Direct Response Television Advertising and Viewer Fragmentation

By admin | September 12, 2008

Television advertising is becoming more challenging for the advertiser looking for the best mix (as far as advertising and media buying) as the industry continues to change and evolve.

Viewership is greatly affected by the growing popularity of satellite and cable TV. Even digital recording devices like TiVo have significantly changed the way people view programming. Viewers can simply watch prerecorded programs whenever they like, how they like (e.g., skipping through all of the commercials).

Successful even in the face of change. For the most part, direct response television advertising (DRTV advertising) manages to be a successful advertising medium despite these challenges.

Special events. However, this year, for instance, there are two additional events (some may say hurdles) that advertisers must deal with: the Olympics and political advertising.

Both of these monumental events/trends threaten to increase the incidence of viewer fragmentation. They will reduce the number of spots available for direct television advertising campaigns.

Good advertising strategy = effective advertising strategy. In response, the smart advertisers will develop an effective advertising strategy, such as blending direct response television advertising (DRTV advertising) with other complementary advertising methods in order to continue effectively promoting and selling their products and services.

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Video and online gaming continue to grow among all age groups

By admin | May 13, 2008

Both video and online gaming continue to grow among all age groups, even seniors. People are spending more time involved in gaming. A new “Online Gaming 2008″ report from the NPD Group finds that 72 percent of the US plays video games, a dramatic increase from the 63 percent who said they played in the previous year, according to Ben Kuchera from ars technica. Most online games are played through a PC, followed by games played through a game console and games played on a cellphone make up only a small share of the marketplace.
 
I find it interesting to analyze businesses that are thriving during difficult times, since understanding the dynamics of those businesses can often help spur ideas that might improve your business or lead to new product ideas that appeal to consumers in a depressed economic environment. Savvy direct marketers with the right products also have the potential to thrive in this environment, since consumers will be spending more time at home watching TV and online and more DR inventory should become available as general advertisers cut back.

Peter Koeppel is Founder and President of Koeppel Direct, a leader in DRTV direct response television, online, print and radio media buying, marketing and campaign management. With a Wharton MBA and over 25 years of marketing and advertising experience, Peter has helped Fortune 500 companies, small businesses and entrepreneurs develop direct marketing campaigns to increase profits.

Peter started Koeppel Direct in 1995 and has built it into one of the leading infomercial direct response media buying firms in the U.S.
 

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DRTV Marketing Targeting the Nutraceutical Market

By admin | March 12, 2008

As the use of nutraceutical products increases, so does the amount of nutraceutical product marketers. (By the way, the term ‘nutraceutical’ refers to a blend of nutrition and pharmaceuticals – basically a food or part of a food that offers medical or health benefits.)

In fact, there are currently more than 7,000 health and natural food stores in the U.S. selling one or more nutraceutical products.

Marketers who want to stand out among other retailers in the lucrative and growing nutraceutical market can do so through the use of Direct Response TV (DRTV) advertising. In fact, they are options for DRTV more and more.

Nutraceutical campaigns relay the benefits of nutritional supplement or product through one of the most effective marketing methods available: DRTV. With direct TV advertising, advertisers pass on critical and valuable information to consumers, from information surrounding food extracts to the medicinal effects of certain products to the best supplements on the market today.

Statistically speaking, direct response media buys provide a solid forum for advertisers to present and sell their products. In fact, DRTV as a whole allows the advertiser to specifically target the nutraceutical and weight loss markets, among others.

To learn more about direct response media buys and nutritional supplement marketing, contact your media planner or media buyer.

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Clinton Steps Up Campaign Efforts Following Super Tuesday

By admin | February 14, 2008

In an effort to rake in more campaign money, Sen. Hillary Rodham Clinton’s political advertising campaign has kicked into overdrive. Clinton opted to donate $5 million of her own money to benefit her campaign’s political marketing efforts. The donation comes after Sen. Barack Obama managed to raise more than $30 million in January compared to Clinton’s $13.5 million News of Clinton’s personal contribution sparked a new cycle of online donations. Since the beginning of February, the former First Lady has received more than $10 million in online donations through her website. Obama, however, is still taking the lead in the political donations arena.

According to a recent story in the Washington Post, the Illinois senator’s political marketing team is utilizing those funds for media buying efforts. Clinton’s camp, however, is unfazed by Obama’s lead in campaign funds. Clinton’s campaign chairman, Terence R. McAuliffe, told the Washington Post recent donations made after Clinton’s personal contribution would be used to launch television ads in critical states

Stay tuned for the battle of the political funds!

