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Direct Marketing.

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Introduction

DIRECT MARKETING Direct marketing has a long history. It was emerged in the 15th century when an Italian printer was using direct marketing to sell books. McGraw Hill did a research amongst retailers to find out "why people lose customers": (1) 4% of customers were lost because some customers died and others moved away to other places. (2) 5% were lost because of other company friendships. (3) 9% were lost to competition. (4) 15% were lost because of indifference, no contact, taking the customer for granted etc. The foundation of direct marketing is based on understanding this insight into why people lost customers. Because direct marketing is a way of marketing. It is oriented towards finding getting, keeping and developing customers one-to-one. Direct marketing is an attempt to approach the customers directly. It a personal approach to customers. It is much more personal than mass advertising and so it can be a key part of the development of relationships with customers. Direct marketing is the use of direct media to reach a target audience. Meaning of Direct Marketing Direct marketing consists of direct communications with carefully targeted individual consumers to obtain an immediate response. It is the use of telephone and non-personal media to communicate product and organizational information to customers who then can purchase products by mail, E-mail or telephone. Direct marketing can be defined as any mode of initiating and closing sale by using one-to-one but not face-to-face communication. ...read more.

Middle

2. Some times telemarketing is used by it self; in other selling methods. 3. It saves customer's time. Advantages of Direct Marketing (Importance) Direct marketing is considered to be the most useful weapon to retain customers and add new ones. It is estimated that a 2% increase in customer retention could be the equivalent of a 10% reduction in manufacturing costs. This can be achieved through direct marketing. It is one-to-one marketing that is profitable for the customer and makes business sense for the marketer. In the initial years, it was the service sector, which relied on this medium to reach the target consumer. Companies such as Citi bank, ITC's hotel and cigarette divisions found direct marketing ideal to build a consumer base. Ogilvy One Worldwide is the pioneer in the direct marketing concept in India. Several companies cut their advertising budget and increase the direct marketing budget. This is so because it offers a number of advantages. Benefits to Customers 1. Convenience:- What most attracts consumers to the direct marketing is convenience. 2. Saving in time:- Direct marketing saves time shopping at home, especially busy times as Onam, X-Mas provides undeniable attraction. 3. Choice:- It introduces customers a large selection of products. They can do comparative shopping by browsing through mail catalogues and online shopping services, then order products for themselves or others. 4. Product information:- Industrial customers can learn about available products and services without waiting for and tying up time with sales force. ...read more.

Conclusion

Online marketing is conducted through interactive online computer systems, which link consumers with sellers electronically. It makes products available between buyers and sellers through computer connections. Many retailers are setting up "home page" on the Internet's World Wide Web to disseminate information about their companies and products. There are two types of online marketing channels - commercial online services and the Internet, Commercial online service offer online information and marketing services to subscribers who pay a monthly fee. When two or more computers or other devices are connected together so as to enable them to communicate with one another, they form a network. The largest network used for computers in the world is Internet. The Internet is a worldwide collection of computer networks. The Power of Internet as the global access tool was realized with the arrival of World Wide Web. Web is a recent addition to the Internet. Meaning of Internet Marketing/Cyber Marketing (or E-Commerce) Internet marketing or electronic commerce simply refers to buying and selling goods or services through the Internet. In simple terms, e-commerce is a process of two or more parties making business transactions through computer and some type of network. It is the actual buying and selling of goods and services electronically online. Swass defines e-commerce as "the sharing of business information, maintaining business relationships and conducting business transactions by means of telecommunication network". Applegate L.M, view that e-commerce is more than simply buying and selling goods electronically. It involves using network communications technology to engage range of activities up and down the value-added chain, both within and outside the organization. ...read more.

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