M>Pact | Summer 2003
Monday, August 25th, 2003 | Archive.
What kind of marketing is working these days?
compiled by Chuck Morris / Principal
The top three most successful tactics were:
#1 - Email marketing sent to a house list
45% of marketers using this said they get great results.
#2 - Public relations
36% of marketers using say they get great results.
#3 - Direct postal mail to your own list
28% of marketers using get great results.
What’s really working in business-to-business marketing in 2003? According to MarketingSherpa’s survey results gathered from 729 participating marketers, not much of anything.
Sad but true, not a single one of the 15 most-common marketing tactics used today—from ads in trade magazines to search engine marketing—is generating “great results” for a majority of marketers surveyed.
Lots of tactics are working “moderately well,” and a few just plain stink.
38% of marketers focusing on sales lead generation said Webinars or Webcasts got great results. 35% said outbound telemarketing was also a winner.
29% of marketers responsible for direct sales said paid search engine ads were doing great, and 31% said outbound telemarketing was working above average.
37% of PR and branding pros said online PR was a winner, and 30% of them said radio ads are working exceptionally well.
And now for the bad news—list rental brokers beware—business marketers overwhelmingly agreed that campaigns to rented lists were producing disappointing results.
- 56% said email list rentals produced bad results.
- 46% said postal mail list rentals produced bad results.
So, the lesson seems to be that while online and offline campaigns to house files are working exceptionally well, campaigns to rented lists are underperforming.
Lesson: instead of sending your regular creative to a rented file, try partnering creative with the original list owner where they recommend your offer to their house file. You might use their name in the “from” line (or outer envelope) and even an endorsement-style letter introducing your offer to their list.
Generally in these deals you give their list a special offer (“As members of the XYZ association, you’ll get 10% off…”), and produce the creative yourself with final sign-off from the list owner’s side.
This is bad news for anyone selling big ticket items, especially long-term media buys. Marketers are not willing to commit yet.
It’s good news for freelancers, contract workers and consultants. 49.4% of survey respondents currently rely on freelancers to help out instead of hiring more permanent staff. 24% of survey respondents plan to hire more freelancers this year. Plus, an additional 20% of marketers really wish they could hire some freelancers, but they just don’t have the budget now.
So, as the economy improves look for freelancing and contract opportunities to increase. The habit of filling in with part-timers rather than hiring more staff seems to be situation normal in corporate marketing departments now.
The recession has also made a huge difference in online vs. offline marketing expenditures.
98% of business marketers surveyed are devoting at least part of their budget to online and email marketing; many because, as one respondent said, “It’s cheaper.”
23% of respondents are spending 71-100% of their budget online.
PR & branding marketers are spending the least; 71% of them are spending 1-30% of their budget online, with the majority falling around the 10% mark.
Sales lead generation marketers are spending the highest portion of their budgets online; 44% are spending 50% or more of their budgets online now.
Magazines May Be the Answer
Magazines are a high reach medium. Six print vehicles (Parade, Reader’s Digest, TV Guide, People, USA Weekend, Better Homes & Gardens and National Geographic), have a larger audience than the top TV show (CSI).
An FCB media research report found:
- As a group, the top 25 magazines deliver significantly more GRPs (gross rating points) than the most popular TV shows.
- Despite delivering more GRPs, magazines are more cost-efficient than TV.
- As network ratings continue to fall, the GRP advantage magazines have over TV is growing.
A number of magazines reach more people than TV’s “must see” shows.
Credibility in a sea of information
by Matt Klimas / Designer
Consider this: The printed word has been around for over 500 years. The internet as we know it has been with us for less than a decade. As familiar as we’ve become with the world wide web, there’s still quite a gap in credibility between the web and print. This means in order for your company to reap the benefits from an online presence, you need to be mindful of factors that influence a customer’s confidence in your site.
There are three primary aspects on which a viewer will consciously or subconsciously judge a web site’s credibility.
The first is the site’s aesthetic design/look. Our culture is a visual one and people will respond to the look of your site. Impress your customers, but avoid gimmickry. The key is to project professionalism in your execution. An informed use of color and imagery is every bit as important on the web as it is in a printed marketing piece. Remember that you site should be an extension of your well-planned branding strategy. Define the look of your site; don’t let it define you. Also, consider how your site will stand out among the thousands of others. Simply having a web presence does not guarantee its effectiveness.
The second factor is the information design/structure of the site. The site’s usability and the logical flow of information are essential to building viewer trust. Once you’ve determined what content you want in your site, do not rush through the organization step. Consider what is most important and what is subordinate and how the viewer will move through the site. An effective site will have a well-defined information hierarchy and consistency. A site that’s difficult to use will not keep customers coming back.
The third aspect is the actual information/content of your site. No matter how well your site is presented, if you don’t have a reason for people to come back, they probably won’t. Be sure your content is well-written and up-to-date. Again, keep your brand and audience in mind when developing your content.
Ask Uncle Chuck
Got a perplexing marketing problem? Send it to Uncle Chuck. He’s an old guy, and he may not have the answer, but he’ll do his darnedest to find somebody that does.
Q: What are the advantages of buying media through an agency versus handling it myself?
— Mr. Smith
A: First, the obvious: You’re not a media specialist. Agencies often have entire departments dedicated to it, and they’re good at it. They do the research necessary to make an informed buying decision. They “speak the language.” They also can negotiate better rates with media outlets because they have more purchasing power spread across their client base. Agencies also get a 15% commission from the media placement. This often compensates agencies for their time so that there is no net cost to you. If you bought directly you would often be paying 15% more for the same media since you don’t qualify for the commission.
Lastly, and most importantly, letting an agency handle your media frees you up to concentrate on your business, not deal with media reps. As anyone who has bought their own media before can tell you, it can often be a full-time job. Trust the specialists.
— Uncle Chuck
Quote of the month
“The business that considers itself immune to the necessity for advertising sooner or later finds itself immune to business.”
— Derby Brown
