Diirect marketing strategies

Direct Marketing Strategies
Chao Onlamai

What is Direct Marketing?
• Direct Marketing is not mass direct mailing
– ‘Advertising in an envelope’ – an advertising
message inserted into an envelope and mass-
mailed-does not qualify as Direct Marketing or
Direct Mail
• DM is interactive and response can be tracked
and measured.
• DM is database-driven
– All marketing data is stored on a database, and
qualified and updated on a periodic basis

Overview
• Direct marketing is a channel-agnostic form
of advertising which allows businesses and
nonprofit organizations to communicate straight
to the customer, with advertising techniques that
can include cell phone text messaging, email,
interactive consumer websites, online display
ads, database marketing, fliers, catalog
distribution, promotional letters, targeted
television commercials, response-generating
newspaper/magazine advertisements, and
outdoor advertising. Amongst its practitioners, it
is also referred to as Direct Response.

Focal Points
• Direct marketing messages emphasize a focus
on the customer, data, and accountability.
Hence, besides the actual communication,
creation of actionable segments, pre- and
post-campaign analytics, and measurement of
results, are integral to any good Direct
Marketing campaign.

Characteristics that distinguish direct
marketing are:
• A database of names (prospects, customers,
businesses, etc.), often with certain other
relevant information such as contact
number/address, demographic information,
purchase habits/history, company history, etc.,
is used to develop a list of targeted entities
with some existing common interests, traits or
characteristics. Generating such a database is
often considered part of the Direct Marketing
campaign.

Target Market
• Marketing messages are addressed directly to
this list of customer and/or prospects. Direct
marketing relies on being able to address the
members of a target market. Addressability
comes in a variety of forms including email
addresses, phone numbers, Web browser
cookies, fax numbers and postal addresses.

Call to Action
• Direct marketing seeks to drive a specific "call
to action." For example, an advertisement
may ask the prospect to call a free
phone number, mail in a response or order, or
click on a link to a website.
• Direct marketing emphasizes trackable,
measurable responses, results and costs from
prospects and/or customers—regardless of
medium.

Size of the businesses
• Direct marketing is practiced by businesses of all
sizes—from the smallest start-up to the leaders on the
Fortune 500. A well-executed direct advertising
campaign can prove a positive return on investment by
showing how many potential customers responded to
a clear call-to-action. General advertising eschews
calls-for-action in favor of messages that try to build
prospects’ emotional awareness or engagement with a
brand. Even well-designed general advertisements
rarely can prove their impact on the organization’s
bottom line. The demonstrable result of Direct
Marketing is the reason for its increasing popularity.

Benefits
• Direct marketing is attractive to
many marketers because its positive results can be
measured directly. For example, if a marketer sends
out 1,000 solicitations by mail and 100 respond to the
promotion, the marketer can say with confidence that
campaign led directly to 10% direct responses. This
metric is known as the 'response rate,' and it is one of
many clearly quantifiable success metrics employed by
direct marketers. In contrast, general advertising uses
indirect measurements, such as awareness or
engagement, since there is no direct response from a
consumer.

Measurement of results
• The Internet has made it easier for marketing managers to
measure the results of a campaign. This is often achieved by
using a specific website landing page directly relating to the
promotional material. A call to action will ask the customer to
visit the landing page, and the effectiveness of the campaign
can be measured by taking the number of promotional
messages distributed (e.g., 1,000) and dividing it by the
number of responses (people visiting the unique website
page).
• Another way to measure the results is to compare the
projected sales or generated leads for a given term with the
actual sales or leads after a direct advertising campaign.

CHALLENGES AND SOLUTIONS
Success of any Direct Marketing campaign, in terms of number of times
the desired response may vary between the best vs. the worst of the
following parameters, depends on:

Campaign measurements
• List or targeting (best targeting may yield up to 6 times the
response, as compared with the worst targeting)
• Offer (best offer may yield up to 3 times the response, as
compared with the worst offer)
• Timing (best timing for the campaign may yield up to 2 times
the response, as compared with the worst timing)
• Ease of response (best/multiple ways offered to respond may
yield up to 1.35 times the response, as compared with not-so-
friendly response mechanism/s)
• Creativity (most creative messaging may yield up to 1.2 times
the response, as compared to the least creative messaging)

choosing the best of all the right
parameters may yield up to 58
times more response, as compared
to choosing the worst parameters.
• Media employed. The medium/media used to
deliver a message can have a significant impact on
responses. It's difficult to truly personalize a DRTV
or radio message. One can even attempt to send a
personalized message via email or text message,
but a high quality direct mail envelope and letter
will typically have a better chance of generated a
response in this scenario.

Concerned matters
• Some of these concerns have been addressed
by direct marketers by the use of individual
"opt-out" lists, variable printing, and better-
targeted list practices. Additionally, in order to
avoid unwanted mailings, members of the
marketing industry have established
preference services that give customers more
control over the marketing communications
they receive in the mail.

Privacy
• The term "junk mail," referring to unsolicited
commercial ads delivered via post office or
directly deposited in consumers' mail boxes, can
be traced back to 1954.[1] The term "spam,"
meaning "unsolicited commercial e-mail," can be
traced back to March 31, 1993,[2]although in its
first few months it merely referred to
inadvertently posting a message so many times
on UseNet that the repetitions effectively
drowned out the normal flow of conversation.
1. Entry for junk, Online Etymology Dictionary. Retrieved February 19, 2008.
2. Origin of the term "spam" to mean net abuse, Brad Templeton's website. Retrieved February
19, 2008.

Filtering Programs
• Can-Spam gives recipients the ability to stop
unwanted emails, and set out tough penalties for
violations.[1] Additionally, ISPs and email service
providers have developed increasingly effective
Email Filtering programs. These filters can
interfere with the delivery of email marketing
campaigns, even if the person has subscribed to
receive them,[2] as legitimate email marketing can
possess the same hallmarks as spam. There are a
range of email service providers that provide
services for legitimate opt-in emailers to avoid
being classified as spam.
1. FCC: Spam, Unwanted Text Messages and Email
2. What is a "Whitelist" and why do I want to work with a "Whitelisted" Mail Distributor?

Database Quality
• While many marketers recognize the financial
benefits of increasing targeted awareness, some
direct marketing efforts using particular media
have been criticized for generating poor quality
leads, either due to poor message strategy or
because of poorly compiled demographic
databases. This poses a problem for marketers
and consumers alike, as advertisers do not wish
to waste money on communicating with
consumers not interested in their products.

CHANNELS
Any medium that can be used to deliver a communication to a customer
can be employed in direct marketing.

Email marketing
• Sending marketing messages through email
or email marketing is one of the most widely
used direct-marketing methods.[1] One reason
for email marketing's popularity is that it is
relatively inexpensive to design, test, and send
an email message. It also allows marketers to
deliver messages around the clock, and to
accurately measure responses.
1. Ayyadurai, VA Shiva (2013). The Email Revolution: Unleashing the Power to
Connect. ISBN 978-1621532637.

Online tools
• With the expansion of digital technology and tools,
direct marketing is increasingly taking place through
online channels. Most online advertising is delivered
to a focused group of customers and has a trackable
response.
• Display Ads are interactive ads that appear on
the Web next to content on Web pages or Web
services. Formats include static banners, pop ups,
videos, and floating units. Customers can click on
the ad to respond directly to the message or to
find more detailed information. According to
research by eMarketer, expenditures on online
display ads rose 24.5% between 2010 and
2011.[1]
1. eMarketer Press Release, June 2011

Online tools
• Search: 49% of US spending on Internet ads goes to
search, in which advertisers pay for prominent
placement among listings in search engines whenever a
potential customer enters a relevant search term,
allowing ads to be delivered to customers based upon
their already-indicated search criteria.[1] This paid
placement industry generates more than $10 billion for
search companies. Marketers also use search engine
optimization to drive traffic to their sites.
• Social Media Sites, such as Facebook and Twitter, also
provide opportunities for direct marketers to
communicate directly with customers by creating
content to which customers can respond.
1. DMA 2011 Statistical Fact Book, Chapter 4

Mobile
• Through mobile marketing, marketers engage
with prospective customers and donors in an
interactive manner through a mobile device or
network, such as a cellphone, smartphone, or
tablet. Types of mobile marketing messages
include: SMS (short message service)—marketing
communications are sent in the form of text
messages, also known as texting. MMS (multi-
media message service)—marketing
communications are sent in the form of media
messages.

