Advertising on the Internet – A Step Towards High Profits

Advertising on the Internet – A Step Towards High Profits

Want to increase sales of your company? Online advertising will help!

There is everything on the Internet. This is the fastest-growing resource, the possibilities of which are almost unlimited. Advertisements on the Internet are viewed thousands of times more often than traditional ones. How does online advertising work and does it increase sales? Let’s figure it out!

Internet audience

internet audience

Whose attention and location are we fighting for? Every day, fans who are surfing the Internet surf the virtual space. Here are their characteristics

  • the age of most users is from 25 to 45 years;
  • their income is medium or high;
  • the majority of “surfers” live in big cities;
  • more than 77% of people access the Internet repeatedly during the day;
  • the number of mobile Internet users is growing (audience 16-30 years old).
  • every year the number of mobile Internet users increases

The Internet unites the active part of the population who buys goods, services or seeks information. A simple conclusion follows from this: a worldwide network is an excellent platform for attracting customers.

Online Advertising Tasks

  • master a specific market segment and attract new users
  • create a loyal customer base
  • create a company image
  • make contact with customers

Top 5 Benefits of Online Advertising

online advertising

1. Online promotion is suitable for the development of large and small businesses.

2. Interaction with the audience (feedback) reduces the cost and simplifies marketing research (ie analysis of consumer behavior, opinions, and preferences). The user reports that he is attracted or not happy. The team will have time to fix the flaws before the power of word of mouth will entice customers in the opposite direction from you.

You can learn audience preferences using the statistics collection systems by using Google Analytics. According to the reports of these services, you can track which pages of the site are the most popular.

To set up the feedback you need:

  • optimize the site;
  • conduct online surveys.

3. Targeting a specific audience is an advertising mechanism (targeting) that hits the target: it selects interested users from the entire Internet audience and distributes advertising among them. We will talk more about this function in more detail.

4. Savings. Online advertising is much cheaper than offline.

5. Counter of visits and statistics. There are free web analytics programs: Google Analytics, InternetLiveStats, Matomo (formerly Piwik), FireStats, JawStats, etc. With their help, you can track the level of attendance and conversion. This is necessary in order to evaluate the effectiveness of the digital agency that promotes your site and improve key performance indicators (Key Performance Indicators, KPI).

KPI indicators

The effectiveness of an advertising campaign is determined by many indicators. Here are just a few of them:

  1. traffic volume – the number of website visitors;
  2. Conversion (conversation rate, CR) – the ratio of the number of those who performed the target action on the site (bought, placed an order, requesting a cost estimate, signed up for the newsletter, etc.) to the total number of visitors. The most important metric for a commercial ad campaign;
  3. viewing depth – the average number of page views by users per visit. It is calculated for a certain period of time.
  4. bounce rate – the number of users who left the first page;
  5. time spent on the site;
  6. click-through rate (CTR) – the ratio of all those who viewed the advertisement to those who clicked on it and went to the site;
  7. The average cost per click (CPC)
  8. customer’s life cycle (lifetime value, LTV) – the amount of money that you plan to earn for goods and services from the client during the time you work with him.

Disadvantages of online advertising

  • People are tired of spam and viral advertising, so they unknowingly project a negative attitude on completely harmless publications;
  • Cybercrime, for example, phishing (theft of confidential data via mass mailing on behalf of a well-known brand).

Types of online advertising

Online advertising is more diverse than offline. This is due to the wide selection of promotion channels and the opportunities that IT technologies provide.

  • Contextual advertising matches user interests. It is highlighted in the information search process when a potential customer has shown interest and is probably ready to buy. Types of contextual advertising: search and thematic.
  • Search ads appear on the search results page. For its placement, the advertiser pays the content network.
  • Thematic advertising is placed on the site and corresponds to its focus. In this case, you will pay for the clicks on the ad network and the site owner (50/50).

In order to set up contextual advertising, marketers use Google AdWords. Using these systems, you can track the effectiveness of each campaign, select the optimal cost per click (CPC – Cost per Click) and control the clicks on ads.

Targeted advertising applies to a specific audience identified by any criteria. In social networks such as Facebook, there is a huge selection of these criteria: gender, age, interests, place of study or work. For example, for a novice entrepreneur, social networks will offer companies to promote the business.

But on Instagram or Facebook, the main emphasis should be on the visual component, not the textual one. Use colourful advertisements for online clothing stores, handicrafts, beauty salons, and food delivery services.

In addition, to promote your business in this social network, you can periodically organize contests in conjunction with some other developing accounts. People love gifts and practical jokes! Such promotions will increase the activity and interest of existing customers and attract new ones.

There are many types of targeting, for example:

  • thematic targeting – advertising on sites with relevant topics;
  • geo-targeting is based on the issuance of advertising information depending on the user’s location, which is determined by IP;
  • socio-demographic targeting finds the target audience by age, gender, income level, etc .;
  • behavioural targeting is the most spyware tool in the advertiser’s arsenal: analyzing cookies (they contain data about which sites the user visited), he will find out what he is interested in and what the potential client needs;
  • Geo-behavioural targeting is based on the fact that having received data on the movements of the “surveillance object,” one can quite accurately determine the circle of his interests.
  • Display (display) advertising provides a spectacular demonstration. It includes visual, sound, interactive elements.

