So far members of the DR industry, including many from ERA’s Latin America Council have donated over $18,900 to help aid in relief efforts in Chile. Two ERA member companies, A3D and Falabella, have offices in affected areas. To the left is a picture from the A3D offices after the earthquake hit.
It appears that nearly 2 million people were affected by this disaster. It is estimated that rebuilding will take at least 3 or 4 years and may cost tens of billions of dollars.
Please take a moment to consider helping our DR industry colleagues and all of the Chilean people affected by this disaster.
In this ERA Minute, Scott Richards, “The Optimizer” and CEO of Dial 800 explains how a repeater number can deliver dramatically improved results for a DR campaign.
It has been an exciting week in the world of net neutrality. This week, Julius Genachowski, the Chairman of the FCC, announced the Commission’s intention to enter into a formal rulemaking process to codify the four principles of net neutrality currently in use and to add two more principles. The additional principles include a statement that consumers must be able to access the lawful content of their choice, subject to reasonable network management. Essentially, ISPs cannot block traffic to say, NBC Video, just because they have a partnership with Hulu. However, they still may prioritize all video content over all file sharing in order to manage the use of the network. In addition, networks must be transparent about what they are doing to manage traffic. This would give small business and direct response marketers more information about how consumers are experiencing online offerings like video advertising. Specifically, if you are providing an application for wireless devices or making videos available on sites like YouTube, you will know if some of the network providers are slowing certain services during peak hours. You will then be able to adjust your content delivery accordingly.
Don’t take the initial setup phase for granted - Clients sometimes rush or don’t put enough effort into the initial setup phase of the fulfillment engagement. This can lead to miscommunications and mistakes that have long-term ramifications. It’s especially important to communicate who all of your vendors are, and make sure all offers and file exchanges are thoroughly tested.
Understand how the decline cycle works - Companies who are outsourcing their payment processing and fulfillment need to have a clear understanding of how the decline cycle works. New clients who don’t understand the difference between soft and hard declines, or that multiple charge attempts are being made always surprise me.
Make sure your refund policies are clear and reasonable - I see many situations where clients try to save money by imposing strict or unclear refund policies. These can lead to increased chargebacks and customer service calls, as well as BBB and FTC complaints.
Consult with your fulfillment company regularly regarding packaging - Packaging is very important when it comes to freight costs. Your fulfillment company can help you come up with the best packaging to keep your freight costs down. Remember, once a package is above one pound, an extra ounce can push you to the next weight tier.
Work with customer service to plan for call spikes and backorder situations - Avoid backed up call queues and long hold times by proactively planning for call spikes and backorder situations. Fulfillment centers don’t have infinite numbers of customer service agents, so you need to work with them in advance to make sure that staff is properly allocated. In backorder situations, sometimes it is better to outbound clients or send them e-mails to let them know what is going on and thereby reduce inbound customer service calls.
Be prepared for dry spells and unanticipated storage costs - Many DRTV marketers think they will never have a dry spell and are often caught flat footed when retail orders dry up or campaigns slow down. If they have over-ordered inventory, they can end up with higher than expected storage costs, which can definitely impact their bottom line. My advice is to develop a contingency plan and build adequate cushion into your budget for storage.
ARLINGTON, Va.–June 28, 2009 – The Electronic Retailing Association (ERA), the leading trade association for direct-to-consumer commerce, issued the following statements on the death of Billy Mays, one of the pioneers in the direct response television (DRTV) industry:
“DRTV has grown to be a $300 billion business during the last 20 years, and Billy Mays played a key role in making this possible,†said Julie Coons, president and CEO of ERA. “His dedication to DRTV will be remembered by those of us in the industry, as his animated approach to marketing dozen of products, such as Orange Glo and OxiClean, will be remembered by millions of consumers. Our thoughts and prayers go out to his wife, Deborah, and to his family and friends.â€
“This is a sad day for those of us that were lucky to know Billy,” said Nathan Fagre, chairman of ERA and senior vice president and general counsel of 
ShopNBC. “He worked hard, cared about his family and friends and he will be greatly missed.”
