Direct Response Marketing -
What Is It
And Why Should I Care About It?
There
are basically two schools of thought regarding
"effective" marketing. The camps are
divided into "Image Marketing"
and "Direct Response Marketing".
Let's discuss "Image Marketing"
first.
Image Marketing is what big companies engage in
to try to build a "Brand Name" in a
national market. They go to a big ad agency and
lay out mega millions to have an advertising campaign
designed that makes people "feel good"
about their Company or Brand.
Look at the soft drink giant Coke. Think about
all the "feel good" ads they've put
out in the market place over the last 15 or 20
years. Remember this one: "I'd like
to buy the world a Coke and keep it company
"
(Hell, I'd rather sell everybody in the world
a coke and use the revenue generated to run more
ads and then spend the profits on a yacht!)
Goodyear does another good example of Image building
marketing. How many times have you attended a
sporting event and seen the Goodyear blimp flying
high above the stadium? Think about how many times
the Goodyear blimp gets mentioned by commentators
while you're watching a sporting event on TV.
Goodyear understands that you are not going to
get up out of the stands (or off your couch) and
go down to the Goodyear store and buy Goodyear
tires this afternoon because you saw their blimp
earlier in the day. What Goodyear is banking on
is the fact that you will consider buying their
tires, when you need tires, because you have been
exposed to their "Brand" in positive
ways (this sounds like a risky strategy to me).
If
you have millions of dollars to spend on "feel
good" ads that take years to work (if they
work at all) then Image Advertising is definitely
for you!
However, if you're like most small business owners
(and we are a small business) we don't have the
time, money or desire to develop our "Brand".
What we need is marketing that's so effective
that we can invest our money in it today, so we
start getting results by the end of the week,
so we can then use those returned dollars to make
payroll the following week!
If You fall into this category then
Direct Response Marketing is for YOU!
Direct Response Marketing is nothing more than
"Salesmanship In Print." In other
words, you are selling your company's message
(USP's) in all other ways except "Face to
Face."
I've already shared with you why people buy but
in case you missed it, I will share it with you
again: The only reason people buy anything
is they understand "what's in it for them!"
If the consumer (or referral source) can't understand
what's in it for them by Reading your material
- They Ain't Buying!
Ok, with that said, here's what I want you to
do: From this day forward, I want you to promise
to adhere to the following rules of Direct Response
Marketing on every ad you run, on every flyer
you distribute, on every letter or postcard you
mail, on every web site you set up and on anything
else you do to market your business.
Dan Kennedy, one of the true geniuses of the Direct
Response Marketing movement states the rules best.
He says:
Rule
1. There Will Always Be An Offer or Offers In
Your Marketing Pieces
Rule 2. There Will Be a Reason To Respond Right
Now
Rule 3. There Will Be Clear Instructions On
How To Respond
Rule 4. There Will Be Tracking And Management
Rule 5. Whatever Brand Building Occurs Will
Be A Happy By-Product, Not Bought
Rule 6. There Will Be Follow-Up
Rule 7. There Will Be Strong Sales Copy, Not
Hyperbole
Rule 8. In General, Your Marketing Pieces Will
Look Like "Mail-Order Advertising"
Rule 9. Results Rule, Period
Rule 10. You Will Be A Tough-Minded Disciplinarian
And Keep Your Business On A Strict Direct Marketing
Diet For At Least Six Months
Please,
do yourself a giant favor by posting these rules
in front of your desk so that you can see them
every time you write a marketing piece!
Also, when the local folks ask you to advertise
in their publications determine whether your ad
can be written based on the rules above. If the
ad can't be written using the Direct Response
Marketing Rules then don't advertise. Remember
you are on a strict diet for six months. (make
it 12 months)
Here
Are More Direct Response Marketing Rules So
You Can Use Them More Effectively In YOUR Business!
Let's
spend a little more time going over the Direct
Response Marketing Rules so that you will fully
understand them. Because all of the marketing
campaigns we do from here forward, whether it's
via Direct Mail or via the Internet will be based
on Direct Response Marketing principles. The better
you understand the concept, the faster we can
help you Grow Your Sales And Profits.
If the potential customer (or referrals source)
can't understand what's in it for "them"
by using your company or services, then you will
have a much harder time "Broadening Your
Base."
Rule 1. You've Got To Have An Offer Or Offers.
This one is very easy but few marketers use it
effectively or at all. Lots of marketers think
if they don't make a direct offer the customer
will "get" an implied offer. This is
stupid! Don't trust the customer to "get"
anything. Have you ever heard the statement, "Tell
the people what you are going to tell them, then
tell them, them tell them what you just told them?"
This way the customer is more likely to respond
to your "direct offer".
Here is an example of a generic offer, "Buy
one specialty pizza and get a second, one topping
pizza free." It's easy for the customer to
understand that offer.
Try this, "Get a Free Four Room Dish Network
Satellite System from (your company's name) when
you use any of our services."
The use of "dollars off" instead of
a "percent off" is equally effective.
The only thing I like about dollars off is that
you can take a price increase in the middle of
a marketing campaign without making the discount
larger.
