Direct Response Marketing

Retail Outlet: DR Experts Hold the Answers in Tough Times

1 Sep, 2005 By: Donald L. Potter Response

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Franklin D. Roosevelt delivered these historic and inspiring words in his first inaugural address in 1933. Referring to the Great Depression, he was essentially saying, "Stop worrying about the economic outlook and start doing something to help make things better." Nearly three-quarters of a century later, this statement is appropriate to all those who depend on DRTV for their livelihoods.

Donald L. Potter

Interestingly, this now-famous phrase was tucked away in the middle of a sentence. Yet, the concept was too powerful to go unnoticed. It was a rallying cry that spurred America to pull itself up by the bootstraps. People began to believe in this country once more, they started to place confidence in their leaders again, and — most importantly — they found renewed faith in themselves. So what does this have to do with the DRTV industry?

Some people are suggesting that the business, as we know it, is facing grave economic times. Complaints about lack of media inventory leading to higher media rates resulting in lower MERs (media efficiency ratios) are frequently referred to as indicators of the problems ahead. The culprits are those outside the industry, you know who "they" are: pharmaceutical companies pushing drugs on uninformed consumers; packaged goods firms using an 800 number in their spots to qualify for lower rates; and a variety of service businesses that discovered that the DRTV model is an effective lead-generating vehicle. How dare they!

Why are these outsiders gobbling up inventory, and why are they willing to pay more for it than traditional DR people think is the right rate? Many contend that general ad agencies just don't know how to buy DRTV. Or, that there's no real accountability for products sold through retail outlets. Then, there's the persistent notion that the drug companies are simply using DRTV as a means of bypassing doctors. While there may be elements of truth to such statements, the greater truth is there's no way of stopping this rising tide. The bright side of this is the simple fact that a rising tide floats all boats.

And no one is in a better position to harness the power of the oncoming tide than those who know the ins and outs of the DR business and understand how to make split-second decisions based on available facts in order to turn poor results into a potentially favorable scenario. However, the industry, as a whole, has done a less than spectacular job of convincing the rest of the marketing community how useful its unique capabilities can be in attaining success for a variety of goods and services.

Unfortunately, there is also a lingering perception that DRTV practitioners are snake-oil salesmen rather than advertising professionals with a profound understanding of how to educate consumers, motivate them to take action and measure the success of their efforts. Years of experience in print and direct mail have provided a solid foundation for veteran DR folks. Add to that more than two decades of DRTV credentials, and it's easy to see why industry experts should be sought after rather than shunned.

One thing is certain: the DR model will continue to be used by more marketers in more ways. So, the only thing to fear is not being part of the ever-changing world of DRTV.

Don Potter is a 45-year veteran of the advertising agency business, a frequent lecturer and the author of the book "The 50+ Boomer: Your Key to 76 Million Consumers." He can be reached at (818) 728-8266 or via E-mail at
don.potter@sbcglobal.net

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