As you probably know, the FTC is planning to eliminate the safe harbor for testimonials with disclaimers. If you are concerned about these changes, make sure you sign up to receive updates from us on this issue. We will send occasional updates that will keep you up to speed. This is part of the grassroots effort we will be launching shortly and these updates will make sure you know about opportunities to get involved. Please make sure you don’t miss out - fill out the form here.
Below are a few photo highlights from Launch DRTV Creative Director Drew Plotkin’s recent trip to Ethiopia for a Wheelchair Foundation drop and distribution. The trip was funded via a PSA spot produced by Launch DRTV and money raised from numerous DR industry players at the Los Angeles Wheelchair Foundation Gala organized by Imagine Fulfillment Services.
To make a donation, please call 1-800-584-0796 or click here.
Media buyers and marketers are looking at mobile TV to increase sales for clients.
Mobile TV is being viewed as a way of expanding brand and presents a unique opportunity when it comes to direct-response sales lead generation.
Traditional direct-mail marketers reveal that their response with print mailing has dropped to less than 0.1 percent. That means 99.9 percent of your client audience is not responding to the direct-mail piece you spent money on.
What makes mobile TV so attractive to advertisers? The emergence of mobile TV as a mobile medium also comes with some impressive applications. For instance, if you are seeing a Lexus commercial on your mobile iPhone while watching a local news program, you could potentially touch a Lexus icon on your phone screen to be connected to a live Lexus sales representative.
The real-time factor. Mobile TV provides the unique value of real-time marketing to consumers. Studies show they spend more when transactions are completed quickly before they have a chance to rationalize a purchase.
Even with all of these big changes underway, television is still a big layer in the media game. TV ads will continue to have loyal buyers.
Do you agree?
Peter Koeppel is a Wharton MBA and president of Koeppel Direct, a full-service media buying agency based in Dallas.
Unless you’ve been living under a rock, you have probably noticed the extensive increase in coverage recently of the DRTV industry. Here are some current events you won’t want to miss:
It’s never easy, but you can to narrow down your choices through a process of elimination by considering the following:
Select a product that fulfills a perceived problem that the consumer has. In most cases, people aren’t always aware of the problem they have, so you need to show them.
The product should be simple to explain yet have enough features and benefits that it can hold audience attention for a half-hour.
Pick a product that will have people instantly recognizing they have the problem – and need the solution. For example, “Are you tired of knives that just don’t cut?†Sometimes people won’t think about this as an everyday problem in their lives, however once confronted with this, they will quickly see this as a problem they would like to solve.
Recognize that DR relies on an impulse buy – people must want the product right now. Don’t try to sell products that are preventative; the products need to solve a problem consumers have today rather than a problem they may have over time. Unless you’re looking at a lead generation campaign, alarm systems or life insurance are examples of preventative products that are not suitable for the infomercial format.
The product should have a high-perceived value and be able to sell for a 5 to 1 mark-up.
The show and product are inherently intertwined like two dancers- two interlocking pieces of the same puzzle. But, you must start with the product first then focus on the show later.
The product/Pitch/Show – TV is a medium of entertainment, so you have to make sure the product can entertain for thirty minutes. Is it interesting to look at? Can you see it working? Is the function of the product interesting to watch? A blender is interesting to watch as it converts a solid into a liquid. Is the product easily demonstratable? With a food preparation device such as a counter top oven, you are watching a process occur. With a fitness machine, consumers can see a product working with results before their eyes.
Every product has a weakness and audience will figure it out in the half-hour. It is the marketer’s job to address that weakness and ideally turn it into a benefit or strength. For example, when concerned a product is too small, confront it head-on by emphasizing how compact and convenient it is.
The product and the show should be aimed at the audience that is watching. There is no use trying to sell a product to an audience that is simply not there. For instance, snow shovels in Miami would not be a way to go!
