SONAL COMMUNICATIONS: DIRECT
C H A P T E R
After reading this chapter, students should:
Know how companies can integrate direct marketing for competitive
Know how companies can do effective interactive marketing
Know how marketers can best take advantage of the power of word of mouth
Know what decisions companies face in designing and managing a sales force
Know how salespeople can improve selling, negotiating, and relationship
Direct marketing is an interactive marketing system that uses one of more media
to effect a measurable response or transaction at any location. Direct marketing,
especially electronic marketing is showing explosive growth.
Direct marketers plan campaigns by deciding on objectives, target markets and
prospects, offers, and prices. This is followed by testing and establishing measures
to determine the campaign’s success.
Major channels for direct marketing include face-to-face selling, direct mail,
catalog marketing, telemarketing, interactive TV, kiosks, Web sites, and mobile
Interactive marketing provides marketers with opportunities for much greater
interaction and individualization through well-designed Web sites as well as
online ads and promotions.
Word of mouth marketing finds ways to engage customers so that they choose to
talk with others about products, services, and brands.
Two notable forms of word of mouth marketing are buzz marketing, which seeks
to get people talking about a brand by ensuring that a product or service or how it
is marketed is out of the ordinary, and viral marketing, which encourages people
to exchange information related one way or another to a product or service online.
Sales personnel serve as a company’s link to its customers. The sales rep is the
company to many of its customers, and it is the rep who brings back to the
company much-needed information about the customer.
Designing the sales force requires decisions regarding objectives, strategy,
structure, size, and compensation. Objectives may include prospecting, targeting,
communicating, selling, servicing, information gathering, and allocating.
Determining strategy requires choosing the most effective mix of selling