Types of Direct Marketing Tactics
The world of marketing is always evolving, but common types of direct marketing include:
Telemarketing (phone calls) Robocalling (automated phone calls) Text messages Emails Targeted online ads Social media interactions and Ask-Me-Anything posts (AMAs) Television infomercials Coupon ads Direct mail Flyers and handouts Kiosks and stands Door-to-door solicitation
Example of a Direct Marketing Campaign
You can find examples of direct marketing campaigns in many parts of your daily life, not just your mailbox. For example, you are shopping online and the retailer asks you to sign-up for an account with your email to get a 15% discount. Or you’re reading a news article, and at the end it prompts you to sign-up for a newsletter on the same topic.
Pros and Cons of Direct Marketing
Pros Explained
Effective in improving brand awareness: A well executed and innovative direct marketing campaign can be memorable and shareable. That means customers are likely to remember the brand and the campaign, they may even talk about it with their friends and family.Can grow consumer base: By asking customers to take actions such as signing up for an account by offering an incentive can be an effective way to grow your customer base. It can also be an effective way of re-connecting with old or former customers.Can be used to test offering: If you’re looking to introduce a new product or service into a market, a direct marketing campaign can be a great way to achieve two key objectives. First, you can test a smaller target audience their response to your offering. And second, to generate hype and awareness about your impending offering.
Cons Explained
Intrusive: Reaching out to customers via their phones or mailboxes can be unwanted and feel intrusive to customers. After backlash specifically against telemarketing calls, the Do Not Disturb Registry was set up in 2008, preventing calls to numbers registered with the U.S. Federal Trade Commission.State Privacy Regulations: With more devices and larger digital footprints, customers are worried about their privacy, now more than ever. That has prompted many states, such as California, to come up with their own privacy regulations. Navigating different rules across different states can prove challenging for businesses.Low Return on Investment: While direct marketing involves an organization attempting to locate, contact, offer, and make incentive-based information available to consumers, it also needs to get a return on investment. If handing out flyers to drum up business at your newly launched pizza parlor doesn’t result in more customers, then it’s not worth the employees’ time.
How To Create Effective Campaigns
Companies and organizations can get creative with their direct marketing efforts to help them stand out. For instance, to help direct mail pieces stand out in a pile of typical mail, companies may send flyers with large and unusual shapes, pop-ups, or even 3D objects.
Proper Customer Targeting
Generally, direct marketing campaigns should target people who have expressed interest or are likely to be interested in what your company offers rather than mass marketing campaigns used to create general awareness. For example, a new ice cream shop may want to send coupons shaped like ice cream cones to local households with kids at the start of summer. More targeted and personalized campaigns usually generate better results.
Goals and Success Metrics
A key factor in the success of any direct marketing campaign is what industry experts refer to as a “call to action.” That means direct marketing campaigns should offer an incentive or enticing message to get consumers to respond (i.e., act).
Campaign Design and Budget
The type of direct marketing that will work for your business depends on your industry, your budget, and the consumers you’re targeting. However, keep in mind that aggressive or misleading direct marketing can leave people with a bad impression of your business. Be sure to adhere to privacy and contact laws on a federal and state level. Not doing so could hurt both your reputation and your revenue because there are stiff fines and penalties for companies that violate direct marketing laws.