Phone
• In October 2013, the Federal Telephone
Consumers Protection Act made it illegal to
contact an individual via cell phone without
prior express written consent for all telephone
calls using an automatic telephone dialing
system or a prerecorded voice to deliver a
telemarketing message to wireless numbers
and residential lines. An existing business
relationship does not provide an exception to
this requirement.

Mobile Applications: Smartphone-
based mobile apps contain several
types of messages.
• Push Notifications are direct messages
sent to a user either automatically or as
part of a campaign. They include
transactional, marketing, geo-based, and
more. Rich Push Notifications are full HTML
Push Notifications.

Mobile Applications
• Mobile apps also contain Interactive ads that appear
inside the mobile application or app; Location-Based
Marketing: marketing messages delivered directly to a
mobile device based on the user's location; QR
Codes(quick-response barcodes): This is a type of 2D
barcode with an encoded link that can be accessed
from a smartphone. This technology is increasingly
being used for everything from special offers to
product information. Mobile Banner Ads: Like standard
banner ads for desktop Web pages but smaller to fit on
mobile screens and run on the mobile content network

Telemarketing
• Marketers contact customers by phone. The
primary benefit to businesses is increased lead
generation, which helps businesses increase
sales volume and customer base. The most
successful telemarketing service providers
focus on generating more "qualified" leads
that have a higher probability of getting
converted into actual sales.

Telemarketing
• A consumer who does not wish to receive
further prerecorded telemarketing calls can
"opt out" of receiving such calls by dialing a
telephone number (required to be provided in
the prerecorded message) to register his or
her do-not-call request. The provisions do not
cover calls from political organizations or
charities.[1]
1. FCC Report and Order, February 15, 2012 "Rules and Regulations Implementing the
Telephone Consumer Protection Act of 1991", CG Docket No. 02-278. [1]

Voicemail marketing
• Voicemail marketing emerged from the market
prevalence of personal voice mailboxes, and business
voicemail systems. Voicemail marketing presented a
cost effective means by which to reach people directly,
by voice. More recently, businesses have utilized
guided voicemail (an application where pre-recorded
voicemails are guided by live callers) to accomplish
personalized business-to-business marketing formerly
reserved for telemarketing. Because guided voicemail
is used to contact only businesses, it is exempt from Do
Not Call regulations in place for other forms of
voicemail marketing.

Broadcast faxing
• Broadcast faxing, in which faxes are sent to
multiple recipients, marketers send commercial
faxes to those with whom they have an
established business relationship (EBR), but
imposes some new requirements. These
requirements include providing an opt-out notice
on the first page of faxes and establishing a
system to accept opt-outs at any time of the day.
Roughly 2% of direct marketers use fax, mostly
for business-to-business marketing campaigns.[1]
1. DMA 2010 Response Rate Report

Couponing
• Couponing is used in print and digital media to
elicit a response from the reader. An example
is a coupon which the reader receives through
the mail and takes to a store's check-out
counter to receive a discount.

Digital Coupons
• Manufacturers and retailers make coupons available
online for electronic orders that can be downloaded
and printed. Digital coupons are available on company
websites, social media outlets, texts, and email alerts.
There are an increasing number of mobile phone
applications offering digital coupons for direct use.
• Daily Deal Sites offer local and online deals each day,
and are becoming increasingly popular. Customers sign
up to receive notice of discounts and offers, which are
sent daily by email. Purchases are often made using a
special coupon code or promotional code. The largest
of these sites, Groupon, has over 83 million
subscribers.[1]
1. New York Times Article, June 2 2011 - Groupon Plans I.P.O. With $30 Billion Valuation

Direct response marketing
• Direct Response Marketing is designed to generate an
immediate response from consumers, where each
consumer response (and purchase) can be measured,
and attributed to individual advertisements.[1] This
form of marketing is differentiated from other
marketing approaches, primarily because there are no
intermediaries such as retailers between the buyer and
seller, and therefore the buyer must contact the seller
directly to purchase products or services. Direct-
response marketing is delivered through a wide variety
of media, including DRTV, radio, mail, print
advertising, telemarketing, catalogues, and
the Internet.
1. "Direct Response Advertising Glossary"; February 8, 2011.

Direct response mail order
• Mail order in which customers respond by
mailing a completed order form to the
marketer. Mail order direct response has
become more successful in recent years due
to internet exposure.[1]
1. Huff, Priscilla. "Why the Internet is Causing Mail Order to Boom". Home Business Magazine.
Retrieved 3 October 2012.

Direct response television
• Direct marketing via television (commonly
referred to as DRTV) has two basic forms: long
form (usually half-hour or hour-long segments
that explain a product in detail and are
commonly referred to as infomercials) and
short form, which refers to typical 30-second
or 60-second commercials that ask viewers for
an immediate response (typically to call a
phone number on screen or go to a website).

Infomercials
• TV-response marketing—i.e. infomercials—can be
considered a form of direct marketing, since responses
are in the form of calls to telephone numbers given on-
air. This allows marketers to reasonably conclude that
the calls are due to a particular campaign, and enables
them to obtain customers' phone numbers as targets
for telemarketing. One of the most famous DRTV
commercials was for Ginsu Knives by Ginsu Products,
Inc. of RI. Several aspects of ad, such as its use of
adding items to the offer and the guarantee of
satisfaction were much copied, and came to be
considered part of the formula for success with short-
form direct-response TV ads (DRTV).

Infomercial
• Forms of direct response marketing on television
include standard short form television
commercials, infomercials and home
shopping networks. Short-form direct-response
commercials have time lengths ranging from 30
seconds to 2 minutes. Long form infomercials are
typically 30 minutes long. An offshoot of the
infomercial is the home shopping industry. In this
medium, items can potentially be offered with
reduced overhead.[1]
1. Dickler, Jessica. "Home Shopping Networks Go High End". CNN Money. Retrieved 3 Oct
2012.

Direct response radio
• In direct response radio, ads contain a call to
action with a specific tracking mechanism.
Often, this tracking mechanism is a "call now"
prompt with a toll-free phone number or a
unique Web URL. Results of the ad can be
tracked in terms of calls, orders, customers,
leads, sales, revenue, and profits that result
from the airing of those ads.

Direct response magazines and
newspapers
• Magazine and newspaper ads often include a direct
response call-to-action, such as a toll-free number, a
coupon redeemable at a brick-and-mortar store, or a
QR code that can be scanned by a mobile device—
these methods are all forms of direct marketing,
because they elicit a direct and measurable action from
the customer.
• Other media, such as social media, search engine
marketing and e-mail can be used to elicit the
response. A survey of large corporations found e-mail
to be one of the most effective forms of direct
response.[1]
1. Miller, Steve. "Study: E-Mail is The Most Effective Form of Direct Response". Adweek.
Retrieved 3 Oct 2012.

Direct mail
• The term advertising, or direct mail, is used to refer to
communications sent to potential customers or donors
via the postal service and other delivery services.
Direct mail is sent to customers based on criteria such
as age, income, location, profession, buying pattern,
etc. Direct mail includes advertising circulars, catalogs,
free-trial CDs, pre-approved credit card applications,
and other unsolicited merchandising invitations
delivered by mail to homes and businesses. Bulk
mailings are a particularly popular method of
promotion for businesses operating in the financial
services, home computer, and travel and tourism
industries.