The main type of display advertising on the Internet is banners. Usually, they are placed on the side of sites or under the search bar in search engines. Banner advertising is many times more expensive than contextual and targeted. In addition, with the frequent flickering of your ad, the user ceases to pay attention to it (the so-called “banner blindness” is developed).

Teaser advertising is very similar to the headline of a yellow newspaper or a teaser trailer for a movie. The enticing picture and the provocative signature do not say directly what exactly they offer: follow the link, and you will see everything yourself!

Internet marketing and website promotion

Believe me, one advertisement on the Internet is unlikely to be enough for your proposal to “shoot.” Internet marketing offers two services that combine external work on an advertising campaign and internal work on the site itself.

  • SMM (Social Media Marketing) – promotion through social networks by creating communities, accounts, blogs on behalf of the company. SMM also includes the organization of advertising cooperation with thematic publics, bloggers, and owners of popular accounts.
  • SEO (search engine optimization), i.e. Search engine optimization is a set of measures aimed at raising the site’s position in the search engine results. Objectives: increase website traffic and the number of customers, monetize the site (profit). Before you start working with online advertising, you need to optimize the site and increase its rating.

How do search engines determine the site’s position in the search results?

They rely on:

  • behavioural factors (viewing depth, click map, time spent on the site);
  • site usability;
  • keyword density (how many times a keyword occurs in a certain amount of text);
  • the density of stop words (punctuation marks; numbers; conjunctions, prepositions)
  • citation index;
  • placement of prohibited materials (for example, pirated content);
  • traffic volume;
  • conversion rate.

How do search engines determine the site position

How to promote a site?

Key elements of internal search engine optimization:

  • quality content;
  • convenience;
  • high speed of work;
  • mobile version;
  • prompt response to a user request (online consultant).

But is that enough? Unfortunately not. You can create an excellent site, but as long as you do not know about it, it costs nothing. Here external optimization comes to the rescue, and work begins outside the site. It aims to build link mass.

External optimization methods:

  • registration in catalogues;
  • work with a link exchange;
  • SMM
  • online and offline advertising;
  • crowd marketing (guerrilla marketing), when a company representative takes part in a forum or other user discussion on the choice of goods/services.

Online promotion does not boil down to maintaining public accounts and social media accounts. This is a complex and multifaceted process where it is necessary to:

  • develop a strategy;
  • create an advertising budget;
  • choose a target audience;
  • find a distribution channel;
  • choose the type/types of advertising;
  • outline a favourable payment method;
  • analyze KPI.

To summarize

The Internet is a huge field for the sale of your product or service. Advertising on the network in many cases works better than other channels because it can be pre-configured for the right users.

However, do not place too high hopes on just one advertising campaign. If you have an inconvenient site or poor service – not one, even the most attractive, the ad will not save the situation and attract customers.

Achieve the main goal – increasing sales or conversion – will help complex marketing tools. Each of them performs its specific function in a complex mechanism. Specialist agencies can help you win the favour of consumers and become the best in your field.

 

 

 

 

Digital Marketing Trends That Will Be Hard To Ignore in 2020

Digital Marketing Trends That Will Be Hard To Ignore in 2020

To succeed in marketing, one must be far-sighted.

This means that you need to be aware of trends that are likely to be significant over the next 12 months. Modern technology is developing rapidly. Naturally, trends rely on these technologies. However, there is still opposition to digitalization and automation in the interactions between brands and consumers.

For those who are in a hurry and already “in the subject”, we briefly list the main trends:

  • Marketing will be based on customer experience, involving employees in programs to promote the business in the market and visualization of content to enhance the impact on consumers.
  • Actually, the very definition of what we consider “marketing” has continued to transform and is ever-expanding.
  • Marketing has long gone beyond branding and advertising. Marketers should work together with other departments to focus on creating an excellent customer experience and attracting them for long-term relationships.

Customer experience

2020 will be the year of the customer. Today you should not invest in marketing programs that will impose goods and services. It makes no sense to impose purchases, the customer is sufficiently aware of what he needs.

Instead, it is necessary to shift the priority of providing excellent customer service, which will force customers to return for new orders. In a sense, the main trend can be formulated: entrepreneurs should focus on building a positive business culture and providing exceptionally high-quality services, and marketers are required to transform business ideas into adequate marketing strategies.

Content marketing has changed consumers. The growth of useful and freely accessible content has given people more opportunities. They no longer depend on consultants and can pre-examine the product on the market. Consumers are active and do not expect advice from sellers, which is better for them. Instead, they search the Internet for information, read reviews, and evaluate the offer before purchasing. Formally, a modern client relies on his judgments on his “ marketing research ”. Therefore, marketers need to offer something more than information.

Customer experience has long been the most popular expression in marketing circles.

But do companies really provide fantastic customer service?

What influences the formation of customer experience? The pleasure of the money spent by the client, the convenience of the purchase, the competent and friendly service, the convenient payment methods are what people value in their experience in interacting with companies.

To achieve this, marketers need:

  • Modern technologies based on data on the purchase process
  • Personalization of commercial offer
  • Mobile technologies for quick contact with the client
  • Strong brand image in the minds of consumers
  • Product design tailored to customer needs

In other words, customer experience must be present in the marketing strategy. Sales should be planned to take into account customer loyalty and the life cycle of goods and services.

Employee Involvement in Marketing Programs

If efficient and friendly service is the cornerstone of marketing, the question arises: “How can companies achieve this?” Obviously, enterprise personnel should actively participate in the process of quality service. If employees are poorly trained and do not have the necessary qualifications, the client will be dissatisfied and are unlikely to return.