For
instance, if you're using dollars off offer and
you raised your prices 15%, the customer still
only gets, for example, $25 off. But if you use
a percent off offer and you take a price increase
in the middle of the marketing campaign the customer
might get, for example, $35 off.
Rule 2. There Will Be A Reason To Respond Right
Now.
This rule is critical for effective Direct Response
Marketing. Earlier, I mentioned that small businesses
needed to recoup the marketing dollars they spent
today to pay payroll next week and this Rule helps
make that happen.
What we are really doing is creating a sense of
Urgency for the reader. Combining Rule One - "The
Offer" with Rule Two - "A Sense Of Urgency"
will dramatically increase the response to the
marketing piece. Let's use the offers listed below
as examples:
"Through May 31st get a Free Brinks Home
Security System when we come out and replace your
broken window. Time's running out, so give us
a call today!"
"Get a Free Four Room Dish Network Satellite
System from (your company's name) when you book
blah, blah, blah. Call today because this fantastic
offer expires May 31st!"
The client (or referral source) now has a reason
to respond to your ad quickly.
Rule 3. There Will Be Clear Instructions On How
To Respond.
Lots of marketers give poor instructions or no
instructions at all on how to respond to the offer.
You can begin to see what's wrong with Image marketing:
no compelling offer, no sense of urgency to respond
and no instructions on how to respond. Now, if
you don't care about making sales then just forget
about using these rules.
Most people (I said most) people can follow clear
instructions. Let's look at the examples from
above again with some additional instructions
added.
"To
book your appointment and get the Free Brinks
Home Security System call us today at (your phone
number - if your number is toll free that's better)
or log onto (your web site) 24/7 to book your
appointment." Don't delay, May 31st is right
around the corner!"
"Get a Free Four Room Dish Network Satellite
System from (your company's name) when you book
a blah, blah, blah with us. Call today because
this fantastic offer expires May 31st!" Or
if you prefer, book online 24/7 at (www.your web
address).
A couple of note worthy points: The person answering
your telephone must be aware of the marketing
programs you are running.
Two means of "response" to your ad always
works better than one. Your phone number is the
Primary means of response and your web site is
the Secondary means of response to your ad.
Because you're driving customers to your web site,
then when they land on your Home Page there will
need to be clear instructions on how to get to
the proper page or tell them how to book the appointment.
A better idea would be to list in the ad, the
URL for the page they book the appointment on,
instead of your home page. For example, instead
of listing this www.mywebaddress.com you should
list this, www.mywebaddress.com/scheduling
This way the customer can land directly on the
Scheduling Page of your website. Now you only
need to give instructions on what areas need to
be complete. Your web master can help you with
getting your customer to land directly on your
scheduling page.
Rule 4. There Will Be Tracking And Measurement.
Because we as small business owners have a limited
marketing budget, we have to measure and track
the success of all of our marketing campaigns.
If we can prove that Campaign A pulls three times
more business than Campaign B, then where are
you going to spend you limited budget?
But
if you don't know which Campaign gets better results,
where do you invest your resources?
Now,
tracking gets a little more complicated when you
are running multiple Campaigns at one time. For
instance, if you're running a Campaign using your
Yellow Page Ad, or if you're using different ads
in multiple community newspapers and you're running
one or more campaigns in different offices of
your referrals sources, tracking the results from
each campaign can be somewhat tedious.
Here's an example of how to track the results
of your marketing campaigns.
If
you're running an Ad in only one Yellow Page Directory
then tracking your Ad results is easy. But, if
you are running a Yellow Page Ad in multiple directories,
then your scheduler will need to ask the prospect
for the page number where they saw your Yellow
Page Ad and code that information.
If you're running the Free Brinks Home Security
Systems in more than one community newspaper,
then have the scheduler record what newspaper
the prospect saw the ad in. Try to keep the process
simple so you don't drive yourself crazy with
the project.
One other complexity arises as you try to effectively
track the results of your marketing campaigns.
If the person answering the telephone doesn't
ask how the prospect got your company's name or
if the scheduler doesn't code the prospect to
the correct campaign, your tracking efforts will
be futile.
If your scheduler can't or won't cooperate in
this critical endeavor then disciplinary action
needs to occur. I mean, who's working for whom?
If counseling doesn't solve the employee's problem,
then you might want to "Free that person
to pursue other opportunities."
Remember,
your assets are the ones on the line, not the
employees!
Rule 5. Whatever Brand Building Occurs, It
Will Be a Happy By-Product, Not Bought.
We've already discussed in detail why Image Marketing
used for Brand Building is not right for small
business owners. Here is another reason you don't
want to stick your logo on all of your marketing.
Let's say you are running a Lead Generation Ad
in the Homes for Sale section of a local community
newspaper. A Lead Generation Ad is designed to
get qualified prospects to raise their hand so
you can capture their Name and Address or their
First Name and their E-Mail Address or ideally,
both.
You see, you don't want Branding, you Want Qualified
Prospects!
Rule 6. There Will Be Follow-Up.
