Increasing the Reach of Google's Advertising

Google is looking to become the dominant player in mobile advertising, just like they have been the leader in online advertising. Google hopes that making it easier for consumers to access the web from their cellphones and making the experience more like that of a personal computer will increase the reach of their advertising. Google said it will likely share ad revenue with the wireless carriers, according to the Wall Street Journal (11/6/07).

Energizing the Mobile Industry

"Just like the iPhone energized the industry, this is a different way to energize the industry," stated Sanjay Jha, COO of Qualcomm (NY Times). Mr. Jha also said Google's efforts will bring more Internet features to moderately priced phones. By allowing outside software developers access to their Android software platform, Google also hopes they will create new types of devices that have both cellphone and wireless Internet capabilities. "As a result of the platform, you'll be able to do amazing things on your phones that you've never been able to do before," says Google CEO Eric Schmidt. (USA TODAY 11/6/07)

Diversifying their Revenue Base

Google is going up against some strong competitors, but they certainly have the clout and resources to gain a significant foothold in the mobile marketplace. Google's surging stock price clearly indicates that Wall Street and investors anticipate that Google will be able to diversify their revenue base from new businesses outside of online advertising. In my opinion, mobile advertising has the potential to be as big as online advertising for Google. It will be interesting to see how Google's venture into mobile plays out over the next few years, since it has the potential to transform the industry.

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.

How To Market to Baby Boomers

Boomers were the first generation to grow up with TV, so it makes sense that they still prefer this medium as they age. In fact, on average, Boomers watch 22 minutes more TV per day than younger people, according to Nielsen Media Research. And since TV viewership increases with age, as the Boomers mature, their TV viewing time will continue to rise. What does this mean for infomercial marketers?

Focus on the right type of programming. Boomers tend to watch programs that center around life stages. For older Boomers, shows like CSI and Law and Order are favorites. Older Boomers also prefer news programs and are less interested in reality TV. For younger Boomers, shows like Grey's Anatomy and Desperate Housewives are popular. Additionally, science fiction programming is popular with all Boomers, perhaps because this generation watched so much of the genre while growing up. Therefore, if you want your TV ads to reach Boomers in the most cost efficient manner, you have to place them during the shows that Boomers watch.

Boomers don't multi-task. While younger TV viewers are likely to be online while watching TV and may even interact with the program via online voting, text messaging or chat rooms, don't count on that with Boomers. They tend to focus on one media at a time. For media buying experts, that means Boomers won't likely type in your displayed web address while watching your commercial spot. Rather, they'll pick up the phone and call the toll free number you display or go to your website after they finish watching a TV show.

Help Boomers identify with your ads. Since Boomers are not in their 20s and 30s anymore, make sure your ads reflect the needs, wants, and images of older Americans. A 20-year-old perfectly airbrushed model touting an anti-wrinkle cream won't speak to the Boomer market. Go for more mature spokespersons and really do your homework to determine how your product or service helps Boomers. The big categories or "hot buttons" for boomers are security, longevity, money management, wealth transfer, lowering their bills, and travel.

Is the DVR the Demise of TV Advertising?

The Leichtman study predicts that the number of U.S. households with DVRs will grow to over sixty million by the end of 2011. Does that mean that drtv advertisers will have a harder time reaching people who can fast-forward through the commercials? Not necessarily.

The study also points out that while eighty-four percent of DVR owners rate the ability to skip commercials as very important, only eight percent of DVR owners say it is the greatest benefit of having a DVR. Additionally, forty-five percent of DVR owners record five or fewer programs per week, again pointing to the preference for live TV.

The Growth of DRTV

Sieglinde Friedman, VP of communications and strategy at the Electronic Retailing Association, has followed the growth of DRTV and infomercial advertising. "The Geicos and Procter & Gambles are using the actual methodology of direct response – basically, wrapping content around anything in a compelling way with a call to action: 'Come to my Web site!'" Friedman says.

Observes Koeppel: "Consumers who view direct response television appear to be more engaged consumers. And, because of that, marketers are able to develop more of a relationship with those consumers, because they're going to the Web and doing research, or they are talking to a customer service person. It's more of an interactive relationship."

