Managing Personal Communications: Direct and Interactive Marketing, Word of Mouth, and Personal Selling

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Pepsi Embraces Interactive Marketing

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What is Direct Marketing?

Direct marketing is the use of consumer-direct channels to reach and deliver goods and services to customers without using market middlemen.

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Direct Marketing Channels

Direct mail Interactive TV Telemarketing

Other direct response

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Constructing a Direct-Mail Campaign

1. Establish objectives

2. Select target prospects

3. Develop offer elements 4. Test elements(Means of testing)

5. Measure success

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2. RFM Formula for Selecting Prospects

Recency

Frequency Monetary value

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3. Elements of the Offer Strategy

Elements of offer strategy Product Offer Medium Distribution method Creative strategy Elelments of mailing Outside envelope Sales letter Circular Toll free number and web Reply envelope

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 Catalogue marketing Telemarketing Other forms(magazines, informercials etc.)

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Public Issues in Direct Marketing

Irritation
Unfairness Deception/fraud Invasion of privacy
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Interactive Marketing
Features Tailored messages possible Easy to track responsiveness Contextual ad placement possible Search engine advertising possible Subject to click fraud

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Placing ads and promotions online

Websites Microsites Search ads Display ads(banners) Interstitials(pop-ups) Internet-specific ads and videos Sponsorships Alliances and affiliate programs Online communities Email Mobile marketing

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How to Start Buzz

Identify influential individuals and companies and devote extra effort to them Supply key people with product samples Work through community influentials Develop word-of-mouth referral channels to build business Provide compelling information that customers want to pass along

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Designing a Sales Force

Sales force objectives Sales force strategy Sales force structure Sales force size Compensation
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Types of Sales Representatives

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Deliverer Order taker Missionary Technician Demand creator Solution vendor

Sales Tasks
Prospecting Targeting Communicating Selling Servicing Information gathering Allocating

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Managing the Sales Force

Recruiting, selecting
Training Supervising Motivating Evaluating
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Components of Sales Force Compensation Fixed amount

Variable amount Expense allowances

Benefits
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Form for Evaluating Performance

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Principles of Personal Selling

Situation questions Problem questions Implication questions Need-payoff questions

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Steps in Effective Selling

Prospecting/Qualifying

Preapproach
Approach

Presentation
Overcoming objections

Closing
Follow-up
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