Direct mail database
• In many developed countries, direct mail
represents such a significant amount of the
total volume of mail that special rate classes
have been established. Advertisers often
refine direct mail practices into targeted
mailing, in which mail is sent out
following database analysis to select recipients
considered most likely to respond positively.
This use of database analysis is a type of
database marketing.

Insert media
• Another form of direct marketing, insert
media are marketing materials that are
inserted into other communications, such as a
catalog, newspaper, magazine, package, or
bill. Coop or shared mail, where marketing
offers from several companies are delivered
via a single envelope, is also considered insert
media.

Out-of-home
• Out-of-home direct marketing refers to a wide
array of media designed to reach the
consumer outside the home, including
billboards, transit, bus shelters, bus benches,
aerials, airports, in-flight, in-store, movies,
college campus/high schools, hotels, shopping
malls, sport facilities, stadiums, taxis—that
contain a call-to-action for the customer to
respond.

Grassroots/community marketing
• The door-to-door distribution of flyers and
leaflets within a local community is a business-to-
consumer form of direct marketing used
extensively by restaurants, fast food companies,
and many other business focusing on a local
catchment. Similar to direct mail marketing, this
method is targeted purely by area and
community, and costs a fraction of the amount of
a mailshot, since it is not necessary to purchase
stamps, envelopes, or address lists with the
names of home occupants.

Definitions
• Material Handling + Warehousing + Transportation +
Routing + Storage = Logistic
• EDI + Logistic + Procurement = SCM
• SCM + online/bar code technology = ECR
• Call Center + Training + Script Writing = Telemarketing
• Telemarketing + Database Management + Segment +
Media = Direct Marketing
• Telemarketing + Database Management + Life Time
Value of Customer = CRM
• Direct Marketing + Online/Wireless Technology = ER

Direct Marketing is leading the way
In the past, DM industry opened the way to
change with the ROI (Return on Investment)
concept. Roi began to place accountability to
perform with media. But, when the new media
began emerging at an extremely fast pace, it
become more difficulet to measure their
accountability. This lead marketer to review the
metrics used to calculate value.

DM lead the way
• Again, DM industry led the way by developing the
Lifetime Value (LTV) concept. LTV place the metrics
on how important the customer is to the
organization over the time they will purchase
goods and services.
• Customer today want to have information
provided to them when they want it and in the
media that is best suited for them. Perhaps, this
generate the new word “CRM”.

DM Application benefits
• Gets your message to your selected audience
• Sends traffic to your store, shop or restaurant
• Gains you a visitor at a trade show
• Drives a prospect to your WWW site
• Increase your sale from current customer
• Generate a phone or email response
• Builds on-going relationship with your customers
• Expand your business
• Launch new products
• Upgrade your channel of distribution

When DM should work ?
• When you can clearly Identify your Target audience
• When you can clearly Reach your Target audience
• When you have a lot to say to your Target audience
• When you have a repeat sale or continuity sale
product
• When you need to control the entire selling process
• When you want less visibility in the marketplace

Principle of Direct Marketing
• Action Oriented : you got to do something
• Measurable : what works or what is not
• Persuasive : it is not soft sale, it is hard sale
• A $ale discipline : it is the sale or leads to sale

Assumption of Direct Marketing
• I don’t know who you are
• I don’t know your company
• I don’t know your company’s product
• I don’t know your company’s customer
• I don’t know your company’s reputation
• I don’t know your company’s records
Now-what was it you
wanted to sell me ?

Direct marketing Advance Application
1.Continuity program
2.Subscription program
3.Sequential program
4.Collection program
5.Member Club
6.Customer Loyalty Program

Direct Marketing evolution
This decade

DM in this decade
• In the past 50 years, human race have discover
the new knowledge 50 times from 2000 years
ago.
• In the past 10 years, human race have discover
the new knowledge more than 50 times from 50
years ago.
• The technology is the main factors to change the
consumer’s life and leading the way of society.

DM in this decade
• The product life cycle is even more shorter and
more complication
• The consumer have been fragmented into smaller
group and they need a lot of information.
• When present consumer want something, they
want it. And they want it NOW !!!!

DM in Thailand
• Infrastructure
– Post Service
– National Delivery
– Metropolitan Map Management
• Banking System
• Perception of Customer
• Telecommunication
• Regulation
• Association
• Credit Card Penetration

DM in Thailand
• Outsourcing Service
– Telemarketing
– Fulfillment
• Competition
• Market Situation
• Consumer Behavior
• Technology Support
• Government Policy
• Privacy Law
• The Future Trends : Convergence

DM FOR BALANCED CHANNEL OF
DISTRIBUTION
Direct Marketing

Distribution Channels
• CONVENTIONAL CHANNEL
– MODERN TRADE
– TRADITIONAL TRADE
• DIRECT CHANNEL
– DIRECT MARKETING
– DIRECT SELLING

Conventional Channels
Modern Trade
– Superstore
– Hypermarket
– Cash & Carry
– Supermarket
– Convenience Store
– Categories Killer
Traditional Trade
– Papa Mama Store
– Drug Store
– Personal Kiosk

Direct Channels
Direct Selling
– Single Level
– Multi Level
– Binary
– Pyramid
– Money Game
– Database Marketing
– Etc.
Direct Marketing
– Direct Mail
– Mail Order
– Telemarketing
– Direct Response TV
– DR Radio
– DR Press advertising
– Email Marketing
– Mobile Marketing
– Interactive TV
– Database Marketing

Channel Equilibrium and Implications
• For multi channel players, value and pricing of
the products have to be the same in all
channels.
• Fast and accuracy for the offers are keys to
success factors.

The layers of database
• SUSPECTIVE
– Define the whole target group such as Man/Women
• PROSPECTIVE
– When you do something and your suspects response to your campaign
• FIRST TIME CUSTOMER
– The prospects that transform to your very first time customer
• CUSTOMER
– From 1st time to be more often purchasing
• REGULAR CUSTOMER
– Every month purchaser of your product/service
• MEMBER CLUB
– Some want that see your credential and they want to belong to
• ADVOCATE
– Anyone that can speak out to defense you when any look down

Database Management
• Database is the key success of future
• Conceptual purpose of database
• Source of Database
• Maintenance and update base
• Focus on non-active base
• Design Report for output
• How to Gauge the base’s response
– Sale and Response reflect marketing strategy
– Reject mail reflect accuracy of base

Key elements of database
• Profiling
• Targeting
• Segmentation
– Demography
– Psychographic
– Geography
• Database Marketing and Data Mining

Objective
Step 1 : Objective :
 Customer acquisition ?
 Customer Loyalty and retention ?
 Cross Selling ?
 Analysis of your distribution channel ?
 Market Development ?
 Expense Reduction

OFFER
It’s amazing how 50% off make you feel 100% better - Guaranteed!

Sample of OFFER
– 1/2 price or 50 % off
– Buy one get 1 free
– Free Trail or Money Back Guarantee
– Save 25% or Buy 9 get 3 free

7 ways to make offers
• UPGRADE : Upgrade the product
• DOWNGRADE : Make sure that no impact
to image
• BUNDLE : Combine
• UNBUNDLE : Separate
• NARROWCAST : Smaller
• MASS MARKET : Bigger
• PRICE : Same for More

PRODUCTION/MEDIA
DM MEDIA/TOOLING
1-2-3

1. DM MEDIA…
• Address Media (Proactive)
– Direct Mail
– Catalogue
– Customer Magazine
– Card Desks
– Royal Mail’s Mail sort Programmed (CBC)
– Telemarketing

Direct Mail
• Direct Mail, the 110 years marketing method since
1892 in Venice
• Direct Mail is the personally addressed advertising that
is delivered through the post.
• Direct Mail is the major weapon in the direct
marketer’s armory.
• Brand Name will love it so much
• Either providing information, make sale or lead sale
• Good plan, using Idle capacity will lead the cost saving

4 Factors of Direct Mail
How to generate response :
• Subject Matter
• Brand Relationship
• Personality types
• Creative Execution.