What prevents staff from becoming active? Poor attitude towards employees by managers is the number one factor that prevents customers from dealing with a reliable company.

Staff is the face of the brand, so attention should be focused on the interaction of employees with customers. This is an important factor in any marketing strategy.

The key to employee engagement is the adoption of proactive measures that allow each employee to understand the business goals and brand values. When a manager hires a person, they plan to make the person responsible for providing quality customer service. It is necessary to provide measures that will ensure that personnel will strive for the success of the company as responsibly as its owner.

Otherwise, employees will no longer care about customers. If they are not satisfied with the work and do not believe in how the business is conducted, they will not succeed in achieving a positive customer experience.

Content Visualization

Modern technologies allow you to use voice search and broadcast content through the dynamics of devices. However, visual content cannot be neglected.

Studies have proven that people prefer visual images to dry text. The explosive growth of interest in Instagram and Tik Tok has clearly shown the importance of visualization.

5 vital facts about visual content:

  • 65% of Internet users prefer to watch instructional videos
  • 80% increased desire to read an article if it contains colour illustrations
  • 85% more likely to make purchases after watching a product video
  • 93% of communications are through visual content
  • 180% increase in coverage if the post contains spectacular illustrations

Visual elements are easier to remember than text. Adding data visualization, infographics, images and video to printed text not only makes it more interesting and attractive but also helps to better perceive the transmitted message.

Message Customization

Lead generation and technological progress have already had a huge impact on the level of personalization that needs to be extended to consumer interaction with brands.

Modern consumers are awash with advertising messages from several communication channels. To relieve themselves, what are they doing? Consumers begin to selectively turn off uninteresting channels. Therefore, traditional advertising is losing its effectiveness. Personalization of marketing messages can correct the situation and establish a real connection between the brand and the target market.

If 10-15 years ago it was hard to imagine that emails would begin with an address by name, today it is a reality. Specialized resources have learned to recognize the recipient of messages not only by name but also take into account his interests and the level of involvement in the transaction.

The use of artificial intelligence in combination with advanced data collection and analysis of social networks made it easy and simple to personalize everything from content to design, including product recommendations.

Transformation of Strategic Marketing

Each time you read an article about trends, you might get the impression that by using tips and best practices, it’s easy to succeed in marketing.

Far from it, marketing is getting more complicated. Every year, it is becoming increasingly difficult to develop marketing programs related to the reasons for the development of the business as a whole. The goals of promotion are becoming more complicated, marketing communications are being layered, and the challenges facing marketers are becoming more difficult and responsible.

Previously, in small businesses, each company leader was a “marketing expert ” for himself, but today more and more entrepreneurs are turning to specialists for practical advice. It is difficult to imagine modern business without specific goals and programs of clear marketing communications. Marketing planning itself has become an integral part of running a business.

Strategic marketing is based on baseline data on the target market, the use of digital technologies, building relationships with customers, strengthening their presence on the Internet. Such a transformation helps small businesses improve customer service, increase brand awareness and reputation. As a result, strategic marketing increases revenues and profits.

A marketing plan sets goals and determines the tactics of promoting a business on the market, which will be based on content marketing, SEO, Email newsletters, social networks, contextual advertising, and offline marketing. The working paper should clearly state how each part of the marketing communications will work for the interests of the business.

The transformation of strategic marketing is changing the attitude of each employee to the final results. The reputation of the company, relations with customers, their level of service is no longer the exclusive responsibility of the marketer. Each employee must understand that the success of the company depends on the performance of their duties. One unsuccessful and untimely word of an ordinary performer and the business will receive a cloud of negative reviews.

Zero Position in Search Results

Search Engine Optimization will remain an important aspect of digital marketing, but now we are witnessing one of the most significant changes in the SEO industry over the past decade. With the growth of mobile and voice search, people are changing the way they use search engines such as Google and Bing. Now, being the first in the search is not an end in itself.

You yourself probably noticed that your own search and browse mode has changed over the past few years. Now the website user is looking for the most current information. Highlighted fragments and other information “in the SERP” means that we do not need to go to the website in order to receive an answer to our request. The answer may be directly on the search results page.

This information from the search results may appear in different places, but the most requested position is right at the top of the page, before the SERP listing. This position was called “zero”. Since this is often the only information that the user can view, it is very welcome. According to Google, more than 60% of search results are now zero position search results.

Brands are still trying to figure out how to achieve a zero position in search results because it requires SEO methods different from those used for regular SERP listing. If you can be the first in your industry, you will have a huge advantage over your competitors. So expect to see more SEO companies offering this service over the next year, and look at best practices for optimizing your content.

Voice Search

Voice search does not show signs of slowing growth, and it will continue to have a significant impact on how leading brands create content and position themselves on the Internet.

It is difficult to agree with the statement that this year 50% of search queries will be carried out by voice (according to Google, currently about 20%). But the trend is obvious. The business of smart speakers is booming.

According to PwC global research, consumers expect more use of voice search in the near future. 61% of those 25–64 years old already using a voice device intend to use it more often.

Artificial Intelligence in Marketing Automation

Over the past few years, there have been major changes in the field of artificial intelligence (AI). Progress in this direction was taken by many companies; they began to use AI-based technologies to automate and strengthen their marketing programs. Smart chatbots, contextual advertising management, voice search are examples of AI implementation, which we encounter more and more.

