Presented by Karen Porter UM School of Business Administration & ImpactOnlineMarketing.com Digital Marketing Foundation Traditional vs. Online Marketing Presented by Karen Porter Department of Marketing School of Business Administration The University of Montana

Inbound vs. Outbound Marketing Traditional marketing is “outbound” marketing Marketers identify the consumers they want to reach and then broadcast out to them Interruptive marketing One-way communication Online marketing is primarily “inbound” marketing and lets customers find YOU They’re searching for what you have and locate YOU Two-ways (or multi-way) communication Interactive in nature Focused on relationship building and loyalty

Before the Internet Businesses relied upon traditional media: Yellow Pages Newspapers Television Radio Magazines Telemarketing Direct Marketing Fax Marketing

Times are Changing Traditional advertising media are losing effectiveness – and here’s why…

Times are Changing Directories – (focusing primarily on Yellow Pages) Get out-of-date quickly (may be inaccurate) Expensive Multiple options (does Missoula need 3 Yellow Pages?) Does your business need to BE in all three? Huge fall-out in usership – consumers moved online Traditional advertising media are losing effectiveness

Times are Changing Print Publications Printing costs have increased Readership is skewing to older demographics Fewer readers = lower distribution = lower ad revenues Major newspapers have closed their doors Traditional advertising media are losing effectiveness

Times are Changing Television – harder to grab and hold attention Fragmentation of viewers Zipping (skipping through commercials) Channel surfing during commercials Alternative viewing – Hulu Traditional advertising media are losing effectiveness

Times are Changing Radio Background medium (hard to get undivided attention) Alternative options in vehicles Satellite radio Plug in your iPod Listen to CDs Alternatives in homes/offices Internet radio (Pandora, etc.) Cable Television music options iPods Traditional advertising media are losing effectiveness

Times are Changing Direct Mail – costly / low conversion / slow Costly on a per piece basis MUST be tightly targeted to be cost effective Only works for higher prices items (based on ROI) Low conversion Slow Traditional advertising media are losing effectiveness

Times are Changing Telemarketing – 1990’s was huge for this Do No Call Lists Significant reduction of registered land lines Viewed as privacy invasion (i.e. “spammy” Traditional advertising media are losing effectiveness

New Media is Online & Online Statistics are Astonishing 1 Trillion + — number of web pages in the world 200+ Billion online searches each year in U.S. alone Google has approximately 70% of internet search 30 % — searches that are targeted locally (city or zip )* 20 % — total online searches done by mobile phones* 37 % — small businesses without a website* 80 % — local searches done on mobile devices = buyers* 0 % — chance to connect with consumers who are searching online if an organization doesn’t have an online presence * 2012 statistics based on U.S. data only

Business Owners Face Marketing Challenges Recession has led to slower sales & lower profits Traditional media declining in effectiveness Consumers are searching for businesses online Business owners are confused and frustrated about how to use online marketing effectively Many businesses lack either the knowledge, the interest, or the time to learn online marketing and develop an online strategy…..

How Many Business Owners Feel

A Website is Essential But Having One isn’t Enough Websites lend credibility The business card of yesterday Is your website getting found? Know how people are searching & where your site is ranked How do you drive traffic to a website? Know what your prospective customer is doing online Is your site helping or hurting your business? Does it promote your business to best advantage? Your site should be an online HUB! Does it promote your business to best advantage?

Your Website as an Online Hub

Why Being “On” Google is Vital 70% of all U.S. online searches are done on Google 80% + of intl. online searches are done on Google (with a few notable exceptions – ex: China) 60% of searchers do not typically search beyond page one of search engine results Do you know what your potential customers are searching for? – Keyword Research Need to be FOUND by those searching for the goods and services you offer – SEO (Search Engine Optimization)

Website Not Getting Found? Was the site developed strategically? Were goals clearly defined on the front end? Was keyword research done first to drive how and where those words are optimized on the site? Did development include these 3 key elements? Solid coding (the site functions as it should) Strong design (attractive, credible & user-friendly) Strategic marketing (solid SEO, marketing strategy done on front-end, integrated and ongoing online marketing strategies) Are you using best practices of SEO? On-page optimization Links coming into the website (quality counts more than quantity) Social validation

Keywords – Vitally Important Keywords – the combination of words that people use to search for something in the search engines The best keywords Significant search volume (i.e. enough search to drive traffic) Not too much competition (i.e. feasible to get on page 1 of Google) Determine search volume Google Keyword Planner – free tool Paid tools available Determine level of competition Various tools available to help determine this

Basics of SEO (Search Engine Optimization) More than 200 factors included in Google algorithms On-site SEO Use keywords in strategic places In “behind the scenes” code that search engines see On the pages of the website in certain places Linking into the website Quality links are more important than quantity Google has come down hard on linking “schemes” Social signals and user experience Confirmation that the website is liked/used by visitors Google placing more weight on social signals in its algorithm Social validation increasingly important

Mobile Marketing – Current Wave 67 % of U.S. citizens now own smart phones Japan and Europe mobile are far ahead of U.S. in smart phone usage; the U.S. is sure to follow 97% of smart phone users search online by phone <25% of all sites are mobile-friendly By the end of 2014, more people accessed websites by smartphones and tablets than by desktops and laptops combined!