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What is DM direct investment?
DM magazine is the abbreviation of English Direct Mail, that is, direct mail advertisement, also known as direct mail advertisement, which refers to the advertising form that directly sends advertisements to advertisers through the postal system.

The use of the postal system as a channel for advertising has a long history. However, due to the emergence of new media such as newspapers and magazines, the advantages of DM advertising have been replaced by these media, so it is not valued by most enterprises. However, due to the development of information dissemination and market research, DM advertising has changed from inefficient and aimless widespread dissemination to targeted advertising, thus improving the advertising effect. In recent years, DM advertising has been paid more and more attention by enterprises. Especially in the face of the situation that the community and the market are large but the customers are scattered, DM advertising plays an irreplaceable role in other forms of advertising.

Classification of DM magazines

First, according to the content and form.

1, discount coupon. When carrying out promotional activities, attach coupons with preferential conditions and measures to attract consumers.

2. Sample catalogue. Retail enterprises can introduce in detail the samples, photos, trademarks and contents of various commodities they operate.

3. A poster. A single poster carefully designed and printed by the enterprise to promote corporate image, goods, services and other content.

Second, according to the mode of transmission.

1, newspaper folder. Cooperate with newspaper, magazine editor or local post office to send enterprise advertisements as newspaper inserts to readers. This method has been applied by many enterprises now.

2. Send letters according to the customer list. More suitable for the sale of bulk commodities. For example, from manufacturers to retailers, or from wholesalers to retailers.

3. hire someone to deliver the goods. Enterprises employ personnel to deliver DM magazines directly to potential target customers or their residences and units according to their needs.

Characteristics of DM direct investment media

1, targeted

Because direct advertising directly delivers advertising information to real audiences, which is highly selective and targeted, other media can only deliver advertising information to all audiences, regardless of whether the audience is the target of advertising information.

The advertisement lasts for a long time.

A 30-second TV commercial, after 30 seconds, its message disappears. Direct advertising is obviously different. Before making a final decision, the audience can repeatedly read the information of direct advertising, and use it as a reference to learn more about the performance indicators of the product until they finally make a decision to buy or give up.

3. Strong flexibility.

Different from newspaper and magazine advertisements, advertisers of direct advertising can arbitrarily choose the page size and determine the length of advertising information according to their own specific conditions, and choose full-color or monochrome printing forms.

4, can produce good advertising effect.

Direct advertising is directed by advertisers to individuals, so advertisers can select audiences with reference to demographic factors and geographical factors, and then put them into practice to ensure that the advertising information is accepted by the audience to the greatest extent. At the same time, different from other media, the audience can't wait to know the content of the advertisement after receiving the direct advertisement, and will not be disturbed by the outside world (for example, when we buy newspapers or magazines from the newsstand, we will inevitably choose hot articles, news hot spots or columns that we are interested in to read. In other words, I have the right to choose what I want to see and give up those useless advertisements and reading contents. Based on these two points, compared with other media advertisements, direct advertising can produce good advertising effects.

5. Measurability

After advertising, advertisers can understand the effect of advertising information with the help of the change and range of product sales, which is incomparable to other advertising media.

6, with concealment

Direct advertising is a kind of deep and secret non-sensational advertising, which is not easy to attract the attention of competitors.

Present situation of DM advertising in Chinese and foreign advertising markets

DM advertising has developed very rapidly in Europe and America, and it is the third largest media after newspapers and television, accounting for about 20% of the total advertising in the United States. At present, the share of DM advertising in China advertising market is still in a negligible stage.

The United States is the largest advertising country in the world, with DM advertising spending accounting for about 16.2% of the national advertising spending, and DM media ranked second. German DM advertising investment accounts for about 8% of the national advertising investment, and DM advertising expenditure ranks third. Austrian DM advertising investment accounts for about 23% of the national advertising investment, ranking first among all kinds of media. In China, the development of DM is still in its infancy.

Since China began to restore the advertising industry, powerful media (newspapers, magazines, television) have occupied the vast majority of the advertising market. However, the low credibility of DM publishing, the stagnation of DM media for many years, the lack of good foundation, the lack of corporate awareness and the lack of professional institutions to provide this service have made DM stay in the development stage for many years. At present, most enterprises that can actively use DM to develop their business are foreign-funded enterprises.