• The most powerful contributor to consumer
response to direct mail is the subject matter
of the direct mail piece itself.
• Having the right offer at the right time is
paramount to success.
• The important of ensuring that consumers
receive direct marketing which is relevant to
their lives.
Subject Matter

Brand Relationship
• The relationship between brand and customers
are viewed as necessary for the successful
implementation of direct mail programs.
• You must remember sense of belonging always
be there.
• Customer seem to be far more willing to accept
and respond to direct mail which comes as a
result of the relationship between them and the
organization.

• Personality type basically refers to whether
the consumer has a positive or negative
attitude toward direct mail in general and this
also contributes to the level of response.
• But the excellent creative execution will
engage the recipient’s attention and interest
and may also encourage them to respond.
Personality Types

• But the excellent creative execution will
engage the recipient’s attention and interest
and may also encourage them to respond.
Creative Execution

• Direct mail offer the marketer a great deal of selectivity.
• Direct mail is a particularly flexible medium. It can be used for
a wide range of application and with an equally wide range of
different format.
• Direct Mail offers the opportunity for personalization of the
message.
• Direct Mail facilitates testing operation and lends itself to
measurability.
• Direct Mail has a wide variety of devices at its disposal which
can be used to engage the involvement of the recipient white
he or she is making a decision about whether or not to
respond.
Advantages of Direct Mail

• Direct Mail is not cheap medium to use. On a cost per
thousand basis direct mail cannot compete with the
likes of press or television. Especially, for low-cost
products and whose consumers are spread over a wide
geographic area.
• Direct Mail has to some extent failed to live up to its
promise of increased response rates following the
introduction of complex modeling procedures,
geo/demographic and lifestyle profiling, and the
detailed consumer information to which direct
marketers now have access.
Disadvantages of Direct Mail

1. Understand why you use an envelope
2. Gain attention with the letter
3. Benefits, Benefits, Benefits
4. Take command of the “from me to you” medium
5. Dear Occupant :
6. Over, please…
7. Here is exactly how long to make your letter
8. “Just Love it.” Your Testimonials
9. It isn’t just what you write; it’s how you show it
10.If you want something, ask for it
11.P.S. I love you
12.BRC could stand for business received competently
Prescription for Persuasion

Catalogues
• Mail Order also play a major role to selling the current
product and involving the introduction of new product
lines
• Most Catalogues are aim to support the fundamental
way of business like network agent, cash-strapped
housewives who earned commission by introducing
others to the catalogue and ordering products on their
behalf.
• The competitive advantage which these catalogues
posses revolves around the easy credit terms which
they have to offer and which customers cannot obtain
elsewhere.

Specialogues
• One recent development of huge importance
within the mail order industry has been the growth
of more specialized catalogue or “SPECIALOGUES”
• Specialogues compete on the basis of being more
tightly targeted than the big book counterparts,
focusing on particular segments of the consumer
market. Mostly, focusing on up-market product
• Customers value convenience and quality, they are
prepared to pay extra for these features.
• Advantage of Specialogues is the speed with which
they can send to recipients.

Type by Sizes
• Flyer : 1 block, A4
• Leaflet : A4, Legal, A3 (normal), A3-6 blocks
• Catalog : A5, A4, Other Size

Type by Methods
• Credit Card Syndication/Inserting
• Solo Mail
• Follow Up Catalog

Categories Management
• One Single Product
– make sure it is high price product
• Same Category but different product
– complementary categories for upselling
• Cross Products and different categories
– don’t compete each other

Layout
• No innovative font applied, just plain, easy and
clean font
• Point of font should be 5-8 characters per
centimeter
• Block Style or Free Form
• Same page should be same color as theme
• If you make catalog, make sure that your best
seller placing more than one position in the
catalog.

Space Management
• Best Seller always get best position at best size
• Do not clear stock by the sellable space
• Printing is no idle, you can reduce size and
expand size as you wish
• Keep printing as low as 15% per square inches

Secret to more Sale
• Keep your offer as an upsell item
• Always make you offer a different format
• Don’t not forget the campaign promotion
• Trying to use Free Gift rather than Discount

CUSTOMER MAGAZINE
NEWSLETTER
Customer relations

Customer Magazines
• A new dimension to their customer loyalty
program in the form of customer magazine.
Originate from Airline, and financial industry.
Now it is being utilized by retailers and fast
moving consumer goods.
• It should be able to tailor the magazines to tightly
defined customer segments.
• Maintaining loyalty is the major focus of these
magazine.
• Secondary feature is that they can be utilized for
data collection purposes.

Customer Magazines
• Secondary feature is that they can be utilized for
data collection purposes. Customer information
can be gleaned from vouchers, coupons and
competitions and used to identify prospects for
other direct marketing campaigns.
• Customer Magazine can be quite costly. It is
rarely the case that production and distribution
cost can be covered by advertising revenue.
• Fostering customer loyalty comes at a price but
does pay dividends in the long term.

Card Desks
• Card Desks originally evolved from the market for
business-to-business periodicals.
• Publishers extended the use of their circulation lists by
mailing packs of advertising reply card to industry
readers till 1980s that card desks were used within
consumer marketing.
• Now many organization begin to recognize the useful
role they can play within the field of direct marketing.
• The medium appeals particularly to advertisers in
financial services, travel and home improvement
sectors

Card Desks
• Card Desks work best as a cost effective means of
generating leads and enquiries or raising
awareness of a brand prior to a mailing approach.
• Response level for card desks are not the greatest
and there a high degree of wastage. However,
response depends to a large extent on the nature
of the offer.
• Even low level of response the card desk can still
be relatively cost-effective.

Telemarketing
• Always remember we are human. We need to
talk. Till the technology could not let machine
having brain to interact then telemarketing will
be necessary.
• It is the art of speed
• It is the efficient sale tools
• No matter what they will call, the main elements
still be the script writing skill.
• Require highly imagination of agents.
• Go and learn how your PABX can help you

Telemarketing Purposes
• New customer acquisition
• Reactivation of past customer
• Upgrading current customers
• Screening and qualifying leads
• Covering a wide geographical spread
• Market research and database building

Telemarketing Technology
• IVR-Interactive Voice Response. IVR are
limited to inbound telemarketing campaigns
to provide 24 hours customer access.
– Minimize Call Abandonment
– Accesses
– Consistency
– Flexibility
– Cost
– Artificial
– Limited Data Collection

The important of Personnel
• Although the role of technology with the
telemarketing industry is increasing, the part
played by people is arguably more important
than ever.
• Contemporary telemarketing encompasses areas
such as customer service, consumer complaint
handling and technical support.
• Having the right personnel is essential for the
successful implementation of a modern
telemarketing program.

Outbound Telemarketing
• Always remember you choose to be cost-center or
profit-center by doing this telemarketing
• Do not over investment into the system if you did not
prove it is making a profit for you.
• Script Writing is the key success.
• Outbound telemarketing can apply as follows :
– Customer service
– List Updated
– Double check the campaign
– Survey the opinion
– Making a relationship

7 Money-Saving Tips for Outbound
1.Beware of the low bid (in case of outsourcing)
2.Keep your list clean
3.Avoid the hourly rate
4.Avoid last-minute changes, “Plan as much as
you can in advance”
5.Set limits on training fees
6.Consider time of day
7.Choose an experienced telemarketer

Telemarketing Script
• Work closely with your telemarketer to make sure it’s
easy for your caller to order, and also easy to up-
selling, test and capture information.
• Remember that the priority is making the sale. A
neophyte DMer put so many Qs at the top of the script
that callers became annoyed and many hung up.
• After you‘ve captured the caller’s name, address and
credit card number, is the time to ask a reasonable
number of Questions.

