GENERAL INFORMATION ON THE DIRECT MARKETING

CHAPTER I: GENERAL INFORMATION ON THE DIRECT MARKETING
1. Abstract:Direct marketing has become widespread and now covers almost all areas of B2B and B2C, well beyond its traditional birthplace of VAD (distance selling). Companies have chosen to be listening to the customer to provide an appropriate response to what it is and what he wants.
In addition to running a direct marketing transaction (also known as relationship marketing) leads to reflect on the long-term determinants of fidelity, the evolution of a social relationship, and a central concept, confidence, which should guide the content of the communication.
The essence of direct marketing is the management of a dialogue with the customer to provide a personalized way the items he wants, be it information, product, or service. For the offer personalized service to be profitable is information that will drive the decisions of the communication interface and service.

"The capital is the first information on the client"
2. Definitions:
a. Direct marketing is an interactive marketing that uses one or more media for a response and / or transaction.Direct marketing is characterized by: The lack of intermediate Dual function of communication (direct marketing) and the expectation of a client's response; Direct marketing used for the establishment of a relationship marketing.
b. direct marketing is a marketing approach, which involves managing a supply and a custom transaction from the systematic use of individual information.
The difference between direct marketing and traditional advertising based on the objective, to act, and therefore, the existence of a recovery media for the recipient to respond (phone number, email address ...)
3. Difference between "Direct Marketing" and "mass marketing":
Direct marketing differs from mass marketing, trying to establish personal contact with (client / prospect) based on data recorded on it. Information about individuals is stored via a database.The objective is to identify the profile of each consumer in order to provide targeted offers and therefore more effective than priori offers a general nature.
This information can come from: databases made by collecting the information collected through the Customer relationship with the company (such as purchasing habits collected through loyalty cards). company whose business is to establish "customer files". companies whose activities are complementary (for example a real estate sales company that sells its information to a company of household equipment)

4. Instead of direct marketing in the marketing mix:
Within the marketing mix, direct marketing, can integrate two main functions: the distribution and communication.
- As an instrument of distribution: it is regarded as a distribution channel. Ex: VPC (mail order) or as a complement to other forms of distribution (EX: sale of travel over the Internet)- As an instrument of communication, it can integrate all the communicational mix such as advertising, PR, promotions, etc ....)Unlike other instruments of communication, direct marketing has the enormous advantage of establishing a dialogue but also to continue.
5. The objectives of the Direct Marketing:

- Prospecting.- Inform. Four main objectives- Sell.- Retain

 Study the market: it allows companies to learn about the market with a sample of consumers who give us their opinions (eg telemarketing campaign)
 Inform the customer of any business event of the company Example: (new price, promotion, new product ... etc).
 Sell: To achieve its goals, the company must create a relationship with the client to sell its products, whether the relationship exists it is to reconnect with the client to renew the act of purchasing .
    If the purchase is not remote, purpose and create a traffic point of sale to try to sell.
 Retain: the goal is to create a close relationship with the client and to maintain contact.
 6. The contributions of direct marketing and the consequences for the supplier and the consumer
Interest in the supplier contribution to the consumer interest minimizing inventory"Just in time" reduction capacity and decision-making  Fast satisfaction; reduction in the loss of time;
 Loyalty ability to "fix error" Interactive (two-way communication)  opportunity for dialogue ability to respond Profitability  Performance monitoring best fit between supply and demand reduction of fixed costs  Resource sharing can lower prices. "complete package" loyalty; increase in turnover Intelligence Expertise better account of the need.
7. Growth of direct marketing:Direct marketing accounts for 32% of the costs of communication and 50% off media.According to statistics of 2002, worldwide there There's 600 million Internet users worldwide, including 170 million in the United States and 150 million in Europe.B2B markets generates a turnover of 500 billion USD with 2 / 3 in United States. While B2C markets generate a turnover of 100 billion USD.
The dramatic growth of direct marketing is mainly due to: The fragmentation of markets and the search for an individual customer's "One to One"; The growing wealth of databases; Changing lifestyles reducing the time spent shopping, traffic jams, expectations for cash; Securing payment from a distance; Telemarketing for preparing and mailing the visits of important customers and prospects in B2B; The ICT development, offering an alternative to low-cost mailing;
8. the benefits of direct marketing:For the customer B2C- Saving time;- Access to a large range of product;- Allows you to compare offers and prices at any time
For B2B customers- Advantage of the selection of activity;- Apply only to the target.
 CHAPTER II: THE MODEL OF COMMUNICATION IN DIRECT MARKETING
1. Some principles of communication
Direct marketing is based on two-way communication "Dialogue"That is to say, the direct exchange between two or more partners, is its true essence. Each message causes a reaction, this interaction arises from a relationship that is constantly evolving.