Big-data analytics helps companies learn more about their target audience and customers. This enables the hyper-personalization of marketing messages on a large scale. Large brands, using AI technology, strengthen their market position, release resources and focus on customer experience, adjusting their marketing strategy for it.

In order to keep up, small businesses need to switch to the automation of routine marketing processes and increase their productivity.

Focus on Customer Retention and Building Loyalty

Regular customers are more valuable than new customers. Studies have shown that attracting a new customer is five times more expensive than keeping a loyal customer. That is why the need to provide high-quality services and the formation of excellent customer experience is economically justified.

The efforts of companies should be distributed in such a way as to not only constantly seek new customers, but on a regular basis to prove their need for regular customers.

For their part, loyal customers contribute to increasing the reputation and brand awareness, as they will talk about your company with their surroundings. Satisfied clients become lawyers of the company and are ready to give recommendations regarding the choice of a service provider.

Live Videos

The live video industry is on the rise. Live streams are incredibly popular among consumers, and people spend three times as much time watching such content as they do on pre-mounted videos. This affects the effect of complicity in an interesting and important event.

This promotion technique has become the most popular way to familiarize consumers with a company’s product. Such content is the most attractive, as the audience is part of the process and can partly influence it, moving from a state of passive viewing to active actions.

Live broadcasts are primarily in demand on social networks. The audience has the effect of FOMO (loss of profit syndrome) if they understand that live broadcasts give them the opportunity to be the first to know the latest news or the video will contain information that they can’t get anywhere else.

To Summarize

The introduction of advanced technologies will be given attention to many companies. At the same time, we must not forget that marketing is based on human relations in society. Therefore, the attention of marketers should be redistributed towards living people, their behaviour and their reaction to marketing activities.

Now is the time to start implementing your marketing strategies for the current year. Align your promotion goals with a clear action plan.

Obviously, digital marketing will dominate this year too. To succeed, you need to have quality content for all marketing channels of communication with consumers. Check that your content plan takes into account the impact of emerging new trends.

 

 

Why is Digital Marketing Important For Your Business?

Why is Digital Marketing Important For Your Business?

Digital marketing is the marketing of products and services that use digital technology to interact with consumers at all stages. Unlike Internet marketing, it uses not only global but also offline channels: for example, POS terminals or smart electronic gadgets.

Digital is gaining special popularity in the segment of b2c and b2b. It allows you to interact closely with consumers and to cover a large part of the target audience and therefore has high efficiency. For example, it is widely used for promoting brands like Samsung, Apple, Xiaomi, and their earnings can be judged by the cost of the flagship smartphone and the degree of popularity of the companies.

The Tools Of Digital Marketing

The tools of digital marketing include all the activities that allow you to inform a large number of people or to attract the attention of the target audience to the product or the company itself. They can be used on different channels. Often multiple tools of digital marketing are working together.

  • SEO — search engine optimization, through which you can improve your site position in search results for certain queries.
  • QR codes in offline — you can use them for motivation to install the application.
  • Display advertising — placing ads on sites that match the theme of your business.
  • TV advertising — expensive commercials that are broadcast all over the country
  • Banner ads — banner ads of your product/service/website that are placed on the relevant thematic resources.
  • Radio ads — a costly but effective tool with a wide audience of listeners.
  • Viral advertising — ads that make it popular with the users themselves — for example, advertising with a lot of reposts.
  • Promotional window — the window is pop up on the resource with the close theme.
  • Email-newsletter — mailing database e-mail addresses or database of addresses of clients of your company.
  • Ads in apps advertising Windows that show users of games or other applications on mobile phones.
  • Targeted advertising — a personalized advertisement corresponding to user requests.
  • Native advertising is a natural promotional material to third-party resources, for example, a review on your product.
  • SMS messaging — sending messages according to the standard or target database of your customers.
  • Content marketing — attracting customers by publishing interesting and useful content.

The tools in the field of digital Marketing also includes advertising any other type — for example, the rollers in the machines for charging phones or a beautiful banner on the interactive window in the store.

Channels of Promotion in the Digital sphere

World global network (Internet). This channel includes all devices with access to the Internet — mobile phones, tablets, laptops, personal computers. Online advertising in search results on third party sites, teaser networks social networks. This is are videos, articles, posts, audio, pictures, including infographics.

Digital TV. It is every year stronger displaces market with an analogue TV and more integrated with the Internet. The basic format of promotion — short videos with voice acting, which broadcast during the commercial breaks. There are also infomercials that sell products, and tickers, but they are rarely used.

Mobile device. The most popular promotion channels in Digital Marketing — SMS, branded applications and WOW calls. Ads may also appear in third-party applications — for example, often advertise the game.

LAN. Most often, the promotion of effective local networks that are integrated with the Internet. Such networks include a corporate network companies network urban areas and other “enterprises”.

Smart gadgets. Most of them have Internet access on the Wi-Fi module. These devices include smartwatches, smart scales, fitness bracelets and other gadgets. Advertising in them is not popular — most often, users interact with branded applications.

Interactive screens. These include digital advertising banners, screens virtual fitting room in a store, POS terminals, apparatus for charging smartphones and other devices. The main tool of this channel — promotional videos or ads. Also, use branded interactive screens.

Digital-art. It is an art form that is created or transmitted using digital technology. The artworks will include games, music, pictures and other works. The primary way of advertising — branding: the company logo in a prominent place.

