Direct Response Marketing: Two Case Studies
Most traditional businesses suck at marketing. There, I said it. Most businesses spend their time focusing ON their product rather than SELLING their product. That is a big mistake!
The big companies with huge marketing budgets normally spend MILLIONS of dollars on branding and mass media marketing. They have deep pockets and know that if they keep their marketing message in front of you constantly, there's a good chance you will do business with them at some point.
Small businesses don't have that luxury. They have limited advertising funds and must take a completely different marketing approach than a big company. Small businesses should use DIRECT RESPONSE advertising, if they want to maximize their ROI.
Direct Response advertising is the process of connecting directly with your target market and giving them an offer. You send them an offer with a specific call of action. For example, "use coupon code C20 during the checkout at our website to get 20 percent off your next order."
What I want to do in the following paragraphs is share two case studies with you. These are companies that are amazing at direct response marketing. If you study what they do, and adopt some of their marketing strategies in your own business, I know you can increase your results with your marketing and advertising efforts.
Of all the companies I’ve studied in recent years, two companies I've studied, and done business with, are great at direct response marketing. Those two companies are Omaha Steaks and Vista Print.
I’m sure you’ve probably done business with each of those companies at some point or another. And if you haven’t, you should. Although their products are good, what you will benefit from the most is to personally experience their MARKETING process. Their marketing processes, systems and funnels are top notch.
When it comes to steaks, they have a good product at a reasonable price. But they’re not the BEST quality or CHEAPEST price either. They compete on CONVENIENCE. The idea of having good steaks shipped directly to your door is very appealing.
Here are a few things I’ve noticed about their marketing efforts:
- Professional customer service on the phone
- Great use of direct mail (postcards)
- Effective email marketing campaigns with offers and discounts
- Telemarketers calling from time to time
- Low priced “introductory” products designed to get you to be a customer, with profitable up-sells
- Small discounts on “packaged” deals with multiple products
- Birthday and holiday specials
These are just a few of the things I’ve noticed about Omaha Steaks.
This savvy company offers a wide variety of office stationary, business cards, note cards and other similar items. Their prices are good.
However, they do have tons of great strategies to get you to shop with them, and come back as a repeat customer. Here are a few things they do well:
- Up-sells and Cross-Sells when you check out
- Recommended items when you login, based off previous purchases
- Persistent email marketing, sending messages a couple times each week
- Offering free products if you put their logo on it (in many cases)
- Offer you time sensitive upgrades after you make a purchase
- Daily specials
- Good use of coupons
I do all my office stationary shopping with them. I don't do it intentionally either. They just do a good job of staying in touch with me so when I am ready to buy something, I just visit their website.
I’ll also admit that they do deliver a quality product, and on time. I think what makes them special is convenience. Everything is in one place. There are lots of great deals. And it’s very easy to navigate their website.
I hope you will take the time to study these companies to see their direct response marketing in action. I hope you will model some of their direct response marketing strategies. By doing so, you will learn many valuable lessons you can apply in your own business, which should result in more sales and more leads.
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