Advertising for potential customers can be divided into two categories: online and offline advertising.
Although Internet-based advertising methods are becoming the mainstream, offline advertising is still effective for some industries and some target groups.
When using the internet, advertisements appear on the side of the screen or video viewing sites. These Internet-based advertising are called online advertising.
In contrast, offline advertising is advertising that does not use the Internet.
Unlike online advertising, offline advertising is considered important in today’s marketing because it can appeal to prospective customers at a low cost through such as targeted area distribution and direct delivery to prospective customers’ homes or faxes.
There are five main types of offline advertising:
- Four mass advertisement
- Traffic advertising
- direct mail
- Free newspapers and flyers
- Industry/Trade Newspaper
What are they?
TV commercials and radio commercials are the main examples and where most people associate the word “commercial” with TV commercials.
According to “Advertising Expenditures in Japan in 2020” published by Dentsu, the total advertising expenditures in Japan are 6,159.4 billion yen, of which 2,253.6 billion yen is for four-media advertising.
This advertising method has been mainstream since before the Internet became widespread. It is characterized by the fact that it is used by a large number of people and can be announced in a wide range. Making that the brand image can be aware or recognized.
However, the disadvantage to these advertisements is the costs and production are often quite high.
With many companies using Web advertising, what are the advantages of using offline advertising?
There are three advantages to using offline advertising.
- Easy to target areas
- Advertising can be targeted to specific industries
- Exposure is guaranteed
Offline advertising allows you to focus on the areas you want to reach.
For example, offline advertising is ideal for cases such as “I want to acquire customers for newly opened branches” or “I want to target people who use XX stations.”
On the contrary, here are some disadvantages of using offline advertising.
- Not suitable for all products and industries.
- It is difficult to change the content of the advertisement
- Difficult to measure effectiveness.
Offline advertising is suited for specific industries or when you want to appeal to users in a specific area, facility, or station. It is also not suitable when you want to develop a business centered on the Internet or when you want to develop sales transactions using an e-commerce site, for example.
Since it is not suitable for all industries, it will be necessary to determine whether offline advertising is appropriate for your products and industry.
A common method of measuring the effectiveness of offline advertising is to establish indicators such as the number of purchases or registered users after and before advertising.
According to one survey, 63.4% of advertising managers compare the results of their ads before and after they are placed.
This is an effective method that is easy to implement and the results can be easily seen when measuring trends in a specific single piece of data.
In this section, here are some successful cases of companies using NEXWAY’s FAXDM.
Pashiori Youth Co., Ltd. is engaged in the reuse business such as purchasing and selling commercial equipment.
The company’s method of acquiring suppliers was using tele-appointments, approaching several hundred companies per day, but the number of customers was not growing as expected.
Therefore FAXDM allows them to target specific industries according to their needs. The number of companies they approach has increased dramatically.
Although it is difficult to increase the number of contacts by phone, they utilize this system by controlling the number of DMs sent, such as sending additional DMs when we want to increase sales a little more while keeping an eye on sales figures.
In addition to this, they also carry out door-to-door purchasing to minimize travel time by sending DMs intensively to targeted areas.
In some cases, the response speed from customers was high, and the risk of omissions was low.
Village House Management Co., Ltd. operates more than 1,000 rental condominiums nationwide.
To expand brand recognition, FAXDM is a pillar of its sales strategy.
Since the culture of sending property information, such as floor plans, via fax is deeply rooted in the real estate industry, they determined that FAXDM is more effective than e-mail-based DM.
To increase the number of inquiries from brokerage firms, they used FAXDM to announce vacancies and rent changes to the 10,000 brokerage firms they maintained, as well as to announce campaigns for brokerage firms.
As a result of the above measures, the occupancy rate has doubled in about three and a half years. In response to these results, they are also using FAXDM for corporate contract sales.
TABISUL INC. Provides regular snack delivery services to nursing care facilities, educational institutions, and general companies.
Since nursing care facilities and educational institutions are less likely to sit at a desk and work at a computer, the company decided that a Web-based approach was not suitable for them and conducted field sales.
However, since faxes are an important means of obtaining information for nursing care facilities, the company made a major shift in its sales approach and began using FAXDM.
The response was even greater than expected, and they were able to reduce the cost per customer acquisition to one-tenth and increase the number of contracts to more than six times the previous level.
The number of customers they have totaled 4,500 locations, with a headcount of more than 90,000 people.
Although online advertising is currently the mainstream, offline advertising, which is easier to target areas and reach active users, can be expected to be effective even these days when the Internet has become widespread.
There are various types of offline advertising, and each medium has different targets, and purposes, with their advantages and disadvantages.
Offline advertising is often more effective than online advertising for certain industries, such as the nursing care industry, and you can expect higher effectiveness by using different types of advertising depending on the industry and the target audience you are targeting.