Why are E-Commerce Start-ups Opting to go Below the Line (BTL)?

After the recent success of the E-commerce giants such as Flipkart, Amazon etc., there have been many studies into their unique structure and choice of marketing strategies. One such dissertation leads us straight to Below the Line (BTL) Marketing or experiential marketing.

For the uninitiated, BTL or experiential marketing is a strategy used for advertising whereas advertisers ditch conventional mediums such as radio, television, film, billboards etc. The responsibility of the promotion of the product falls on more personalized mediums that focus on creating a direct connection to potential buyers. The most common example of the same can found in your inboxes, how your favorite e-commerce website
provides you with personalized updates.

Apart from being of progressive nature, it stresses on the use of non-media mediums for communications such as telemarketing, mails, brochures etc. BTL or experiential marketing is the perfect measure of new innovative measure such as sponsorships plus the old school classics such as door to door selling, touchpoint based activations etc.
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Adoption of BTL or experiential marketing has its benefits, such as:-

• The direct reach which helps maintain a personal connection with the customers.
• Less Investment as compared to other tools of advertising.
• Customization as per user preference possible.
• Better feedback.
• Assists in making promotional offers more effective
• Quantification of leads and results possible
• BTL techniques are flexible therefore running trials is easier

BTL techniques are flexible therefore running trials is easier.

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• Direct Reach and stronger connection

Non- media methods may be unconventional but provide a deep- seated reach which provides the opportunity to create a bond between the business and the customer. Personalization ensures that their needs are catered to in newer ways which help these start-ups break the ice with their consumer base and mark the start of a lasting relationship.

• Marked promotion

BTL techniques are very flexible and smart, this allows room for customization and segmentation. Leads can be separated as per regional differences and preferences, in turn making the promotional schemes more
effective. Initially, promotional schemes might be their strongest attraction and therefore, their efficiency is of top most priority.

• Better response rate

It is only obvious that if you serve something on a silver platter, it is more desirable. In case of E-commerce, there is lack of presence of attention and therefore it is important to compensate that with other methods. When trying to expand, BTL or experiential marketing techniques ensure that the customers feel special and taken care of. This, combined with the easy availability of data leads to better response rates.

• Easier Analysis

One of the more common consequences of applying techniques is a complicated result, it is more than often very difficult to comprehend what the data is trying to say. However, the same is not the case with BTL, results are
very simplified and displayed using the most basic structure. Leads are quantifiable and the effect of promotion can be easily seen.

• Better Return on Investment

Low cost plus effective promotion plus an increase in quantifiable leads plus better response rates equal to a considerate ROI (return on investment). The significance of which cannot be denied while running any kind of business, especially if you are fresh in the field.

Here are few of the ways E-commerce start-ups have impressed their customers-

• Sponsorship
• Direct Mails
• Contests
• Loyalty programs
• Free Samples
• Small town Activation
• Rural Campaigns etc