Even in today's fragmented media world, consumers still turn to direct response television. Marketers are integrating multimedia approaches into their strategies, while embracing the essential elements that have made DRTV so effective for so long

Infomercial DRTV

Infomercial DRTV is the leading web site for cutting edge information about infomercials. The site is designed to answer all your questions about infomercial marketing. Infomercial DRTV will help explain the entire infomercial marketing process, including evaluating infomercial products, determining the optimal price points, measuring infomercial ROI, understanding the infomercial target audience, infomercial production, infomercial media testing, campaign rollout, infomercial back end sales, the role of the Internet in infomercial marketing, and taking infomercial products to retail, among other topics. Inventors, entrepreneurs and infomercial marketers rely on Infomercial DRTV for the most comprehensive information on infomercial marketing.

Click Here to visit Infomercial DRTV

The Expanding Influence of the Googlopoly

An article titled Googlopoly in the July issue of MEDIA magazine explores Google's expanding media empire and how it might affect the drtv ad industry. Google has gained a foothold in the TV, radio, newspaper and online ad businesses, and they now own the largest online video site. Here's how Google's media assets are allocated among the various mediums and how those assets were created over the last year:

They purchased dMarc to establish a presence in the radio industry and also formed a relationship with Clear Channel to gain inventory on 675 radio stations.

- Their acquisition of YouTube for $1.65 billion establishes them as a leader in the user-generated video business.

- They formed a partnership with EchoStar (Dish satellite TV), which provides them with access to the ad serving and viewer research from Dish's 13 million+ TV households.

- They are partnering with major newspapers to offer print media to their advertisers.

- They are attempting to purchase DoubleClick, to help them dominant the online display advertising business.

Peter Koeppel is Founder and President of Koeppel Direct, a leader in DRTV and 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.

Multichannel marketing fuels DRTV growth

By adapting interactive media and using direct response television for nontraditional purposes, multichannel marketers are growing the DRTV industry as a marketing medium, according to a new study from the Electronic Retailing Association, called The Evolving Role of Direct Response Television in Multichannel Marketing Execution. The report, conducted by the Winterberry Group, attributes the growth largely to DRTV marketers who are accelerating their adoption and customization of emerging technologies, especially in the interactive sphere of the Web.

"The consumer is in charge - that is the big message here," said Sieglinde Friedman, vice president of board and strategy at the ERA. "It used to be all about the call to action call, right then and there: 'Call this number: We're having a 75 percent sale.' That's an old model in a way, because the consumer is finding its product in many different ways and DRTV recognizes that. [Marketers] are much busier now than [when consumers were just driven] from an 800 number."

The report shows that the DRTV industry is being reshaped by the increasing number of brand marketers in the DRTV space, the growing use of DRTV to develop and nurture customer relationships rather than merely sell individual products and the increasing use of DRTV to drive Web and retail traffic.

"This study helps to reinforce that direct response is really coming to prominence and more and more marketers - larger marketers, brand marketers, marketers looking to drive retail and looking to drive their Web traffic and sales - are going to be adopting and considering direct response," said Peter Koeppel, president and founder of Koeppel Direct, a direct response media buying agency in Dallas.

"It also helps to reinforce what we've been trying to sell to marketers - Fortune 1000 marketers - who haven't maybe entered the space yet: that DRTV does really have value," Koeppel added. "In today's more fragmented media environment you have to understand different media channels and how they are going to impact on your sales and work together to build sales or build brand or drive retail."

The study aimed to understand the rationale behind the perpetual success of DRTV and involved interviews and surveys with about 100 senior industry executives in North America.

source:dm news

Smokin' DVD sales through DRTV

Northern Lights Direct Response Television has launched a campaign to promote a 50th anniversary DVD edition of the classic Western TV series "Gunsmoke," the longest-running drama in TV history.

The national campaign, which includes both 60 and 120 second DRTV commercials, was created for BMG Columbia House as part of their promotion of the Columbia House TV on DVD club.

"This campaign is really media-specific driven, targeting people who are watching nostalgia stations, Western stations and re-run stations," said Ian French, president/chief creative officer of Northern Lights Direct Response Television. "It's a small thing but it's a fundamental shift in the way that Columbia House has used DRTV. It's really niche, which is common in the brand world, but it's very uncommon practice in the DRTV world."

The campaign looks to broaden the audience beyond "Gunsmoke" to target those viewers who enjoy learning about the history of the frontier.

Christena Garduno, chief operations officer of Koeppel Direct, the multichannel direct response television (DRTV) company that handled the media buys for the "Gunsmoke" campaigns in the last two years, said Columbia House had not had success with TV in the past and turned to direct mail instead.

