Tv Money

.CHAPTER 01

THE ADVANTAGES OF INFOMERCIALS

SHOPPING WITHOUT GUILT. Direct response television lets consumers shop

without having to confront a salesperson. Buying from the tube eliminates

any pressure on the consumer. The ability to shop hassle-free makes

retail television an attractive alternative.

TIME. Regardless of the product, convenience is always a strong sales

motivator. Nothing is more convenient than picking up the telephone to place

an order.

UNIQUENESS. Many products sold through direct response are not available

through retail outlets. When they are, the DRTV version of the products

will have either unique features (like no-smear lipstick) or carry

substantially lower prices.

IMPACT. An audio-visual sales presentation is both compelling and convincing.

Since department store sales people are often unfamiliar with the uses,

operation, and versatility of all their products, retail outlets consistently

fail to get consumers excited about a product. Conversely, a simple product

demonstration presented via an infomerical can convey product knowledge,

attract interest, and produce an immediate decision to buy.

CANADIAN MARKETS

The Canadian government has passed new laws to clamp down on U.S. mail order

and infomercial companies. The goal is to make it expensive and more

difficult for Canadians to order from U.S. addresses. The ceiling on tax-

free imports dellivered by mail or courier will be increased from $20 to

$40. The Canadians also have a $5 handling fee on any taxable parcel.

800 NUMBER ACCESS. If your infomercial or DRTV spots airing in U.S. markets

spill over to Canada, make sure your toll-free 800 number can be dialed from

Canada. Be particularly concerned with superstations like WGN or WOR.

3% SHARE. Your sales from Canadian TV viewers will depend on:(1) the

product you're selling, and (2) the TV stations you use for your U.S. airings.

Some U.S. companies obtain as much as 3% of their total sales from Canada.

CHAPTER B02

A NEW MARKETING DIRECTION

Like the picture filled catalogues that first invaded our homes during the

early days of mail order, infomercials now serve as standard fare on our

televiewing menus.

In fact, references to "those latenight things on TV" are no longer accurate,

because infomercials now air and make money during daytime and mid-day hours

as well as latenight, selling every conceivable product, from Ginsu knives to

Body by Jake.

Direct response television is faster and more effective than conventional

mail order in marketing products direct to the end users for several reasons:

1. It's audio visual. Direct response television

presents your sales message with both sound and pictures.

2. It's instantaneous. You can monitor your sales results

seconds after your message is delivered.

3. It's cost-effective. Airing you infomercial may cost less

than a conventional mail order campaign. Example: You can

buy a half hour of airtime at WNEU and reach over 200,000

homes in Pittsburgh for around $200. With conventional mail

order marketing, $200 will only buy 689 first class stamps.

Add to that the cost of mailing lists, production, and printing

of your mailing piece.

The future of marketing isin the consumer's own living room, in the TV set,

where a new, more convenient way of shopping is taking shape.

For the advertiser, the reasons for using infomercials and DRTV are obvious.

Producing a half-hour infomercial is a lot cheaper than opening a new store

in the mall. And for a month's rent, an infomercial can be aired on cable

stations that reach 60 million homes nationwide.

it is inexcusable for an entrepreneur to ignore infomercials and DRTV spots

as integral parts of his marketing mix. At the same time, if you're looking

for a new frontier with exceptional growth potential, DRTV is an exciting new

territory with no boundaries - a territory that has all the ingredients for

success you'll ever need.