Telemarketing Script Sample
Q1 ขอบคุณที่โทรสั่งซื้อ….. ผมรบกวนขอชื่อและนามสกุลด้วยครับ
Q2 ผมขอที่อยู่ เบอร์โทรศัพท์ และรหัสไปรษณีย์ด้วยครับ
Q3 จะชาระเงินด้วยเครดิตหรือชาระด้วยเงินสดดีครับ
Q4 ขอทราบชื่อบนบัตรเครดิตด้วยครับ
Q5 ขอทราบหมายเลขเครดิตการ์ดด้วยครับ
Q6 ผมขอวันที่บัตรหมดอายุด้วยครับ
Q7 ขอบคุณครับ คุณต้องการสั่งซื้อ…..จานวนกี่ชุดครับสาหรับวันนี้
ถ้าลูกค้าพร้อมสั่งซื้อไป Q8
ถ้าลูกค้ายังไม่พร้อมจะซื้อไป Q10

Telemarketing Script Sample
Q8 คุณลองพิจารณาสั่งซื้อจักรเย็บผ้าPERFECT STICH เพิ่มเติมตอนนี้เลยดี
ไหมครับ เพราะลูกค้าเราส่วนใหญ่ชอบสินค้านี้มากและจะได้ไม่ต้องเสียเวลา
คอย อีกทั้งยังประหยัดค่าจัดส่งด้วย
ไปที่ Q9
Q9 คุณต้องการจะรับจักรนี้เพิ่มเติมเพื่อเป็นของขวัญให้คนที่คุณรักละก็จะเป็นการทาให้
พวกเขาประหลาดใจและดีใจมากเลยนะครับเพราะ Perfect Stitch เหมาะ
สาหรับทั้งครอบครัวของคุณและเพื่อนสนิทมิตรสหาย
ไปที่ Q10
Q10 ผมขอเวลาสักครู่เพื่อที่จะอธิบายเกี่ยวกับตัวสินค้าเพิ่มเติมนะครับ เพราะสินค้านี้เป็น
สินค้าใหม่ล่าสุด มีขนาดเบากะทัดรัด เย็บได้ทั้งงานง่ายๆไปจนถึงงานที่ต้องใช้ผีมือ มี
ความทนทาน พร้อมการรับประกันคุณภาพหนึ่งปีเต็ม ที่สาคัญเรายังมีการรับประกัน
ความพอใจอีด้วยจะรับสักหนึ่งหรือสองชุดดีครับ
ลูกค้าสั่งไป Q9

Advantage of telemarketing
• Once it is carefully planned and controlled,
telemarketing is highly selective in nature.
• Telemarketing provide a quick and accurate means of
collecting up-to-date and pertinent information.
• The flexibility of telemarketing ensures that the
medium can be used to contact consumers across a
wide geographic area and calls can be timed to suit the
contact and to provide maximum response level.
• Testing is also facilitated by telemarketing.
• Telemarketing is the proficiency it offer in support of
other media.

Disadvantage of telemarketing
• Outbound has to carried out with care and
aforethought. Beware of intrusion.
• Proper training and monitoring of personnel is vital
because when used incorrectly it is all too easy for
telemarketing to annoy and it cost to maintain a well-
trained workforce.
• The initial part of script must be geared to checking
that the person is happy to talk at that moment or not.
• A blatant sales pitch should never be the first call that
consumer gets from a company.
• Telemarketing is quite costly and it provides little in the
way of economic of scale.

CALL CENTER MANAGEMENT
Customer Relations

Why do you need to have Call Center
• You need to serve customer more
• You need to increasing sale
• Your product have re-purchase model
• Company create a life-time value of customer
• You need to provide more information to target
• You need to know first hand information.
All you need to answer is do you have time ?

CALL CENTER
• Is the one of marketing tool to manage and serve
maximum requirement of your customer either B2B
or B2C.
• It is the two way communication between you and
your customer in the purpose of creating the long
term relation and/or loyalty customer.
• Call Center equipped with appropriate software,
training skill, company policy will result as CRM
which is leading the way to strong brand equity.
• Most people think it is cost center. You need to
turn them to be profit center.

Types of Call Center
• Telesale
– Proactive/Outbound
– Reactive/Inbound
• Customer Service
• Customer Relationship
• Contact Center
• Help Desk

5 Ps of Creating Loyal Profitable
Customers
• Progress-Change before you need to change
• Passion-Create a passion worth pursuing
• Product-Determine what business you are
really in
• Process-Create a service selling system with
personality
• Positioning-Create a unique point of
difference that sets you apart

Equipment
• PABX
• Phone Line : Land Line or Lease Line
• Telephone
• Head-Set
• Partition
• Desk
• Chair without arm
• Computer
• Software
• Approximately Set up is 50,000 baht per agent

Sales Agent
• Telesale Basis
– Fix Salary
– Daily Wages
– Commission
• Fixed
• Progressive Rate
• Customer Service/Relationship
– Fix Salary
– Company Benefit

If you can not, just let other people do:
Outsourcing
• Reduce and control operating costs
• Improve company focus
• Gain access to world class capabilities
• Free internal resource for other purposes
• Provide resource that are not available internally.
• Accelerate re-engineering benefit.
• Improve a function that is difficult to manage/out
of control
• Make capital funds available
• Share Risks
• Provide cash infusion

Things to remember
• Call Center is not hard, but it depend on how
your company care about your customer.
• Always get the support from your management
and the whole company
• Do not invest too much it you cannot make
profit.

2. DM MEDIA…
• Unaddressable Media (Reactive)
– Direct Response Television Advertising
– Direct Response Press Advertising
– Direct Response Radio Advertising
– Door-To-Door
– Mail Drop

DIRECT RESPONSE TELEVISION
DETV

The Strengths of DRTV
• An Efficient Channel of Distribution
• Great Flexibility
• Measurable Media
• The Ultimate Mass Communication Tool

Ways to use DRTV
• Direct Selling
• Support
• Lead Generation
• Integrated Marketing
• Sequential Marketing
• Infomercial
• Test General Image Selling Strategies

Your Offer Structure
• One Step Offer : Discount/Premium
• Two Step Offer : Lead Generation
• Sequential Marketing : Reader Digest
• Subscription : Not just Magazine, repurchase
model such as coffee
• Catalog : So many SKU
• Club Member : Credit Card/Car World Club
• Continuity Program : Financial Installation

DRTV
How to get Free TV Advertising if your products are suitable via DRTV

Important Factors
Mass Market Appeal
Television is the least-expensive medium if your
product has the potential to sell to a great
number of people. If your product appeals to
people who owns cars, or who are concerned
about their weight, TV is ideal. But if your
product is for dentists older than 50, or business
who has 10 million baht in their bank account.
Stick to direct mail or credit card syndication,
where you can more economically target your
relatively small audience.

Importance Factors
Easy to Explain and Demonstrate
You don’t have much time to tell your story on TV. And
after your ad finished, there’s no going back to amplify
or clarify. What your product is, what it does, and why
that is relevant to the viewer must be crystal clear.
Does your product lead itself to a demonstration? Can
you show it getting rid of wrinkles, shinning a table, or
growing a plant ? From the earliest day of TV, the
“DEMO” has been one of the most effective way to
sell. It is not essential to success but it is plus.

Important Factors
Not Available in Stores
Your product should be different than, or
better than, anything available in stores.
Otherwise, your viewer may already own it. Or
your advertising will just convince them to buy
it at a store. also, to qualify for DRTV rates,
your product should not be available in stores.

Important Factors
Not Already Available on Television
Does the world need another kitchen gadget or weight
loss program ? Apparently so, because new ones are
constantly sold on DRTV. If you are in a category with
heady TV exposure, make sure you do not have a “Me-
too” product. Your product must be positioned as
something different and better than the competition.
And you must keep in mind that your potential
customers may already own one or more of the
products in the category. Finally, how easy would it be
for someone to market an inexpensive knockoff of your
product.

