Advantages of Direct Marketing

Advantages of Direct Marketing

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Reasons for moving to direct marketing and the objectives of the
marketer.

There are a lot of benefits the T-Mobile can get from using direct
marketing and its techniques. If the direct marketing programme is in
place then the opportunities of the business progressing are very
high.

The first objective of using direct marketing is to have customer
retention and activation as well as recognising that the best way for
a company to improve is by keeping its existing customers. This
objective is very important. The direct marketing activities help this
objective by reinforcing the original buying decision and then by
building the relationship that is good with customers step by step.
Along this process are when you get the customers to repeat the
purchase of a mobile phone or any other products like hands free, car
chargers and many other services provided by T-Mobile like texting
etc. There is need to have an effective relationship with customers
and direct marketing does that by setting up a marketing database.
With today’s technical advances it is becoming easy for businesses to
take full advantage of an effective database management and marketing
strategy.

The other objective is that of increasing revenue. If you have a solid
relationship with your customers, you will encourage T-Mobile
customers to buy better and even more expensive phone as well as
persuading them to use as many services provided as possible. This
will increase the revenue of the company and also benefiting the
customers. The chances of the company to retain customers are if they
buy more services and handsets and also will increase sales.

The other objective is that of achieving cross- selling. This is
persuading customers to buy the products of T-Mobile over a large
range of products. The chances of the T-Mobile company to have of
retaining its customers is through the customers buying more and
different range of products offered by the company.

The other objective of the T-Mobile is getting the customers that had
defected to other mobile networks back. The T-Mobile company has a
number of competitors for example, O2, Orange, Vodafone, Virgin and as
the mobile industry is very competitive T-Mobile has lost some of its
customers so it is very important to have direct marketing activities
that will help in getting those customers back. This can happen if the
company extents its promotions to the apsed customers. This will
provide a very high response rate because the past customers will be
re-active again and if that direct marketing continue being like that
then it proves the success of the company.

The other objective of the direct marketing techniques is through

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acquiring new customers to the mobile company. New customers are the
like of every business including T-Mobile, and direct marketing can
produce cost effectiveness results for the T-Mobile Company. This is
even more successful if the direct marketing activities also takes
into consideration the following strategies, marketing, sales
objectives, method of distribution, etc.

The main objective of various companies is to build a brand that will
last a long time rather than concentrating on short-term objectives
and activities. Winning customers from rival mobile companies will be
the icing in the cake for the company and will prove the effectiveness
of direct marketing.

DIRECT MAIL

The past years has seen the growth in the number of direct response
methods. Marketers are turning to direct marketing as a major player
in the marketing mix. Given the pressures towards niche marketing
generally, the increased difficulties of profitable channel
distribution and sales and the ever increasing costs of mass media has
made direct marketing become the most widely used form of media.

Direct marketing is a comprehensive system of media and has method
designed to illicit a response from a prospect or customer in order to
develop a relationship. The different systems of direct marketing are
as follows, print and broadcast media, direct mail, telemarketing and
a number of methods. The task of direct marketing is to sell something
and at least to obtain an inquiry about a product.

The form of direct marketing T-Mobile is going to do is that of direct
mail. Direct mail use different techniques. The most common
application of direct mail is the following, selling products and
services directly to prospects and customers, generating qualified
leads for sales follow-up, converting enquiries into sales, increasing
sales of current customers, introducing new product or service of
T-Mobile, building and promoting a good relationship, and selling into
marginal territories. Direct mail will also build awareness and
create demand of products and services of the T-Mobile. The direct
mail is structured in a way that will encourage on the spot sales.

Direct mail is good at determining the following, what are the
segments of mail order buyers will respond best to the company’s
offers. There is also need for research to find as much information as
possible on the segments this is done to know what the customers are
like. List testing is the most significant element in direct mail. The
company starts with direct mail buyers they will find out their
addresses and then try and find out how best to offer those products.
Direct mail will also help us on what else we may sell our customers
if they respond to the products offered. The purpose of direct
marketing id to build a personal relationship with customers. Direct
market is more effective for selling different types of mobile phone
as well as different line rentals offers. Direct mail make contact
directly with customers at a time that is controlled by the company to
prevent sending letters that will cause them to become junk mail.
Direct mail is fully accountable, every response is measured, and the
cost per order, and the value of a customer are calculation that is
used in direct mail.

In order for direct mail to have responses the mails sent should be
able to catch the customer’s attention as well as capturing them with
different strategies and techniques. Direct mail is also good at
testing customers in various combinations so as to achieve maximum
marketing. Direct marketing is an interactive type of direct marketing
so the T-Mobile work on getting offers or sales from customers.
Normally when T-Mobile does direct mail, attaching something like a
watch for free is very good and encourages people to buy using the
direct mail form.

In sending the mail to potential buyers, the T-Mobile products must be
clear, simple this is done by making the photos of the products large
so as to be seen, cropping the products to show the essence or the
importance of the product before sending the mail. Remove all
unnecessary material. Also showing the product in actual use helps a
lot.

Another effective mail order should be or make the person who receives
that mail order’s eyes go where the product is. There is also need to
use the computer as much as possible and highlighting special thoughts
or a way making a reader want to buy a product. There is also need for
those pictures to be broken into small pictures that are easier to
digest and can add notice ability. Direct mail should be also in a
language that is easier to understand for the customer.

RESEARCHING

When sending the products and the mail there is need for a
questionnaire so that the company can easily measure the effectiveness
of the method. The questionnaire should include the following, why did
they purchase the product, how often they use the product or even
service, how they want the company to improve the product, what they
don’t like about the product.

When sending the mail with the products the company should include
these for the direct mail to be effective, description of the product,
purpose of the product, price of the product, features of the product,
benefits of the product, method of payments, the guarantee, and offers
if there are there, the name of the person the company is mailing to,
and information about the company.

DATABASE

Database is very important for a company and has various functions.
The database has a variety of factions. A database contains and also
provides names of T-Mobile customers as well as prospects. The name,
address list is an important part of the database however all the
activity relating to the names on the list is also essential.

Database is used for storing and measuring responses. Once you reach
the targets you identified and they respond the database should have a
device that will track each contact and each response. The database
also store and measure purchases because if a customer buys a product
they need to be tracked them so as to have a solid relationship with
them.

The database is also used to continue communicating with customers on
the prospects of the company.

A database should have the following information, names of prospects,
length of time the person has been a customer, number of purchases
annually, monetary value of the purchases, date of the most recent
purchase, the frequency of the buys and the source of the original
contact or lead. The other pieces of information that are important
are the age/date of birth, other purchase influencers on the same
address, rentals of customers’ name, and other questions relating the
those mention.

Database can be used to the advantage of a company in the following
ways, send card or letter on the person’s birthday, sent customers’
kids some birthday presents, newsletters and company annual reports.

The database will be obtained from previous sales as well as from
questionnaire and achieves like magazines, books and other things.

The direct marketing plan I have devised will be appropriate to the
company because the mobile industry is becoming a very competitive
market and the are a lot of new technologies coming in day by day so
direct marketing will keep the customers updated. T-Mobile has just
changed its name it used to be 0ne20ne so there is need for a lot of
direct marketing to improve sales as well as creating awareness of the
changes to the customers. Direct marketing is the most effect way of
tracking down customers and is also cost effective. Of all the methods
used direct market tracks customers and persuade them to become our
customers again. Direct marketing is also another way of establishing
a very good relationship between the customers and the company. Direct
marketing plan will also help in trying to create more customers and
help the company to enlarge its boundaries.
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