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|CHAPTER 17 Direct, Online, Social Media, and Mobile Marketing 553

Do-not-call legislation has hurt parts of the consumer telemarket-
ing industry. However, two major forms of telemarketing—inbound
consumer telemarketing and outbound B-to-B telemarketing—remain
strong and growing. Telemarketing also remains a major fundraising tool
for nonprofit and political groups. Interestingly, do-not-call regulations
appear to be helping some direct marketers more than it’s hurting them.
Rather than making unwanted calls, many of these marketers are devel-
oping “opt-in” calling systems, in which they provide useful information
and offers to customers who have invited the company to contact them
by phone or e-mail. The opt-in model provides better returns for market-
ers than the formerly invasive one.

Direct-Response Television Marketing

Direct-response television (DRTV) marketing takes one of two ma-

jor forms: direct-response television advertising and interactive TV (iTV)

advertising. Using direct-response television advertising, direct marketers

air television spots, often 60 or 120 seconds in length, which persuasively

describe a product and give customers a toll-free number or an online

site for ordering. It also includes full 30-minute or longer advertising pro-

grams, called infomercials, for a single product.

Marketers use inbound toll-free 800 numbers to Successful direct-response television advertising campaigns can ring

receive orders from television and print ads, direct mail, up big sales. For example, little-known infomercial maker Guthy-Renker

or catalogs. Here, the Carolina Cookie Company urges, has helped propel its Proactiv Solution acne treatment and other “trans-

“Don’t wait another day. Call now to place an order or formational” products into power brands that pull in $1.8 billion in sales
request a catalog.” annually to 5 million active customers (compare that to only about $150

Carolina Cookie Company million in annual drugstore sales of acne products in the United States). Guthy-Renker now

combines DRTV with social media campaigns using Facebook, Pinterest, Google+, Twitter,

and YouTube to create a powerful integrated direct marketing channel that builds consumer
involvement and buying.48

DRTV ads are often associated with somewhat loud or questionable pitches for

Direct-response television cleaners, stain removers, kitchen gadgets, and nifty ways to stay in shape without working
(DRTV) marketing
Direct marketing via television, including very hard at it. For example, over the past few years yell-and-sell TV pitchmen like Anthony
direct-response television advertising (or Sullivan (Swivel Sweeper, Awesome Auger) and Vince Offer (ShamWow, SlapChop) have
infomercials) and interactive television racked up billions of dollars in sales of “As Seen on TV” products. Brands like OxiClean,
(iTV) advertising. ShamWow, and the Snuggie (a blanket with sleeves) have become DRTV cult classics.
And direct marketer Beachbody brings in more than $32 million annually via an army of
workout videos—from P90X and T-25 to Insanity and Hip Hop Abs—that it advertises on

TV using before and after stories, clips of the workout, and words of encouragement from

the creators.

In recent years, however, a number of large companies—from P&G, Disney, Revlon,

and Apple to Toyota, Coca-Cola, Anheuser-Busch, and even the U.S. Navy—have begun us-

ing infomercials to sell their wares, refer customers to retailers, recruit members, or attract

buyers to their online, mobile, and social media sites.

A more recent form of direct-response television marketing is interactive TV (iTV),

which lets viewers interact with television programming and advertising. Thanks to tech-

nologies such as interactive cable systems, Internet-ready smart TVs, and smartphones and

tablets, consumers can now use their TV remotes, phones, or other devices to obtain more

information or make purchases directly from TV ads. For example, fashion retailer H&M

recently ran ads that let viewers with certain Samsung smart TVs use their remotes to in-

teract directly with the commercials. A small pop-up menu, shown as the ads ran, offered

product information, the ability to send that information to another device, and the option
to buy directly.49

Also, increasingly, as the lines continue to blur between TV screens and other video

screens, interactive ads and infomercials are appearing not just on TV, but also on mobile,

online, and social media platforms, adding even more TV-like interactive direct marketing

venues. For example, Target recently placed dozens of products from its new home collec-

tion in an episode of the TBS comedy series Cougar Town, which was also simulcast online

at ShopCougarTown.com. When the products appeared on the television screen, viewers

were encouraged to purchase them on their phones or other screens. Thus, when viewers