Blogs | Digital Marketing
23 September 2022
"If you update your financial model routinely then do the same for your marketing model. Even if you're wrong about the percentages, you can still make money if you are directionally correct."
"Rather than a percentage of revenue for marketing spend - you can combine sales and marketing and focus on future growth."
If you had a TrikeWeb website you could pick up some (up to 40%) of the data lost from using Google Analytics in the NZ online market - it will be cheaper than employing a marketer and their MarTech stack.
Birth of MarTech
"Email marketing still holds the crown with the highest ROI reported, due in part to its relatively low cost.
Paid digital advertising on search and social media also produces impressive ROI results,
and investments in SEO can pay off with a very high rate of return, albeit at a slower pace.
Marketing technologies and automation are proving effective at bringing together the most effective marketing tactics (email marketing, organic search, social media marketing and content marketing) to achieve better results."
"...in 2019 digital ad spending surpassing all traditional media ad spend combined for the first time."
Your business webspace comprises a digital surface area of your website and social media.
Each service is a "channel" that's used to funnel your viewers somewhere.
The best funneling outcome is a customer becoming a brand ambassador after their consideration and positive action.
A positive response is remembered and has a big advantage - most consumers buy what they are familiar with.
Brand familiarity is quicker, yet is nuanced with cues relevant to the buyer context:
- a B2C browser (paid advert response) is successful using emotional cues,
- a B2B purchaser should use due diligence and is focused on metrics and analysis.
B2Cs typically spend more on budgeting than B2Bs.
You make context where you think it's relevant to a B2B or B2C customer. Marketing channel data you collect allows a record of a client's activity and this benefits your marketing campaign. Choosing the right fonts for B2Cs and using graphs for B2Bs is a good start.
As you might have guessed your best option for B2C is referral from family, friends and partners
- offering proof by quote or reference.
In 2021 49% of US consumers say friends and family are top sources of brand awareness.
The difference created by a B2B client is it will be acting on behalf of a company so will need transparent metrics for some analysis.
So you start with to whom are you selling what. Then allocate your budget to what's relevant using the data available and build profiles and personas - then target them. This is where you buy Facebook demographic data to jumpstart the marketing decision process.
You Need Your A B C
- Acquisition Metrics (aspects of total viewer traffic volume) - how many users came to your site, and how many of them were new?
- Behaviour Metrics (how users are interacting with your site) - did users bounce or click around?
- Conversion Metrics (a count of goal completions) - are you trying to push a newsletter sign-up or an online purchase in an e-commerce store? Whatever your goal is, you can define them as such in GA.
Facebook has demographic data and email marketing - this is a well recognized starting approach.
"93% of marketers currently invest in Facebook marketing".
$100 gets you about a weeks worth of advertising on Google.
Big companies (Deloitte data) allocate 7-12% of operating revenue. Small companies can do 15-20%. Remember a smaller company isn't as able as a large one to carry a loss forward. Bigger firms have during Covid responses(last two years) moved marketing personnel in-house to retain control and have increased the percentage of digital channels within marketing budgets.
ROI + ROAS
Return on investment (ROI) and Return On Ad Spend (ROAS).
This is tricky for a new small business. You need to balance time and money.
A small business in NZ must juggle the marketing budget with acceptable strategies.
Some form of due diligence needs to be done.
Remember the quote - "If you update your financial model routinely then do the same for your marketing model. Even if you're wrong about the percentages, you can still make money if you are directionally correct."
Imagine you purchase a website for $1000-$1500, a year goes by and it generates $500 in direct revenue of goods/services sold. It devalues 40% as a capital asset (now worth $600-$900) after one operational year (from NZ IRD). The website's now worth $360-540 and it makes $500 the second year. After that your business is in the black for website cost and you have a larger webspace market to exploit.
So your ROI is conservatively about that long and the real asset is your data.
At any stage along that one to two year path you obviously saved money with a TrikeWeb start-up, you picked up the data that Google Analytics missed (about 40%) with the TrikeWeb premium maintenance package and now you have a better handle on your marketing budget. You get more bang for the limited marketing budget that a small business has.
You want digital marketing to effect online, email and social media engagements.
Leads and sales have to be generate revenue from your marketing.
When you include the information below to nurture customers you couple data analysis from TrikeWeb
and you increase your ability to make targeted data-decisions.
If you spend $200 targeting (buying FB data) a demographic you should see traffic generated on your site.
It's that simple yet it needs to be nuanced for your customer to grow your audience and your reach.
This is an ongoing cycle. A TrikeWeb website is "cost reduction" and "revenue generation" - continuously. A better website serves a business better.
Marketing Traffic Definitions
- Organic Search traffic
- Paid Search traffic
- Display traffic - click through from another website ad
- Referral traffic - other than Search Engines
- Affiliate traffic - affiliate marketing link (B2B site)
- Direct traffic - entering your website name (url) in a browser
- Social traffic - Facebook, Instagram, Twitter, but not ads
- Email traffic - from emails created by mass marketing
Cross-sell and Up-sell
While you initially only wanted small fries you could get a Big Mac combo(cross-sell) or an big fries(upsell) upgrade. This "sell" activity boosts Customer Lifetime Value (CLV) while allowing a business to measure the Customer Acquisition Cost (CAC). If the foodie sent you a voucher in the email would you reedeem it?
This is building trust along a time path and could have negative associations if your ad appears too many times check other ways to inform you customer.
Pixel or List Based
"Retargeting is most effective if you segment your visitors (e.g. people who looked at shoes vs. pants)" Companies using visual cues like pictures on FB - this is pixel based. List based is email marketing. Pixel and List audiences are different - your budget might be comparing viral millenials and B2Bs.
The focus is on rekindling interest in your service or product to current or inactive old customers. Short of harassment it could be cyclic when a new or discounted service is available. It depends on the client and their business so you have to know who they are.
Retargeting and Remarketing work as methods for cross-selling and upselling.
Multi / Omni - Channel
Each communication medium (website, social media, email) will be nuanced for an audience. Omni is a phrase for synchronizing media messaging so you can coordinate brand images, messages with a delivery timetable so people better remember.
Go to the conversion blog to check the next step in analysis processing.