"What's made this campaign unique and successful is the strategy we recommended about how to go about buying media," Ms. Garduno said. "What we would do is take the classic titles that we knew networks were airing with frequency and knew there must be an audience for." Using this strategy, the company ran ads against "Gunsmoke," "Murder, She Wrote" and "Little House on the Prairie."

This is a different strategy than the one the company used for its direct mail pushes.

"What works for Columbia House in direct mail doesn't necessarily cross over into TV and vice versa really," Ms. Garduno said. "It's almost a very simple strategy: 'Let's use our understanding of the media and how networks select and what's involved with that and use that knowledge and apply it to a campaign like Columbia House.' " The previous "Gunsmoke" campaign, which was season-specific, aimed to persuade viewers to order the first season of the show by offering them the second one free. The new campaign offers volumes instead of seasons and each volume includes "best of" shows from all 20 years the show ran.

"It's designed with a very strong sales message, of course, but it starts off with a little bit about 'Gunsmoke,' " Mr. French said.

The latest spot shows a toll-free number and offer URL at www.gunsmokecollection.com.

The financial details of the current and the previous "Gunsmoke" campaigns were not disclosed. However, Ms. Garduno said Koeppel Direct definitely exceeded its cost-per-order goal on the first run.

Mr. French said Columbia House had success with the first "Gunsmoke" DRTV push.

"That's why they've gone back to this one," he said, "because it's proven so effective."

Mix Up Your DRTV Marketing Mix

When San Diego's modern art museum, the Museum of Contemporary Art San Diego (MCASD), decided to market its expanded downtown location early this year, it wanted to attract an entirely new population of museum-goers -- young ones. Specifically, the museum wanted to find art lovers under the age of 25, to whom it would offer free admission.

There was one problem, though. Used to interacting with an older audience via traditional advertisements, the museum realized that its tried-and-true media buying and marketing tools were the very same ones being rejected as suspect and old fashioned by most modern-day young people. A standard newspaper ad would no longer do. It needed something different.

"Our greatest results are coming from a combination of more traditional media outlets with other, more extreme non-traditional ones," says Jonathan Bailey, CEO of Bailey Gardiner, the San Diego-based integrated marketing company that MCASD hired to help it reach its new demographic. "Our ideal strategy for clients is at least a 50 percent spend on non-traditional mediums."

The strategy his team recommended for MCASD was no different. The museum launched a traditional ad campaign via magazines and billboards in order to reach its older base of customers. It coupled that, however, with an interactive viral Web site, www.feedthegreedyorgan.com, designed to encourage younger consumers to "feed their greedy organ" -- their eyes -- with a free visit to the museum. The museum's traditional ads drove traffic to the non-traditional Web site, resulting in a 200 percent increase in museum attendance by the under-25 set.

The lesson for small business owners is this: In order to succeed with your marketing dollars, integrate, innovate and interact. "You need every marketing dollar to count," Bailey says, "so simply relying on methods that might work for Fortune 500 companies and household brand names will not work for emerging companies."

Peter Koeppel Selected for Honorary Committee & Advisory Board for The Wheelchair Foundation Dinner

Dallas, TX -- (MARKET WIRE) – June 4, 2007 – The Wheelchair Foundation, a charitable organization dedicated to providing wheelchairs to those in need, announced today that Peter Koeppel, president of a leading direct response television DRTV media buying firm, Koeppel Direct, was chosen to become a member of the Honorary Committee and the Advisory Board for the Wheelchair Foundation dinner.

The Wheelchair Foundation event will take place on October 26, 2007 at the Trump National Golf Course in Ranchos Palos Verdes, CA. The event is being coordinated by Imagine Fulfillment Services (IFS) and will kick off with a reception at 5 p.m., followed by dinner and a program at 6:30 p.m. “Peter will make a great contribution to this very special and important event,” said Andy Arvidson, Imagine Fulfillment Services. Peter is also supporting the Wheelchair Foundation Auction www.Flippid.com that went live on May 20, 2007, in order to raise funds for the Wheelchair Foundation.

The Wheelchair Foundation is a nonprofit organization leading an international effort to create awareness of the needs and abilities of people with physical disabilities, to promote the joy of giving, create global friendship, and to deliver a wheelchair to every child, teen and adult in the world who needs one, but cannot afford one.

