Blackberry's direct marketing strategy should focus on its existing customers. There are a few reasons for this. Naseri and Elliott (2011) have showed that social connectedness is one of the most important variables for success in direct marketing. Blackberry's existing customers interact with one another easily through the proprietary messaging platform. It is easy, therefore, not only for Blackberry to interact with its customers directly through multiple platforms, but for direct marketing programs to be disseminated through the company's audience by the audience members themselves through their existing social networks. Blackberry can increase internal sales to existing customers by encouraging them to purchase additional services, but also to become evangelists for the company through their social networks. This creates a spinoff effect when targeting one customer could result in many customers receiving the message, if the promotional campaign is effective. The direct...

The first is that Blackberry should attempt to generate additional sales for the company's products and services through this program. The audience is already captive, and Blackberry should extract value from this group. The company can also foster greater brand loyalty by unlocking more value for its customers -- the more they get out of owning a Blackberry the more likely they are to purchase another Blackberry in the future.
The second component of the direct marketing campaign is that Blackberry should have programs that provide incentives for existing customers to bring in their friends and family to the Blackberry family. If existing customers are incentivized to become evangelists for Blackberry, this could increase sales of Blackberry devices, both to customers who are purchasing their first smartphone and to customers of other devices.

This aspect of…