China is gradually standardizing the advertising market and strengthening the management of DM. As a postal department closely related to DM, it has also actively organized DM business nationwide, and launched "China Post Express Mail Advertisement" to move to the media, making active efforts to enhance the status of DM media. Although the development of DM is still in its infancy, the growth rate of DM advertising in China is very fast. At present, nearly 80% of enterprises in China have used DM to advertise, and almost 100% of large, medium and small enterprises in Jiangsu and Zhejiang have used business letters to promote their products. And all of them have achieved obvious promotion effect. Therefore, its input-output ratio makes enterprises satisfied, and small and medium-sized enterprises have a good impression and desire to use it.

Therefore, DM has been regarded as the first choice for business activities by most enterprises, and it is favored by business operators because of its low cost, strong pertinence, strong intimacy and strong authenticity.

With the passage of time, the status of DM media will gradually improve, continue to play its irreplaceable role in society, and form a multi-level, multi-directional and multi-channel three-dimensional network with other advertising media.

First, the application of foreign DM

In the United States, Japan and other countries, direct mail (DM) flies to thousands of households like "salespeople with wings". DM advertising has always been regarded as an indispensable and beneficial supplement to mass media by some big brand enterprises, while some small and medium-sized enterprises, especially those making high-end products, regard it as a key media tool.

Second, the application of data mining in China

Judging from the ranking report of advertising business units in 2002, some advertising companies set foot in a new advertising field-direct mail media advertising, and their business expansion and performance climb are very prominent. For example, Jiangsu Post Advertising Company and Shanghai Post Advertising Company, which are involved in direct mail advertising, jumped from 26th place in 200 1 to 2nd place, and their business income increased by 588.42%. Another new list ranks 22nd in the revenue ranking. It can be seen that DM advertising has been paid more and more attention by the advertising industry and merchants, with rapid business growth and huge development space.

Difference between DM magazine and traditional periodical

DM magazine has developed rapidly in China in recent years because of its strong pertinence, accurate delivery, fierce information offensive and free reading. It uses data processing technology such as marketing database and has a completely different style from traditional media such as radio, television and newspapers. Traditional periodical is a special commodity with its unique profit model. Not only can you make a profit by selling the media itself, but you can also make a profit by selling its communication effect, that is, by selling the magazine itself to achieve audience exposure. At present, magazines going to the market increasingly rely on the effect of sales communication as their main profit point.

First, the characteristics of traditional journals:

1. problem

At present, there are more than 8,000 kinds of periodicals in China, among which about 5,300 kinds of magazines have a circulation of less than 10000, and most of these magazines take distribution as their main income. In addition, there are more than 23 magazines with a circulation of one million, such as Family, Story Club and Readers. And their main income also comes from distribution income. For example, of the nearly 200 million annual income of Reader in recent years, 65.438+0.8 billion comes from distribution income, and advertising income only accounts for about 654.38+00%.

2. Homogenization

Almost all financial magazines are founded for senior managers; Almost all car magazines are made for car buyers and car owners; Almost all fashion magazines are aimed at young white-collar women, and many magazines have similar readers. If you subdivide it, the positioning will be a bit vague.

3. Data

At present, the highest reading rate in China is still comprehensive magazines; Hobbies are also magazines with good reading rate; These magazines generally take distribution income as the main source of income, and advertising income accounts for little or no; These magazines are generally black and white newsprint pages, and some magazines have color inserts; The retail price is relatively cheap, around 3-9 yuan; Most of these magazines are popular books with a wide range of readers, but they are not complicated.

4. Features

In the past, magazines were an important tool for the state and government to publicize guidelines, policies, laws and decrees, as well as academic exchanges, information and improving people's quality of life. Over the years, the development of magazines has also been centered on political influence and social benefits. In recent years, some periodicals began to be self-financing and went to the market. With the permission of the competent unit, various capitals also began to intervene. Except for a few magazines that move towards market capital operation, the political nature of most magazines still dominates.

5. System

At present, the editors of some magazines are institutions, the sales force is capital investors, and the distribution force is postal departments and publishing houses. Due to the disunity of the three systems, many magazines have bottleneck effects in all aspects of overall operation.

