Direct marketing facts for kids

A pile of advertising mail

Direct marketing is when companies talk directly to specific customers about their products or services. Instead of showing ads to everyone, they choose people they think might be interested. This way, companies hope you will respond right away. You might respond by calling a special phone number, filling out a form, visiting a website, or sending an email.

Sometimes, direct marketing messages can be annoying. Because of this, there are rules and laws, like the CAN-SPAM Act in the United States. These laws help you choose if you want to receive these messages or not.

What is Direct Marketing?
How Direct Marketing Started
Why Companies Use Direct Marketing
Common Ways Direct Marketing Reaches You
Being Smart About Direct Marketing
- Dealing with Unwanted Messages
- Fair Play in Marketing
See also

What is Direct Marketing?

Direct marketing aims to sell things directly to you. It does not use stores or other sellers as middlemen. Companies pick out people from large groups who might want their products. They use information like where people live or what they have bought before. This helps them send messages that are more likely to interest you.

How Direct Marketing Started

Direct marketing has a long history. In the 1400s, a publisher in Venice named Aldus Manutius made a list of books he had for sale. This was like an early catalog. Later, in 1667, an English gardener, William Lucas, mailed a seed catalog to his customers.

In the 1700s, Josiah Wedgwood helped create modern marketing ideas, including direct mail.

In the 1700s, people like Josiah Wedgwood in Britain started using new ways to sell goods. They used direct marketing to reach more customers. This helped businesses grow during the Industrial Revolution.

The first modern mail-order business began in 1861. A Welsh businessman named Pryce Pryce-Jones sent catalogs to people. Customers could order items by mail, and he would send them by railway. This was great for people in small towns who could not easily go to big shops.

In the United States, Aaron Montgomery Ward started a mail-order business in 1872. He created the first mail-order catalog. By selling directly, he cut out extra costs and offered lower prices to customers.

The term "direct marketing" was officially named in 1967 by Lester Wunderman. He also helped create the idea of toll-free 1-800 numbers. These numbers made it easy for customers to call companies for free.

Why Companies Use Direct Marketing

Companies use direct marketing for a few main reasons:

Selling Products: The most obvious goal is to sell things. A newspaper ad asking you to buy a specific product is an example.
Finding New Customers: Companies want to find people who might become customers. They try to identify those who are most likely to buy.
Building Relationships: Direct marketing also helps companies connect with customers. They want to build trust and loyalty so you keep buying from them.

Common Ways Direct Marketing Reaches You

There are many ways companies use direct marketing to get your attention.

Email and Online Ads

Sending marketing messages through email is very popular. It is cheap and fast to send emails. Companies can also see how many people open their emails and click on links.

Online tools are also a big part of direct marketing today.

Display Ads: These are ads you see on websites, like banners or pop-ups. You can click on them to learn more or buy something.
Search Ads: When you search online, you often see ads at the top of the results. Companies pay to have their products shown when you search for certain words.
Social Media: Sites like Facebook and Twitter let companies talk directly to customers. They create content that you can respond to.

Messages on Your Phone

Marketers use mobile phones to reach people.

Text Messages (SMS): These are short text messages sent to your phone.
Multimedia Messages (MMS): These are messages with pictures or videos.
Mobile Apps: Apps on your smartphone can send you "push notifications." These are direct messages that pop up on your screen.
QR Codes: These are square barcodes you can scan with your phone. They often link to special offers or product information.
Location-Based Marketing: Some messages are sent to your phone based on where you are.

Since October 2013, it has been against the law in the US to call cell phones with automatic dialing systems or pre-recorded voices for marketing without your written permission.

Calls and Faxes

Telemarketing is when companies call you on the phone to sell things. They hope to find people who are interested in buying. In the United States, the National Do Not Call Registry was created in 2003. This lets you put your phone number on a list to stop most telemarketing calls at home. Canada has its own Canadian Do Not Call List.

Voicemail marketing uses your voicemail. Sometimes companies leave messages directly in your voicemail box.

Broadcast faxing used to be common, where faxes were sent to many people. However, laws now limit this for consumer marketing.

Coupons and Mail

Couponing is used in both print and digital forms. You might get a coupon in the mail or find one online. You can use it to get a discount when you buy something. Many websites and apps now offer digital coupons.

Direct mail refers to ads sent to you through the postal service. This includes flyers, catalogs, and credit card offers. Companies send these based on things like your age or where you live. Many countries have special lower rates for sending large amounts of advertising mail. This is often called "bulk mail."

Ads Outside Your Home

Out-of-home direct marketing includes ads you see when you are out and about. This can be billboards, ads on buses, at airports, or in shopping malls. These ads often tell you how to respond, like visiting a website or scanning a QR code.

Selling Face-to-Face

Direct selling is when a salesperson meets with you in person to sell products. This can happen at your home or at special events, like a Tupperware party.

Community Marketing

Grassroots marketing is about advertising in local communities. Companies try to get people in the community talking about their business. They might do this through local events or projects.

Being Smart About Direct Marketing

It is important to understand how direct marketing works and how to protect yourself.

Dealing with Unwanted Messages

Sometimes, you get mail or emails you did not ask for.

Junk Mail: This is a common name for unwanted ads sent through the postal service.
Spam: This term refers to unwanted commercial emails.

To help with unwanted emails, the US Congress passed the CAN-SPAM Act in 2003. This law gives you the power to stop unwanted emails. It also sets rules for companies that send marketing emails. Email providers also use filters to block spam.

You can also sign up for "do not call" lists to stop unwanted phone calls. Many marketing groups also offer services to help you control the mail you receive.

Fair Play in Marketing

There are rules for how companies should act when using direct marketing. These rules ensure that marketing is honest and fair.

Clear Offers: Companies must clearly explain what they are offering. They should also tell you what you need to do to get the offer.
Honest Presentation: If an offer includes other products you need to buy, this must be clear. Companies should not use high-pressure tactics to make you buy something.
Right to Cancel: If you buy something, you often have a right to return it or cancel the order within a certain time. Companies must tell you about this right and how to use it.
Who is the Marketer?: The company sending the offer must clearly state who they are and how you can contact them. This information should be easy to find and keep.
Respect Your Choices: If you say you do not want to receive marketing messages, companies should respect that. This includes signing up for "do not call" lists or putting "no junk mail" stickers on your mailbox.
Responsibility: The company doing the marketing is responsible for making sure all these rules are followed.