2 direct marketing

MARKETING APPLICATIONS

Session 2

What is DM???

Direct marketing is the use of consumer direct channels to reach & deliver goods as well as services to customers without using marketing middlemen.

Channels used…

Direct mail Telemarketing Kiosks Websites Mobile devices

Distinguish…

CONVENTIONAL MKTG

CM is mass marketing It deals with customers

indirectly CM is one way activity It relies heavily on

marketing channels/stores

DIRECT MKTG

It deals with customers one-to-one

DM deals directly DM is interactive

marketing DM is channel-less

Requisites for the success…

Database Close targeting of prospects Service guarantee & product

warranty An eye for details Sustained effort

FORMS of DM…

Catalogue Marketing Direct Mail Marketing Telemarketing Tele shopping/Home Shopping Direct Selling/Home Selling

Direct Mail About this product- Surat Diamond

Gift Voucher Rs 1500 The Voucher can be redeemed at

products of Surat Diamond Pvt Ltd. View Products

This voucher cannot be exchanged for cash or cheque

No Duplicate will be issued if this voucher is lost or misplaced

This voucher is valid for Six months from the date of issue

Validity of the Voucher will be extended upon written request of the voucher holder

The holder of this voucher is deemed to be the beneficiary

Any Dispute should be referred to the company and the decision of the company shall be final

This voucher has been issued subject to the terms of the company

This voucher can be redeemed in part within the validity of the GIFT CERTIFICATE Note : Shipment within India only

Home Shopping…

http://www.homeshop18.com/

More on Direct Selling…

Direct selling is a dynamic, vibrant, rapidly expanding channel of distribution for quality products through independent business people

Methods of Direct Selling

Person-to-person Party selling or Group

presentations Unique company marketing

techniques

No Barriers…

Men/women across all age groups from 18 to 80years

No fixed education or previous experience required

Direct selling companies provide all the training to get started & to grow in the business

Reasons why people join a DS company…

Wholesale/discount buyers Short term sellers with specific

objectives Part time sellers Social reasons Recognition Full time career oriented sellers &

business builders

Product Mix…Top Quality Products (Year 2009)

Pr Product 20072 2007(%)Household Goods 26.99Health & Wellness 24.29Cosmetics 7.04Financial Products 15.54Personal Care 10.96Other 4.41Fragrance 7.33Jewelry 3.44

100.00% 2007(%)200

Governing Body…IDSA India

VISION: To make direct selling the most respected industry in

India

MISSION: To enhance lives by sharing & protecting the direct

selling opportunity for personal, professional & financial development

To work towards a policy framework for direct selling with the Government & stakeholders

To encourage & maintain an environment where members can operate independantly,ethically & progressively,where direct selling is regarded with merit by the entire community

Direct Selling/Home Selling… Amway means “American Way"; coined in 1959 Fundamental of the

company:Freedom,Family,Hope,Reward Amway India established in 1995 & emerged as

largest Direct Selling Company in FMCG Record turnover of 800 Cr from Jan to Dec 08 Market share about 40% in India 125 offices & 55 city warehouse facilities Currently offers 105 products in categories like:

Personal care, Home care, Nutrition & Wellness, Cosmetics

Member of IDSA (Indian Direct Selling Association)

Direct Selling/Home Selling…

Tupperware Brands Corporation is based in Orlando, Florida started in 1946

It has a family of eight leading brands with USP of special air tight, liquid tight seals that lockin freshness & flavor

More on Tupperware…

More on Tupperware…

MLM Concept…

Also known as- Network Marketing, Affiliate Marketing, Member Get Member Program