Elements and Performance Criteria

RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Types of direct marketing activity may include:
advertising program such as:
collecting data from advertisers to send a prospect to a third party
prospect responding to advertiser
purchasing a product or service from a third party
distribution program such as:
direct purchase of product or service from advertiser
innovation program
Direct marketing objectives may include:
net growth of customer base through:
increase in acquisition
reduced attrition
increased relationship building
target sales in units and dollars
Performance gaps may include:
low response rate
cost per response too high
average order too low
Corrective actions may include:
dropping under-performing segments
increasing frequency of contact to existing lists or audiences
offering inducements to purchase greater volume
testing or using more attractive offers
testing or using new lists or audiences
using less expensive communications tactics
Costs may include:
maximum profitable acquisition cost at current lifetime value of new customers
maximum profitable cost to generate average sale from existing customer segments
Methods to measure and report effectiveness may include:
annual attrition rate
gross profit per message transmitted
net response rates
ration of marketing cost to sales income

EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
developing a documented direct marketing plan providing information on the:
objectives of the direct marketing activity
type of direct marketing strategies and activities to be undertaken
analysis of previous data and any corrective actions taken
budget
methods to measure effectiveness.
Context of and specific resources for assessment
Assessment must ensure:
access to office equipment and resources
access to previous direct marketing activity data.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
analysis of responses to case studies and scenarios
assessment of written reports
demonstration of direct marketing planning techniques
direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
observation of presentations
oral or written questioning
review of authenticated documents from the workplace or training environment
review of testimony from team members, colleagues, supervisors or managers.
Guidance information for assessment
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
other marketing units
advertising units
sales units.