- Client: DirectBuy
- Product: Buyer’s Club Membership
- Price Point: Lead Gen
- Objectives: To introduce DirectBuy to consumers, and educate them on a new way to purchase products for around the home.
Founded in 1971, DirectBuy is the nation’s largest franchisor of membership-based buying centers, currently overseeing 149 franchised centers across the United States and Canada. DirectBuy provides its members the ability to purchase a broad selection of products directly from manufacturers at wholesale prices, saving on average 30%—50%, versus traditional retail prices. The objective of the infomercial campaign was to educate consumers on a new way to purchase products for around the home, by changing their purchasing behavior and cutting out the middle man.
The first DirectBuy infomercial campaign was launched in April 2002, followed by a second show in 2004. Hosted by Lisa Hart, the infomercials featured many satisfied customers who attested to the huge savings they made by purchasing their products through DirectBuy. The campaign was so successful that the number of DirectBuy centres grew from 50 to over 165 in two years, with revenues growing from $15 million to $500 million in the same time frame. Also, the campaign received awards for Best Corporate Branding and Best Online Marketing Tool from the Electronic Retailing Association (ERA) in 2005.
In 2007, the company was purchased by the private equity firm Trivest for over $600 million.
- Grew revenue from $55 million to $500 million in two years
- Company sold to privaty equity firm for in excess of $600 million