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Distinguished guests, ladies and gentlemen:
It's a great honor to be invited to speak about Direct Marketing
for publishing industry at this very first BIBF. Before I
go any further, a more specific detail of Book Direct Marketing,
I'd like to mention first about people's general needs and
their need for books.
Prelude:
In ancient Chinese literature, there is a saying that a good
government ought to satisfy its people's needs based on such
order of priorities as food, clothing, housing, traveling,
education, and recreation. As a matter of fact, I will assume
that this kind of hierarchy of satisfaction that fits people's
needs applies to all nations, races, and territories. We then
can see from here that the need for books is only ranked to
the last two needs.
Therefore, we may say that, comparing to other material needs,
our need for books appears to be not so urgent and not so
important. In other words, books are nothing but derived or
indirect need for us. From here, one reference can make. If
we should enhance people's need for books, we will then need
a very powerful push and stimulation to achieve.
As an international book fair is a very important marketing
activity and event for any book publishing industry, like
every international book fair in other countries, "Bangkok
International Book Fair" requires sponsorship or financial
supports from government units, also from publisher's associations,
institutions, and from academy, publishing committee, and
so forth to be able to succeed. In the same regard, the individual
publishing houses should always try to pursue every better
marketing strategy and methods for their publication at any
given period of time. That is why this topic of my speech
turns out to be very critical for this seminar at this fair.
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Brief Profile of "Children's Publications
Company Limited":
On behalf of Children's Publications Company, I would like
to express again my sincere appreciation to the organizer
of Bangkok International Book Fair for inviting me here to
share with each and every one of you my thoughts and ways
about direct marketing for children's books and other associated
publications
For the past 25 years, I have been working with the world
famous publishers, like Time, Newsweek, Wall Street Journal,
Time-Life Book, Reader's Digest, World Book, and Britanica
Encyclopedia from which I have gained enormous experience
in marketing, distribution, and publishing operation. Then
during the last decade, I have been publishing books in Chinese
edition in such areas as traveling guides, fairy tales and
children's literature, art books for children and families,
picture atlas, etc. I also do marketing and distribution for
picture books and magazines. Later in 1994, I established
my very own publishing house, "Children's Publications
Co." which is defined as a multi-media publishing company
for target readers at the age group of 0 to 12 and their parents
as target buyers. In less than 10 years, we have already published
over 500 titles of books and items of related publishing products
like CD-ROM, DVD, audio CD, etc.
From the year 1999 up to 2002, we have enjoyed 300% growth
in a very small yet shrinking market of children's books in
Taiwan. The main reasons behind this significant success of
CPL, personally I think, should attribute to the excellent
marketing strategies and very effective and creative ways
of using the sales channels.
We have now 350 or so sales representatives in 15 sales offices
all over the island. And 95% of our revenue comes from Direct
Marketing Channels; only 5% from trade channel. Besides, the
annual turnover to final book buyers turns out to be around
15 million US dollars.
In light of this company's brief introduction, now, I would
also like to give all of you some Market Overview for Children's
Book Industry in Taiwan:
◎ Major children's book publishers:30~50 units
◎ Annual turnover for total market of children's
books: US$50~80million
◎ New titles published per year: 3,000 titles.
◎ Book stores available for children's books: 500 outlets
◎ Keen competition for decreasing potential readers and buyers
For remarkable decrease of the number of
newborn babies:
1960 to 1990: 300,000~400,000 newborn babies (three or four
decades)
1990 to 2002: 300,000~200,000 (last decade)
2002 ~ : 180,000 only
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What "DIRECT MARKETING"
Is:
Direct mailing: build up the prospects
(or potential customers) data bank first, then created the
DM package, and mail them out, and receive orders.
Tele-marketing: receive orders through telephone persuasion
and communication by capable, ambitious and professionally
trained telephone sales persons.
Catalogue sales: design and prepare appealing catalogs,
then send them out to the addresses rented from credit card
company. We then receive orders from the pre-supplied reply
mail.
Newspaper & magazine ad sales: place advertisements
with special offers coupon or the like on newspapers or magazines
to stimulate the reader's buying desire. Then we get the instant
direct response orders.
Door-to-door sales: hire well-trained sales representatives
who are capable of selling and are well prepared for the frustration
from the reject of customers to visit our prospects at their
places (either their home or work place).
Internet sales: post everything about our products
on to the internet including product descriptions, pictures,
sound, benefits of the product, special features, special
offers, etc., interested website visitors will then place
their orders directly on line.
TV shopping: use shopping channels on cable TV to run
the pre-taped product presentations around the clock, TV viewers
can call up the order hot line to place orders.
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Why "DIRECT MARKETING"
are more effective to sell children's books:
Trade Sales ( via bookstores) VS. Direct Marketing
(via channels)
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Trade Sales ( via bookstores)
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Direct Marketing (via channels)
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high and fix cost for bookstore rental & personnel
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high and flexible cost though using non- store sales
channels.
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Availability of the in-store display shelves and spaces
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potential customer list hard to collect, and costly.
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limited number of displayed titles
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only limited or focused titles on catalog or product
list for customers to select
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high damaged and return rate
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Aggressive selling to pre-selected customers
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passively waiting for customers to visit
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Comprehensive knowledge of product and marketing and
have much field experience.
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Store clerk lack of knowledge of titles availability;
poor and passive attitude toward customers
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Professionally trained sales representatives with practical
marketing information and supports
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No good services can be offered to customers
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satisfaction guaranteed services offered to customers
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Low entry requirement to run a single bookstore
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Capable of stimulating and creating the needs for books
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Successful Factors for Children's
Book Direct Marketing Company.
◎ A complete list of product lines that matches
the needs of mainstream market
ex. Picture books+audio CD+CD-ROM+toys
◎ Practical and professional training of product knowledge
and selling skills
◎ Produce well designed catalogue and sales kits
◎ Provide fast and efficient delivery service, payment collection
system, satisfaction
guaranteed service, and easy payment installment plan to
customers
◎ Offer attractive commission, bonus schemes and contest awards
to sales persons
◎ Organize touring exhibitions of the original illustrators'
works for picture book in
order to promote the artist and the company images.
◎ Conduct Seminars, symposium of pedagogic material, sharing
of curriculum
design using our books as contents or topics to build up
good relations among
teachers' group
◎ Donate picture books to the poor communities or school libraries
in the rural
areas to cultivate potential market of children's book in
the future.
◎ Books received awards and recognition, and recommended by
the professionals,
scholars, and official units for good reputation and credit
of any publishing
company.
◎ Employ cross marketing strategies in order to generate the
effect of marketing
synergy and to penetrate different aspects of markets.
Ex. Door-to-door+TV shopping
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