DIAGRAM OF COMMUNICATION






The message goes to the conscious but is stored in the unconscious of the caller and will rise to the surface sooner or later as a reaction


 THE PRESSURE DROP IN COMMUNICATION:




 How to reduce the effects of the loss?
• Develop the ability to listen to this barrier loss.• Act on the quality of the transmitted message• Act on the transmission quality• Ensure feedback.• Develop the ability to listen to this barrier loss.• Act on the quality of the transmitted message• Act on the transmission quality• Ensure feedback.

 The five axioms of communication:
1 - "You can not not communicate."2 - Any communication has two aspects: content and relationship, such as the second includes the first. "3 - The nature of a relationship depends on the punctuation sequences of communication between partners.4 - Human beings make use simultaneously of two communication modes: Digital and Analog. "5 - Any exchange of communication is symmetrical or complementary, depending on whether it is based on equality or difference "
o Communication is a perception:a. It is the receiver that communicates;b. The perception is not logic but experience(We can communicate a word each time it is the whole man that comes with. "a. We perceive only what we are able to perceive.
o Communication is an expectation:The human mind tries to match impressions and stimuli to his hopes and expectations. He vigorously resists any attempt to do "change your mind"
  o Communication involves a commitment: Retention is selective association emotional; The insignificance of words engender emotional neutrality; Communication is always an invitation.
o Communication and information are different and widely opposed. However, they are independent:a. While communication is a perception, information is a logic.b. Information is always specific, so that communication is a set;c. The information is always encrypted, which means an authorization is none other than communication

2. The basis of communication in direct marketing:
The center of a direct marketing is a dialogue with the target groups involved. Ideally, the message is always for a single individual within the target group.
For "dialogue" can be born, the receiver of the message must have the opportunity to give feedback (response) and thus enter into relationship with the issuer or, more precisely, the organization. The principle of direct marketing is a custom message by encouraging the client to respond positively to the message.
Good personal interviews are always held in the form of two-way communication. Posts produce a feedback, the responses are in response to questions, listening and speaking alternate.
The development of a communication action includes eight steps:
Identify the target design objectives determine the message select the media estimate the budget decide the mix of communication measure the results coordinate all acts of communication.
Communication is verbal as well as non-verbal. Both parties are active participants in a lively dialogue.
It is no different for direct marketing:
- The dialogue is a crucial success factor. Of course, the transmitter and receiver are not seated in front of the other and the feedback can not be done immediately. Despite this, the effect is the same as in a personal interview.- For direct marketing is used successfully conducting dialogue must respect a technique. This refers to the ability to initiate and continue a dialogue on an offer, product, etc ... an opinion.
3. Models of dialogue
Conditioned by reciprocity, dialogue is a very complex form of communication. Unlike the monologue, he always uses at least two active partners.
 The basic form: the interview
The personal interview is the oldest form of two-way communication. Interlocutors make an exchange, neither is limited to simple listening.In the following message is a response-as a question in return, for example - on which the message sender can react immediately.The initiator of the interview has the ability to maintain and manage the exchange of information and ideas. These mechanisms typical of direct communication are used primarily in personal sales interviews.
Note:
Maintenance: Allows the transmitter to adapt immediately to all reactions of the receiver, whether oral or not.No dialogue, no direct marketing
 The communication mediaUnlike the personal interview, the communication model of direct marketing is based on a medium through which acts as a platform for dialogue.
The Dialogue Process
 Phase 1: The transmitter and receiver anticipates the questions and make the same answers. It spread through the media so that the receiver may examine them in order of importance wanted

 Phase 2: the receiver looks for answers to the most important issues, it takes place after the capture of knowledge: eg watch a brochure sent by mail;
 Step 3: If all the important issues (eg. "Do I need it?", "What are my benefits?") Are successful and if the "yes" on the receiver are more that "no", the probability of a reaction is very strong.
 Phase 4. The transmitter analyzes the responses and initiate the chain of dialogue with the content desired by the receiver (eg. Fixing an appointment with the field staff).
The interaction of different mediaVirtually all media are in principle compatible with both traditional advertising with direct marketing. These are the objectives that change:
- With regard to advertising: the qualitative results are paramount. The immediate reactions are not a goal (or else a purely secondary).
- The opposite of direct marketing, hence the need for a response is paramount. According to the objective in direct marketing, media will be used alone or as part of a chain of measures. In the latter case, the media mix is ​​organized so that the media are complementary and give the full measure of their impact in terms of their characteristics.


 CHAPTER III: THE CHOICE OF VECTORS
1. The objectives of the operation
Criteria as to maximize the objective of the operation

Objective of the operationCriteria to maximizeProspecting Number of addresses obtainedNumber of recruiting new customersTransformation Number of active customersAnimation Activity RateNumber of generating traffic visiting the POSSale Number of sales collected not returned.
1.1: The degree of knowledge of the target
The ability to customize the vector and the message is directly related to the degree of knowledge of the target.
Knowledge can be general (address), focus on socio-demographic criteria (age, gender) or geographical (habitat type) to focus on events of interests (information request, reads) be connected to a specific behavior characterizing the proximity to the channel (VAD) or a specific bilateral relationship (client).

