What
is an appropriate DRTV budget?
Wisely managing your budget is of critical importance.
If the budget is too low – your message will not
capture the attention of, or resonate with, your audience
and you become invisible. Of course, if the budget is
too high you may never recoup the original investment.
It’s all about balance.
If your primary criteria for developing budgets is
the “lowest cost possible” and “speed
of development” you risk dooming the entire effort
before you even get started. Criteria #1 must always
be: What actions are required to positively impact the
target audience we seek? If you fail to do that it won’t
matter how much you “saved” on marketing.
All your investment (not just marketing) will have been
wasted. Our advice to those who don’t want to
ante up the appropriate amount to get the job done?
Do nothing – save your money.
Connecting the dots...
At the center of your campaign is the development of
your TV commercial. But that is only one of several
components that must be seamlessly integrated into a
single, targeted effort. Let’s look briefly at
those components now – the average DRTV effort
includes: (note DRTVtools provides components in green)
| 1. |
Product positioning
– Branding and packaging the product |
| 2. |
Web site development
– with ecommerce capability |
| 3. |
Online marketing
– lead generation capabilities |
| 4. |
TV production – short form
or infomercial |
| 5. |
Media planning/buying –air
time in select markets |
| 6. |
Fulfillment – call center,
assembly, warehousing and shipping |
| 7. |
Retail placement
– positioning in specialty and chain stores |
DRTV average campaign costs
for 2006
The links at top of next column provide overview process
descriptions and cost ranges for all DRTV component
(based on market averages in 2005). The costs range
from $40,000 for a short form spot with simple support
components to $400,000+ for development of an infomercial
with full marketing support components.
|
The
DRTV puzzle pieces:
Branding/Packaging
Strategic planning: Assessment of
details regarding product positioning, fulfillment,
distribution and budgets. Recommendations and concept
options based on criteria.
Branding development: Creation of
a relevant and compelling identity that meets strategic
criteria.
Packaging development: Creation of
packaging that highlights product attributes and meets
strategic and placement criteria.
Print production: Management of production
to meet quality, cost and schedule requirements.
Project timeline: Start to delivery
Branding: 4 to 6 weeks (average)
Packaging: 8 to 12 weeks (average)
Total: $6,000 – $18,000+
(depending on scope and complexity of project. Not including
printing or shipping costs)
The DRTVtools team has over 3
decades branding and packaging experience. See
samples
|