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.