Marketing Channels
Marketing Channels are the methods you use to communicate your marketing message to your Target Market. These could be anything from buying Google ads to airing a television advertisement. The possibilities are endless, but they all have their inherent strengths and weaknesses, depending on your needs and on the habits of your Target Market.
On the one hand, a newspaper advertisement can usually be targeted to specific geographic areas, can be as large or small as necessary, can offer repeat exposures with only one placement, and is reasonably inexpensive.
On the other hand, a newspaper print advertisement has a short shelf life (it is rarely read the day after it comes out), blends in with a whole host of other advertisements, suffers from poor production quality, and is sent to a broad cross section of individuals, many of whom may not be part of your Target Market.
The following questions will help you identify the Marketing Channels that will work best for your business.
Costs — How much money have you budgeted for your marketing channels? What can you afford to spend per lead? How about per sale? This will depend on your average annual profit per new customer.
Coverage — What geographic area, quantity of prospects, and/or quality of prospects do your marketing channels need to cover?
Impact — Different types of channels will support different types of impacts on your prospects. YouTube ads and other form of video for example, are a good choice for emotionally-charged advertisements, whereas online whitepapers or newspaper advertisements are a good choice for presenting a logical argument. In general, the greater the sensory impact the better, but this must be weighed against your other requirements. The costs associated with a television ad, for example, may outweigh the benefits. Especially if your Target Market doesn’t watch much television, whereas YouTube ads may work perfectly. What type of impact do you wish your marketing to have on your prospects?
Creditability — Certain channels, such as a well-respected trade magazine or websites for example, may add credibility to an advertisement. What types of channels might lend credibility to your marketing?
Special Requirements — What other special requirements do you have of your Marketing Channels? If you need to include detailed information, for example, then an option that allows for a great deal of text may be important.
Fits with your Marketing Strategy — What aspects of your Marketing Strategy might impact your choice of Marketing Channels?
| Print Channel | Advantages | Disadvantages |
|---|---|---|
| Newspaper | Targeted to specific geographical areas Flexible in size and shape Economical in price One placement offers repeat exposures | Short shelf life (typically one day) Mixed in with other advertisements Poor productions quality (especially photographs) Seen by a broad market, many of whom may not be in your Target Market |
| Magazines | Highly targeted to specific markets Flexible in size and shape One placement offers repeat exposures High quality reproduction Longer shelf Life High credibility “Pass along” readership | Higher costs Long lead-time for placement (generally 90 days) |
| Trade Directories | Targeted to specific geographical areas Highly targeted to specific markets Repeat exposures Reasonably inexpensive Pass along readership High credibility Held for future use (one year) Economical in price One placement offers repeat exposures | Low production quality You are listed beside all of your direct competitors (not all bad) Long intervals between updates You must pay for a full year |
| Catalogues | Can be targeted to specific markets Repeat exposures High-quality reproduction Completely flexible layout Responses can be easily tracked | Junk mail image (sometimes) Long lead times for designing and printing Higher costs than most per prospect Can be expensive |
| Flyers | Highly targeted to specific markets Completely flexible layout | Junk mail image Quickly discarded if not used immediately |
| Brochures | Highly targeted to specific markets High-quality reproduction Completely flexible layout Information-rich medium | Long lead times for designing and printing Higher costs than most per prospect |
| Newsletters | Highly targeted to specific markets Completely flexible layout Held for future use if it contains useful information (length of time varies) High credibility Information rich medium “Pass along” readership if it contains useful information | Long lead times for designing and printing Higher costs than most per prospect (unless a fee is charged) |
| Direct Response Channel | Advantages | Disadvantages |
|---|---|---|
| Direct Mail | Highly targeted to specific markets Highly trackable results Completely flexible layout Information rich medium | Junk mail image Quickly discarded if not used immediately Can be expensive |
| Catalogues | Can be targeted to specific markets Repeat exposures High quality reproduction Completely flexible layout Responses can be easily tracked | Junk mail image (sometimes) Long lead times for designing and printing Higher costs than most per prospect Can be expensive |
| Can be targeted Can be trackable Completely flexible layout Inexpensive Information-rich layout | Easily discarded Junk mail image (if not designed properly | |
| Telemarketing | Highly targeted to specific markets Trackable results Highly personalized message Fully interactive process (questions can be instantly answered) Information rich process Prospects can be instantly engaged in the sales process | Can be expensive Negative image of telemarketing may be harmful to some businesses |
