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What is direct marketing? A clear explanation of its advantages and disadvantages, as well as examples from various comp

Posted: Wed Dec 04, 2024 7:02 am
by kolikhatun012
Direct marketing is a marketing method with a long history in Japan, including TV shopping, the wide variety of direct mail delivered to homes and offices, and old-fashioned fax direct mail, so I think many people have an outdated image of it.

In recent years, as the internet has become more widespread and digital channels have increased, direct marketing using websites, social media, email, etc. has also become more popular. While one might think that paper direct mail would disappear, creative direct mail, including luxurious direct mail for business owners, continues to be used effectively.

Digital tools such as CRM have become cheaper, making it easy for even small businesses to manage customer databases. Given the diversification of methods and ease of data utilization, direct marketing may actually be in its prime now. In this article, we will introduce some representative methods and success stories of direct marketing.

What is Direct Marketing?
Direct marketing is a marketing method in which a company approaches customers directly, without going through an intermediary . Not going through an intermediary means higher profit margins, and it has the advantage of being easier to understand customer needs and build long-term relationships of trust.

Direct marketing methods have traditionally list of taiwan consumer email included catalog marketing, telemarketing, and television commercials, but in recent years online methods such as social media marketing and email marketing have become more common.

Depending on the age, characteristics, and products of the customer base, a company may specialize in a certain method, but there are also increasing cases of combining multiple methods.

What is Direct Marketing?

Development and background
Direct marketing using catalogs was already being used in Europe around the 15th century. In Japan, medicine sellers from Etchu and Toyama were already present in the 17th century, peddling medicines all over the country.

However, the concept of "direct marketing" was created and the term began to be used in 1967, when Lester Wunderman, founder of the world's first direct marketing agency , Wunderman , defined it in a lecture at Massachusetts Institute of Technology.

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By the way, Wunderman is also known as "the father of direct marketing" and "one of the three greatest advertisers of the 20th century ." He is also well-known in the Japanese advertising world, having founded Dentsu Wunderman (now Dentsu Direct Solutions) in a joint venture with Japan's Dentsu.

Wonder Man's Selling Advertisement

(Source: Amazon )

Direct marketing initially developed primarily in the United States, but has expanded around the world as each country's postal systems, transportation infrastructure, and communication infrastructure have improved.

Even in emerging countries that do not have infrastructure such as postal delivery, the spread of the Internet has led to an increase in e-commerce, social media, and private delivery services, and direct marketing is developing.

In the past, direct marketing companies would use their own house lists to understand the needs of individual customers and take a detailed approach, doing something similar to today's database marketing.

CRM, which emerged in the 1980s, made it possible to utilize large amounts of customer data in a short period of time, and therefore contributed greatly to the development of direct marketing.

In recent years, direct marketing has been thriving, although channel trends vary from country to country. Especially since 2020, the direct marketing market has been growing worldwide, driven by the COVID-19 pandemic.