What I mean by these two terms is basically inbound marketing vs outbound marketing. As consumers continue to migrate at a rapid rate to the internet, online marketing world continues to change at a rapid rate. In a two way medium like the internet, the old forms of marketing are falling behind on how effective they still are, and new types of marketing are gaining momentum in providing added value to consumers who are increasingly being turned away by intrusive marketing practices. Let’s have a quick comparison of the two below.
The inbound marketer is seen as the new form of marketer and adopts “any marketing tactic that relies on earning peoples interests, instead of buying it”. New marketing (internet) communication is interactive and goes both ways. This has been greatly helped through social media. Customers now come to you via seo, customer referrals and social media and are seen to be adding value by consumers. New marketers seek to entertain and/or educate through the media and material they use.
The outbound marketer, on the other hand, is seen as the old form of marketing and adopts the “anything that pushes products or services on customers” Approach. . Communication is seen as one way and customers chased through the use of TV, radio, fliers, print media etc, cold calls etc. It is also perceived that the old marketer provides little to no added value. More-so, it is understood that the old marketer will on limited occasion seek to entertain or educate.
So what is the reason for this decline in the value of outbound marketing? Well, we could say that the decline is a response to a recent and fundamental shift in consumer behaviour. This is the information age and consumers are more informed and in charge of info and how they receive it. With outbound marketing, the company is in control and in this day and age, that just isn’t going to cut it anymore. If you take look at some of the stats, more than 200 million people in the US have registered their numbers on the “do not call” list, 44% of direct mail that you receive is never opened which is a big waste of marketing resources, and with regards to TV ads, 86% of people fast forward ads or change the channel. The same goes for the internet, as 84% of young adults leave their favourite websites because of irritating advertising.
So what is the solution? It would seem that it is inbound marketing. It is a social world we are living in, and inbound marketing focuses on getting discovered or searched for by the consumer, as “new marketers” want to have earned or deserve their way in. Some of the most effective ways are social media, blogging, podcasts, creating ebooks and infographics, basically a lot of content marketing. Content can get shared and spread through social media networks and can be picked up by many sites creating many links for your sites, which also significantly improves your SEO. It also has the potential to go viral and drive referrals, sales and leads. Many up to date companies are realising this trend and are increasingly adjusting their budgets accordingly toward more inbound marketing tactics. Just by looking at a few stats, marketers say that Facebook is important to their business, having increased by 83% in the last 2 years. 42% of businesses have acquired a customer through Twitter. Two thirds of marketers say their company blog is important to their business. But more importantly, one of the biggest reasons inbound marketing is growing is return on investment. Inbound marketing costs 62% less per lead compared to outbound marketing and, more importantly, they don’t just generate leads, they generate revenue. It has been observed that outbound marketing costs more and three out of four inbound marketing channels cost less than any out-bound channel.
One thing for certain is that marketing is evolving. More and more resources are heading to the internet and it continues to revolutionize how we find, purchase, sell and communicate with brands, customers and services. You can no longer afford to annoy your customer with intrusive advertising and marketing tactics. It is now an age of inbound marketing and the need to provide value and earning brand loyalty, the age of new marketing is upon us.
Contributed by: Cale Pissarra has found an interest in writing about a range of topics from marketing and online invoicing to travel and small business software.