Knowledge of the targetKnown characteristics
GeneralFocusNear the direct channelAccurate• demographics.• Geography• Reading• Using the direct channel• purchase behavior
Knowledge of the target facilitates the search for a match between the target and the audience support and minimizes the loss.
1.2: Familiarity with the target
Knowledge of specific elements to customize the communication. When the transmitter is not known by the receiver, it may recommend a previous relationship or establish a joint operation. So it is necessary, question the consistency between the images conveyed by the message (image transmitter and image of the vector) or media.
 1.3: The importance of the message
The power of the operation, led by concrete targets for recruitment or sales must be directly related to the total amount of resources made available. Powerful media of television, but offers fewer options in terms of segmentation, which implies a poor fit with the target rates of return and therefore a lower overall cost of material, although the cost per contact is low due to the power.
1.4: The constraints to be respected.
- Legal: denial of access to television.- Temporal: imposed periods (seasonality).- Budgetary: maximum cost of recruitment.- Techniques: determined by the content of the exchange.

2. The main drivers of exchange in direct marketing.
Vector is said to distinguish the media. The means of communication include traditional media (newspapers, magazines, newspapers, TV) and vectors providing real possibility of interaction.
2.1: The print media specific.Historically, the message printed on paper is the main medium of communication in direct marketing.
a. Direct mail (the mailing): It is the fundamental vector of relational communication.Direct mail is the transmission by post of a corporate message to the target consumer. Its most common form is the mail, often including a brochure and a card back, but it may be a parcel (sending sample).The use of this medium requires the possession of a quality file or IASP (not living at the address indicated) are low.
There are two types of mailing "customer" and "prospecting".The disadvantages of this medium, is the existence of file foil, and the difficulty of evaluating a good or bad mailing.
The quality of a file, assumes:- Although the company has segmented its target;- The company has been able to get files for each customer segment selected;- The company has been able to create messages tailored to each of the targeted segments.
Finally the rate of return depends on the product category and type of purchase (you do not buy the same way in B2B and B2C).
French business survey shows that 95% of managers become aware of mailings they receive, 53% throw them after reading only 25% set aside for later use and 16.7% read them to respond.b. ISA (unaddressed printed) can be distributed in the absence of address. For lack of funds, the company can use the ISA. Distribution can take many forms: on the street, the red light under the car windshield, the outlets on the workplace and mailbox (how effective the geographical segmentation and allows customize the message). Requires real targeting approach, to avoid loss.
c. The catalog:This is the number one media mail. Catalogs typically cover specific sectors: beauty, financial products ... etc.. the catalog owners can resume by specific promotional activities to a particular segment, prompting the takeover and the command prompt.
d. The bus newsletter:That the meeting as a package of maps, dozens of offers of products and services to a target prospects. The format is da postcard or reply coupon. Advertisers on the bus-mailing and sharing the costs associated with the operation of a file: location, addressing, often fold, postage.
e. Asylum-package:It is a document slipped into a junk mail packages. It should draw attention to a complementary product of the product delivered, a new product or a product of a non-competitor.
f. The inset-mail:This is a variant of the asylum-package. The company uses its own sending mail (invoices or account statements, ...) to make a commercial offer document by inserting an advertisement in the envelope.
g. Inserts on the point of sale:They are postcard-size sheets placed in appropriate display at the point of sale. They offer to send additional documentation or participation in a game
h. Fax:The fax is a medium fast, efficient and personalized. More suited to B2B area, it may nevertheless be used in many ways: as the main tool, as a means of recovery or update addresses.Features: Fast and uncomplicated Can be used continuously Can be used for sending the response as Customizable


  2.2 The mass media writingThe marketing manager uses the print media to convey its communication especially in the exploration phase.
a. The Press:The print ad direct communication differs from conventional announced that it includes a reply form at the bottom of page. Often associated with a phone number, which increases significantly the rate of return (10 to 30%).
The objective of using the media for advertising is the direct collection of interesting and addresses of people interested in distributing a personalized message. The titles most frequently used television news, women's press, trade press for B2B.
This practice is not a rational solution, because it may cause unnecessary contact because of the loss compared to the high number of readers requiring a more targeted selection.Newspapers and display geographic selection;The magazines selected themes
b. The display:Among the largest mass media, the display is by far the least used in direct marketing. Indeed, there is the problem of storing the number.
2.3: The mass media broadcasting:
a. Television:The TV is used to communicate massively and so undifferentiated with an unidentified target, to whom we offer the means to express its interest (for answering).
The fundamental role of the media is exploration, and offers a multi media campaign an amplification effect and an effect of reputation and image.
80% of calls caused by a spot incorporating a toll take place within three minutes the spread of succeeding spot. The media planning is directed towards the slots in the morning, afternoon and night.
The sale shopping is done directly by the TV. The facilitator, while reassuring the viewer on the quality of the article presents a detailed and situation of use. But brands do not benefit from well-known fact, because they are not named on the screen.
b. Radio:Radio is a media interactive by nature, that accompanies the audience at all times of the day. It is therefore the ideal medium to link desired complicity between advertiser and consumer. For an exploration operation with shipping documentation, it provides a phone number to call.