| Door to Door | Highly targeted to specific markets Easily trackable results Highly personalized message Fully interactive process (questions can be instantly answered) Information rich process Prospects can be instantly engaged in the sales process (especially when your business is B to B) | Can be expensive Negative image of door-to-door sales may be harmful to some businesses |
| Coupons | Highly targeted to specific markets Highly trackable results Completely flexible layout | Junk mail image Quickly discarded if not used immediately |
| Special offers | Highly targeted to specific markets Trackable results Completely flexible layout | Junk mail image Quickly discarded if not used immediately |
| Broadcast/Electronic Channel | Advantages | Disadvantages |
|---|---|---|
| Television | Ability to reach a great number of prospects locally, regionally or nationally Targeted to specific demographic profiles Capable of a powerful, multi-sensory impact | Short exposure time (typically 30 sec.) Multiple exposures typically needed to generate a response Can be very expensive Complex production needs |
| Video (YouTube, Vimeo, etc.) | Ability to reach a great number of prospects anywhere in the world Targeted to specific demographic profiles Capable of a strong sensory impact Cost effective Can be highly targeted towards a specific customer profile | Maybe limited market access for some industries Could become dated |
| Internet & Social Media (Google Adwords,LinkedIn, Groupon, Facebook, Twitter, Instagram, Pinterest mobile apps etc.) | Repeat exposures (if content rich) Information-rich medium Capable of strong multi-sensory impact Completely flexible layout Interactive capabilities Highly flexible Prospects can be instantly engaged in the sales process Cost effective, considering functionality and flexibility Continuous improvement potential | Lack of access to some markets (currently reaches only the computer literate) Typically, prospects must find you Un requested e-mail solicitation suffers from “junk mail” image (Spam) Can be expensive depending on your needs |
| Radio | Ability to reach a great number of local and regional prospects Targeted to specific demographic profiles Capable of a strong sensory impact Reasonable cost | Total market saturation may require advertising on more than one station Short exposure time (typically 30 sec.) Complex production needs Multiple exposures typically needed to generate a response |
| Display/Outdoor Channel | Advantages | Disadvantages |
|---|---|---|
| Signage | Potential for high visibility Can grab attention quickly Flexible in size and shape Repeat exposures Low cost | Visibility dependent on location and size Limited potential for content Limited ability to target demographics |
| Billboards (including sandwich boards, bus stop benches, etc.) | Potential for high visibility Can grab attention quickly Repeat exposures | Visibility dependent on location and size Limited potential for content Limited ability to target demographics |
| Transportation advertisements (e.g. buses, trains) | Potential for high visibility Can grab attention quickly Repeat exposures | Limited ability to target demographics Limited potential for content |
| Novelty (e.g. inflatables, spot lights, bumper stickers | Potential for high visibility Can grab attention quickly | Visibility dependent on location and size Limited potential for content Limited ability to target demographics Represents an image that may not be appropriate for all businesses |
| Word of Mouth/Referrals | Highly targeted to specific markets Attracts highly-qualified prospects Extremely low cost Is an essential component of a strong promotional program | Does not always come automatically (you must often ask for a referral before you get one) Comes in relation to your quality and customer service levels |
| Promotional/specialty items (give-aways) | Can grab attention quickly Repeat exposure May encourage word of mouth promotion | Can be expensive Inappropriate for some businesses Appropriate items can be difficult to locate |
| Special Events/Promotions | Advantages | Disadvantages |
|---|---|---|
| Public Speaking | Highly targeted to specific markets Can include an interactive component (questions can be instantly answered) Information-rich process Can be well targeted to appropriate markets Extremely high credibility Low cost Capable of a powerful, multi-sensory impact | Can be difficult to arrange Can be difficult to execute properly |
| Trade shows and business conventions | Highly targeted to specific markets Easily trackable results Fully interactive process (questions can be instantly answered) Information-rich process Capable of strong multi-sensory impact Prospects can be instantly engaged in the sales process | Can be expensive Labour and resource intensive Extensive preparation time |
| Contests | Can grab attention quickly May encourage word of mouth promotion Easily trackable results | Junk mail image (sometimes) May attract those outside of Target Market Can be expensive depending on prize and other promotional costs |
| Publicity and Public Relations | Ability to reach a great number of prospects Can be well targeted to appropriate markets Extremely high credibility Low to no cost Information rich | Not under your control so content, placement, and coverage are unpredictable |