Industrial goods are traditionally sold through the company’s own sales force. In case of high-value Industrial products, such as machines, equipments, high-tech engineering goods, and projects where long-term standing in the market and one-to-one relationship with the customers are both important, direct marketing may produce better results as compared to other approach.
Madras based medium sized engineering firm, RKKR Steels has demonstrated that even construction grade steel products (such as bars, angles and frames) can be marketed directly to builders, contractors and individual buyers.
Services come next in the list of favorites for direct marketing. In service oriented business, retaining the customers and getting repeat business is critical for the success of any venture.
Perhaps because of this an ever-increasing number of foreign and private sector banks, hotels, airlines, corporate hospitals, health clubs and couriers firms are now banking more on direct marketing.
Individual approach, as used in direct marketing helps in creating customer loyalty, the backbone of service organization. In India, firms like ANZ Grindlays bank, DHL Worldwide, ITC Hotels, NEPC Airlines and many more have benefited immensely by direct marketing during the last couple of years.
Direct approach is also being used extensively in the marketing of financial products such as new issues of share, fixed deposits schemes and mutual funds.
Real estates and plantation firms like Anasal’s properties, sterling Holiday resorts, Anubhav Plantation, teak Equity and many more have been making the most of direct marketing.
Nevertheless, direct marketing is Viable only if the margins in the business are high enough to absorb the cost of maintaining regular contract with customers; otherwise it may turn out to be a losing proposition.
The next category of products suitable fro direct marketing is high value, high involvement consumer products such as expensive cars, jewellery, designer watcher and furniture, some specialty products that have a small customer base, such as medical equipment, health care products and special application gadgets may also be marketed by making direct contract with prospects.
High-value, low volume niche marketing items such as Single malt whisky, ray-ban sunglasses, Bausurch & Lomb eye care products and premium blends of tea (e.g., editor’s Choice) are ideally suited for direct marketing.
Many such products like exercisers, executive diaries, new compact music disks; car accessories, new kitchen appliances and expensive perfumes are normally not available at retail stores.
Because of their novelty value, these may evoke better respons3e if marketed directly to the consumers.
Amway Corporations list of items more suitable for direct selling includes cosmetics, vitamins, books, cutlery, domestic electronic goods, air and water filters, clothing, food and wine, Kitchen appliances, Kitchenware, cleaning products, toys and crafts, hobby items, hand tools, automobile accessories, as well as an endless variety of catalogue items either unique to the company or sourced from third parties.
Direct marketing is also effective where the firm has a family of products to offer to the same person or household. It is far more economical and makes better business sense to sell to the known customers rather than finding a new customer every time.
Some publication groups such as Living media and Spectrum Communication, who offers a variety of publications for different tastes, have taken this route successfully.
Eureka Forbes benefited immensely from their database about the vacuum cleaner buyers, when they introduced another novelty product(water purifier) in the market.
With the advent of multinational brands in the Indian market, direct marketing may also penetrate into lifestyle products categories such as fashion garments, perfumes, shoes, wristwatches and toiletries.
ITC has already shown the way by opening exclusive showrooms in a few select metros for its Classic brand premium cigarettes and golf accessories.
Madras based medium sized engineering firm, RKKR Steels has demonstrated that even construction grade steel products (such as bars, angles and frames) can be marketed directly to builders, contractors and individual buyers.
Services come next in the list of favorites for direct marketing. In service oriented business, retaining the customers and getting repeat business is critical for the success of any venture.
Perhaps because of this an ever-increasing number of foreign and private sector banks, hotels, airlines, corporate hospitals, health clubs and couriers firms are now banking more on direct marketing.
Individual approach, as used in direct marketing helps in creating customer loyalty, the backbone of service organization. In India, firms like ANZ Grindlays bank, DHL Worldwide, ITC Hotels, NEPC Airlines and many more have benefited immensely by direct marketing during the last couple of years.
Direct approach is also being used extensively in the marketing of financial products such as new issues of share, fixed deposits schemes and mutual funds.
Real estates and plantation firms like Anasal’s properties, sterling Holiday resorts, Anubhav Plantation, teak Equity and many more have been making the most of direct marketing.
Nevertheless, direct marketing is Viable only if the margins in the business are high enough to absorb the cost of maintaining regular contract with customers; otherwise it may turn out to be a losing proposition.
The next category of products suitable fro direct marketing is high value, high involvement consumer products such as expensive cars, jewellery, designer watcher and furniture, some specialty products that have a small customer base, such as medical equipment, health care products and special application gadgets may also be marketed by making direct contract with prospects.
High-value, low volume niche marketing items such as Single malt whisky, ray-ban sunglasses, Bausurch & Lomb eye care products and premium blends of tea (e.g., editor’s Choice) are ideally suited for direct marketing.
Many such products like exercisers, executive diaries, new compact music disks; car accessories, new kitchen appliances and expensive perfumes are normally not available at retail stores.
Because of their novelty value, these may evoke better respons3e if marketed directly to the consumers.
Amway Corporations list of items more suitable for direct selling includes cosmetics, vitamins, books, cutlery, domestic electronic goods, air and water filters, clothing, food and wine, Kitchen appliances, Kitchenware, cleaning products, toys and crafts, hobby items, hand tools, automobile accessories, as well as an endless variety of catalogue items either unique to the company or sourced from third parties.
Direct marketing is also effective where the firm has a family of products to offer to the same person or household. It is far more economical and makes better business sense to sell to the known customers rather than finding a new customer every time.
Some publication groups such as Living media and Spectrum Communication, who offers a variety of publications for different tastes, have taken this route successfully.
Eureka Forbes benefited immensely from their database about the vacuum cleaner buyers, when they introduced another novelty product(water purifier) in the market.
With the advent of multinational brands in the Indian market, direct marketing may also penetrate into lifestyle products categories such as fashion garments, perfumes, shoes, wristwatches and toiletries.
ITC has already shown the way by opening exclusive showrooms in a few select metros for its Classic brand premium cigarettes and golf accessories.