marketing in a consumer driven digital age

Marketing in a consumer-driven digital age

Rachel AutyConsultant @ the fourfront

Traditional marketing

When there was a scarcity of choice for consumers,

broadcast marketing worked

Today every traditional marketing channel is in decline, both in use and

effectiveness

Over 70% of direct mail goes in the bin, unopened

Only 14% of people say they trust adverts

Less than 1 in 20 traditional TV campaigns break even

Telemarketing is lucky to achieve a 1.5% response rate

Email marketing now achieves around a 10% open rate

What’s changed?

The rise of the web has changed marketing forever

“When I became President in 1993, there were only fifty

sites on the worldwide web. When I left office (2001), the number was three hundred and fifty million and rising” –

Bill Clinton

Some social media statistics[correct as of July 2011]

• Facebook now has 750 million users• Twitter has 250 million users• LinkedIn has 115 million users (100%

growth on last year)• Google Plus already has 25 million users• 50% of facebook users log in everyday• Short film

Consumers are now in control as they can simply use the

web to source providers and seek referrals online

In fact 90% of purchases are now researched online

Technology has also made it easier than ever for businesses to set-up, expand, and to reach

and service new customers.

So, instead of there being a scarcity of choice, the opposite is

now true.

So why do many businesses still base their marketing on an

assumption of scarcity of choice?

Today the reality is ‘abundance’.

Traditional marketing and sales no longer work.

Technology and the internet have put the consumer in control.

They have an abundance of choice all around them.

They are screening out our broadcast messages.

Here’s how it works today

• People need to know about you• Then they have to want to engage with

you• Then you have to deliver value and get

them to like you • Only then will they consider buying from

you

Here’s how it looks

The Engagement Zone• Prospects and customers need to be engaged

on their terms with relevant content, engagement and respectful communication.

• Decision makers no longer want to talk to sales until they are 60-70% down the decision cycle.

• Only using a phone number and 'Contact Us' form misses 80% of the opportunity to capture/nurture prospects until ready to close.

• Time to create and leverage your digital ‘assets’.

What marketing has caught your eye lately?

One of my current favourites

Read my blog ‘Why Graze is Grate’

Some more examples

The UK office of Domino’s Pizza attributed an increase of profits by nearly 29 percent in a short span of 26 weeks, a success that is largely attributed to their social media activities on Facebook and Foursquare.

• ‘Trade Secrets’ campaign to raise awareness of new product

• All about ‘creating a good first impression’

• Got small business customers talking to Dell and to each other

• Sent laptops to bloggers loaded with personalised video invitation

• Twitter #tradesecrets• Facebook via app• Over 1500 contributions made• Crowd-sourced ebook

produced

• ‘My Starbucks Idea’• Consumer portal• Register and share and

vote on ideas to improve ‘Starbucks experience’

• ‘Ideas in Action’ blog• Twitter – for issues,

complaints & news• YouTube – Adverts &

charity work• Facebook – 25m ‘Likes’

How should a marketing strategy look in

2011?• Puts digital at the core• Revolves around delivering value (for

free!)• Focuses on engagement, not selling• All about relationships and creating

brand advocates – amongst staff, clients, partners, networks, business communities, consumers

What should a marketing plan look like in 2011?

Targeted, campaign-based initiatives incorporating…• A website - socially connected, optimised, updated

regularly – Your Engagement Zone!• A blog – targeted, informative and regular posts• Social media - to build and engage online

communities• An SEO strategy - to optimise your brand• Email marketing - to send soundbytes regularly• Wide range of digital content - to keep output

interesting

• Make ALL your marketing tools and campaigns interactive

Thought for today…How can you get your

target audience to engage with you/ your brand, even if they don't transact with

your business (yet!)

Further resources

• Econsultancy.com• Mashable.com• ‘Sticky Marketing’ by Grant LeBoff• Facebook.com/atthefourfront