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By Doug Garnett, Atomic Direct
*Published in Electronic Retailing, June 2005
In the old world of the three networks, TV only made sense for high-volume, mass-market products. TV was too expensive for most niche products.
In today's world of 500 channels, this is no longer true. With new expansions in cable, there is now opportunity to develop smaller, "niche" products with television advertising.
But to tap TV's powerful communication for a niche product, you need DRTV. DRTV will reach highly targeted audiences at a dramatically lower cost as long as you sell through retail channels (not just TV), stay away from old-school DRTV, and learn some key lessons from current niche successes.
One great example of a current niche success is the half-hour infomercial which Drill Doctor runs for their Drill Bit Sharpener.
This campaign has been on the air for four years and targets a market so specialized that nearly half of purchasers own arc welders. Despite this, Drill Doctor recently passed the "two million sold" with a campaign that drives the vast majority of sales through the retail channel. A critical component of this campaign's success is reaching out to new TV purchasers. Fully one third of Drill Doctor's TV sales come from people who have never bought from TV.
Unlike the latest product to develop your abs, niche campaigns fail if they rely on common DRTV infomercial formulas such as "yell and sell".
On the other hand, neither is it useful for a DRTV ad to feel like a traditional ad wannabe. Rather, the goal of successful a DRTV ad is to make sure it communicates with your consumer, giving them the accurate information they want and need so they can make informed purchasing decisions.
We've found that new TV purchasers stay tuned to communication that's credible. But they turn DRTV off when they get a whiff of anything that smells like "BS" such as is typically associated with classic yell & sell or beautiful, but overproduced testimonials.
Relying on traditional media resources is the way to niche failure. So to succeed:
Before Walmart, there was an excellent array of specialty retail stores. Niche products were regularly introduced and marketed through these stores because the stores offered consumers a place to learn about product from knowledgeable sales help.
But now specialty stores have been overtaken by mass merchants. And retail has become a place consumers buy without information. In our research, we've seen how DRTV takes the place of the specialty store while driving purchase through mass outlets.
Shouldn't you consider building your niche success through DRTV's specialty store?