90% Of All Advertising Companies Got This Wrong

By Elon Law | April 11 2016
90% Of All Advertising Companies Got This Wrong
 

Direct Response vs traditional ad

Here’s the stark reality – almost every ad we see now is an institutional type advertisement (traditional). Institutional marketing can be a great source of marketing for companies – if they have the budget. Truth is, institutional marketing does not provide us much insights into the result it generates and how useful it is for companies. This especially rings through for small companies which does not have the budget to do such advertising.

Direct-response advertising name is self-explanatory. It is designed to evoke an immediate response or action — a visit, call, or purchase through an e-commerce. It presents facts, specific reasons why your company, product or service is superior to others. Use direct-response effectively and it compels tons of super-qualified prospects to call, write in, or buy.

Mindset – Knowing what your customers want

Direct response advertising is more effective than institutional advertising as the prospect doesn’t care one bit about your business or your goals. The prospect only cares about the benefit your product or service renders. How will your product help them save time? Save money? Bring them convenience? Improve their quality of life?

Benefits of direct response

Direct response is worthwhile for many reasons:

1) It brings measurable results

2) It augments what ever you are already doing in operations

3) It is an affordable way to target specific segments of your customer base

4) It is a great tool for reaching out to people or businesses outside your market

5) It is a low-cost way to obtain new businesses

6) It is an alluring way to “upsell” your products or services

7) If your business enters a slack period, direct response allows you to launch an immediate campaign to stimulate business activity. You can announce a sale or make a special offer effectively through direct response marketing.

 

What are the elements of a direct-response advertisement?

An effective direct-response advertisement consists of the following:

1) Put yourself in the shoes of prospects and state specifically the benefits prospects can immediately get or get in the future if they do business with you.

2) Tell the reader, viewer or listener exactly what action to take. Tell them how to get in touch with your business, what to look for, who to ask for. Tell them who to call, what to do when salespeople call. Most importantly, tell them what results they can expect from owning your product.

3) Evoke a response range from “soft sell” (write in or call, request information, visit at a later date) to “hard sell” (send cash or call with charge-card information).

4) Compelling reasons to convince your prospects to buy, and you need to add benefits and guarantees to get them to buy. Making the proposition irresistible, and you can do that by offering bonuses just for taking up your offer.

5) An inducement to take action now – right now, or they are going to lose the very special benefit you are giving out. It could be an e-ticket to a webinar, or a white paper download from your website.

As a matter of fact, direct-response is not limited to mail or direct marketing. Direct-response marketing encompasses everything from direct mail to newspapers and magazines to telemarketing and TV advertising. Everything you should do now should be direct response oriented and measurable for continuous improvement.

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