I I Understanding why a brand response advertising strategy combines image with the strengths of direct response advertising BY PETER B. ARONOW Well everything’s changed. Just a few months ago, advertising rates were steady or rising and inventory was down. That was leading many mar keters to conclude that since there was very little cheap TV time left on which to air traditional DRTV ads and with little chance that high inventories and low prices would be coming back any time soon, if ever, they needed to make messages more effective and efficient. In that reality, some products never made it to TM others failed and many veteran direct marketers’ long predict ed end of DRTV seemed to be upon us. However, now for many in the electronicREtAlLER I ApdI 2009 [search engine powered by magazoornscom~ industry this duck-and-cover period is over. Yes, we all need to maximize mar keting dollars, but demand has eased, realities about the Internet replacing traditional channels have been mitigat ed, media availabilities are up—even in primetime and prices are down. This is great for direct marketers and many general advertisers who have been adding DRTV to their mix are reaping the benefit. To these general advertisers, DR media rates were low and now are extraordinarily cheap and offer oppor tunities they could not have imagined. Using DR has positioned them well for the current market and will serve them I well when things return to normal. So now what? In this climate of low media rates and broad availability, should direct marketers pay attention to branding? And, how can general advertisers best use DRTV? The answer is to embrace brand response advertising that highlights brand benefits more prominently in direct response advertisements. With brand response advertising, tradi tional direct marketers can expand their reach and profitability, and tra ditional advertisers can benefit from direct opportunities while supporting and building their brands. WHAT IS IT? Brand response advertising relies on the power of well articulated brand benefits to drive consumer sales. Quite literally, brand response com bines the benefits driven strengths of brand advertising with the accounta bility of direct response. Brand response advertising builds sales, gen erates leads and increases traffic to a web or retail site. It also leverages the communications to build brands. Brand response began appearing when general media rates were high and availability was low. General advertisers used it to take advantage of lower rates with creative only mar ginally nodding to DR. But direct marketers were realizing that they could highlight brand bene fits more prominently in traditional direct response advertisements, which helped them online and at retail. This helped improve margins and offset increased media spending. In California, ARCO produced a series of TV advertisements for “SmogPros,” its emissions testing service. There was no price men tioned. No deadline. No special offer. The entire campaign was based on a believable brand benefit all for an April 20091 electranicREtAlLER [search engine powered by rnagazoorns.comj 37 •I• I al BRAND RESPONSE GUIDELINES: IS IT RIGHT FOR YOUR BRAND? appointment, and we guarantee the check will be completed within 30 minutes. The campaign was a mon ster success and demonstrates the power of brand response. Wait a minute. Direct response advertisements without classic come ons like “but wait, there’s more,” “for a limited time only” or “never again at this great low price”? That’s correct. Any product with a believable, corn pelling brand benefit is a perfect can didate for a brand response based campaign. So are traditional hard sell direct response spots, where a little branding will help at retail and online. The dual emphasis of brand response means that brand response will not be the right choice for every client or product. To evaluate a product’s potential for brand response, use these guidelines: Because the benefit message is such a prominent component of brand response, it may take longer for a brand response campaign to work up a full head of steam, compared to a value-driven direct response campaign. WHAT’S THE DIFFERENCE? There are several important differences between traditional direct response, brand building campaigns, and brand response advertising (see chart below). Brand response is “maxi advertis ing” advertising that accomplishes two goals simultaneously. Your product’s benefit must be believable. Your brand benefits do not necessarily need to be unique to the product or category. For example, the car doesn’t have to be Direct Response Brand Adv rtising Brand Response Concerned wholly with the consumer’s response—thetall to action”—that makes the phone ring or web regis ter a sale as soon as the advertisement airs or appears in print or online. A value message, not a brand message.The cus tomer doesn’t buy a brand benefit—he or she buys value.”But wait, there’s more...” Sales-builder. Doesn’t ask for an order. 