Examples of Digital Marketing Campaign

MCDonalds Mobile App

Brand – McDonald’s: One of the most striking examples of the use of digital marketing in the promotion of the brand the advertising campaign of McDonald’s. The company is constantly releasing new videos on digital TV. For example, it is already firmly entrenched slogan “McDonald’s — that’s what I love.” In addition to placing commercials on TV, the brand actively conquering social network — for example, in Linkedin groups, one of which is the community for employees. The brand can also be seen on interactive screens, the Internet, to hear about him on the radio.

 

FIAT App

Brand – Fiat: A less obvious example of the use of digital Marketing — app “Fiat”. Every time they release a new car brand they want to convey to users the characteristics of the model. On TV you can’t do that — all information will not fit in one movie. Use of print media is not very efficient So the brand has created its own app, where users are interested to talk about the characteristics of the new model and conduct prize drawings. However, now this app is almost not used.

 

LG Vacuum Cleaner

Brand – LG: Another interesting example of the use of a complex tool of digital marketing — viral advertising from LG. When the company released a new vacuum cleaner, they released a promotional video, which has garnered over 20,00,000 views on the famous video hosting YouTube. The idea of this commercial vacuum cleaner can handle even the subcutaneous fat in centrefolds. This idea is funny, unusual, bordering on delirium. Therefore, it is of interest to the user, and the video became viral. This is another plus to the popularity of the brand and increase the number of buyers cleaner.

 

starbucks mobile app

Brand – Starbucks: Another good example of the successful use of digital marketing “from the past” — Starbucks. In 2009-2010, they began to lose the bulk of the visitors, because they can’t have updated the concept. The station ceased to condition the premium cost, so consumers preferred cheaper places.  The company’s management took the decision to launch the project My Starbucks idea. Users registered in it, could offer their ideas for improving coffee shops and vote for ideas of other users. The most popular suggestions were realized that the newly made coffee popular.

 

 

What is Relevant in Digital Marketing in 2020?

What is Relevant in Digital Marketing in 2020?

To succeed in digital marketing and marketing in general, you have to be proactive. This means that you need to be aware of the following important events, the latest achievements and tendencies which will probably be significant over the next 12 months.

In order to help you properly start your digital year, we have prepared a list of digital marketing trends you need to know and integrate into your marketing strategy in 2020.

Marketing life cycle: the stages of the life cycle allow you to gather information for each stage on the way of the buyer. Monitoring of these stages and transitions between them can help you to identify gaps in the funnel of marketing and sales, and to make informed decisions for the development of your company.

The lifecycle marketing and demand generation are very similar: both seek to promote potential customers through the funnel. But demand generation requires a broader and more holistic approach and lifecycle marketing focuses on the management of each stage of the life cycle and transitions between them.

 

Personalized marketing: According to statistics, companies using personalized marketing are seeing an increase in sales of +19%.

Over the past few years, many brands have concentrated their efforts on marketing technology investments for data analysis. However, the monitoring of customer behaviour based on data is just the beginning of a continuous process, allowing to understand, how to provide a personalized experience with customers. After analyzing the data, we can offer the customer a product or service most relevant to his search, make personalized offers. The analysis of behavioural interests allows you to most accurately determine the need of the user to offer him a product that he’s looking for, uses, has a pent-up demand, etc.

 

Marketing trends in social networks: We also examined the trends of marketing in social networks to which we need to be ready in 2020.

Like last year, Instagram and Facebook will be the main focus for most marketing strategies in 2020. To a lesser extent will use other social platforms: Twitter, LinkedIn, Pinterest, Youtube, Snapchat and TikTok. It is expected that there will be increased marketing activity on Instagram because:

  • Instagram has proved itself as a successful platform for brand building and other objectives of marketing and sales
  • Advertising and marketing content in Instagram will only increase in 2020 Competition in Instagram will be higher If you are planning to go on Instagram in 2020, whether through advertising or organic content, make sure that you spent time creating something truly impressive, not to lose to competitors.
  • The content type is chosen based on marketing objectives. Targeted advertising and internal (organic) content to be the centre of attention. But other forms of content (such as posts with influential persons, UGC, Live Video) are almost equally important.
  • Ads and internal organic content are becoming increasingly interactive: 360 videos, widgets, publishing AR quiz.
  • User-generated content (UGC) is modern digital communication, which benefits both brands and consumers. Marketers attract an audience that shares his user experience. Consumers trust content from other partners more than the content brands. At a time when consumers are as fast browsing social media, part of UGC can attract their attention (and convince them to make a purchase).
  • Product placement. In the last few decades, product placement has matured and become more sophisticated. Branded products are no longer just “are”; they are woven into entertainment content, creating stronger emotional connections with consumers. The result is a concept that the advertising industry calls branded entertainment, convergence entertainment and advertising. Especially in social networks (publications, go to the catalogue, shop on Facebook, the detailed description of the goods, mark the goods in the posts, etc.
  • Customer service social networking is the practice of supporting consumers through social networks such as Facebook and Twitter to meet customers where they are, and quick to answer questions. 69% of customers believe that a quick solution is vital for a good service that makes social customer support is invaluable. It is obvious that social networking sites have turned into something more than a new platform for marketing and advertising. Especially given the introduction of Facebook and Instagram marketplace Shopping.

 

Content marketing: comprehensive and intuitive themed experience while achieving business goals.

