew contact with a lapsed customer, thank a customer for their support or check customer satisfaction

fundraising calls - contact made for the sole purpose of seeking charitable donations

market research  - calls to individuals made according to customer or demographic segments to gather information for research surveys

database clean up  - calls made to update customer records or establish a customer's level of ongoing interest in your products or services.

Tips for telemarketing

Targeted telemarketing campaigns can achieve good results. Plan a telemarketing campaign that allows you to:

make contact with people who are already leads or who precisely match your customer lead profile

make contact for the purposes of introducing yourself and building an accurate database of relevant customers

keep in touch with existing or lapsed customers

set up appointments or provide information

follow-up with a direct mail campaign.

Purchase a reliable direct marketing list that is well-matched to your ideal customer.

Focus on business markets. People prefer receiving telemarketing calls at work over receiving them at home.

Aim only to establish a rapport with the person you are calling: if you focus on prospecting rather than sales, you're more likely to get a conversation and a prospect rather than a hang-up. The cold call then helps you generate a lead by building trust and developing a new relationship.

Use a warm tone of voice and make a comment or ask a question designed to identify with the person (e.g. 'Is your day as busy as mine?').

Ask a couple of questions to determine whether the lead and your business are a good match. Don't focus on making a sale then and there.

Try to find out as much as you can about the lead prior to calling.

Use your qualifying questions (e.g. asking the person if they are in a certain age group or demographic, or have a need for your products or services).

Thank the lead for their time.

End the call as soon as you've asked your qualifying questions if you find that the lead is not a prospect.

Abide by the Do Not Call Register. The Australian Communications and Media Authority (ACMA) manages a Do Not Call Register to offer consumers the choice to opt out of receiving calls and faxes made from telemarketing call lists. A number is eligible to be registered if it is used or maintained:

primarily for private purposes

exclusively for transmitting and/or receiving faxes

exclusively for use by a government body.

Telemarketing calls that breach the Do Not Call list can be penalised under the Do Not Call Act 2006   (Cwlth) . Charitable organisations, religious institutions and government agencies are exempt.

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