During the past year, many companies in the direct response business, such as Koeppel Direct, have contributed to a fund raising effort for the Wheelchair Foundation. As little as $75 can provide a wheelchair for someone in need. To date, the direct response industry has raised more than $200,000 for the Foundation.

About Peter Koeppel

Peter Koeppel is founder and president of Koeppel Direct, a leader in direct response television (DRTV), online, radio and print media buying. Peter is a Wharton MBA, with over 25 years of marketing and advertising experience. Koeppel has helped Fortune 1000 businesses; small businesses and entrepreneurs develop direct marketing campaigns to increase profits. For more information visit www.koeppeldirect.com or call 972-732-6110.

New Niches for DRTV

I read an article recently in a housewares industry publication about a bidding process that has been established by major retailers called a reverse auction. The way it works is that suppliers are required to submit bids, typically online, and the lowest bidder gets to sell its product line to the retailer. This bidding practice has further squeezed the already thin profit margins realized by the suppliers.

If you think about it, this creates a great opportunity for the DRTV industry. Household product suppliers that manufacture products suited for direct response should now be more open to marketing their products directly to consumers, in order to increase profit margins. And the proliferation of new cable television networks, such as HGTV and The Food Network, allows marketers to more precisely target their message to specific audiences.

Explaining the Latest Technologies

Another industry that could benefit from utilizing direct response television advertising is technology. There are many new, high-tech gizmos being introduced that are confusing to consumers and, as a result, fail.

An infomercial is the perfect platform to explain how these new technologies work, how easy they are to use and how they can make your life easier and save you time and money. AOL, Windows 95 and TiVo all had varying degrees of success utilizing infomercials to introduce new technologies. And technology oriented audiences can now be effectively targeted through networks such as Tech TV and the Sci-Fi Channel.

DRTV CROSS-CHANNEL THINKING

DRTV advertising is a metrics-driven business, and media buying is all about efficiency. How many dollars do you get from an advertisement or a particular media channel in return for the dollars you spend? Upon entering the online world, agencies agree, advertisers thinking strictly in those terms will tend to put all of their money into paid-search ads on engines, such as Google and Yahoo. Paid search usually has the highest efficiency, by far, of all forms of online advertising, so that strategy seems obvious.

But it quickly leads to problems, says Jeremi Karnell, president and co-founder of One to One Interactive, a Charlestown, Mass., marketing agency specializing in digital media. "It's a mistake to throw all of your money into paid search," Karnell says. "It's like a drug: Companies see how efficient it is at the beginning, and they can't get enough. They pay no attention to testing other channels, and then they're left hanging when the inventory runs out and the efficiency is gone."

Paid search often is the best place to start with online advertising, Karnell says; it just isn't the place to stop. "Any single channel [for DR products] has a short lifespan," he says. "That's true everywhere, but especially online."

It's easy to track and measure the number of clicks on a paid-search ad that translated directly into sales on your website. What isn't so easy to figure out is what motivated those ready buyers to click through to you in the first place. Did they recognize your name when it popped up among the paid listings on Google, because they had seen some of your seemingly inefficient banner ads previously? Or, maybe visitors clicked on one to check you out before they were ready to buy. Karnell points to recent research by the Atlas Institute showing a 20-percent increase in sales when DRTV campaigns mix paid-search ads with display (banner) advertising, rather than relying solely on one or the other.

DRTV Hybrid Media Plans

Direct Response TV Vendors

In order to maximize your chances of having a successful direct response television marketing campaign, it's important to align yourself with experienced vendors in all aspects of your DRTV program, including direct response TV media buying, telemarketing, DRTV production, fulfillment and card processing. Make sure you do your homework and work with seasoned DRTV vendors. They understand how to construct a successful direct response TV campaign and have worked with other successfully direct response television marketers, so they know the formula for success. They also can help evaluate your product to determine if it's appropriate for DRTV.

DRTV Hybrid Media Plans

Many savvy marketers are now utilizing a hybrid DRTV approach. This allows the marketer to take advantage of lower DRTV media rates, while also incorporating traditional advertising metrics such as CPM's, impressions and rating points into their DRTV media plan. Frequently, the buyers at the leading retail chains are looking to stock successful direct response TV products at their stores. However, they are accustomed to reviewing media plans with traditional advertising metrics. That's why this type of hybrid DRTV media buying approach is particularly valuable for direct response television marketers looking to impress retail buyers. In addition, this type of hybrid DRTV media plan can deliver a larger audience than a traditional media plan, at a lower cost. A comprehensive hybrid direct response TV media program can help differentiate your product from other's in the marketplace and result in stronger sales DRTV and retail sales.