Know what you need:

  • Understand who your audience is, how and what they are looking for. Understand that they need to find or what problems they want to solve.
  • Give them solutions or answers in the formats that they prefer using high quality and authoritative content.
  • To do so at each stage of user navigation create a satisfactory thematic experience that will serve their needs.

Marketing influence: remains in the trend in 2020. and, if earlier, for the promotion of the involved persons with millions of subscribers now, marketing effects used a person with thousands of followers.

A kind of “word of mouth” on the Internet. Especially effective is a niche product or service. The main principle – target profile and target audience of subscribers. Facebook, Instagram and YouTube regularly implement restrictions to reduce “stranded” subscribers and tools transparent statistics on the profile.

 

VR and AR reality: AR (augmented reality) makes the real environment around us in the digital interface by placing virtual objects in real-time.

Augmented reality uses your existing environment and overlays on top of new information, in contrast to virtual reality, which creates a completely artificial environment. Recent developments have made the technology available to the AR using the smartphone that led to the development of a wide range of applications of augmented reality. Brands are actively using and will use virtual and augmented reality. For example, the augmented reality app IKEA Place allows you to visualize the furniture in the apartment before buying.

 

Email marketing: still remains as viable as before. According to Oberlo the profitability of email marketing in February 2019 amounted to 3200%.

There are, however, experts mark, that the numbers are slowing down or stagnating. Instead of having to abandon this fruitful channel, digital marketers are reviving it with new attributes. In recent years we have seen a decline in emails and newsletters. In their place is gorgeous, perfectly illustrated e-mails that look at the portfolio of the web designer. In email marketing now and 2020, use emails that look and function like web pages including interactive buttons and other interaction. Such designs not just impressive, they improve conversion. Readers often click on stylized buttons with accompanying images than normal text links. Your successful campaign with stunning visuals and UX-oriented design. Considering the above-mentioned return on investment, you should make sure your emails are so attractive and beautiful as possible.

 

Contextual advertising: Artificial intelligence algorithms and machine learning are designed to simplify your work, including to optimize an advertising campaign on the Internet.

Advertising, buying media, tracking performance and customer orientation can be handled by the software. Not only that, the results will be accurate, but “outsourcing” these tasks to the bot also frees up time in your schedule for more important tasks. This is automation at its best. Software such as Adobe Marketing Cloud or SmartyAds will help you navigate the online advertising. Bets in real-time can be stressful and time-consuming, as well as a suitable way to advertise. The transfer of these tasks, the automated system may be optimal both for you and for your business. Can robots completely replace human resources? The robot is to gather data and then act according to the known algorithm is to generate ideas, formulate advertising messages to analyze campaigns to target and give recommendations for optimization needs professional PPC specialist.

 

Blogging: The continuous success of YouTube, Instagram and Snapchat Stories, video blogs have become more popular than ever.

Unlike other types of videos, such as videos explanations, or short films, vlogs are more personal and direct. Vloggers communicate directly with the audience (PewDiePie style), creating a more personal and direct connection, which undoubtedly is a boon for marketers trying to establish stronger relationships with their customers.

Are You Ready for Digital Marketing in 2020?

Paradoxically, the future trend of digital marketing in 2020 will be more human and more mechanical. It seems that the general trend of digital marketing is aimed at more personal relations with more targeted niches, but the means to create these relations rely on automation and new technology. The essence of digital marketing remains the same – to give people what they want, when and where they want it.

And last but not least, marketers in 2020 welcomed the last group of consumers – generation Z. Those born in the early 21st century, now 18 years old, and they are active buyers. Some sources even claim that Generation Z will make up 40% of all consumers in 2020. Among other things, marketing to Gen Z indicates a sharp turn in styling your content. The young market is also the most whimsical, with flavours that may seem strange if you are used to selling Boomers or Generation X. If Gen Z is one of your best markets, here is a shortlist of common values that should be borne in mind:

 

Authenticity: growing up in the Internet age of misinformation, Gen Z is very sensitive to authenticity and can sense a phoney a kilometre – avoid excessive advertising approaches and instead choose transparency.

 

Privacy policy: Gen Z cares about privacy. So respect for personal data will bring you more than using them against them.

 

Diversity: most diverse generation that values this diversity in the video and the images that they see on the Internet.

 

Sense of humour: GenZ humour has its own personality and characteristics. If you do not personally own it, hire someone who he is. Marketers have noted the similarities between Gen Z and Millennials, but, as the market for Gen Z will be more meaningful over the next few years (in many ways), plan marketing strategy, taking into account this fact.

 

Balanced Scorecard for Marketing Management

Balanced Scorecard for Marketing Management

A business development strategy is a basis for deploying company resources to create a competitive advantage. 

Marketing plays a key role in developing a successful business strategy. Managers and marketers are faced with the task of presenting the development prospects of the company and form a set of marketing programs that can provide the desired result.

To manage a marketing strategy, you need a tool to integrate all planned initiatives. Such a management tool is the Balanced Scorecard (BSC). It involves formalizing the company’s development strategy based on cause and effect relationships.

The objective of the system is to present a marketing strategy in the form of goals and objectives related to KPI performance indicators.

Balanced Score Card

A Balanced Scorecard (BSC)

The idea of ​​the balanced scorecard is that marketing programs should be consistent with the business objectives of KPI, which allows you to quickly monitor the development of the process and manage it.

