digital marketing primer june 09

© 2007 etc…group, Inc. Confidential/Proprietary 1

Mike Cichonetc…group, inc.

Digital Marketing PrimerGetting heard above the noiseGetting heard above the noise


“A wealth of information creates

a poverty of attention …


… and a need to allocate that attention

efficiently among the overabundance of

information sources that might consume it.”


Professor Herbert Simon

Computer Science and Psychology

Carnegie Mellon University


The year was 1971.


The Internet today

133,000,000 blogs

186,727,854 distinct websites

210,000,000,000 emails sent per day

31,500,000 websites added in 2008

70% are spam

900,000 new blog posts per day


The Internet today

All of this content is chasing the attention

of 1.4b Internet users Worldwide

(248m+ North America)


Competing in the “attention economy”

… it’s about attracting attention of target buyers who are conditioned to

tune out distractions.

Is not about publishing more information on-line and off-line…


Key Trend: Drop in advertising

28% overall news media ad decline (1Q’09)1

13% drop in online advertising on newspaper-owned Web sites1

24% revenue drop in radio advertising (1Q’09)2

Forecast 20% drop in television revenue (2009)3

Q4’08 Internet ad revenue growth 2% vs 24% Q4’074

2 - Radio Advertising Bureau. 3 -- BIA Advisory Services 1 – Newspaper Association of America 4 – IAB / PwC


Why Internet advertising is failing*

*Eric Clemons, 2009Professor of Operations and Information ManagementWharton School of the University of Pennsylvania.

Consumers do not trust advertising

Consumers do not want to view advertising

Consumers do not need advertising

There is no shortage of places to put ads


The recession isn’t the only thing pulling

down Internet advertising. It’s the canary

in the coal mine. Other interruption-based

programs are suffering the same fate.


Why interruption-based programs fail

Screen phone calls

Don’t open emails

Ignore advertisements

They attempt to re-direct attention rather than engage it at the point of interest

Low response rates

Poor lead quality

High cost per lead

Behavior Result


Contrast: Growth in on-line/social media Facebook: 65.7m monthly visits (200m+ users) Twitter: 4.5m monthly visits Blogs: 346m readers (77% of active Web users) Social Networks: 35-49 age group up +11.3 million (2008)* Mobile: Social network access up 156% (19% overall)* Video: Audience growth up 339% (since 2003)* Search: Up 50% (since 2003)*

* – Neilsen On-Line


How can digital marketing help?

Shift strategy from interruption-based tactics to engagement of active shoppers / searchers

A set of tools and tactics that leverage the Web to generate inbound traffic to your website- Fine-tuning of organic and paid search (SEO / SEM)

- Rich media content optimized for both the Web and mobile platforms (e.g., ebooks, dynamic flash)

- Interactive marketing including blogging, micro-blogging and social networking

- Internet-based programs (e.g., webinars, podcast)


Take control of your on-line presence

Associate expertise, authenticity and transparency with your brand

Website

Web-PR

Forums Social Bookmarking

Blog / Micro-Blog

Wikis / Directories

Other Social Media

Social Networks


“Digital marketing sounds great. I’d do

more of it if I only knew where to start.”etc … group client


Sharpen the focus of messaging

Construct persona-based content targeted at specific buyer types- Document their goals and aspirations

- Empathize with their problems

- Prioritize the importance of their issues / concerns

- Understand their on-line and off-line tendencies

- Identify their preferred interaction channels

- Communicate using appropriate images / multi-media

- Speak in familiar language and words

Identify your “Joe the Plumber”


Launch a blog, make it interesting

Dynamic, current content trumps static web-copy and paid advertising

Great for naturalsearch and linkbuilding

Entry-levelrequirementto go social

Path to thoughtleadership

Great way to findout what buyersthink


Listen and engage in the conversation

Join the conversation- Actively comment and link to the blogging community

- Communicate valuable 3rd party information

- Advertise your blog and events

Monitor “the blogsphere” for product, brand and competitive mentions- Listen to experts

- Identify trending topics

- Discover breaking news


Focus: Search marketing

90% of online consumers use the Internetfor research

47% of purchasing decisions are made online1

Most Google users never go further than the first two search engine page results2

Visual impressions drop to 50% by the 6th search result, then they fall sharply after that2

1 -- Enquiro Research

Take Away

Among all other things, make sure to get found on the Internet

2 -- Google


Build an on-line influencer network

Mainstream media no longerowns a monopoly oninformation

Alternative media (bloggers)can spread information fast- They do not always represent

an accurate or balanced perspective

Unfortunately, the Internet does not discriminate good from bad information when it goes viral- Identify top bloggers and subscribe to their feeds


Emerging Trend: Tap into mobile

More than 1/3 of high-use smartphoneusers respond to mobile advertisements1

- 53% click on ads

- 35% request more information

- 24% make mobile purchases

- 80% use mobile devices at work and while shopping

Local mobile ad revenue will exceed $3.1b in 2013 (up from $160m in 2008)2

Local search made up 27.8% of all searches in 2008, but are expected to hit 35.1% in 20132

1-Universal McCann research study 2-The Kelsey Group


Establish a measurement infrastructure

1) Measure traffic, validate source Unique visitors eMail / RSS

subscriptions

2) Correlate to leads

3) Correlate to conversions (closed deals)

Jan Feb Mar Apr MayJun Jul Aug Sep Oct Nov Dec

0 1 2 2 5 6 7 5 8 8 7 15


Marketing moves online and gets social

Source: CMO Council Marketing Outlook Study, 2009

Minimum 20-30% of budget, more if:• Not enough leads

• Low quality leads

• Leads cost too much

• Low program response or participation rates

• Long sales cycles

Digital Marketing


Moving from strategy to execution

• Managing on-line brand presence• Active blogging and “blogsphere” management• Targeted demand generation programs• Development of sales and marketing tools

• On-line influencer network• Search engine optimization and marketing• Multi-media, persona -based content• Blog and building an on-line following

Product Launch

ProgramManagement

and Execution

Go to MarketPlanning

• Clean sheet story line development• Target marketing personas• Digital media, advertising and editorial content plan• Keyword and link-building strategy


I am a Web2.0 / SaaS marketing specialist with

extensive hands-on experience in go to market

strategy and execution.

Over the course of launching several products to

market I have developed a consistent track record

and deep hands-on experience in messaging /

positioning, go-to-market planning, and crafting

effective demand generation programs.

Over the past 10 years I have enjoyed working with

several technology companies in Silicon Valley. I’ve

learned from experience how to use the latest

marketing and public relations strategies to help

products get noticed in today’s crowded markets.

About Mike Cichon

Blog: http:// highcliff.wordpress.com

Twitter: @mcichon

LinkedIn: http://www.linkedin.com/in/mikecichon

Delicious: /mikecichon.com

Friendfeed: mcichon


[email protected]

Thank You!

digital marketing primer june 09

Technology

internet advertising

advertising consumers

online advertising

radio advertising 1q09

radio advertising bureau

interruptionbased programs

b internet users

poverty of attention