Is the Decline of Cable an Opportunity for DRTV Marketers?

This is the time of year that all the drtv media experts attempt to predict advertising spending for the coming year and analyze trends for the past year. In reviewing various reports and articles, one trend that stood out was the growing weakness in national cable TV sales. The growth in total cable ad spending was expected to slow to 6% in 2006 from 11% in 2005, according to TNS Media Intelligence. This represents a significant drop in ad spending. Cable ad sales were described as "very, very weak" across the board, according to an analyst at Sanford C. Bernstein & Co. (Wall Street Journal 11/25/06)

Cable TV has enjoyed consistent growth over the last 25 years as the service expanded across the country and drtv advertisers shifted their budgets to this medium. Now those days are over according to the WSJ. Money is shifting to the Internet and Internet ad spending is experiencing double-digit growth in the range of 15%-30% annually.

Innovative Direct Response to Launch DRTV Campaign for Homefield Financial

Innovative Direct Response, LLC has won the contract to launch Homefield Financial's, www.homefield.com, national DRTV campaign.

As one of Inc's 500 Fastest Growing Companies in America, Homefield Financial offers consumers a wide variety of loan options while making the home buying experience process fast and convenient. To that end, an extensive DRTV marketing campaign targeting homeowners of all ages and credit levels is being developed to include a 60-second and 30-second short-form commercial campaign driving customers to an 800 number and/or website to find out more about special loan programs. A strategic blend of DRTV and branding elements will be incorporated in the spots to aid in the long-term branding. The national media strategy will be developed by Koeppel Direct.

The New High-Tech Face of DRTV Advertising

Advertising your toy store on blogs, mobile phones and podcastsm ay seem surreal to you now, but high-tech forms of communication are merging into the mainstream.

Rapid advances in technology have changed everything from health care to communication. As the latest technology becomes more accessible to a broader market, the DRTV advertising field is changing too. Ten years ago, you could plan your direc response advertising campaign around a few television commercials and print advertisments. Until now, most companies would never have considered spending a sizable portion of their advertising budget on the Internet, but in 2006 online ad expenditures are expected to reach $17 billion.

Advertisers who want to reach their audience and remain competitive in this high-tech world have to change with the times. They must keep abreast of emerging new technologies, what direct response media types are most popular, and how consumers use what is available to them. If you want to stay current and advertise your products and services in ways that reach your target audience on their turf, consider the following forms of emerging media.

Radio Advertisers Want More Of 'Less,' Short Ad Formats Gain

RADIO AD SALES FIRM INTEREP says demand for short-form direct response television radio spots is booming--although overall numbers remain low, as measured by billing figures. According to Interep, the number of 10- to-15-second spots it sold and placed jumped 400% in 2006 compared to 2005, while 30-second spots grew a remarkable 1000%, for a total rise of 680%. Still, these short-form spots represented only about 10% of total ad billing, but 30-second spots take the lion's share of that--about 7%.

Kirk Combs, general manager of Interep's D&R Radio, said: "Clearly, we are going to see more and more business availed in 2007 requesting shorter-form commercials. The Interep numbers, as well as supporting industry data, speak for themselves."

Although Interep's report made no mention of industry giant Clear Channel Radio, the national radio owner's concerted push to reduce ad clutter, with its "Less Is More" initiative, doubtless played a role in the move to shorter spots.

All Clear Channel stations participated in the "Less Is More" campaign beginning in December 2004. Clear Channel controls 11% of the country's radio stations. The campaign wrapped up in January 2007 with an internal memo from Clear Channel Radio boss John Hogan declaring victory.

Clear Channel maintained the push in the face of widespread skepticism.

Media Daily News

Billboards draw DRTV customers

According to the Direct Marketing Association, using photos in outdoor advertising creates a 300-percent greater recall than ads without photos. Also, a colored background organizes the information and enables the viewer to read it 26-percent faster, according to the Pennsylvania College of Optometry.

"Billboard advertising works and it works very well, if it is used properly," said Cleveland. "High-quality graphics are critical. One of the great things for drtv advertisers is that the technology for printing outdoor graphics is photographic. It is like product packaging - you have to have an appetizing photograph."

