It used to be that advertisers would have to wait weeks or in some cases months to see if their ideas had penetrated into their customer bases. People would read the paper and magazines or watch television, see something they like, and eventually go out and get it. However, since cell phones are now universal, getting a response about products is quicker and easier than before. This is called direct response. It used to be one of the lower tiers of advertising, but now it is coming to the forefront.
What is Direct Response?
Direct response means that companies demand that customers buy their products right now. For example, in the case of direct response satellite advertising, someone on your favorite Sirius XM show says that the next hundred people to spend $50 at Kohl’s will get a shout out on the air. Those people dive for their phones, and all of a sudden, Kohl’s has a few thousand dollars in business. Traditional advertising creates more of a buzz for products and services, while direct response compels direct buying.
Direct response, even with satellite advertising, is often seen as having limited use but high earning potential. The ShamWow guy promises viewers everything for $9.95, and all they have to do is call in. Listeners have begun to tailor their radio stations to their personal preferences rather than listening to general radio, so there has been a strong tide in direct response advertising.
How Direct Response Advertising is Working on a New Generation
People that have most of the buying power today are willing to shell out a larger dollar amount on a product or service if they believe that will support their values or programs they enjoy. For example, environmentally-conscious people are willing to pay an extra twenty-five cents for free range eggs, and they will try to buy hybrid cars instead of gas guzzlers. When a program they like asks them to spend their dollars towards a particular product, they are more likely to buy the product. They understand that if they want to keep their favorite show alive, they have to give the advertisers a reason to keep paying for the show. The more direct the advertising, the more likely people will quickly buy the products.
Many people now understand that supporting advertisers can keep their favorite entertainment alive for a little while longer. Whether the direct response satellite advertising works to keep their favorite music stations on their Sirius XM radio or helps their favorite actors to make a movie through KickStarter, this shows advertisers that people are willing to pay to see what they want. Advertisers are paying attention.