Important Factors
Short Term vs. Long Term
Consider your product’s inherent life cycle. A
magazine may theoretically exit forever, while the
“hula hoop” was a fad. There’s nothing wrong
with selling a short-term product, or even a fad, if
your media planner is nimble. You’ll want to
heavy up spending as long as the product is doing
well and quickly pull the plug when it fatigues.
This may be the end, or you may be able to revive
it after “resting” if for a season.

Important Factors
Additional Sales
If your product lends itself to repeat sales, your DRTV
effort may be just the first step (and the most expensive)
in a long-term relationship. Going back to the example of
a magazine, after a viewer subscribes, he or she may
never allow the subscription to lapse, and economical
direct mail package may be all that is required for
reinstatement. When you sell a subscription, the lifetime
value of customer can be huge.
You should think about selling additional products to your
database of satisfied customers. Nevertheless, you
shouldn’t count on additional sales to justify a marginal
product. Your initial DR effort should be profitable.

Important factors
New vs. Established
If your product is new, and if the consumer
perceives it as unique, you’ll have traveled a long
way toward success. If your product is
established, your must be selling it in another
medium, such as direct mail. It may seen that it
should do equally well on TV, but that isn’t
necessarily the case. Some products do better on
TV some do worse. You won’t really know until
you try it

Important Factors
Manufacturing/Shipping Commitment
There are 2 nightmares for commitment
1. Your product did not sell
2. You can’t fulfill the incredible order volume
Some products are inherently good at keeping
your commitment to a minimum. For instance,
after the original video is produced, VCD can
duplicated very quickly in relatively small
quantities. But some don’t. So some direct
marketers resort to what is call a dry-test.

Important Factors
Determining Sufficient Margins
To the cost of your goods, you must add the following :
telemarketing, fulfillment, credit card expense, bad
debt, and media. The total is your break even point.
Can you mark your cost up enough to make a fair profit
without overpricing it for TV ?
A rule of thumb is that for a product to be
commercially viable, your should be able to mark it up
from 300 to 500 percent (not counting media) when
you sell it on the air.

Retailing Cost Calculation Model
Selling Price for your product 100.00
Trade Discount (30.00)
Promotion Expense (5.00)
Rebate Fee (5.00)
Net Income Price 60.00
General Expense (15.00)
Operating Expense (10.00)
Net Price before Cost 35.00
Profit for your Company (10.00)
Cost Price of your Product 25.00

HOME SHOPPING FORMAT
• Reasonable Production Budget
• Well know TV Host or Celebrities
• A King of Breakfast Show
• Not much persuasive but details of product
• 24 Hours Operations (a lot of time slot to air)
• Require audiences more than 2 million head to
get the result of DRTV

INFOMERCIAL
• 30 minutes TV programmed with the high
value of entertaining production, 24 minute
plus 3 spots x 2 minutes each.
• Infomercial + Commercial = Infomercial
• Exciting and persuasive presentation
• Demonstration and Story Teller.
• Require audience at least 200,000 heads to
get the same response of 2 million at home
shopping format

2 MIN SPOT (SHORT FORM)
• 15 or 30 seconds is not enough to persuade
audience to purchase something. It is suitable
for promoting product or brand awareness.
• 60-120 seconds is quite adequate to give more
information before audience make decision to
buy.
• Full equipped with DRTV technique
• Pre-emptable concepts.

BRANDMERCIAL (BRTV)
• Branding Response Television advertising, using
increasingly by fast moving consumer goods
manufactures
• It is the reposition the half hour commercial and
talk about the new breed of long form advertising
• The evolutionary venue, DRTV mechanics are
combined with high-creative and production
imagery to create sales along with a powerful
brand position Designed for lead generation and
retial-drive

BRTV
• It is combines the creative brand-building
properties of traditional television advertising
with the measurability of response.
• Brandmercial will tell you the story of multi-
sensory details.
• BRTV aims to reach the largest audience
possible because BRTV utilizes peak viewing
times.

What we sell
• Feature
• Function
• Benefit

Who we sell
• In 68 millions Thai people, we do have our
target customer for only 13.6 million people.
• Variety in Education, taste and class.
• High Purchasing Power of 2,500 baht per time.
• Life Style Shopping for new media potential.
• 65% Bangkok and 35% Upcountry.
• 3,000 million all over 80 countries

DRTV Hypothesis
TEST
TEST
TEST

International Marketer in DRTV
Apple Computer, Microsoft Nissan
Lexus Volkswagen Volvo P
Play Boy Toy-R-Us Revlon
Bill Clinton NGO Visa
Standard Charter Time Music MGM
Century 21 Sony Avon
American Harvest Pepsi Coca-Cola
American Airline Mcdonald Panasonic
Phillips Wal-Mart Ford
Proctor&Gamble Paramount Sega

DIRECT RESPONSE PRESS ADVERTISING
DRPA

DR Press Advertising
• DR ad in newspapers and magazines present
the DMer with a cost effective means of
generating response from relatively large
viewer.
• Normally, this media provide substantial
amounts of information.
• Most important is receptivity of the
magazine’s readership to such DR advertising.

Criterions of DR Magazine
• Economics.
– Low cost per contact associated with magazine
– Large number of prospects.
• Credibility
– Gain benefit from Halo Effect from such magazine
– In other words, the creditability of the magazine may rub off on
any advertisement placed in it.
• Lack of satisfactory list
– We can generate its own list as a result of the response
generated by this large number of prospects.

Criterions of DR Newspaper
• Frequency
– Daily basis vs. short shelf life
• Immediacy
– allow DMer to avail of up-to-the-minute information
• Reach
– Reach a high proportion of households.
• Local Shopping Reference
– Local newspaper, Local shopping opportunities
• Fast Response
– Frequency offer excellent opportunities for close monitoring
and testing of their activities.

DIRECT RESPONSE RADIO
DR Radio

Radiomercial
• The unrating media, you need to read the
research before you purchase
• It is completely soft sale, cannot be hard sale.
• Consider Frequency rather than Coverage
• Available even Global Campaign by World
Space Station. It is a digital radio.
• Easy for audience’s access.

Radiomercial in DM point of view
• It is ubiquitous : available around the clock
• It is selective : reach relatively homogenous of
highly defined target audiences
• It is economical : Radio provides DM with cost
effective reach
• It offers rapid access : Production time for
radio are relatively short.

Key Element of Direct Response Radio
• Talk Back/Phone In Concept
• Information Providing
• Leading sale, not closing sale
• Strong DJ or Celebrities
• Simple Offer

Cooking Up Success
Spice up sale operations
make sure that your call center have enough
information
Mix in creative offer development
radio is more of a soft media : don’t mention price
Spread evenly using a media plan
radio is more format driven, find out the right spot
Add a Pinch of Frequency
frequency is cope out for bad creative
Serve along or with TV
Radio work very well to support TV

Key Success
• Everyone love another’s STORY TELLING
(RADIO SCRIPT)
• Don’t use the free gift
• Using Talk Back not just loose spot
• Radio is generate calls and Call Center is one
who sell, not Radio itself so make sure that
you have a strong TELEMARKETING SCRIPT

Door-To-Door
• Proponents of D2D Direct marketing claim
that its cost effectiveness and new found
target ability bring it out of the basement of
DM Media to take its rightful place alongside
the likes of Direct Mails.
• The response levels it generates may not be as
high as direct mail but cost effectiveness.
• D2D encompasses a number of options
including leaflets, samples and coupons.

