Direct-Response Marketing
A type of marketing designed to generate an immediate response from consumers, where each consumer response (and purchase) can be measured, and attributed to individual advertisements. This form of marketing is differentiated from other marketing approaches, primarily because there are no intermediaries such as retailers between the buyer and seller, and therefore the buyer must contact the seller directly to purchase products or services. Direct-response marketing is delivered through a wide variety of media, including DRTV, radio, mail, print advertising, telemarketing, catalogues, and the Internet.
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| NAB coffee Cup coupon |
Trade Press
Coffee cup advertising is set to reach boiling point, with several high profile companies now using the medium and NAB launching a new campaign next week.Eat Media is the company behind the new campaign for NAB using a tear-off coupon on the cups, the first of its kind, while campaigns for St. George Bank, Instant Scratchies, NRMA and BMW Sydney have all been launched in the past few weeks.Nerida Power, National Australia Bank marketing manager, said: “We’ve used coffee cups as part of integrated credit card campaigns and found the medium drives particularly strong recall. Our last campaign achieved 64% spontaneous brand recall.”“Online is a key channel for us and we know many cups end up sitting on desks which is highly effective for us. Our next campaign utilises the tear off so customers can have a tangible reminder to visit our website.”Other caffeinated players include Drink Media in Queensland, Advertccino in NSW and Coffee Cup Promotions in Melbourne.While finance is the main industry using coffee cup advertising, Greg Taylor, general manager of sales at Eat Media, said more and more companies are choosing to go take away.
“The main reason we see it being so successful is due to the fact that the cups sits in front of someone for nearly 40 minutes, at their computer, the ideal driver for online traffic, not to mention the cut-through.”Eat Media has 700 cafes nationally contracted exclusively, which clients can pick and choose from depending on the demographic they are aiming to reach.It also has exclusive coverage in 33 universities across the country for companies wanting to reach a younger audience.Antoinette Yerbury, BMW Sydney’s general manager of marketing operations, used Eat Media recently to launch a new metro showroom location.
“As a dealership, I have a limited budget and need to design activities that promote our dealership brand, increase sales leads and grow our marketing database,” she said.“Using Eat Media, in addition to traditional methods, has increased our opportunities to target our customers in a way that seems less ‘in your face’ and somewhere where they may not expect it.”Along with longevity, Yerbury said the cups offered advertisers the chance to reach people who may not even frequent the café, where signage is often posted.“Many people take the cups back to their office and to meetings,” she said. ”Taylor said the medium was becoming increasingly accountable for advertisers, by allowing them to choose the location where their cups are, not just asking random cafes if they are happy to use the free cups.
Journal Article
The journal Article states "Every call coming into a direct response company is a potential sale, which means that they must be handled with the highest level of customer care" According to a release, the new direct response customer experienced challenges in handling calls to maximize sales during peak times, which generally occur when a television advertisement runs. The company was offloading overflow calls to an outsourcer that would take each caller's contact information, and then pass the contact back to the in-house center to make call-backs at a later time. As direct response customers typically make a purchase when they first connect with an agent, this methodology meant potential lost sales and the company knew they needed to make a change.
Direct Response Marketing Company Chooses inContact
Entertainment Close-up, Jan 30, 2011
As a direct response ad requires consumers to respond accordingly to the ad they see NAB have gone in the right path by making tear off pieces on coffee cups. Their target target are people who work 9-5 in the city/offices and need coffee to keep them going/wake them up. They are successful businessman/women who might be interested in getting credit cards so its smart to get them to make ads on something they buy on a day to day basis. Most people take their coffee cups back to the office so the message of the ad stays with them even after the purchase of the coffee.
If they don't have time to look at the ad while they're drinking it, they will when they take a break at the office, or when they're walking and waiting for the lights to change. The 64% brand recall rate speaks for its self.
The fact that Eat Media has 700 cafes nationally contracted exclusively makes it easy for NAB to pick and choose their demographic accordingly to which market they want to segment.
Ads like Proactive and Smart bra are ads where company s have to be on alert soon as the ad airs on tv as the customers are calling to potentially buy the item. If they get forwarded to the sale might be lost so it is important to have a system that looks after the customer in that manner.
For NAB there is a number on the coffee cup. They would have to find out what time people usually buy their coffee - before work/during lunch and have their sales staff on the phone waiting accordingly so there isn't an overflow of calls that can't be answered.
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