Due to the huge number of periodicals in China's market, many kinds of periodicals with strong brands have not yet been formed, and the good value-added of the periodical market (the average investment of mass media can generate benefits in eight years, which is much faster than the 10- 15 years of traditional industries such as medicine, consumer goods, banking and construction, and the period of establishing a successful media brand in China can be shortened by 2-4 years) makes various capitals flood in.

Second, the characteristics of DM magazine:

1. problem

Different from traditional periodicals, DM direct-feed magazines may have their distribution mode and the advantages of free reading. In the operation of periodicals, there is actually another advantage of this distribution method, that is, your magazine can enter the hands of readers without any choice obstacles. Because it's free, you don't have to spend so much effort to think about how to make a show in content planning or cover planning to attract people's attention. DM bypasses this step. In content operation, DM is much simpler than the characteristic requirements of traditional journals.

2. Objectives

DM magazine is different from other traditional advertising media. It can select the target object pertinently and reduce waste. Is to directly implement advertising promotion for pre-selected objects. Customers often have a sense of superiority that other traditional media can't match, which makes them pay more attention to the advertised products independently. One-to-one direct transmission can reduce the objective volatilization in the process of information transmission and maximize the effect of advertisers.

3. Professionalization

The readership of DM magazine is clear, and the readership is relatively concentrated and stable, so it is more effective to adopt the point-to-point directional distribution method. This is also the characteristic of DM magazine, which does not pursue the absolute quantity of distribution, but the effectiveness of distribution. It is difficult for ordinary readers to understand professional journals, and it is impossible and unnecessary to improve them. Because the advertisements of trade magazines are also effective and depend on the advertisements of suppliers in the upstream and downstream of the industry value chain to survive, readers who are specific in the industry and have certain purchasing decision-making power and discourse power are often the most concerned by customers, and no matter how many other readers are, they are also invalid. Moreover, printing is becoming more and more exquisite now, and the printing and distribution cost is often higher than the distribution income. However, after reaching a certain circulation, the advertising volume does not increase with the circulation year-on-year. Therefore, many DM magazines have to control their circulation, find the best balance between advertising and distribution, and maximize their benefits.

advertise

The form and content of DM direct supply magazines are highly unified, and the reading rate is improved. Readers are recipients of commodity information. Direct advertising enriches the media level and plays a role in guiding consumption. At present, DM advertising accounts for nearly 1% of the advertising market in China. Compared with foreign countries, there is huge room for growth. Nowadays, advertising has become the main source of media income, and DM media with high click-through rate will have great attraction to advertisers.

Three. general survey

With the entry of foreign capital into China's periodical industry, it will develop in depth with the gradual liberalization of China's media industry. Generally speaking, the investment methods of periodicals mainly include copyright cooperation, franchise and joint investment. At present, most foreign periodicals enter China in the form of copyright cooperation between China and foreign countries. Take fashion journals as examples, such as Fashion, Ruili, World Fashion Garden and Rainbow. Almost all successful magazines have the background of copyright cooperation between China and foreign countries.

However, with the gradual liberalization of the periodical industry, many large and well-known foreign periodicals will not only be satisfied with copyright cooperation, but will certainly operate chinese magazine independently and make localized content. Therefore, the market competition will become more and more fierce, and it is inevitable that some domestic periodicals will be impacted.

With the prosperity and development of periodical industry, the profit model of periodicals will shift from distribution income (such as readers and other popular cultural periodicals) to advertising income (such as fashion periodicals and financial periodicals). This is the so-called advertisement. Accordingly, the proportion of advertisements in periodicals will become larger and larger, the design will become more and more exquisite, and the requirements of advertisers will be considered more and more from the content planning. The development trend of full-color thick magazines is gradually derived from advertisements.

DM magazine attracts more and more people to join the ranks of DM magazine with its unique charm. But for DM magazine, it is by no means peanuts, and it is difficult to succeed. Because the possession and investment of channel resources are always the two lifelines that determine the development of such magazines. The former affects the accuracy of the target audience, thus determining the advertising effect, and the latter is the income of DM magazine; The latter is the basis of media operation with only investment and no income in the early stage, because it takes more than half a year for a new magazine to be recognized by advertisers.