Download Key Terms

cost per inquiry (CPI)
The number of inquiries generated by a direct-marketing program divided by that
program's cost.
cost per order (CPO)
The number of orders generated by a direct-marketing program divided by that
program's cost.
cross-selling
Marketing programs aimed at customers that already purchase other products.
direct mail
A direct-marketing medium that involves using the postal service to deliver
marketing materials.
direct marketing
According to the Direct Marketing Association, "An interactive system of marketing
which uses one or more advertising media to affect a measurable response and/or
transaction at any location."
direct response advertising
Advertising that asks the receiver of the message to act immediately.
external lists
Mailing lists purchased from a list compiler or rented from a list broker and used to
help an organization cultivate new business.
frequency-marketing programs
Direct-marketing programs that provide concrete rewards to frequent customers.
infomercial
A long advertisement that looks like a talk show or a half-hour product
demonstration.
internal lists
An organization's records of its customers, subscribers, donors, and inquirers, used to
develop better relationships with current customers.
mailing list
A file of names and addresses that an organization might use for contacting
prospective or prior customers.
marcom manager
A marketing-communications manager who plans an organization's overall
communications program and oversees the various functional specialists inside and
outside the organization to ensure that they are working together to deliver the
desired message to the customer.
marketing database
A mailing list that also includes information collected directly from individual
customers.
RFM analysis
An analysis of how recently and how frequently a customer is buying from an
organization, and of how much that customer is spending per order and over time.
telemarketing
A direct-marketing medium that involves using the telephone to deliver a spoken
appeal.