The right balance between branding and direct response

Big brand companies today want to spend their budgets in many different ways. But brand preservation is very important for corporations entering direct response, and many companies are reluctant to enter direct response because they think it would “cheapen” their brand.

However, the truth is that focusing solely on branding could hinder the growth of a company. It is equally important to pay attention to product innovation and demonstration. Many of the top brands have now realized this and are continually abandoning the negative perceptions associated with "infomercial" advertising and have embraced the advantages of direct response.

For a corporate brand to succeed in a direct response campaign, it is necessary to bring together brand awareness with a unique selling message. With direct response advertisements, a company is able to better quantify its campaign results while still reinforcing its established brand messages.

That branding and direct response cannot work together is a myth. It is perfectly acceptable to have a slick creative soliciting some form of response from the consumer, by phone or the Internet. It is a direct response advert and it is a brand builder. Direct response simply means having an element of dialog with the consumer and it doesn't have to be to sell anything. There is absolutely no conflict between direct response and branding. Even though the primary purpose of a direct response campaign is to drive traffic, every piece of communication that touches the customer represents a brand.

Is DRTV still worth it?

With the increase in the number of internet users and a host of other technological gadgets like iPods, mobile phones and DVRs, theoretically speaking, television viewing is gradually declining over the years. This in effect, means a decline in DRTV viewership. But is this really true? Perhaps not.

What is true is that internet (and other media) users still watch television and are influenced by it. The challenge for DRTV is not survival, but evolution. With DRTV being put to more and more diverse uses, it is today a far cry from the original characteristic call-to-action campaign whose sole purpose was to generate product orders. Today, DRTV is used not only to drive sales, but also for brand-awareness. This combined effort is what will keep DRTV going strong in spite of the advent of other entertainment media.

This amalgamation of the two criteria has necessitated a new approach to a DRTV campaign. Creativity is now much more important than it used to be in the past. At the same time, the utilitarian aspect has to be emphasized upon. The upshot is a slick, ROI-oriented campaign with trackable and quantifiable results, and which increases the brand value.

DRTV has easily managed to strike the right balance between sales drive and brand building. Indeed, rather than being at a disadvantage, technology has only spurred DRTV to get more savvy and innovative.

DRTV - orders, leads... and now franchises

Traditionally DRTV has been used by the ‘slicers and dicers’ – products that fall into the household and kitchen categories, health and beauty products or utility items. As the days go by, more and more diverse services and businesses have woken up to the huge potential of DRTV advertising.

An excellent case in point is the ice cream chain, Carvel. Aiming to reduce advertising expenses, Carvel recently decided to invest in a direct response campaign. It is possible today for such unconventional businesses to enter the direct response arena because networks are slowly relaxing the rules for entrants. Aiming mainly at potential franchisees, Carvel switched from traditional advertising to direct response television. When Carvel wanted to add more franchises to its chain, Advanced Results Marketing handled its direct response campaign and targeted the Miami market initially, advertising a franchising seminar that was to be shortly held in the city. The response was so great that Carvel is now planning to hold two more such seminars in other cities with DRTV spreading the awareness.

Another way Carvel plans to use DRTV is to display an 800 number at the end of their commercials that allows viewers to locate the Carvel store closest to them. When the viewer calls the number, their call is then transferred to their relevant store and they are able to place an order or to make inquiries. So from generating actual orders, DRTV has now progressed into attracting would be franchise owners for business chains. It will not be a wonder if DRTV is utilized in yet more ways since it is a cheaper medium than traditional advertising, yet just as effective.

DRTV - orders, and now leads too!

DRTV has, for many years, been used as a way to get orders direct from customers over the phone. A product is demonstrated and an 800 number is displayed for interested viewers to place an order straightaway.

This is now slowly changing. One of the newer ways that DRTV is being put to use is to generate leads rather than get orders. The travel industry has woken up to the possibilities of DRTV as a medium for advertising. Las Vegas resorts like Mandalay Bay and Monte Carlo for example, are investing in DRTV adverts to reach out to a national audience at a very low cost (up to one third the normal advertising rates). Putting an 800 number at the end, and also the website address if they have one, can bring in customer leads either by phone or through the website – a campaign which would otherwise be cost-prohibitive. The lower cost means that a brochure-like presentation can be made, enticing would-be travelers into calling to enquire, or even booking rooms right away. In fact branded DRTV is an excellent complement to direct mail campaigns too. Offering a free travel brochure in a DRTV commercial for example, carries the ad campaign further.

Using DRTV to promote holiday resorts gives them much more exposure and in a more focused way. DRTV is inexpensive media in which a campaign can be operated on a moderate budget and is one of the most effective ways to drive traffic to the resort website. With more and more people having access to the internet, it makes perfect sense to put in a website and email address on the DRTV commercial and have people check out the resort features online.

The connection between DRTV and Resorts...

DRTV has mostly been used for innovative products, with household, health and beauty, and utility products being chiefly promoted through the medium. But more and more atypical entrants are making their presence felt in the DRTV scene now. Resort and casino properties are a fine example of this recent phenomenon.

Many Las Vegas resorts like Mandalay Bay, Monte Carlo and other properties on the strip are using DRTV to entice scores of travelers from across the nation. As direct response airtime costs up to 70 percent less than standard airtime, it is the most efficient way to reach across to travelers nation-wide. Also, from Day One, it is possible to assess the effectiveness of a campaign. The results are measurable and if a particular campaign does not get the phones ringing, it can immediately be pulled down, set to another time slot or aired on a different, more relevant network.

Travel websites like Vegas.com and LasVegas.com are using DRTV in a big way to make their brand a nationally recognized name and attract tourists from across the country. Their campaigns are just like traditional advertisements except for the 800 number and the website address that appear at the end, which prompt consumers to call or log on and book their rooms right away. Instead of the conventional route where the customer would watch an advert, go to their agent and make the booking (assuming that they still remember the name of the resort), now customers watch the direct response advert, and can pick up the phone or log onto a website and make their own bookings.