hawthorne direct introduces the Entrepreneur’s Advantage offering media and inventory funding to DRTV marketers

FOR IMMEDIATE RELEASE

Fairfield, IA - hawthorne direct, the premier direct response TV advertising agency, introduces the industry’s first comprehensive funding program to cover the entrepreneur’s cash needs to rollout their DRTV hit.  The Entrepreneur’s Advantage boasts media and inventory funding for DRTV marketers. 

Timothy R. Hawthorne, founder chairman and executive creative director said, “We understand the challenges an entrepreneur faces in creating a successful DRTV campaign.   Having too little capital on the front end can cost millions in lost opportunity revenues and opens the door to knock-off products.  Our Entrepreneur’s Advantage program provides marketers with media roll out and/or inventory financing funds while letting the marketer keep control.  Our program provides entrepreneurs with the buying power to control their DRTV campaign and maximize response levels from the beginning.”

Hawthorne said, “Entrepreneur’s Advantage was designed to offset initial DRTV costs of media and inventory.  Entrepreneur’s Advantage is to help encourage more entrepreneurs to enter the DRTV arena.  And, for a limited time, hawthorne is offering special discounted rates on the package of media funding and media buying.”

Media funding provides the necessary capital to fund the media buys for growing DRTV campaigns.  hawthorne direct will fund the media rollout once a DRTV program has been successfully tested by the hawthorne direct media team.  Media funding costs are included as part of the standard media buying commission for purchased airtime.

hawthorne direct’s partner, ICG, provides a way for marketers to have the entire inventory needed to fulfill orders quickly and grow a business.  ICG purchases inventory from the manufacturer and holds it on the marketer’s behalf.  ICG charges a mark up and stocking fee for its services.  Fees are based on the amount of inventory purchased and usually are less than 2% of gross sales.  The marketer remains in control of day-to-day operating decisions.

For most marketers a substantial investment is required to launch a product via DRTV.  The costs involved include revenues required to develop a product, have a DRTV commercial produced, pay for a media test, pay telemarketing and fulfillment set-up fees and deposits and manage other costs associated with getting a DRTV campaign off the ground.  Then, once a campaign tests successfully, there are two primary factors that can limit a campaign's success:  

1. Insufficient cash flow from the business to support the media spending levels necessary to make a campaign successful.  Keeping in mind that most TV stations require receipt of DR media funds two weeks in advance of airing, so marketers are paying for media long before income is generated from the media buy.

2. Limited terms with vendors make it difficult to finance the inventory needed to keep up with the TV sales that are being generated. 

This creates a cash flow problem for many companies who are in the early stages of getting a new product off the ground.  Joint ventures or distribution deals are an option for some companies but generally require giving up control of the DRTV campaign.  For entrepreneurs who don’t like the idea of giving up a substantial portion of their profits the Entrepreneur’s Advantage is an excellent option.

hawthorne direct is a full-service direct response advertising agency, specializing in creative and production, long and short form media buying, telemarketing/fulfillment management and integrated marketing.

For more information about hawthorne direct please see:www.hawthornedirect.com