800 numbers rarely appear on screen. Measurements are sub jective or measured in general terms— impres sions—not sales. Seeks an immediate response based on a compelling brand bene fit. Looking for an inquiry, sale or an opportunity to present the brand mes sage. Develops qualified database. Benefit driven. How will this help me? Who are: these people? Should I trust them? Direct market driven. Image driven. Low production values. Pragmatic, inexpensive creative. Response driven. High production values. Original creative, often dramatic, but not focused on sales. Image driven. Frequently, there’s no relationship to branding. DR functions independ ently of other advertising. The branding position that is supposed to lead all marketing efforts. 38 the fastest, shiniest or biggest. You don’t need to own the superlative to establish a brand benefit. But it needs to be believable! Benefits are paramount in a brand response advertisement. There still is room to use traditional DR tech niques “two free cases of bottled water” or “buy one, get one free” Image driven.The mes sage is brand awareness. Loyalty-builder. Sales- and Loyaltybuilder. Direct market and Image driven. Medium to high produc tion values, Creative that is integrated fully with both the sales and branding message. Response still matters. Maxi-marketing. Achieving results in all channels. electronicRETAllER I Apeil 2009 Isearch engine powered by magazoomscorn] in a brand response advertisement. The key is that these more tradi tional techniques remain secondary to the positioning of the brand ben efits. For example, the brand benefit for Sparklett’s is great tasting water with dependable home delivery. That’s what people are buying, even though the campaign still invokes the industry-standard “two free bottles when you call” offer. The brand response sales environ ment generally will be a direct response environment. These usu ally aren’t products you’d expect to find at the grocery store or elec tronics superstore. AOL is a great example. You don’t even expect to see AOL at retail. You expect to get it through direct response. Dell and Gateway in fact, the whole com puter industry are perfect candi dates for brand response advertis ing. However, brand response need not exist exclusively in a DR sales environment. Sometimes, the retail sales are equally (or more!) impor tant as driving DR sales. You need a very powerful branding message to accomplish this (take Proactiv Solution as an example). To be effective, you also need to coordi nate different sales channels so that I• at they work together. You are willing to spend at brandbuilding levels. A brand response campaign does cost more than a direct response campaign, which tra ditionally is done for the least amount of money possible. Brand response production costs can be comparable to those of a typical image campaign, while media rates are a mix. You believe in the power of brand ing on TV. You’ll need to use TV as the driving force of your campaign. That takes commitment and money. Print-oriented campaigns, as an example, rarely generate any thing resembling the level of aware ness you get from TV. It takes time. Because the benefit message is such a prominent compo nent of brand response, it may take longer for a brand response cam paign to work up a hill head of DID S Li Brand response is clearly not for everybody, or every product. If you don’t have a viable product, or if the product doesn’t have a clear and compelling brand benefit—and let’s face it, there are many products that are useful, but not particularly compelling brand candidates—then brand response is not an approach you should embrace. steam, compared to a value-driven direct response campaign. Also, because this approach creates a more memorable impression on the con sumer, brand response advertise ments can be more complex to eva! uate. Brand response can generate tremendous synergies between print, the web, radio, FSIs and direct mail. KNOW THAT.. LEEK AIRINGS CHARTS Oh ARE JUST A Cuck AWAY? F ng: Ctwinnols HalMiour Blocks rn oay Updates I’ $i. CLIQC ON AMWIGS C*MRTS U UPPER RIGHT coRHP.11 OFHOIEPAGE iw*fl~r’.Ix tflLOlThsLsuflaJ4Ii 40 NI~&dS~ electronicRETAlLER TIME WILL TELL Brand response TV is clearly not for everybody, or every product. !f you don’t have a viable product, or if the product doesn’t have a clear and com pelling brand benefit and let’s face it, there are many products that are useful, but not particularly com pelling brand candidates then brand response is not an approach you should embrace. Or, if you are selling a low priced, single shot prod uct and just want sales, are not inter ested in building a brand or selling line extensions and only have the margins to make traditional DRTV work, then you know what to do. Will brand response TV become the de facto direct response standard? Things were certainly headed in that direction, but then the financial crisis hit and turned everything upside down. Now it appears it will have an ever increasing role because marketers need to use all the tools available to maximize response and return. Peter B. Aronow is with PBandJ Partners in East Hampton, N.Y The company specializes in advenising mar keting and production. Aronow can be reached at (631 329 9912, or via e mail at peter@pbandjpanners.com. P~ ?$44S24361 Fw 7U4U44U Et~t For example, if someone finds your Yellow Pages ad and calls, but they saw your brand response TV adver tisement the night before.. .who gets the credit for the sale? I Api) 2009 lsearch engine powered by magazoomscomj