Ok, I've shared with you how to develop effective
offers. You've learned how to incorporate a sense
of urgency into those offers. Now you've learned
to give your prospects clear instructions on how
to act on your offer and you're tracking your
results.
Congratulations!
Now, I need to share with you the way to avoid
a tragic marketing waste. So many small business
owners waste ridiculous amounts of money (and
potential business) by not following up with prospects
or referrals or only following up one time.
If
you only intend to follow up once on a lead, then
don't waste your money at all.
If you're running Lead Generation Ads in print
or on the Internet, or running a booth at a trade
show, or speaking at a sales meeting, or teaching
a CE class, you've got to follow-up with these
prospects or potential prospects.
If someone calls your office for a quote or information
about your firm and you're not getting his or
her name and address so you can follow-up, you're
wasting a boatload of money.
When
someone calls in and doesn't book the appointment
right away, have your scheduler immediately offer
the prospect a free report of some type. You paid
for that prospect to call you, so give them something
of value (FREE REPORT) in exchange for getting
their name and email address (or home address
and telephone number).
Remember
It's
the small details that will make you the big money!
Once you have the prospects e-mail address you
can send them the information and then you can
fire off a follow up e-mail to them next day.
You can say you wanted to be sure they got the
information and give them a "mini" sales
pitch again. They'll be impressed (shocked) that
you followed-up with them.
You can actually automate the follow-up process
so you never have to worry about it again once
the prospect is in your system. More about automating
your marketing processes later.
Unless you like a monumental waste of money, you'll
need to learn to follow-up effectively with your
prospects!
Rule 7. There Will Be Strong Sales Copy.
I hope you know how important this Rule is. I
shared with you earlier in this that people buy
for one reason only: What's in it for them!
If you can't clearly spell out in writing what's
in it for the prospect by using your firm, then
we need to back up and re-tool. You need to be
sure and sell the prospect on the Benefits they
will receive from using your firm.
Don't
Sell Features - Sell Benefits!
Here's an example of selling benefits not features.
The feature is we schedule appointments 24 hours
a day, seven days a week by telephone or web site.
The benefit to the prospect is they can schedule
their appointments anytime they're ready, even
if it's 2 am.
Rule 8. In General, It Will Look Like "Mail-Order
Advertising."
One of my pet peeves is that the so-called "Marketing
Gurus" tell you to leave plenty of white
space on your ad. Yellow page reps are some of
the worst peddlers of this nonsense. When was
the last time you bought something by reading
"blank space"? I know the answer - Never!
Effective Sales Copy sells goods and services,
blank space does not!
There is an enormous amount of competition for
your prospects attention. Which ad will more likely
get his attention the "Plain Jane Conformist
Ad" or something unusual? Evaluate how advertising
gets your attention. I know that I always look
more closely at the "Odd Ball" stuff
than I do the "Plain Jane" stuff.
Once, not too long back, I sent out an 8.5 by
11 post card (printed on both sides of course
because white space doesn't sell my services).
It was very unusual and people noticed it. Bingo!
That was my goal.
Our Communications Consultant called it my "Ugly
Postcard". I had our printer imitate handwriting
in blue ink in the right and left margins of the
back side of the postcard. Oh yes, it was different
and it stood out!
In the very near future, if you become an Inner
Circle Member, I may post on the web site some
excellent examples of this style of advertising
that you can model.
Rule 9. Results Rule, Period.
You will know when you are doing Direct Response
Marketing correctly because people will start
calling your ads "ugly", "too bold"
or "aggressive", or "Unprofessional".
But you know what, their opinion doesn't count!
(even if the opinion is coming from your spouse):)
The
only opinions that count are the ones from the
people buying your products or services. If a
person ain't giving you money, don't listen to
them!
Here's the litmus test: If it sells good, it's
good. If it doesn't sell good, it isn't good.
I use Direct Response Marketing every day of the
week and it works for my firm and I can help you
make it work for your firm as well!
Rule 10: You Will Be A Tough-Minded Disciplinarian
And Keep Your Business On A Strict Direct Response
Marketing Diet For A Least Six Months.
How many times in the last twelve months have
referral sources and others tried to hit you up
to buy Image Advertising. They hit me up every
week. They want me to buy space on the inside
of the jackets where they put real estate contracts,
they want me to buy ads in a directory and they
want me to sponsor their events.
And here's what I say to them: "Thanks for
thinking about us for this (whatever) campaign.
Unfortunately, we set up our Promotional Budget
last November for this year and we didn't budget
for this particular Ad (or whatever it is). Please
feel free to send us the information so that we
might consider it next year".
You know what, I never get in trouble using this
approach because next year someone else in their
office is handling the ad or event. And they are
not aware of what transpired the year prior.
Learn how to politely say "No" to these
(money suckers) I mean, Image Marketers so you
can use your hard earned money for marketing campaigns
that actually generate results for Your Firm!
Take action now and you will see the results
of your efforts quickly!
Put
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and you'll get tons of information to help jumpstart
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Sincerely,
Cartess Ross
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