Direct Marketing Essay Example | Topics and Well Written Essays - 2000 words

Direct Marketing - Essay Example It is a system of interactive marketing which is aimed at maintaining and building long term relationships with customers through the products and services offerings (Koekemoer & Bird, 2004, p.332). On the other hand, mass marketing aims to target the total market without emphasising on specific market segments. In such a case, the marketer believes that the entire market would be satisfied through the single product offering. The product is offered in the market with minimum or completely no variation in the marketing. It includes a single price, one single promotional campaign targeting the entire market and also a single method of distribution (Strydom, 2001, p.61). This is a relatively less costly affair which includes only a single standard package using one promotional message. Some of the common differences between the two are discussed as follows. The traditional advantages associated with mass marketing are that the production costs remains low because of a single production run for a product which is homogeneous in nature. The advertising cost also remains low because of the launch of a single campaign. It also does not require extensive market research which is why the cost associated with market research also remains low (Strydom, 2001, p.62). ... It is said that the strategies for direct marketing must be in alignment and should be guided by the marketing strategy of the organisation on the whole. It shows the way in which the customers can be reached on a one to one basis. This includes determining the product strategies, setting the price and arranging for the distribution. The L. L. Bean Inc. targets the outdoor apparel niche by the use of catalogue marketing. Many companies have used direct marketing to communicate with the target market. For example, Dell Inc. employs sales contact directly with the business customers, internet sales and telephone sales (Cravens, 2009, 377). Dell Inc. is also said to be using the internet for providing customers with the necessary information prior to taking an order over the telephone. The following paragraph discusses some of the common features of both forms of marketing. In term of the costs involved, direct marketing is said to be less costly as compared to mass marketing because it targets less number of people and is carefully aimed at a selected few. It would be more applicable for businesses which have a small or medium target market and which has string prospects. For example, the TV home shopping channels, like Home Shopping network is one the modes of direct marketing (Kennedy, 2006, p.3). In other words, direct marketing involves an one to one customer relationship on the basis of personalized communications (Stone & Jacobs, 2007, p.10). Another basic difference between the two is that direct marketing has a greater conversion rate than mass marketing. It is likely to be surer of converting the first person it targets before moving to its next target. Also,