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Response Interviews Peter Koeppel

By admin | December 13, 2007

Peter Koeppel (President) and Loren Wayne (Vice President of Business Development) at Koeppel Direct sat down for an exclusive interview with Richard Gant at the Response Magazine EXPO.

read more | digg story

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Google Looks for Growth from Mobile Advertising

By admin | December 3, 2007

Google will be leading an effort to develop software that will make cellphones more like mobile computers with improved Internet access. Google is looking to transform the mobile industry in the same manner that the PC changed the world of computing in the 1980’s

read more | digg story

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How to Use TV and the Internet to Tap into the Baby Boomer Market

By admin | November 15, 2007

In the past, advertisers have focused on reaching consumers in the 18-49 age range. Today, that may be changing. As more and more companies are realizing the buying power that the Baby Boomer generation possesses, marketers are shifting their ad dollars and campaigns to reach this powerful market segment.

read more | digg story

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Full Speed Ahead! The automotive industry turns to DRTV

By admin | October 29, 2007

Expect to see more automakers, dealers, auctioneers and other auto-related firms using DRTV in the future, and complementing those efforts with online video and other tools that help “drive” consumers to trade in their current cars in favor of a new or used vehicle.

read more | digg story

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Why direct response television ads remain viable

By admin | October 15, 2007

DRTV ads once relied almost exclusively on viewers’ picking up the phone. Now many also steer consumers to Web sites. “If you give the customer a choice of an 800 number or a Web site, about 30 percent, on average, now go to the Web site,” says Peter Koeppel, president of Dallas-based Koeppel Direct Inc., a direct-response media-buying agency. “Just a couple of years ago, it was 5 or 10 percent.” To goose ROI even more, most DRTV campaigns are also now mixed with banner ads, search campaigns and a Web site. They also include a direct-mail component, as marketers typically follow up with brochures, videos, DVDs, catalogs, coupons and other materials.
 
For many companies the appeal of DRTV rests in its speed and malleability. “You see results very quickly” as customers respond or fail to do so, Burke says. Because ads use highly specific phone numbers or URLs, marketers can determine almost instantly what works and what doesn’t and can adjust campaigns accordingly. Meanwhile, growing specialization among cable networks makes it easier to target viewers. “If you’re marketing household products, you have the Food Network or HGTV,” says Koeppel. “You can be pretty precise in targeting your message to reach certain demographics.”
 
Those in the DRTV industry say the fast-forward factor isn’t as big an issue as people had originally feared, largely because direct-response ads tend to run on cable and satellite stations that people don’t record as much. “We don’t advertise on regular-program stations,” says Duitch. “We do one and two-minute commercials on CNN and the Weather Channel and other stations that people just watch.”
 
What’s more, certain viewers for instance, those considering investing hundreds of dollars in home gym equipment or adjustable beds are still likely to sit through half-hour infomercials, according to TiVo Inc.’s StopWatch data service, which measures program and commercial viewership in DVR-using households nationwide.
 
Finally, today’s infomercial ads are designed to build ongoing relationships through, for instance, automatic shipments of recurring orders and follow-up mailings with special offers and new product samples. Burke puts it this way: “It’s not just about the initial sale; it’s about everything that happens after that person contacts the seller.”

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What to Look for In an Infomercial Media Buying Agency

By admin | October 1, 2007

Infomercial media buying is a highly specialized type of media-buying. General advertising agencies do not have the expertise to buy infomercial time. They are familiar with buying general advertising that is designed to build awareness. In researching an infomercial media buying agency, look for a firm with the following capabilities:
 

  • Make sure you align yourself with an infomercial media-buying expert that has a proven track record buying for other infomercial products in your category of business or for products targeting a similar audience. An infomercial media buyer with this type of knowledge and expertise will end up saving you money and increasing the chances of your infomercial campaign becoming a success.
     
  • An infomercial media buying team that is trained to buy the best infomercial time for each campaign.
     
  • Specialized software and reporting systems that monitor and track results and links with the telemarketing firm, so that results can be imported daily.
     
  • An analytics team that reviews and analyzes the infomercial results in real time and works with the infomercial media buyers to optimize the infomercial campaign based on those results.
     
  • Utilizes competitive research that allows them to monitor where competitors are airing their infomercials with the highest level of frequency. Oftentimes infomercial time periods that are being purchased by a competitor with a high level of frequency are paying out and might be places your infomercial media buying agency would consider running your infomercial.
     
  • An account service staff that knows how to manage an infomercial campaign from initial testing through roll-out, to taking an infomercial product to retail.
     
  • Try to find an infomercial agency that has experience managing infomercial campaigns through both good and bad times.
     
  • Look for an infomercial media agency that has connections with the best vendors for key services such as infomercial production, infomercial telemarketing, infomercial fulfillment, infomercial card-processing, infomercial media funding and taking infomercial products to retail.
     
  • Assembling a seasoned team of infomercial industry veterans is critical to an infomercial campaign’s success.

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