 2.4: Interactive MediaThe advent of paperless delivery opens up important perspectives for the development of a truly relational customers.
When the receiver is connected to a network interactive media allow the transport of sound and image.The equipment is received determines the characteristics of the received messages:- The sound and voice - telephone;- The image of telematics;- The sound and picture from the screen;Access costs related to technology significantly decreases, allowing wider dissemination.
a. Phone: it is the ultimate interactive media which also has two additional advantages: its presence in almost every home and its great use. the phone is used by:- Issue of Appeal: calling a prospect or a client to send a particular message (specific) which is still quite rare in B2C and B2B more frequent. it also is direct selling in this case, it is rather intended to pre-purchase transactions and subscription renewal or revival after sending a mail merge.- Receiving calls caused by an action in other media (TV, Mailing) including a freephone number. this mode of use is expanding because it brings the consumer the producer, and can receive commands.
The effectiveness of the media is increased when combined in a campaign and reflects on network performance.
• Direct Mail + phone + fax (increased interest) message with power confirmed appointment.• Direct Mail + phone (speed, monitoring) message and making appointments• Direct mail Print Ad + (greater interest, follow-up): mailing on response to a press announcement.
b. The voice server:This is another way to use the phone for business operations. After dialing the server number on his phone, the consumer is required to interact with a computer or for information or to place an order. The message should be brief and explicit. The goal is to bring the prospect to action in less interactive than a minute.
c. Kiosks:These are small structures composed of a telematics screen, keyboard, and a credit card reader and printer. They are installed in places of passages such as stations, banks, trade shows and shopping malls. They are intended to ease the work of trade. Indeed, they deliver the information the simplest and most commonly requested, such as tariffs, product lines, or delivery times, but can go as far as taking orders and regulations.

d. Internet:Internet opens new opportunities especially in foreign markets, based on interactive catalogs made animated images, sound and video. The real growth of the Internet is through the sale in B to B to attract visitors on a site:- Be enrolled in the directories, indexes and search engines;- Include the site address on all written material (in letterheads, business cards ...)- Buy advertising space on other sites;- Induce mouth by holding forums and games popular with users;- Provide visitors every means to communicate (e-mail box ideas ...)- Ensure that the visitor leaves their email address in order to restart.Eventually a mark on the net should be able to build a relationship with an individual. Indeed, for the first time, it is possible to count the people who log on, how much time they spent on each page and follow their journey through the web.
e. SMS: The SMS messaging is to send short messages SMS (Short Message System) to a target wishing to receive messages on their mobile phones.This is the newest direct marketing tools. The mailing SMS can instantly and efficiently disseminate information to clients, prospects or mailing lists. SMS is now one of the first media to young people. It represents an innovative and highly responsive support, particularly suited to the young target and within proximity operations.

3. The selection criteria
Depends on the level of targeting and quality of contact and information available.
3.1 Targeting (communication accuracy)More communication uses specific information about the target, the more effective it is, costly and complex implementation.. Communication trivial: no selectivity and use of unmarked vehicles at the lowest cost per contact.. Targeted communication: adapted to the profile determined by the traditional socio-demographic criteria: vector (press, mailing group).. Segmented Communication: target selection based on criteria specific descriptive (sex, age, name, etc..) Geographic (postcode, islands, etc..) Criterion behavior (subscriber, customer etc.)... Communication and uses proprietary mailing more or less informed.. Individualized communication: takes advantage of specific information held on the person to adjust the supply and the message is based on a BDD.