Sampling
• Sampling allows the consumer to try the product
for free, something that consumers are always
going to like and it takes the risk out of trying
new products.
• Uniquely among marketing methods, sampling
breaks down the adversarial psychological barrier
between buyer and seller.
• 95 % of samples are tried by consumers and thus
go some way toward influencing subsequent
purchase
• Works best with TV campaign

Sampling
• The sample induces trial and the coupon
encourages the consumer to buy the product
for themselves if they like it.
• Data collection can be accomplished through
the inclusion of data capture vehicles in prize
draws, etc.
• New tech, hand-held computers, allows door-
to-door marketers to collect detailed
information as they works

3. DM MEDIA…
• New Media
– The internet, E-Commerce
– Kiosks
– Mobile Marketing, M-Commerce
– Interactive TV, T-Commerce

Evolution of Telecommunication
• 1840 Telegraph
• 1864 Telephone
• 1939 Fax
• 1940 Television
• 1950 Mobile Phone
• 1969 Cell Phone
• 1965 Satellite Ttechnology
• 1980s Commercial Cell Phone
• 1984 Internet
• 1990 SMS
• 1996 Interactive TV-Set Top Box
• 2001 MMS

The Internet
• Internet is more about people than technology. Any direct
marketer needs to be clear about this.
• The internet is a relationship medium uniquely suited to
providing low-cost, near instant dialogue…
• Simply transposing traditional advertising and selling message
onto this new medium will not work. It is not the place for
broadcasting image-building messages or sending out
prospecting mail in the hunt of new business leads. But the
medium is uniquely suited to developing higher levels of
relationships.
• To establishing dynamic customer communities and allowing
satisfied customers to become your champions.

The Internet
• Internet is an organic and democratic entity, owned
and operated by no single authority and not covered
on the whole by conventional legislation.
• The rule of function or ‘Netiquette’ are unwritten or
preserved only in a type of verbal precedence.
• This is highly democratic. Internet consumers can and
do exercise more power than in any other marketing
situation.
• They have ways of showing their disapproval of
organization who cross the boundaries of netiquette.
• These range from aggressive posting to blacklisting
organization who have defrauded customers.

The Internet Power
• This power has major repercussion for DMers
who can no longer use shotgun mailings.
• The privacy law will comply.
• The internet does have advantages over other
direct marketing media. It allows all but the
smallest organization to complete on what is
more or less playing, as start-up costs are
relatively low.
• DMer have to handle this media with care

Email Marketing
• The hottest issue for high-tech advertising agency
• Very Proactive media
• Measurable
• Beware! Spam coming
• Oh! It has a privacy law.
• How many customers that you send to and how
many staff to reply.
• For business, E-Collaboration is necessary but just
noted that digital nervous system will fail if the
data is too much. It is overwhelming.

Interactive information kiosks
• Are one of the most recent introductions to
the marketers armory. Using touch screen
technology, kiosk allow consumers to search
for and retrieve the information that they
want, rather than having it forced upon them
by overeager sale assistants.

Kiosks’ Ability
• Extending brand presence beyond existing retail sits
• Creating an unintimidating environment in which customers
can make purchasing decisions.
• Freeing up staff from answering basic enquiries.
• Taking pressure off staff to make complex and under-informed
recommendations
• Providing a greater range of information than a human being
can offer
• Allowing customers to work within a budget and compare
prices easily.
• Increasing awareness of complementary products and average
customer spend.

Kiosks’ Ability
• Interactive Kiosk can reduce queues at checkouts
as customers can find out in advance whether the
product they wish to buy is in stock.
• The understanding that kiosks need to provide
added value to existing retail operation.
• In the future, interactive kiosk is already
providing direct marketers with yet another
means of communicating personalized marketing
message.

First Mobile Phone
• In 1950 the first model
of mobile phone using
in the car by Ericcsion
has been invented.

Development of Cell Phone in this
world
Dr. Martin Cooper,
Motorola was
calling his
competitor in Bell
labs to confirm that
he succeeded to
invent the first cell
phone

Mobile Marketing
• It is closer than you think
• The application usage
• Software Download like Music, Game and etc
• Wireless Payment Club by WRC
• Refill Mobile Airtime by TOP-UP SMS technology
• Mobile Catalog by Shinee.com
• E-COUPON by Starbuck, BMW and so on
• SMS-MMS-VOICE CLIPPING

• Mobile Marketing It is not a future anymore. It
is here,today
• Cost Effectively
• Immediately response
• Measurement
• Consider Pros and Cons carefully.
• Be careful all Junk Message from mobile phone
company
DIALOUGE MKTG/SMS

Information a role in accelerated living
Out of control
• Complexity, Confusion
• Too much choice
• Time pressure
• Less Predictable live
• Off Balance
In control
• Clarity
• Personality
• Convenience
• Manageability

Two Consequences
Viral
• Reflect the vital dynamic of
group in regarding to
information repertories
Permission Marketing
• Reflect the active role in
consumer as gatekeeper
new advertising social rule

Mobile Marketing must be Easy
• Easy to get in (opt-in) and easy to get out (opt-
out)
• Easy confirmation button such as “Hi”, “S” and
etc
• Golden Rule of long term mobile marketing is
Permission must be granted, it cannot
presume.
• Once receipt of grant, take care it well

WIRELESS PAYMENT MODE
Payment Gateway

MOBILE CATALOG
Shopping via mobile

ITV : INTERACTIVE TV
The T-Commerce

Interactive TV
• “Interactive television is merely one element
of the convergence of media into the digital
domain. From living room sofas, consumers
will engage in E-mail, chat, gaming and
internet surfing using the same devices on
which they store digital music, movie and
photo files and record their favorite television
programs.”

Interactive TV
• Leading to Digital TV
• The power of set top box
• Cable TV/Pay TV/Subscription
• Transmission mode :
– Satellite
– Fiber Optic
• One media cover the world
• A major impact to US/UK advertising market. Due
to the a fantastic feature and event marketing.

FULFILLMENT
Order Procession/Logistic/Packaging

Fulfillment
• Order fulfillment is one of those unglamorous
areas of marketing that seem so easy to take
care of that many people are inclined to
ignore it or give it short shrift.
• From lead generation to back-end selling and
follow-up, selecting a professional fulfillment
house can be one of the most important
investment your make in your entire program
• It is the last contact to success.

Components of Fulfillment
1. Warehousing
2. Packaging
3. Shipping
4. Order Processing
5. Credit Card Authorizations
6. Customer Service and Reports
7. Returns Management
8. Extras

Warehousing
• No small facilities are these fulfillment houses. They
must be adequate warehousing area to store large
quantities of products so they can be shipped as soon
as the orders roll in. The facilities must have controlled
temperatures to accommodate such popular
infomercial products as cosmetics, skin care and
audio/video tapes.
• Inventory control and reporting must also be well in
hand. The program log each product as it comes in,
record its location, track each shipment’s progress to
the consumer and returns when necessary.

Packaging
• The experience of fulfillment house with
postal regulations and shipping will save a lot
of money and maintain an attractive package
design.
• Assembly the product kit and provide
automated wrapping and sealing service
• Many fulfillment house have their own
packaging design with cost-effective one

Shipping
• Select the mode of delivery at cost-effective
• Time Management
• Manage Customer’s choice of time
• The standard
– BKK within 4 days, otherwise customer will cancel
– UPC within 10 days, otherwise customer will cancel

Order Processing
• Handling order processing to different
degrees. Some will simply ship the products
after the credit cards have been processed.
• Inventory Management
• The difficult one is the non-credit order either
COD or Money Transfer, Money Order

COMMERCIAL
PRODUCTION TECHNIQUE
Media Production

Table Top
• As the name implies, this refers to shooting
that can be one on top of the a table. There
are no actors on screen, only the product
and/or props. Even if you are shooting a
different type of commercial, the product will
most likely be shot on a tabletop.
Composition, lighting , camera angle, and
movement can be carefully controlled. The
product beauty shot will be edited into the
body of the commercial.

Talking Head
• This is a one step up in degree of difficulty. Here
you have an actor, or a celebrity, who talks to the
audience about the product. Also, most
commercials where the client is on camera are
talking heads. A talking head ca be leaden if the
speaker is insipid and has nothing interesting to
say. But a talking head can also be intimate and
personal, a powerful one-on-one that touches
the viewer. When our Prime Minister reveals that
he is balding and says “I’m also a customer”, he
hits a responsive chord.

