In understanding the concept of direct marketing one of the best way that I’ve found to clear up any fuzziness on the concept is to start by defining in-direct marketing’.
In-direct marketing is the conventional model of retail marketing. This in-direct type of marketing has been the world’s most prevalent type of marketing for hundreds of years. Direct marketing has made fits and starts on occasion, but In-direct marketing was the king of the trade world.
Then, with the invention of first the telephone and later the computer, the in-direct marketing business model has come under competition. In in-direct marketing, the products are sold to a middleman by the manufacturer, and it’s the middleman who sells the products to the end-user.
This model came about mainly because of transportation issues. The middleman found that people were willing to pay extra to not have to travel in order to obtain a product, so by assuming the role of transportation provider, the middleman cemented the in-direct marketing model into business history.
Explaining network marketing becomes easier to understand in this context. From affiliate to network to direct marketing, they all essentially eliminate the middleman, and the manufacturer, or wholesaler, sell directly to the customer. In the 1960’s some intrepid marketers decided to try the direct marketing concept when the phone companies came with the idea of WATS lines and toll-free numbers that could be used in business applications.
The Pioneers of the Direct Marketing Method
Now, they weren’t the first to try this concept in marketing. Companies like Avon, Amway, The Fuller Brush Company, Sears Roebuck, and Montgomery Ward were all operating profitably on the direct concept of marketing. But these were the first to use specific tools to reach their customers. As the telemarketing craze took off, companies who in-direct marketing concept looked over their shoulders at the rapidly approaching competition.
By the time the computer started to be seen as the next tool to be used to overcome the old retail model and advance the new direct marketing concept, most of the old-school marketers had recognized that the dynamic of the marketplace was shifting to more of an equitable split between the two styles of marketing. You can see powerhouses in the space like DSA or even new comers like direct marketer pro coming to the forefront of how marketing and education are evolving.
As this split was accepted by the in-direct marketers, the tools of the direct marketers began to be seen as having value. Currently, a company which disregards the value of a company website is a company that probably won’t be in business very long.
A smart company that launches on the in-direct marketing model of retail sales in this day and age will still employ some of the strategies of a direct marketing campaign. The benefits are simply too numerous to ignore.
Direct marketing cuts down on the need for an expensive sales force. It cuts down on the need for overhead in maintaining brick and mortar outlets. The money saved can be put back into the marketing of the company, as the internet makes this imperative in order to be to compete in an increasingly ecommerce environment. Dont take our word for it, see well researched studies about this.
Money that was previously invested in sales seminars for your retailers can be invested in SEO services to improve the most effective item the company has, its website. And,social media campaigns are also starting to turn on the type of numbers that used to the realm of manufacturers sales, much to the satisfaction of the sponsoring companies.