Advertising a product or service, especially when it’s not well known, can be a challenge.  Maybe you have an innovative product or service that will sell like hot-cakes if you can get it in front of the general public.  For some, Direct Response is the best way to have access to a national audience.  Recently, an economic recession and hesitant advertisers have made airtime for DRTV relatively cheap.  As a result, the industry has boomed and has enabled many to participate in this market.  So if you’re thinking about DRTV as an option, now could be a great opportunity.  However, creating a successful DRTV campaign has some challenges.  This article goes beyond the product and looks at what you need in place to pull off a successful DRTV campaign:

Got Logistics?

A manufacturer, website, call center, fulfillment house, and a shipping carrier.  These facets are the bare essentials for your DRTV ordering process.  When your customer calls the 800 number, he/she is connected with your call center.  Many will also head to the website to order.  When the order is placed, the information is sent to the fulfillment house and the product is plucked, packed, and shipped to the customer in a timely manner (depending on the shipping method).  These logistical aspects don’t drive demand, but can depress the order amount if not handled correctly.  For example, would you rather have a call center that has an automated process for taking orders or a live person?  How much does your fulfillment house charge you per unit?  How does your call center communicate with the fulfillment house?  Does your manufacturer deliver on time?  What do the shipping costs look like?  These are all great questions to help develop your business plan for this endeavor.

Find a great Production Company and Media Buyer.

As a full-service Texas video production company, AMS Pictures creates winning DRTV commercials that help your product find success.  We stick to that specialty and have created DRTV spots for products such as The Scooter Store and Cash 4 Gold.  For media buying, we recommend one of the best media buyers in the country, Koeppel Direct.  They have the experience, research and expertise to place your commercial spot in the right place at the right time.  It’s critical to have the right research when crafting a message to sell product.

Your Website will push Sales.

It’s essential to have a web component to your DRTV campaign.  According to Telebrands founder A.J. Khubani (the “Infomercial King”), a majority of his sales come through the internet.  Having a smooth online ordering process is essential to sales.

Check your Markup

Many DRTV hopefuls make the mistake of placing their price point too low.  To combat costs in this industry we recommend a strong mark-up of at least 5:1 (price customer pays per unit without tax: cost per unit)

Ready for the National Stage? Wait! Run a test first, then tweak accordingly.

When you are ready to premiere your spot on the national stage, we recommend running a preliminary test before you launch.  Running the commercial in certain local areas, with the help of your media buyer, will help you discover what offer structures work and the demographic most willing to buy.  You can also iron out any kinks with your ordering process (call center, manufacturer, fulfillment house, etc) before the operation goes national.

When all is said and done, taking your product to the national market is an exciting, risky ride that can yield magnificent sales and expand to other mediums, like retail.  As a Texas video production company we’ve seen many DRTV hopefuls fall short because of poor planning.  We hope this article helps you to start asking those important questions about DRTV and how it works as a successful business venture.

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