 3-2 contact:When it comes to transport information, taking into account the mode of attendance by the target vector used to refine the decision from the notion of the hearing to that contact.. Traffic: to reflect the exposure of several persons belonging to the target from a single vector (TV program, viewed by family members, circulation of a magazine within a company).. The duration of life determined by the turnover of the substrate.. The Getting Started: generate so much contact with the substrate.. Magazine TV generates 12.7 times by hand.
3.3 Other characteristics of the supportSpecific qualitative characteristics. Support and its image: Asylum packages such. The support and reception: Quality and circumstances of the host
 Package as a gift creates an atmosphere conducive. Support and its proximity to the VAD-vis:
Variable to be considered under the criteria
Criteria VariablesMessage possibility of expression, physical, efficiency, different formatsVector Adaptation to the objectives and planning (flexibility), complexity and speed of implementation, ability to share;Target Information available deduplication and targeting, economic power, penetration affinityContact Reception Quality, competition, image transfer between the medium and message.
 CHAPTER IV: THE MAJOR MEDIA DIRECT MARKETING
1. Direct mail (mailing)Direct mail, or mailing is an envelope addressed and possibly customized, distributed by mail. It is used for communication or sale of a target customer or prospect, the address from a customer database, coupons or files rented.
 The vector: Direct mail is complex in that message production and management of the vector are the responsibility of the advertiser, who is simultaneously transmitter.
 the message: The message is fairly limited by the mail delivery and physical constraints. Economically, however, creativity is very expensive in terms of postage if the characteristics of the fold no longer allow automated processing.The message includes at least one envelope and a letter carrier, but may include other items such as purchase order, the return envelope, the brochure ....
 The envelope bearing the vector materializes. It is fundamental because the envelope will be the basic element of the choice of the receiver to get in touch with the message it contains (perception). The interpretation of the information on the envelope will determine the expectations that will be confirmed or disappointed by becoming aware of the message (the mark of the transmitter will activate the image of it and incentives considered in this correspondence) .
 The letter presents the offer and must convince the recipient of his interest by highlighting the benefits that can be drawn, and the need for immediate action. Other parts can be added to facilitate the response and enhance the effectiveness of the message. The reply card or purchase order may be included at the bottom of letter or separately. The envelope response, possibly with prepaid postage costs, it is pre-stamped or not. The brochure that will detail the argument and the characteristics of the offer when it is complex. The other creative pieces. These include creating a sense of loss of profit, opportunity not seized by the letter of editor, which will place the arguments in a different perspective. Other documents may highlight the importance of a quick response. The technical realization of the creative elements, intended to increase the attention and involvement to develop, sometimes requires technical prowess.
Managing the production of a message requires precise scheduling of tasks. The reverse planning from the date of filing position.The first steps involve orders for equipment and possibly the reservation files.These tasks and customization (which takes into account information on the target), the enveloping, routing and filing position are often carried out by specialized service providers.The most important constraint is the postage due to the existence of a tariff according to weight ranges (light mailing <20 g, 20g to 50g heavier).The filing office is an important variable that must be followed because it determines according to the transit time, the date of receipt. Or the day of receipt has an impact on reading time of mail and therefore the rate of lift "effect weekends."
 Target: The target is perfectly controlled in the mail, even if it is only partially known in the case file rented.
 Contact: The quality of contact created by the mailing is good, despite the risk of saturation on some stretched targets. There is no competition at the opening of the fold that is very common.
 The economy: The cost of direct mail is very variable but often significant, it depends for about a third the cost of postage, which encourages companies to use the mailers, which is entrusted to a carrier (TNT) or even postal administrations a large volume of mail as if it were a single package. The carrier unbundled and mail the letters by freeing them at local rates.
2. Phone:The phone is used as a medium for both emissions and calls for the receipt of appeal.
2.1: Features:In terms of the target, the phone is first a very common means of communication with a rate of major equipment in both fixed line phone. This is a personal media, truly interactive, as the contact face-to-face, and features thereof. In terms of the effectiveness of communication, the phone not only has the ability to trigger an immediate response, but also allows a relationship transceiver quality. The phone allows you to process requests for additional information (complaints, customer service ....). the phone is also a good medium supplement (coupon, direct mail) for both the monitoring and recovery for the reception. Inherently volatile, leaves no trace and must thereafter an additional step to fulfill the commitment of the client. In economic terms, using the telephone is first justified where it can provide the rich communication cost. So in support (diary management, making appointments), in addition to (sale of small customers), or substitution (direct sales), the sales force that the first uses were made . The cost per contact is quite high (6 euro trade visit by phone), but it is quite competitive with the average cost of a vendor / Commercial Attaché (100 to 250 euro) In terms of use, is a medium that is fast (time between the decision and implementation is short) and flexible possibility of modulating the communication in time in terms of content (change the message ) or at the level of pressure (to adapt to the availability of the target, increasing the pressure)

