Archive for Internet Marketing

Data Driven Internet Marketing: Measuring Equals Success

You cannot manage what you cannot measure…And what gets measured gets done.” Bill Hewlett, co-founder of Hewlett Packard

This quote entails the essence of data driven Internet marketing. Do you know where your customers come from, how much the average customer spends or how often your customers come back? Powerful decisions can be made from looking at the answers to these few questions alone. You could target your marketing efforts to the places where most of your customers come from. You could try up-selling techniques to improve your average profit per sale. You could give your most loyal customers tools to spread your message via word of mouth to their friends.

Wal-Mart keeps track of the number of items per hour each of its checkout clerks scans at every cash register, at every store, for every shift as a means of measuring their productivity. These obsessive data gathering habits are at the heart of Wal-Mart’s strategy. A small business cannot afford to ignore the importance of marketing accountability and measuring success.

Leave a Comment

Internet Marketing vs. CPM

Internet marketing allows you to get your business in front of the people most likely to buy. Weather its through improving SEO when people search for your service or product or PPC though Google’s content network, it works better than the traditional CPM strategy.

The vehicle with the lowest CPM, cost per thousand, is thought to be the best because it reaches the greatest number of people for the money. But this confuses activity with results. What does it matter how much you throw if none of it sticks? It’s not enough to place ads or have them seen be lots of people. What happens as a result? Did anyone buy the advertised product?

There are two metrics in advertising: reach and frequency. Reach is how many people see your ad and frequency is how many times it is seen. No single ad, no matter how well produced, is ever enough to sell you product. You need frequency to earn trust and you need trust to sell. With larger reach, the percentage of ideal customers that are interested in your product will be very small. A lot of money is wasted on people who are not in the market for your product.

As Seth Godin Puts it:

The more people you reach the more likely it is that you’re reaching the wrong people.

Christ Anderson explains the importance of targeting:

Sure, the traffic today is still mostly going to Facebook and MySpace. But as they struggle to target ads based on the faint signals of consumer behavior in a generic social network, the smart money is going to the niche sites, where laser-focused content and community makes targeting easy.

Leave a Comment

How To Work With the New Online Gatekeepers

Thanks to the internet, the barriers to entry have fallen. We are in a publish first and then sort-out-the-good-stuff-later environment. The gate keepers, who once had control of limited shelf space and limited TV stations, used that scarcity to their advantage by having a say in what made it through to the masses.

Now bloggers are the new gatekeepers. Instead of saying what should and shouldn’t be published, they create buzz and spread the word about what has been published. Most bloggers aren’t paid for what they do so a mediocre press release will not get their attention. The main asset that bloggers have is their audience and they will appeal to them fist and foremost. Any blogger that disregards their audience for the sake of making some cash to plug a product will loose their credibility with their audience.

First identify the blogs that actually do have an interest in what you’re trying to have featured. Use technorati. Read their blogs and interact with them. Post comments, submit useful articles that don’t necessarily have to do with your business and build a relationship. Then in time, with something relevant about your business, submit it with a personal note and it will be read.

Leave a Comment