Cleveland added that billboards can fail when an advertiser tries to do too much. "So many times billboards are ineffective because we try to use them to communicate more than they can communicate, or to communicate too complex an idea. It takes too long for a person viewing the billboard to understand the message."

An example is a sign plastered with a number of Web site addresses, phone numbers and logos. Too much of a good thing has the wrong effect when passers-by have seconds to read as they speed past.

For a billboard to maximize its per view direct response television potential, Cleveland suggests first determining what the ad needs to accomplish.

"There are certain products or services that may not benefit that well from outdoor advertising," said Cleveland. "A branding message that isn't complicated works the best."

Cleveland warns against a message that grows stale. Depending on the location of the billboard, most target consumers see a billboard's message continually - on their way to and from work, for instance. Constantly refreshing messages is the solution to keeping the billboard from being ignored.

DRTV Marketing Tactics

What are the challenges that entertainment executives are facing today and how can drtv marketers help them?

Consumers are downloading TV shows, videos and music on their iPods and other mobile devices. They are watching less TV and using DVRs [digital video recorders] to skip through commercials. They are going to fewer movies and renting fewer DVDs from traditional bricks-and-mortar stores like Blockbuster, instead accessing films through on-demand services or outfits like Netflix. Giving executives new strategies and options to not only deal with these changes but also to capitalize on them will differentiate savvy vendors from those who don't understand what's going on in the industry.

What are the best media vehicles for reaching these execs?

This audience can be reached through industry publications and Web sites from such trusted and longstanding b-to-b [publications] as Variety and The Hollywood Reporter, as well as through certain consumer publications such as Vanity Fair .

What direct response marketing tactics are best to engage this audience?

DRTV marketing messages need to be highly creative in order to appeal to this audience creativity is their business, after all. The messages also have to be informed and accurate. Direct Response companies targeting this audience need to be well-versed in all the latest trends and technologies, and present themselves as solutions-driven experts in this field.

Peter Koeppel is Founder and President of Koeppel Direct

Common DRTV Mistakes

NOT DEVELOPING A COMPETITIVE PRICING STRATEGY AND A COMPELLING OFFER

Make sure your product has a competitive price and that the offer will capture the target audience's attention. If your product is priced at $29.95 or under it can generally be sold through a short form commercial (:120, :60). Products priced over $29.95 are usually sold most effectively through an infomercial (28:30). Lead generation DRTV campaigns can be marketed through both short form and long form direct response TV campaigns. Develop and test several offers, in order to determine the offer that will generate the best results. The offer consists of the product, pricing, number of payments, etc. By offering the consumer an incentive to call now, through a discount or a free, related item can be an effective method of generating more calls and additional revenue.

AVOID PRODUCTS THAT DON'T SOLVE A PROBLEM AND AREN'T DEMONSTRABLE

Products that allow consumers to quickly solve a problem work best on TV. Television provides the marketer with an ideal environment to demonstrate how a product works and how it can benefit the consumer. Products that are highly demonstrable work particularly well in DRTV advertising, since the format provides the marketer with ample time to show the consumer why their product is worth purchasing.

We buy media and do the campaign management for the leading ladder infomercial product. The ladder turns into 25 different ladders. Their infomercial does a terrific job of demonstrating all the ways you can use it around the home and how it can make your life easier, so it's a perfect product for an infomercial format.

NOT UNDERSTANDING A DRTV MEDIA TEST

A direct response television media test is designed to provide the marketer with a read on the viability of successfully selling their product on TV. The media test usually runs over one to two weeks and $10-$20,000 is typically budgeted. A short form media test is often run on national cable and satellite networks, since they deliver the best CPM's (Cost Per Thousand Viewers reached). An infomercial media test typically consists of airings on smaller national cable and satellite networks and local broadcast stations. The larger national cable networks are usually too expensive for a media test. There are 1700 local broadcast stations, so there are some excellent infomercial media deals in local markets.

The media buying agency will provide you with daily and weekly reports that will show how each network/station performed during the test. By analyzing these results, the media buyer will be able to buy more of what's working and to drop the networks/ stations/dayparts that are not working, in order to optimize performance.

During the rollout phase of the campaign, the idea is to build up the media budgets, while maintaining a profitable ROI. For example, if you are spending $100,000/week in media and bringing in $200,000 in revenue, you are going to make more profit than buying $10,000/week in media and bringing in $20,000 in revenue.

