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The Foundations and Future of Interactive / Social Media Marketing - Research Paper Example

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Direct marketing is where business people approach their potential customers directly with goods that they selling. This system of marketing advertises using one or more of advertising media which, this is a report about traditional direct marketing, how the use of database enhanced direct marketing and how it evolved into interactive marketing…
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The Foundations and Future of Interactive / Social Media Marketing
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Download file to see previous pages It focuses mostly on interactive marketing and what the future holds, trends, etc. (Chiagouris and Wansley, 2000). Traditional direct marketing In direct marketing the marketers ask and get responses from the customers. This enable the marketers to get knowledge of their prospective customers thus making them know their target customers. The customers who had common interests were grouped together (Chiagouris and Wansley, 2000). . The direct marketing enabled sales to consumers to grow because consumers accepted direct marketers and also there was an increase in the costs that were associated with personal sales calls. For instance, the average cost of a single sale was estimated to be about $137 by the end of 1970s (Falls, 2008). Benefits of Direct marketing The upbeat results of this form of marketing can be measured directly. E, g if a marketer uses one hundred solicitations by mail to reach potential customers and gets a response of ten then it implies that there was a 10%response in the campaign. This is an advantage as compared to sending the mail in junk which cannot be measured directly. Through the use of the internet, the marketing managers are able to measure the results their campaign (Hughes, 2000). This is mostly realized by the use of a specific Web site that get pages that directly relate to material being used in the advertisement. The usefulness of the campaign is calculated by dividing the number of messages that were used in the campaign by the number of people who visit the unique Web site page. The challenges of direct marketing Some direct marketers who use media to advertise their products have been condemned for coming up with solicitations which are relevant due to poor combination of demographic database; this is a disadvantage to marketers because they waste money to reach customers who will not be interested in purchasing their products(Arthur M, 2000).. People are not aware of how the personal information that they include on an order form can be used as target advertising at some other time. One popular assumption in direct marketing is that for example if a customer places an order of a swimsuit from a clothing catalog, then he or she is obviously interested in swimming pool supplies as well as equipments that are used for exercise. This makes direct marketing to be an overload to potential customers because they get unwanted calls or mails from the marketers. Many companies that use direct marketing mechanism have self-policing links that discourage fraudulent actively. The direct marketing agencies do not respect the do-not-call list that is maintained by government agencies such as the Federal Trade Commission Chiagouris and Wansley, 2000). How database has enhanced direct marketing The use of database system came up as an improved form of direct marketing which emerged in1980s. The personal details like names, address, email and location about prospective clients and customers are compiled and maintained in a large database which aimed at boosting the marketing of the products (Chiagouris and Wansley 2000). . It enhanced direct marketing because it emphasized its operations on data analysis through which statistical techniques were used to develop the behaviors of consumers’ models which in turn enabled them to communicate to the customer that was selected. More accurate models were developed because the database used to hold more data about customers. It changes the role of direct marketing that is, the marketing became more competitive this is because cost that was used greatly reduced. Changing the cost of structures implying that there is a reduction in the cost of electronic ...Download file to see next pagesRead More
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