2.2: Areas of Application:a. in emission (Outbound):Expensive, it is mainly used as a carrier for targeted action aimed commercial sale or one of its stages: Prospecting - telemarketing, stimulus for renewal of an order or subscription targets are common. Sales may include products (CA too small, dispersed customers) or customers that it is not cost effective or desirable to visit with a sales force. support the sales force - the hourly cost of a seller is such that the search for a higher sales productivity is a major concern for sales management. This is achieved by reducing the time spent on unproductive tasks (making appointments), or by a better allocation of time. Promotion and actions of an intermediary (POS) - more commonly associated with a fax that allows audio to receive an immediate documentation by fax. Information - can be collected (survey, investigation, test ..) or broadcast (recorded message).
The legal framework is restrictive: for example, any proposal made by telephone must be confirmed by mail and the consumer must return the signed order form. However, it can restart within seven days after it is signed by registered letter.
b. in reception (inbound):The phone acts as a "lobby" audit of the company. There are two types of calls: for the reaction to a commercial transaction: the answers are massive, highly concentrated in time and requires the establishment of platforms adequate reception or call center (call center).The search for immediate response also leads to reduce barriers, including price, offering support partial or complete communication costs (toll free, blue, indigo).Finally, it should be mentioned that the phone is used extensively internally (between head and staff position traveling)
 for calls initiated by the client: this call is motivated by the search for information, the will to buy or need to receive a service. These calls are growing rapidly and may cause degradation of the perceived quality of service.
2.3: the implementation:The implementation of an operation program contains the following steps:
a. Target setting:Identification and prioritization of objectives (increase the presence, more exploration, increase sales per customer, build loyalty, increase the productivity of the sales force)
b. The determination means:Goal setting leads to determine the content of the communication and its degree of specificity, ie d. the degree of planning and standardization (communication) and thus its power to the number of targets to contact. A simple script (written or computer) is used to standardize the communication and dissemination powerfully on a target with a large low-skilled. An interview guide offers more flexibility in interactive communication, but requires more advanced training. Negotiation (cell phone sales), staff must have the power to a seller, possibly assisted by a database.
The telemarketing industry has grown in terms of its fundamental characteristic is its ability to justify its existence by reducing costs at the beginning it was based on savings compared to the sales force, and subsequently the profession has evolved in response to the professionalization of these "sales force sitting" and increased capital intensity (ratio of capital expenditures on labor).
2.4 The development means:The script allows the operator to anticipate questions and objections, and provides the best response based on the client.



















2.5 The inspection:First occurs at intermediate levels, then at the targets.Control is performed by the supervisor whose office is to ensure the smooth running of the campaign, the quality of the conversations and productivity.The performance is broken at three levels:
 File: penetration = number used / total file
                     The affinity target = Off / contacts
 Production: various productivity ratios:
           Animation hours / Hours of Production (HA / HP)
           Number of Contacts / Hour Production (NC / HP)
Performance: number of agreements / Production hours and possibly sales and margin per hour of production.

3. The E-mailingInternet opens new opportunities for users of direct marketing. It is fast and inexpensive that allows to obtain very good rate of return
3.1: The benefits of E-mailing:
 The cost: After creating the message produced. Sending the message itself is of negligible cost regardless of the amount of addresses to the touch. By cons, it is always necessary to obtain an internal file or purchased
 The rate of return: You can include a link in the message by simply clicking that will return the user to a merchant site or not. This simplicity results in rates of return well above the mailings.
 Attention: The user has much less advertising in the electronic mailbox in his mail box classic. He reads a lot easier to messages and the rate of retention is much better.
3.2: The characteristics of E-mailing
- Technical constraints: slow loading images. The layout can change, depending on the software available to the user. The message received is not necessarily the same as the message- Reading is different: The page scrolling up and down that it is important that the grip is strong incentive to continue reading- Interactivity: the effective message is one that causes a reaction. It is good to increase opportunities to click.
3.3: Techniques for E-mailing:
• Registration on the site: The Internet on the occasion of his visit to a site can register a file that will enable him to receive information messages of the brand.• Spamming: It is to send an e-mail to a recipient who has not given its prior agreement. The file can be obtained either by "cookies" that can store address without his knowledge while visiting. Either by buying addresses from specialized agencies.Spamming is sometimes seen as an attack and can take action against the sender. It can, however, reach a maximum audience.




CHAPTER V: THE IMPLEMENTATION OF A POLICY FOR DIRECT MARKETING

The implementation of a CRM strategy is based on several policies whose objectives are: The maintenance or development of the number of customers under cost constraint, the acquisition of new customers, retaining existing customers, or reactivation of former clients, enhancement of existing customers by stimulating or modifying their behavior.
 files and databases
 A file is a list of elements (computer records) of the same nature, for example a list of names with addresses and phone numbers. A database is a collection of files linked together and organized logically. A database of direct marketing can have a great deal of information. These are different depending on whether the basis for the final consumer or business customers
Exploit any information held on the targets for a better understanding of expectations and an adjustment of supply is the key to successful direct marketing approach. Inside the company, the management of activities (commercial, financial, logistical) requires linking information from diverse backgrounds together in a database. The collection and storage of this information lead to the creation of files of clients and prospects to a personalized approach.
 management (CRM):Managing the client relationship in a context broader than the information system of the company rests on three pillars:
• supply chain management (SCM: Supply Chain Management);• management of the enterprise (ERP: Enterprise Resource Planning);• the customer relationship management (CRM: Customer Management Reationship).
In addition to the accumulation of knowledge, the company must establish a process for acquiring and updating knowledge it holds by its employees and its clients. She must learn to learn is the subject of applications of knowledge management (KM Knowledge Management)To manage a relationship with a client, you need to know (contact details, characteristics), to issue a communication (mail, e-mail, telephone) and to recognize when a communication received.
More than a CRM software application requires a reorganization of the information system of the company, to offer an interactive dialogue with customers in economically viable conditions. So the CRM is based on four dimensions: information, technology, organization and communication.




