Don’t be a Gilly! Instead, get to the head of the class and ahead of your competition by attending ERA’s webinars, receptions and meetings. You’ll learn about best practices, new trends and also network with your industry peers in a fun, relaxed setting.
Hailing from Pittsburgh, or should I say Sixburgh, I’m obviously still ecstatic at the outcome of this year’s Super Bowl. But for our purposes here, I’ll spare you the Steelers fan gloating. There were other winners on Super Bowl Sunday and they come from the advertising and marketing community.
According to USA Today, the Doritos crystal ball commercial was the favorite of the evening. I literally remember sitting in a room full of people before the first commercial break and someone managed to crack the joke: “Here come the blatant marketing pitches.†Maybe my sarcastic friend spoke too soon. As the now infamous crystal ball Doritos commercial ensued, the entire room erupted into laughter and one of my friends even said, “That makes me want to buy some Doritos for sure.†Mission accomplished.
During another part of the evening, a commercial played for an upcoming feature film. My friend who interns for the studio made sure to hush everyone as the spot played. Being that it was a preview for a comedy, the room’s continued silence was not a good sign. “Damn, that cost a lot of money,†my friend said to disapproving stares. On the up side, she used our live, informal focus group the next day during a meeting to let her supervisors know that the preview did not go over well with our crowd.
But if anything, the Super Bowl proved that there is still a place for advertising and marketing in a fast-forward world. From 3-D glasses, to impressive strides in mobile campaigns, marketers are still cleverly rising above the clutter. In industry specific news, the Super Bowl even had a DRTV spot for Cash4Gold that played to rave reviews and even rivaled Doritos as the night’s favorite.
“Super Bowl 43 was memorable for several reasons, so much so that the media world is still buzzing about it a week later. It was arguably one of the best games ever, and certainly one of the most exciting fourth quarters in recent history. A record number of viewers tuned in as well — Nielsen’s final report put it at 98.7 million, up a full million over last year. Unprecedented economic times meant no ads from perennial sponsors General Motors and FedEx. But despite the loss of these brands, NBC successfully sold all 65 spots for a record $206 million, with in-game ads running at $3 million apiece. That is up 11 percent from last year’s Fox rate for the game,†according to Video Insider.
Furthermore, a recent study actually shows that watching ads increases the pleasure of the TV viewing experience. Maybe consumers are especially willing to watch ads during the Super Bowl because they know that ad execs are at the top of their game. Perhaps the lesson for advertisers should be to act like it’s the Super Bowl every day. As a Pittsburgh Steelers fan, I can assure you I certainly will.
So far members of the DR industry, including many from ERA’s Latin America Council have donated over $18,900 to help aid in relief efforts in Chile. Two ERA member companies, A3D and Falabella, have offices in affected areas. To the left is a picture from the A3D offices after the earthquake hit.
It has been an exciting week in the world of net neutrality. This week, Julius Genachowski, the Chairman of the FCC, announced the Commission’s intention to enter into a formal rulemaking process to 
Don’t take the initial setup phase for granted - Clients sometimes rush or don’t put enough effort into the initial setup phase of the fulfillment engagement. This can lead to miscommunications and mistakes that have long-term ramifications. It’s especially important to communicate who all of your vendors are, and make sure all offers and file exchanges are thoroughly tested.
Statement from the 
As you probably know, the FTC is planning to eliminate the safe harbor for testimonials with disclaimers. If you are concerned about these changes, make sure you sign up to receive updates from us on this issue. We will send occasional updates that will keep you up to speed. This is part of the grassroots effort we will be launching shortly and these updates will make sure you know about opportunities to get involved. Please make sure you don’t miss out - 
Media buyers and marketers are looking at mobile TV to increase sales for clients.
It’s never easy, but you can to narrow down your choices through a process of elimination by considering the following:
Hailing from Pittsburgh, or should I say Sixburgh, I’m obviously still ecstatic at the outcome of this year’s Super Bowl. But for our purposes here, I’ll spare you the Steelers fan gloating. There were other winners on Super Bowl Sunday and they come from the advertising and marketing community.