We list the main reasons why companies should use a balanced scorecard (BSC):

  • Get a clear idea of ​​the goals and objectives of a marketing strategy
  • Bring a marketing strategy to each responsible employee throughout the organization.
  • Optimize the goals of each business unit in accordance with the strategy
  • Link marketing strategy goals with long-term business goals and company annual budget
  • Record timeline initiatives and align them with financial plans
  • Provide monitoring of the implementation of the marketing strategy

The main motive for introducing a balanced scorecard is the desire to link short-term achievements with long-term business goals through an objective set of KPI indicators. Simply put, it is difficult to get from point A to point B in a timely manner if you do not control the speed, actual mileage and fuel consumption in the “car”.

Balanced Score Card For a Hotel

How To Build A Balanced Scorecard?

Four categories determine business development: finance, customers, innovation and internal production processes. To form a model of NGN, you need to go through 5 consecutive steps:

1. The starting point is a strategy

In order to manage something, it is necessary to formulate a strategy. It is not necessary to complicate your goals, we just outline the path that a business must go from the current state to the future, which can be clearly recognized as a success. This approach will highlight what should be measured, and, accordingly, what can be controlled to maximize the result. It is advisable to illustrate your strategy with the help of a tree of goals and a “road map” to achieve them. Such a “map” should include not only the desired results of the marketing strategy but also the main driving forces for their achievement, connected by a causal relationship.

2. KPI indicators

The next step is to identify and assign indicators that best determine performance for each marketing program. Using a balanced scorecard implies a limitation of the KPI used for each event: no more than five indicators. Otherwise, the system may lose controllability.

3. Monitoring KPI

Having chosen a system of indicators, everyday decisions and managerial actions are taken on the basis of these indicators. For marketers, this means that they are optimizing an ongoing marketing strategy based on KPI.

4. Reports

A balanced scorecard implies reporting to all participants in business management. The purpose of the reports is to constantly inform about the effectiveness of the development of the strategy and the prompt adoption of measures necessary to improve the current situation.

5. Integration of KPI with other business management systems

To achieve maximum success, it is necessary to integrate performance indicators into all major management systems, including personnel management systems and financial management systems. This allows you to objectively plan the resources necessary for the business.

KPIs Measure Not only Money

As already noted, the process of implementing MTP begins with the translation of marketing strategies into specific strategic goals. While conventional management systems rely on traditional financial indicators, the balanced indicators system also includes indicators of processes that act as drivers for future results. This means that in addition to financial KPIs, indicators are used to measure customer satisfaction and indicators of processes and innovations.

For example, to assess the customer base, the following indicators are used: market share, brand recognition, customer base growth rate, customer satisfaction, perception of the services provided, customer loyalty. The listed KPIs are also relevant for marketing.

Indicators of operational processes may include a percentage of new product sales, production costs, production cycle time, inventory management, transaction time, quality indicators, etc.

Innovative indicators include KPI, showing the share of sales of new services, ROI, time to market. Again, all of the above indicators are very relevant for a marketing strategy.

Consider a real example of which KPIs can be implemented in a balanced scorecard.

Strategic goals:

  • Share of sales to new customers
  • Retention rate
  • The number of loyal consumers
  • Customer reach
  • Repeat sales percentage

Financial goals:

  • Customer acquisition cost
  • Lifetime customer value
  • Revenue for each segment
  • Revenues for each sales channel
  • Post-sales service costs

Operational Goals:

  • The conversion rate for each sales channel
  • Customer Service Quality Score
  • Number of website visitors
  • Site conversion
  • Social Coverage

Innovation and Learning:

  • Return on investment
  • Resource Assessment for Guest Posting
  • Viral Content Rating

The result of using a balanced scorecard will become apparent when it’s easy to explain how and why the implemented marketing programs work and make a profit when planning a marketing strategy.

 

 

What is Sales – An Overview of The Best Sales Methodologies

What is Sales – An Overview of The Best Sales Methodologies

Sales is one of the key concepts in business that characterizes commercial activities. This is usually the final stage of the business cycle. To the question of what sales are, one can give the following answer: this is the relationship between the seller and the buyer, ending with the exchange of products for money.

Organization of Sales in the Company

Organization of sales in companies is carried out in three areas:

  1. Regional principle;
  2. Commodity nomenclature;
  3. Target customer base.

Emphasis can be placed on geography, product mix or target audience.

Sales can also be made by contact form:

  • remotely (on the phone);
  • direct contact.

Difference between Marketing and Sales

Marketing is a sales tool that generates and increases targeted traffic in organizations. The work of this department is aimed at involving customers in the shopping process, increasing the profits of companies. Marketers bring customers, and at the stage of sales is the direct conclusion of transactions.

Marketing differs from sales, primarily in the intensity of engaging feedback channels with the market. The main participants in sales are the seller and the potential buyer.

Buyers are classified as cold warm and hot. The speed of the conclusion of the transaction depends on the activity of buyers.

Key Stages of a Transaction

A transaction is a bilateral agreement. It is carried out in stages and includes:

  1. Assessment of the product, its characteristics, value. The product is analyzed for many indicators.
  2. Preparation for sale.
  3. Direct conclusion of the agreement.
  4. Verification of the parameters of the concluded contract.
  5. Transfer of goods.

A sales funnel helps you plan and evaluate business performance. This is a popular marketing tool. A sales funnel refers to the road that the average buyer walks from his interest in an offer to make a purchase.

Every business organization must have a sales plan. It reflects the goals and channels of the sale of goods and services. Sales channels are corporate (direct), wholesale, distribution, and retail. If sales fall, you must first analyze which channels do not fulfil their plan.