Peter Koeppel is Founder and President of Koeppel Direct

Consider Your DRTV Options

Many types of online advertising and marketing services exist, such as pop-up or pop-under ads; banner ads; rich media ads, which include flash ads, interstitials (a page inserted in the normal flow of content between a user and the site), and superstitials (a page that loads behind an active web site, meaning the user doesn't see the ad until it's totally downloaded and ready to run); streaming audio video; skyscraper ads; rollover ads that expand as your mouse runs across them; e-mail sponsorship ads; newsletter and e-zine ad sponsorships; advertorial placements; search engine optimization; and affiliate programs where one web site promotes another web site's products in exchange for a commission and transactions are tracked through unique codes. Each of these options offers drtv advertisers unique advantages for reaching their target audience.

A huge demand for Internet advertising on the major net portals, such as CNN, Yahoo, MSN, etc., exists. This demand has actually caused a shortage of time slots. As a result, companies who are interested in running their ads or commercials online should consider doing so on their own web sites. Recent technology enables anyone who comes to your site to view your commercial regardless of what type of browser they have. So when a person goes to your site, the commercial automatically starts playing.

The complexity of all these online advertising options requires that you work with an ad agency that has a thorough knowledge of the medium. An experienced online direct response television media buying agency can help you decide what Internet options are most cost-effective and effective for your company.

Peter Koeppel is Founder and President of Koeppel Direct

Return on Your DRTV Advertising Investments

The largest single expenditure of many marketers is allocated toward media spending. But not all advertising investments are effective. Ad content aside, marketers may spend thousands on a direct response television campaign that reaches the wrong people. Or worse yet, they may pay a premium price for mediocre media exposure. Ultimately, to reach the right audience and get the most response, you need to invest your advertising dollars wisely.

Wise media investment means knowing what outlets are available, what spots on each one should cost, and how to plan the right mix of media outlets appropriate for the particular product or service. But when you're busy managing your business or running your department, you may not have the time or experience to make well-planned and researched advertising investments. For this reason, you shouldn't attempt media planning alone. The most successful marketers seek the advice of seasoned media buying experts to ensure the ongoing achievement of their advertising campaign. A multi-channel media buying agency has expertise in buying all forms of advertising.

A seasoned media buyer can maximize the return on your advertising investments. Consider the following four ways a media buyer can help increase the effectiveness of your advertising:

1. Maximize Advertising Profits

With all the media options available today, you need to work with a DRTV media agency who knows how to put together a plan that maximizes the results for your product. When you do it on your own, you won't be able to figure out what will work best for you, and you will probably end up paying too much. Good media buyers have access to information that allows them to secure the best rates and the optimal level of media clearance. Keep in mind; media buyers probably have a long list of clients, so they may also buy time for companies in the same industry in other markets. This is great news for you, because they can then apply what's working in other markets when buying in yours.

Because of their buying power and leverage, media buyers have access to cheaper advertising rates. For example, magazines always have a few pages left at the end of each month to get rid of, so they sell this space at a reduced, remnant rate. While you probably won't have access to this space on your own, your media agency will.

Peter Koeppel is Founder and President of Koeppel Direct

Branding for DRTV Success

1. Develop an Ongoing DRTV Advertising Campaign with a Consistent Message

Don't run a TV ad one day where you call your company the "low price leader," and then do a radio ad where you call your company the "solution for the discerning customer." Those are two completely different brands and images, and you'll only end up confusing your prospects. Realize that no brand is born overnight. It takes lots of repeated messages to get the brand into people's minds. So be consistent with your advertising messages. Additionally, advertise on a continuous basis. That's the only way people will become familiar with you, thus increasing your name and brand recognition.

5. Use Public Relations to Get Your Name Out There

Along with advertising, you need to do some public relations to make your name known. One great way is to write and publish articles about your business and industry. You can also be a featured guest on radio and TV programs. A good PR firm can help get you in the media's limelight. Without a doubt, public relations is a great and easy way to increase your name recognition.

6. View Branding as an Ongoing Business Strategy

Branding is not something you do for a few days and then forget about it. Branding must be a constant in your company's business strategy. Brand loyalty and brand recognition can decline unless you revitalize your brand on an ongoing basis. Many businesses reinvent or rebrand themselves every few years to achieve a higher level of consumer recognition or because of problems or negative stigma associated with their current brand. Regardless of your product or brand, or how long you've successfully had it, to remain competitive, you must adapt your brand based on changing trends in the marketplace.

