direct marketing and personal sales imc topic 5 chris njunge maksim feofanov
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Direct Marketing and Personal Sales IMC TOPIC 5
Chris Njunge
Maksim Feofanov
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Martin Evans, Maurice Patterson, Lisa O'Malley
The direct marketing-direct consumer gap: qualitative insights
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Introduction: Consumers and DM
1998 – over half of UK used phone for telebisiness (Transactions)
Now - Internet Satisfaction with DM rate: 1989 – 30% 1995 – 45%
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The Study - Qualitative Research Objectives: Investigation of changing
consumer values Appropriateness of
relationship marketing Consumer reaction to DM
Methodology: Phase 1: Interview series (40). Phase 2: Phenomenological
group discussions (9)
•Main goal:
•To identify the issues that the industry should address
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The StudyMajor issues uncovered
Advantages:
Convenience
Greater product selection
Disadvantages:
Privacy concerns
Control
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The Study - Results
1. Convenience: Phone (Internet) vs. mail.
Phone (Internet) More convenient Speed (Immediate) Reliability Mail Lack of time to read Too much of it
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The Study - Results
Negative attitudes to overall DM volume increase:
Male 25-34 General resistance/ ignorance:
Too much of it – doesn’t bother No-response attitude – don’t sign up, don’t get on
the list Female 25-34 Offensive, silly Male 45-54 Too much, overburden, slightly intimidating
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THE STUDY - Consumer perceptions
Positive:Form of discount, general convenience DM gives information (Choice): Informs about product variety, new products (Female, 25-34) Reminds consumers of their needs: “Makes me want to try it”:
(Woman 45-54) Like if offers local services (Male 45-54) Like if freebies (Male 18-24) Negative: Control related, privacy Can be more accurately targeted Central data bank Companies know everything you do Trading of consumer information
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Poor targeting annoyance
Irrelevant targeting: Content: (Both men and women) Unsolicited offers Improper target audience Repetition of irrelevant offers Women: Color Appeal
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Marketer’s Note
women and young men are more receptive,
men 25-34 less receptive, more ignorant,
men 45-54 – lowest reception, greater skepticism and negative attitude.
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Marketer’s note(Conclusion) Relevance issues
Irrelevance effect– invasion of privacy concerns, control issue, Consumer receptiveness effect (will pay less attention to mail offers if too much
irrelevant). Need for better targeting:
Interests (right offer), timeliness (right time), repetition, information processing effect
(create best ways for information to be processed better – visuals, content etc.) More real offers vs. “traps” – “junk mail" effect Control and privacy Empower consumers to contact Explanations about data collection and use
Control – internet