Slice of life
• This is the most popular technique in general image
commercials, because it’s so effective. A typical slice
has two people, let’s call them George and Sara, in a
real-life setting, such as a kitchen. George is the
“doubter” and Sara is the “convincer”. George has a
problem. His girlfriend hates his hair. Sara say that her
brand of shampoo will solve the problem. But George
doesn’t sure. At this point, there’s usually a product
demonstration to convince him-and the viewers-that
the product really is the best. The final scene is
George’s girlfriend say how great his hair is.

Hidden camera
• An adaptation of the old “Candid Camera” TV show,
this technique features someone who doesn’t know he
or she is being filmed and who says positive things
about the product. A hidden camera commercial can
be very effective. People who don’t know they’re on
camera are extremely believable and say things no
copywriter would think of in a million years. But the
logistics are trickily. Where will the camera be hidden?
How will the people be found? Also, it takes a lot of
shooting to get a few good people. A hidden camera
commercial can take a long time and be very
expensive.

Testimonial
• When a real person endorses a product, it’s a
testimonial. That allows you to superimpose on
the screen the person’s name, occupation, and
the city where he or she lives. If you use a
professional actor to simulate a testimonial, you
can’t super any of these things.
• Testimonial are as effective as the person giving
them. If you use real people in your advertising,
no matter how much you pay them, you must
have them sign a release.

Celebrity Presenter
• More and more celebrities are selling more
and more products. However, before, during
and after you throw your lot in with a
celebrity, many things should be considered.
This is particularly true in DR.
• Celebrity is the well-know person who we pay
for he or she to endorse our product and
normally, celebrity is also the product lover.

Continuing Center Character
• A celebrity spokesperson who appears in a
number of commercial can be thought of as a
continuing center character (CCC). However,
the CCC is usually considered to be a non-
celebrity. It can be an actor playing a
character, such as Ronald McDonald. It can be
an animal, such as Morris the cat, Dreyfus lion
and etc. Or it can be imaginary, such as Tony
the tiger

Demonstration
• The demo makes the maximum use of the power
of TV. It is as close as you can get to a live
salesperson who proves how your product works
or, in a side-by-side demo, how it is better than
the competition, The best demos are clear,
interesting and irrefutable.
• Sometimes demos must be symbolic, but these,
too, can be effective.
• The demo you should avoid is one that doesn’t
really prove anything or proves a minor product
point. If your product doesn’t lend itself to a
compelling demo, perhaps you should seek a
different way to promote it.

Problem-Solution
• With this technique, a problem is shown as
dramatically as possibly. Then the product
solves the problem. The problem should be
one with which the audience and identify, and
the product should be the best way to solve it,
It can be argued that many other commercial
techniques may use a problem-solution
structure.

Comedy
• Can Comedy work in DR ? Yes, but just as in
general image advertising, it’s extremely difficult
to do. Not everyone can write comedy, and the
worst thing in the worked is a joke that doesn’t
work. Even if your commercial is funny, make
sure you’re not falling into any traps.
• Why take a change with comedy ? Because if it
works, it can cut through commercial clutter with
less airings than a bland slice of life or demo.

Vignettes
• Vignettes are very short, usually humorous,
anecdotes. They’re often used to illustrate, in a
lighthearted way, what can happen when people
don’t use the product or service in question.
• The pacing of a vignette commercial should be
deft. Typically, a 30-sec and general image sot
will have two vignettes, a product demo or usage
shot, and a final vignette “capper”. A 2 minute DR
might open with three vignettes, include one or
two interspersed in the middle of the
commercial, and end with a vignette “button.”

Music
• Can music work in DR? Time magazine sold a
lot of magazines for many years with its
evocative “Time Files” jingle. Music can reach
your pocketbook by touching your heart. Even
if they don’t use music to sell, 2-minute
commercial can seem verrry long unless they
have a musical “rug”, But music can be
expensive.

Animation
• Animation is very effective if you’re selling to
children. It also is expensive. If you’re
combining live action with animation it’s even
more expensive. Before you get into the
expense of animation, make sure your idea
warrants it. This goes for computer animation
as well. And particularly in computer
animation, don’t let technology become a
substitute for a strong idea.

Stop Motion
• With this technique, an inanimate object can
seem to move on its own. It works like this : A
frame or two are shot of an inanimate object, say
a chair. Then The chair is moved slightly. Another
few frames are shot. The chair is moved again.
Another few frames are shot. And so on. The
result is film that shows the chair seeming to
move on its own.
• A “jump cut” is considered a mistake in normal
shooting, but in stop motion, it may be done by
design to create a desired effect.

Claymation
• In this type of stop motion, flexible clay
puppets are moved slightly after the camera
shoots a frame or two. When the film is run,
the puppets appear to be moving by
themselves. Pillsbury’s “Popping Fresh” and
the California Raisins are examples of
claymation. This is also expensive to do. So
make sure you have a big idea built around it.

Morphing
• This commercial technique digitally
transforms one object into another.
Morphing was introduced to the public in the
movie Terminator 2. It has been used in rock
video and a number of commercials. The
effect can be quite dramatic; however, it is
expensive

Shooting Formats
• 35mm Film-Best Quality, most expensive
• 16mm-The “look” of film at a reduced cost
• 8mm-Amateur format, only used for “home movie”
• Digital Video-Best Quality video, replacing 1-inch
• 1-inch Video-Long time broadcast and studio stand
• Beta SP-Very popular format, inexpensive, acceptable
quality
• Hi-8- Amateur format, marginally acceptable for
commercial
• S-VHS-Amateur format, marginally acceptable for
commercials
• VHS-Amateur format, not acceptable for commercials

Editing Formats
1. Digital
2. BetaSP
3. Other Video Formats
4. Three-Quarter-Inch Videotape
5. Nonlinear, Random Access

What are the Significant Factors
for Future Trend?
• How are the technology changes ?
• How are the medias develop ?
• How are the emerging of Technology and Media
• How are the consumer react to such changes ?
• How are the business react to such changes ?
• How are the changes effect the society ?
• How are the society’s changes effect the daily life ?
• How small our world we are in today?

Changes
• Consumer change+Technology change+Social
change = New Innovation Marketing Platform
• Database has it own sense of belonging which
are your comparative advantage
• Life time value of customer and Repurchase
• Who own the channel of distribution, will rule
the world. So, at least, create one to balance
yourself.
• Looking interactive media carefully.

The next generation of DM
• Technology changes the consumer behavior. When the
consumer change, the business model have to be
reconsideration. That’s the starting point of Electronic
Retailing occurred rather than just Direct Marketing
• Today, we always hear the new word all the time such
as
– SCM-Supply Chain Management,
– ECR-Efficient Consumer Response,
– Direct Marketing and On Line Sale Model
– CRM-Customer Relationship Management
– ER-Electronic Retailing Business
– MT-Commerce

Before using DM :
Where is the Money ?
• Why you need a communication ?
• What is your purpose to make relationship ?
• Then you can ask this simple question but the
most difficult to answer. Where is the Money ?
• To make a communication is something a bit long
term, so you cannot let your project being a cost
center. Otherwise, it won’t be long.
• For Example, K-Bank with IBM Contact Center

Human vs Technology
• One mode of media is not enough to
communicate. The more technology
development, the more convergence will
encourage to change the consumer behavior.
• The is no more Personal or Mass Selection
• Rectify your Degree of commitment to your
customer
• Remember Technology equal Changes so invest
immediate when you see where is the money.
• DM is the art of using humanism and technology.
It has to be two, no more no less

CLM
• Many times that we really don’t actually know how can
the new media can be responsive. But at the end of
day, somebody need to decide whether we will go or
not go. There are lots of theory can help you to make
your decision but many times that your CLM can help
and even better than any other management or
marketing tools.
• CLM cannot realistic if you did not update yourself,
read some more book, discuss and exchange others
people’s idea.
• Because is Candle Light Management.

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