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Direct Response in Television Commercials: Super Bowl XXXIV
Introduction
The use of direct response is widely integrated throughout all advertising
media direct mail, catalogs, telephone marketing, newspaper, magazine,
television, radio, Internet, and other media. Direct marketing sales growth
continues to outpace overall sales growth in the U.S. economy, with direct
response ad spending comprising over half of total U.S. advertising expenditures5.
The most popular direct response mechanism is the toll-free number. In
the 30 years since the toll-free 800 number was first introduced, the
telemarketing industry has grown from seven million calls in 1967 to over
34 billion in 19976. In 1998, over $482 billion in goods and
services were sold through telephone marketing, while over $429 billion
were sold through direct mail. Total direct marketing sales in the U.S.
are expected to exceed $2 trillion by 20047.
Telephone-based, interactive technologies have become one of the most
powerful ways to attract, motivate, and retain customers. Telemarketing
is an established, cost-effective tool providing personal, two-way communication
at a fraction of the cost of face-to-face contact. Telephone media cut
through the clutter of traditional advertising, offering more opportunity
for consumer involvement than any other medium.
Researchers have found that a properly managed toll-free number offers
three principal benefits to a company: improved customer satisfaction,
leading to brand loyalty and increased sales; reduced customer service
costs; and increased customer information, leading to improved product/service
design, production, and delivery8,9. All of these factors relate
to building strong, long-term relationships with customers while keeping
costs low.
In addition to serving immediate prospect, customer, and company needs,
toll-free numbers provide a constant stream of information about prospects
and customers, allowing for better database management and staffing arrangements.
Knowing customer needs leads to clearer and more timely communications
with them.
Consumers have incorporated toll-free numbers into their daily activities
and use them for everything from ordering products to making financial
transactions. Toll-free numbers are free, easy to remember, convenient,
and simple to access. Researchers have found that over 50% of consumers
use toll-free numbers frequently, while only 3% never use them10.
Overall, 89% of consumers use them11, with one-third of Americans
making 60 or more toll-free calls per year12. Use of, and satisfaction
with, toll-free numbers increases with education level, as does the propensity
to order products rather than simply request information13.
According to Bank Marketing, 86% of customers associate toll-free numbers
with high quality products.
Toll-free numbers have achieved a high level of acceptance with a broad
range of consumers in many areas of the marketplace consumers have
even begun to expect organizations to have one14. Ten years
ago, only half of the nations largest firms offered toll-free numbers;
today, nearly 90% do. More than half a million businesses and government
agencies accept toll-free calls. Large businesses receive about 3,500
toll-free calls a week, compared with 260 letters or faxes15.1-800-FLOWERS,
a business based on its toll-free number, receives over 9 million calls
a year. On an average business day, 40% of the calls on AT&Ts
network are toll-free calls.
As companies continue decreasing their marketing and sales costs through
the integration of technology into their relationships with customers,
toll-free numbers will become an ever bigger part of satisfying both parties.
Objectives
This study documents the use of toll-free numbers and other direct response
mechanisms in television commercials aired during Super Bowl XXXIV. Our
objective was to see how prevalent direct response has become during this
program. We also wanted to learn which toll-free prefixes were being used
(800, 888, or 877), as well as which types vanity (numbers
that translate into words for easy recall; e.g., 1-800-NEW-CARS),
or numeric (e.g., 1-800-639-7543).
Methodology
On Super Bowl Sunday, January 30, 2000, all commercials which aired during
the football game were recorded, yielding a total of 70 commercials. For
each commercial, the following data were collected:
- Phone number
- Prefix (800/888/877)
- Vanity or numeric
- Prominence of phone number display
- Internet address
- Prominence of Internet address display
- Product/Industry
- Length of commercial
- Use of a voice-over of the toll-free number
- Use of a voice-over of the Internet address
- Advertiser
Published February 1, 2000
Copyright © 2000, 800 Response. All rights reserved.
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