Does direct marketing need to have a direction?

Abstract

This article proposes that direct marketing does not need to have a direction (i.e. that of the firm seeking out customers). Effort spent on seeking customers could also be spent on compelling customers to seek out the firm, through increased product choices. Applying information economics into marketing, the paper provide examples as well as principles on how to design products that also assist marketers to segment through self-selection. The firm should therefore closely weigh the cost of reaching out to customers (with high wastage) against the cost of producing an array of products such that each consumer’s choice is market-separating and that draws the customer to the firm.