Branding for Success

Remember that direct response television branding takes time. That's why you must integrate all these strategies over the long-term to build a brand. No matter when you start your branding efforts, branding your business is an important part of any successful marketing strategy. You want your customers to think of high value and quality when they think of your product or service. By branding your business, you make that happen. A strong brand also makes your company more valuable. When you successfully follow these strategies for branding your business, you can enjoy the name recognition and increased profits that come from having a great brand that everyone knows and loves.

Peter Koeppel is Founder and President of Koeppel Direct

Future Trends in DRTV Advertising

The future of advertising seems to be heading towards:

A convergence of TV watching and the web, where consumers will be able to order directly off their TV by clicking icons.

A blurring of the lines between direct response television advertising and programming.

Consumers having greater control over access to programming and commercials.

The current advertising model is not going to hold up forever based on ad viewership trends. Perhaps, in the future, consumers will be required to watch a certain number of ads in order to receive TV for free. PVR's can track this type of activity. This type of arrangement has been offered by some Internet service providers, who provide free service in return for the consumer being exposed to advertising.

Even though the number of viewers using PVR's now is relatively small, this is a good time to start formulating strategies to respond to the growing ad zapping trend. If the DRTV industry and people associated with the industry do not address the issue soon, we could end up in a position similar to what happened with the recording industry, which has seen their business decimated by downloading.

Peter Koeppel is Founder and President of Koeppel Direct

Optimize Your DRTV Media Campaign

Koeppel Direct is a world-class direct response media buying agency specializing in multi-channel direct response Television, online, radio and print campaign management. The firm is headed by Wharton MBA Peter Koeppel. The agency places an emphasis on direct marketing, because of Peter Koeppel's 25 years of direct response marketing and advertising experience.

What We Do

Koeppel Direct manages media campaigns for DRTV advertisers seeking measurable, consistent, positive results, immediately and long term. Our experts create targeted, effective, direct response media buys that optimize our clients return on their media investments.

How We Do It

We integrate all the key elements of a direct response media buy, to ensure the success of a client's direct response campaign. Prior to launching a campaign, we use competitive media research and analysis, which allows us to buy the most efficient media for each campaign. We then apply proven statistical techniques to successfully manage our direct response media buys. Our approach enables Koeppel Direct to deliver direct response media buys that generate profitable results.

A Staff of Seasoned Media Experts

Our staff consists of seasoned, top-level advertising professionals, who came from prominent direct response television media buying firms and ad agencies. Our staff works closely with our clients, guiding them through all the stages of the buying process, from media testing and analysis, through rollout. All of our media buyers have significant handson experience. Our expertise is second to none.

How We've Been Doing

We've built a powerful reputation for success. Our clients have the final say:

Koeppel Direct's media buying expertise has played an integral role in making my company successful. Koeppel generated so much business for our company, occasionally we had to limit their media buys, in order to handle all the new business.

Peter Koeppel is Founder and President of Koeppel Direct

DRTV Upsells & Continuity

Make sure to utilize upsells and continuity programs in your DRTV program. These can help your direct response Television (DRTV) campaign generate additional revenue that will result in a more profitable DRTV campaign. An example of an upsell would be selling the customer a related item or additional item at a discount when they order your product through a DRTV ad campaign. Continuity programs involve sending a product to a customer, with their permission, on a regular basis, for example each month or every 60 days. Continuity programs provide ongoing income from your direct response television campaign. With a typical DRTV campaign, 30-40% of the customers decide to become part of a DRTV continuity program and stay on the plan for an average of 3-6 months. The amount of time that consumers stay on the continuity program differs depending upon the type of product you are marketing through your direct response TV advertising. There are specific rules regarding continuity programs. Make sure to work with telemarketing and law firms that are well versed in these rules.

Direct Response TV and the WEB

It’s essential to include your website in any DRTV commercial or infomercial. Between 15-50% of direct response TV (DRTV) sales are now occurring on the web. Approximately 50% of people who are watching TV are also online at the same time, so it’s easy for them to go to your website after viewing a DRTV commercial. Many direct response TV marketers also air their commercial on their website, so a consumer can watch it again if they missed part of it on TV. Websites are also a great place to further educate consumers about your DRTV product. Many consumers nowadays prefer to research a direct response TV product on the web before making a purchase decision, so it’s essential to make sure you develop a website that complements your DRTV commercial or infomercial.

Peter Koeppel is Founder and President of Koeppel Direct