- General scheme of direct marketing -





1. Database Marketing:The company represents several files: suppliers, customers, products, employees. The information is archived and stored in log files (data warehouse) for analyzing in more detail the behavior and the client profile by statistical approaches (data mining).
Create a database is to create relationships between data sets and to develop management tools that define the rules for storage and access to the database.
1.1: The purpose of a database:The purpose of a BDDM is to enable the creation and analysis of relationships between sets (product, customer, transaction, support ...).The database must meet the needs of operational management and marketing management.
 a. The operational managementOperational management for the exchange of information through indirect channels, execution and monitoring of services offered by the company.
* Current: Output systematic statement* Communication operations: counting (flow of customers belonging to a target).
b. Marketing ManagementMarketing management is an analytical process for identifying, monitoring and control of commercial activities

The Head of Marketing:
Segment; Measure; Plan; Decide;


Bank of statistical tools SPSS, SAS
BankModel
                                                                                                    
                                

SampleTest / Validation







Data baseExternal data (Panels ...
Structure of the SIM

c. The major functions of the database:
 To ensure immediate access and specifically to issue a response to a request against the client.
 Provide access standard: For the implementation of a commercial action the BDD allows the extraction of a target and monitoring actions.
 Provide an analysis of relationships and creating new variables.Function analysis and study led to the search for a segmentation to an optimal allocation of marketing efforts. Segmentation, based on descriptive criteria and behavioral variables creates new classification.
 Manage Information- Create, delete, archive, modify, update (hygiene).- Enrichment, liaison and transfer.
 Keeping! The choice of materials distribution system (network, telecom), maintenance, security and application.
d. The components of a database:
There are two sources of information:
- Issues to own business (solicitation, purchase order, payment, products purchased, survey return date of termination ...)- Information collected in the environment (panels, occupational statistics, study of competition.)



                                                     ProductionMarketingDistribution


Target Offer

Contract OperationsCommunicationReaction of the target

The entities of a database:
The quality of a database is assessed both in its content and its management.In terms of content, data must exist, be consistent, accurate, shareable and non-redundant.In terms of management, the criteria are flexibility and ease of access, security and performance;Materially the BDD can be centralized or decentralized distributed.
e. The advantage of BDD:The implementation of a BDD must be a cost / benefit analysis given the amounts involved.The operating cost includes the cost of central system:Machine (hardware)Applications and programs (software)Costs of workstationsCost of software, hardware.Using information from the BDD to improve marketing through various stages:
Initial survey of Marketing Database Operations data (data mining) CRM Enterprise Integration
1 - Situation analysis and business model (business model) to understand the information needs and ensure that the BDD will satisfy them.2 - Data Dictionary and queries3 - Load the data4 - Verification of data consistency5 - Health data.6 - Data Dictionary7 - Creation of summary statements8 - Assigning status variables9 - Creation of descriptive statistics10 - Descriptive and Predictive Modeling11 - Writing the final report12 - Develop and implement a CRM strategy.
2. FilesA file is a set of records (physical or computer) containing addresses and possibly other information.The file allows for the connection (by mail, phone, fax, Internet) and customize the communication (not the person responsible in the company ...)A file is filled when it contains other information used to select one of the addresses.A file is called when accurate information is held on the interest of the recipient to supply.
2.1: Information needed: For the end userThe base may contain the following files:- Name, address;- Sex, marital status, occupation, date of birth;- Composition of household (number of children, identified as members or prospective customers);- Dates of requests for information;- Date of purchase (recency and frequency of purchases, seasonality)- Products tested, purchased, possessed;- Origin of the customer- Amounts spent to communicate with him and seduce him;- Reactions to the various communication operations: various types of promotions, direct marketing, surveys;- Profitability (customer contribution to profits)

