Direct marketing strategies have gained popularity in the banking, real-estate, telecommunication, consumer products, information technology, insurance and cosmetics businesses, as well as in service industries, including hotels, and the entertainment industry, according to OgilvyOne's managing director, Kanokporn Nitheranont.

Last week, OgilvyOne Worldwide won 49 of 64 annual awards presented to marketing and advertising agencies by the Thailand Direct Marketing Association.

Kanokporn said some companies, such as manufacturers of consumer products, used about 10 per cent of their overall marketing budgets on direct marketing while others, particularly those serving niche markets, tended to concentrate on direct marketing to the exclusion of all else. Credit-card operators are among the latter, she said.

The economic situation has been a great challenge to these advertisers.

Another challenge has been the emergence of many new competitors in various industries.

However, according to the evaluations of OgilvyOne's customers, direct marketing techniques have resulted in sales increases of between 5 per cent and an impressive 50 per cent.

Kanokporn said direct marketing strategies had been used in Thailand for decades, and were among the first campaigns undertaken by her agency when it began business here in 1986.

Advertisers that have creative ideas with good implementation strategies that lead to strong bonds between them and their customers will lead the field in direct marketing, she said. Saharath Sawadatikom, OgilvyOne's management partner - creative, said that in the past direct marketing had focused on sending mail directly to targeted customers.

However, technology and creative development has led to new forms of direct marketing, including posting advertisements on websites, outdoor media channels, television and radio and sending messages to the mobile phones of targeted customers in a way that stimulates curiosity and interaction.

Direct marketing has also blurred the line between above-the-line advertising, involving traditional media like television, radio and billboards, and below-the-line advertising. The below-the-line segment focuses on marketing activities and campaigning.

Kanokporn said many companies were still applying direct market strategies incorrectly, and are losing their money as a consequence.

Among these are the banks, which have in their customer databases much useful information about their customers and how they should be treated, but they do not seem to use it.

Last week's landslide of direct marketing awards marked the second year that OgilvyOne has led the field in direct marketing.

The Leo Burnett agency came in second, with nine awards.

Nitida Asawanipont

The Nation