In catalog marketing, catalogs are mailed to a specified list of customers or provide physical catalogs to a group of people at stores in order to sell particular products. A catalog is a combination of at least eight printed pages which includes details of multiple products along with the identification of direct ordering mechanism. A complete line of goods is offered through catalogs by some stores. There are many direct retailers who place the catalogs of their product on the internet. The internet based catalogs are passive in nature and therefore need to be marketed electronically.
A 2010 study by the Direct Marketing Association reports that in 2010, marketers —commercial and nonprofit—spent $153.3 billion on direct marketing, which accounted for 54.2% of all ad expenditures in the United States. Measured against total US sales, these advertising expenditures generated approximately $1.798 trillion in incremental sales. In 2010, direct marketing accounted for 8.3% of the total US gross domestic product. In 2010, there were 1.4 million direct marketing employees in the US. Their collective sales efforts directly supported 8.4 million other jobs, accounting for a total of 9.8 million US jobs.
The Internet has made it easier for marketing managers to measure the results of a campaign. This is often achieved by using a specific website landing page directly relating to the promotional material. A call to action will ask the customer to visit the landing page, and the effectiveness of the campaign can be measured by taking the number of promotional messages distributed and dividing it into the number of responses. Another way to measure the results is to compare the projected sales or generated leads for a given term with the actual sales or leads after a direct advertising campaign. Some companies use conversion rate as a key metric while others use revenue as the key metric.
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