 For corporate customers:The files in the database are the same as again, it is for a person (manager, purchasing manager, etc.).. We should add information about the company:- Business of the company;- Size: number of employees and / or CA and / or benefits;- Distribution network: type and number of stores.
The mailing address:- Risk of Moving- Enterprises that are born of other die.
The email address. 51% of Internet users have more than one e-mail.
The external files: The suppliers- Owners: (+) direct contract / (-) time consuming.- Brokers: Intermediate to promote and to negotiate the use of qualified external source file (+) / time savings (+).
ContractsThe contract specifies ownership, usage patterns and pay.Property: Purchase, rental, exchange.Characteristics and conditions of use:- Application: to avoid competition, the owner has the right to review messages and may prohibit certain offers.- The nature of use: the use of promotional offers are not related to the purchase (games, contests, lottery) generates a high rate of recovery and therefore creates a deception on the recipients.- Exclusivity: the owner can limit the frequency of requests need to book file especially in times of strong seasonality.- Delivery terms: physical media (tape, label ...)
Compensation: This is the price per address, and the price of additional services (the rate base is the thousand addresses)

3. The design of the database:
 Design
It requires much thought, because it conditions the possibility of sorting and subsequent updates, and it involves several steps.It should be:- Define the various useful files with their contents. Thus, in the basis for the final consumer, the first file contains three types of information or "fields": name, title, address;- Define the computer links between the various files.

 Data collection:
There are two sources of information:
 Issues to own business (solicitation, purchase order, payment, products purchased, survey return date of termination ...)
 Information collected in the environment (panels, occupational statistics, study competition.)
Sources of information are different for the customer file and the file prospect:
The customer database is compiled from the following documents: The purchase orders or invoices, checks or cards client letters, etc.
The prospect file is created using means not targeted by allowing interested persons to appear: TV Ads + coupon response unaddressed printed distributed to mailboxes;Games and more. The company will also use the purchase or exchange files
4. The management of databases
File management or database requires treatment which may vary depending on the nature of the operations to be performed.
 The qualification
When the company by a raw file, it is necessary to qualify (ie to enrich it) to make it commercially exploitable. Added to the data being internal or external. Internal data or behavioral data describing consumer behavior with respect to offers of the brand: how quickly products purchased, purchase amounts over a period. they provide a useful segmentation. external or environmental data. This is as close to identify the personality of the consumer, and the context in which they live, what are their interests, where is he on vacation, what are called his children and what is their age?. .. And so on.
 Deduplication:
This operation is to remove the identical addresses (duplicates) contained in the database. It is essential for reasons of cost and image backup of the company.

 The update:The information in a database become outdated very quickly. Therefore:- Remove incorrect information spontaneously reported or not (IASP);- Enrich files with recent data (new customers, new orders, etc.).
 The segmentation
This is essential for the efficiency of databases:RFM method:Customers that the company to raise interest are:1. Those in the latter is a recent purchase (recency);2. Those who buy often (frequency);3. those who buy a significant amount (amount).
By combining these three criteria, it is possible to assess customer profitability and identify several groups of behaviors in order to compare their potential.

CHAPTER VI: COST ANALYSIS AND PROFITABILITY direct marketing
The direct marketing operations are better suited than mass marketing to business cases because, in direct marketing, it is often possible to measure specify the costs and revenues attributable to an offer of a class of prospects.
1. Costs:
The main costs of direct marketing are:- The costs of obtaining addresses, such as location of files or advertisements in the mass media. By dividing the amount of such costs by the number of answers obtained, we calculate "the cost of hiring" a prospect;- The management costs of the file;- The cost of sending massages (postage mailings, etc ...)
These costs can usually be attributed to a fairly accurately between the different operations of recruitment, between different offers, or even between the prospects grouped by category.
2. The calculations yield:
The efficiency of a recruitment drive is the number of prospects acquired as a result of this operation is reported to cost of the transaction, or (in the case of a recruitment mailing) the number of people affected, in which latter case, it is called uplift rate or conversion rate.
The performance of a specific offer can be calculated or the number of purchases, or sales.
3. The profitability calculations:
From the comparison between costs and revenues. We can calculate the cost of media, an offer, or even the individual profitability, over a given time, each of the prospects on the roster. Given the unit costs of recruitment, a customer becomes profitable u that beyond certain volume purchasing, which can be calculated. Such a calculation allows:
- Eliminate unprofitable customers, to be removed from the file or be subject to tender less frequent or less expensive;- Identify the characteristics discriminating the most profitable prospects, to guide future recruitment into the categories of prospects with the same characteristics.
 4. Tests:
Given the variability of returns of direct marketing, companies who practice lead many tests to predict and increase the efficiency of their operations. These tests can be designed to:
- To compare the performance of several media releases, or to a single medium, multiple ad formats;- To compare the performance of several editors or more typographical arrangements of a mailing;- To compare the performance of various frequencies of a catalog mailing to prospects of a particular category, etc..
These can be conducted either on the entire file, which is then divided into several segments paired or small samples of this file.
These tests are particularly quick and easy to do for the direct marketing operations conducted on the Internet.