Best Sales Methodologies

There are several sales methodologies that are used by sellers to track, influence and respond to customer actions.

SPIN Sales

This technique identifies the pain points of potential customers for the subsequent building of trusting relationships with them, arouse their interest in the product sold by the company and proceed to the deal. This abbreviation includes questions aimed at identifying the pains of potential customers, building trusting relationships with them. It is important to interest customers in the product and moves on to sales.

With SPIN sales, you can push a potential buyer to understand their own profit and form a desire to listen to a commercial offer. Spin stands for Situation, Problem, Implication and Need-Payoff which has been described above.

NEAT Sales

This technique was created for the B2B digital industry, in it, the concept of “budget” in the vast majority of organizations is missing. But the technique is convenient and great for B2C sales. For this reason, it has become so in demand.

NEAT stands for:

  • Basic needs;
  • Economical effect;
  • Contact with management (Authority);
  • Time frame.

SPIN sales are aimed at holding a short conversation and completing the transaction on the go. NEAT sales are distinguished by the fact that they need more thorough preparation. This model is used in the implementation of expensive transactions and the implementation of relevant decisions.

Conceptual Sales

The feature of this script is that the traditional sale is replaced by the implementation of the product application concept. Customers are shown the ability to solve problems after their acquisition.

The emphasis in this version is on the fact that the seller turns from a speaker into a listener. The company analyzes the environment in which potential customers live, tries to find a concept that helps solve existing problems. Then it connects the product with a developed conceptual strategy.

SNAP Sales 

Designed for busy people. Business people value time. A commercial proposal should show time savings:

  • at the presentation stage, (Simple)
  • at the purchase stage, (Invaluable)
  • at the stage of integrating it into a lifestyle (Align)
  • and at the stage of practical use. (Prioritize)

In short, we must be simpler, more valuable, always agree and raise priorities.

Challenger Sales

This technique includes three components:

  • training,
  • communications
  • focus on the goal.

It is important to understand the business of the client, prepare options for improving it. Establish communication with all the links in the organization and wait for a convenient moment for sale. A client with whom a warm and long-term relationship is built perceives the seller as a professional in his field considers him an expert. This leads to an easy and quick transaction.

Sandler Sales System

The seller, having a casual conversation with the buyer, emphasizes the benefits of the transaction. Communication is built so that the buyer feels the benefits of potential opportunities and makes an independent decision on the need for acquisition. The secret of success lies in identifying all the problems that may arise during the discussion of the transaction in advance.

Customer Oriented Sales

The era of the imposition of goods has ended. A modern seller is, first of all, a consultant.

  • The methodology is focused not on direct sales, but on clarification of requests and needs. And only after that, a ready-made solution is proposed.
  • The main rule of the consultant: “Ask and listen, not impose.”
  • A modern client is looking for quick answers and simple solutions. Do not try to play the role of someone who wants to sympathize with the difficulties of buyers. Be authoritative and prompt.
  • We must speak with those who will pay for the product, and not use it.
  • Mass implementation is more attractive. Bet on quantity, not exclusive, of the highest quality. The product sold must provide acceptable quality.
  • The times when the client tried to adjust to the seller’s opening hours and arrived at the meeting during his working hours have sunk into oblivion. The sales schedule should be in accordance with customer requests.

MEDDIC Sales

MEDDIC is:

  • Metrics. What will be the financial result of the transaction?
  • Economic customer. Who will be responsible for profit or loss? Who will be the losers or gains from the deal?
  • Decision making factor. List of requirements (material, technical) made by the buyer.
  • The process by which a decision is made. Features of the transaction. Ways to obtain consent.
  • Identify Pain. What are the main challenges facing the business?
  • Champion. Who will present your organization or brand to a client?

A technique that increases the number of closed transactions. Here the main concepts are:

  • result,
  • a customer representative capable of making a purchasing decision,
  • evaluation criteria of a commercial offer
  • decision-making process
  • definition of “pain points” at the buyer,
  • building relationships using the Challenger sales methodology.

Selling Solutions

The trick is to replace the product with a service that the customer will like more because he will more easily solve their problem. For example, if a person is interested in a screwdriver, you need to find out why he needs it. If the tool is necessary for the assembly of furniture, it is better to offer him this service. Thus, you will relieve him of the need to engage in something unusual for him. The same principle applies to more complex tasks, such as building local networks, installing video surveillance, etc.

This methodology includes the following steps:

  • Problem determination
  • A suggestion of a possible solution
  • Making a strong case and ROI / ROI
  • Transaction completion and delivery / goal / implementation
  • Assistance provided to the client during the testing of the proposed solution until it is possible to achieve those indicators that were promised.

The vast majority of organizations prefer not to notice the last of the points, but it is one of the keys if there is a desire to increase your LTV (Life Time Value) and turn such a client into a permanent one.

Inbound Sales

The behaviour of buyers along with methods and processes of sales have undergone significant changes. Now the vast majority of buyers decide to make a purchase before the seller comes into contact with him.

The purpose of the methodology is to help the lead (potential buyer) go the way from making a decision to your site specifically. Sellers care about how a person learns about a product, what opinion he will make about it, how to simplify the process of finding a product supplier, and how the lead will be converted into a customer.

In conclusion

The listed methodologies are considered the most effective, they have proven themselves very well and are popular all over the world.