Research confirming the 2009 budget switch from Outbound Advertising to Inbound Advertising/Marketing Is Conclusive.
A HubSpot survey on Inbound Marketing/Advertising found an emphasis on Inbound advertising techniques. SMEs are spending a 180% greater proportion of their budgets on blogging/social media and 36% greater on SEO than businesses with 50 employees or more. SMEs are using their budgets on paid and organic search (30% of budget); eMail marketing (11%); telemarketing (8%); printed direct mail (8%) and exhibitions (6%). The remaining 23% of their budgets includes PR etc. It’s a revolution in advertising!!
Inbound Marketing/Advertising is considered far more effective (for companies of all sizes) when compared to Outbound Marketing. According to the report, Inbound marketing results in a lower cost per lead than Outbound Marketing. For the companies responding, Inbound Marketing averaged £55 cost per lead, whereas Outbound Marketing averaged more than double at £145 cost per lead.
We are a technology, multimedia and advertising company, utilizing all three to effectively produce the best possible inbound advertising campaigns for our client’s. Our focus is on lead generation, lead nurturing, corporate branding and sales growth.
As we enter a second Internet downturn, businesses are again seeking efficiency. They’re shifting money out of expensive paid search advertising, and into optimization, content creation and social media that help them get found in organic search results.
These changes are laying the foundation for a new era of marketing on the web – the Inbound Advertising era.
What Is Inbound Advertising?
Inbound Advertising is marketing focused on getting found by customers.
In traditional advertising (outbound marketing) companies focus on finding customers. They use techniques that are poorly targeted and that interrupt people. They use cold-calling, print advertising, T.V. advertising, junk mail, spam and trade shows.
Technology is making these techniques less effective and more expensive. Caller ID blocks cold calls, TiVo makes T.V. advertising less effective, spam filters block mass emails and tools like RSS are making print and display advertising less effective. It’s still possible to get a message out via these channels, but it costs more.
Inbound advertisers flip outbound marketing on its head.
Instead of interrupting people with television ads, they create videos that potential customers want to see. Instead of buying display ads in print publications, they create their own blog or Internet Billboards that people subscribe to and look forward to reading. Instead of cold calling, they create useful content and tools so that people call them looking for more information.
Instead of driving their message into a crowd over and over again like a sledgehammer, they attract highly qualified customers to their business like a magnet.
Why Inbound Advertising Makes Sense in a Recession?
As the economy slows down, companies are turning to Inbound Marketing because it is a more efficient way of allocating marketing resources than traditional, outbound advertising.
There are three specific ways an inbound advertising campaign improves on the efficiency of traditional marketing:
It Costs Less – Outbound marketing means spending money – either by buying ads, buying email lists or renting huge booths at trade shows. Not only spending substantially more money, but it is usually temporary when the time is up your ads are gone. Great for companies making money off of outbound advertising, not so great for us. Inbound Advertising means creating content and talking about it.
An Internet Billboad costs very little to get going, and the content you post is free. A Twitter account is free, too. Both can draw thousands of customers to your site. Virtually all of your inbound advertising will be pemanant and indexed on the web. The marketing ROI from inbound campaigns is higher.
Better Targeting – Techniques like cold-calling, mass mail and email campaigns are notoriously poorly targeted. You’re reaching out to individuals because of one or two attributes in a database. When you do Inbound advertising, you only approach people who self-qualify themselves. They demonstrate an interest in your content, so they are likely to be interested in your product.
It’s an Investment, Not an Ongoing Expense – When you buy pay-per-click advertising on search engines, its value is gone as soon as you pay for it. In order to maintain a position at the top of Google’s paid results, you have to keep paying. However, if you invest that money in quality content that ranks in Google’s organic results, you’ll be there until somebody displaces you. If you keep your inbound advertising ongoing and make it a part of your overall business methodology that should in theory give you an edge over your competitors.
The Roots of the Inbound Web
Only in the past year and a half have the technology, the tools and the public’s use of both evolved to the point where Inbound advertising is practical.
In the early days of the Internet, there was no mainstream marketing. There were lots of experiments but few business buyers and consumers.
In the mid-1990s, as the first Internet bubble grew, companies began to follow their customers online. Tools for independent publishing were weak, so companies’ online presence mirrored their offline presence. They sprayed advertising across mass media sites and prayed a few potential customers would see it.
When the dot-com bubble popped in 2001, marketers began to reassess the effectiveness of the spray-and-pray approach. They saw that consumers and business buyers were starting their purchase process less on mass media sites, and more on search engines. They discovered that in many cases targeted search-engine advertising was far more effective than display advertising on large media sites.
Now companies are spending massive amounts of money on geolocation based mobile advertising platforms, this should be a clear indicator that inbound advertising will ultimately culminate into a better relationship between buyers and sellers whereby a person is not simply just mass marketed to, but is increasingly seeing the ads that would make the most sense. This is why we are pioneering inbound advertising, and not just inbound marketing, inbound marketing will be the things that happen in the new medium. Inbound advertising is the medium itself.
As spending poured into search marketing, a new era of Internet growth began. In addition to changes in Internet marketing, this phase of growth – Web 2.0 — produced significant changes in the way we use the web. It shifted from a read-only platform to one where anybody could publish, connect with friends and share content.
Now, as we enter a new economic downturn, online marketers are using the tools of this new read-write web to become more efficient. They’re using social media, they’re publishing content and they’re optimizing it. They’re becoming Inbound advertisers and marketers.
Inbound Advertising In Action a real world case study.
Eight years ago, when the dot-com bubble collapsed, the idea of a single man using great content, social media and search engine optimization to build a New Jersey liquor store into a $50-million-a-year business in the course of two years would have been absurd.
Yet that’s exactly what Gary Vaynerchuk has done since he launched Wine Library TV in 2006.
This is the power of Inbound Advertiing and marketing.
With the tools that have become mainstream over the last two to three years, the scale of any business can be unlimited. If you have a great product and the skills to communicate with your customers, you can compete with the biggest advertising budgets.
The small business owner now has the unlimited resources and tools to grow his brand in an entirely new and revolutionary way. These are truly exciting times to be in business. The longer you wait to employ your inbound advertising campaign the further behind you will become, I strongly encourage you to contact me today at firstname.lastname@example.org I would be happy to answer your questions.
Check Us Out On Facebook You Could Win An Entire Inbound Advertising Campaign.
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