12.1 Direct Marketing Explained

Direct marketing is a collection of techniques that enables organisations to market goods and services directly to customers (business-to-customers or B2C). It is a pro-active approach to marketing that takes the product and/or service to potential customers rather than waiting for them to come to a store or other point of access. It is a form of non-shop shopping and is sometimes referred to as precision marketing or one-to-one marketing. Rather than the marketing firm sending out a general communication or sales message to a large group of potential customers, even if these constitute a well-defined market segment; direct marketing tends to target specific individuals or households. In a business-to-business (B2B) context this would be an individual or a specific organisation or firm. Direct marketing is not just concerned with marketing communications. It is also concerned with distribution. In using direct marketing, the firm is making a choice to cut out the use of marketing intermediaries and sell the product or service direct to customers. This has implications for both channels of distribution and logistical decisions.

Direct marketing comes in a variety of forms. It is one of the fastest growing areas of marketing and is being propelled by technical advances, particularly in the field of computer technology and the Web (see Totty, 2000, p. 36). Academics and consultants have taken up direct marketing with enthusiasm, and have helped to drive the subject forward both intellectually and practically.