Integrate Offline With Online Advertising

Recently, I discussed the necessity of integrating Search and offline marketing. I read a very interesting study published in August 2007. iProspect.com and JupiterResearch conducted this study. I believe their study has direct implications for small business marketing, discussed in my earlier post.

The study's objective was "...to gain a better understanding of how exposure to offline channels influences their search and purchasing behavior." In a recent presentation I gave on the subject "How Small Business Use the Internet", I stated that the two most prevalent internet activities are search and email. It is imporant to understand the effect different advertising channels play in Search. The study analyzed if search happens in a vacuum or if offline advertising channels plays a role.

The study asked the following question:
Within the last six months, which of the follow prompted you to go to a search engine and look for information on a particular company, product, service or slogan? Select all that apply." It revealed that 2/3rds of search result from exposure to some off line advertising. They also found that 33% of searches, initiated from offline advertising, resulted in a purchase.

What is the marketing implications for the Small to Mid Size Business? Historically, small business traditionally advertises in:

• Local newspapers
• Circulars
• Local Shoppers
• Industry specific magazines
• Cooperative direct mail programs such as Val Pak
• Solo direct mail for acquisition and/or customer retention

Increasingly, small business are developing a web presence. The study should influence small business marketing. Obviously, the business must have a website.(See my post "Why Small Business Need the Internet").

Based on this study's findings, small businesses must have a multi channel approach to marketing. All to often, small business use a scatter approach without any relevancy between advertising channels. This is a mistake as this study reveals.

The ways of integrating are boundless. For example,

1. Begin with an advertisement in a local flyer or circular driving traffic to your site. Have the visitor register online with some inducement or discount on your service. The contact information should include their email address (adhering to all opt-in standards). You now have a means of communicating future promotions that originated with a off line channel.
2. Integration can be very simple. A local pizzeria client placed his web address on all pizza boxes. When those pizza boxes leave the restaurant, they are a billboard driving web traffic.
   
3. Expanding on #2, place a "post-it" on the outside of the pizza box with a series of coupons with different expiration dates. The coupon is only valid on web purchases.
4. There is always tried and true direct mail. In 2002, the Winterberry Group conducted a study on the interaction between direct mail and its ability to increasing website traffic. Using this channel increased web traffic by 21%. This channel can be used for customer promotions. Use your customer database to advertise new products or services your customers may be interested. Drive the customers to your site with an inducement not offered for off line purchase. (If your customer has not already done so, make sure they register online).
5. Re-solicit customers who have not purchased from you in a while (6 months or one year). Perhaps they don't know you have a website? Maybe they moved? With a website, you are not geographic bound. (Collect their any missing contact information, especially email addresses for future communication.

These are some examples of media well known to small businesses. Some of them are free (printing your web address on a pizza box). Others cost some marketing dollars. However, when combined with Search Engine Optimization and Paid Per Click programs, this study suggests that offline marketing compliments Search marketing programs.

Your comments and other examples are welcome.

Why Small Businesses Need the Internet

As reported in the February 14, 2008 issue of the New York Times, 36% of small business, defined as companies with less than 100 employees, have a web site. This represents a market that is still yet to fully embrace a medium in which over 231 million people use in North America. The Small Business Administration Office of Advocacy, listed the following ways a website benefits a business. They include:

• It lowers your cost of doing business. Each interaction lowers your cost of handling that transaction off line.
• Allows business to compete with companies much larger.
• Brings in new business from other markets.
• Is open 24/7.
• Reduced unit costs.
• Increased sales outside the US.

Other benefits include:

• Better customer service-being open 24/7 visitors can get their questions or information answered immediately.
• You can display your entire inventory, (if you sell) without necessarily purchasing it upfront.
• You can run your business more efficiently. Brochures, product inventory, and marketing communication material can be updated instantly.
• Credibility is also important. People will ask "what is your web address". Not having one makes your company seem outdated. A poorly designed website, with outdated information, makes your company look even worse.

Yet, there are almost 60% of small business without a website. The costs to obtain one have dramatically decreased over the last several years. For a website to be an effective two way communication channel should have certain key features. They include:

• The ability to easily update content. Web authoring tools should not require you to learn intricate html code.
• The ability to create customized forms facilitating capturing visitors' registration, surveys, or other relevant information.
• An internal database that stores the visitor information for future marketing and communication.
• The hosting company supplying the service should offer unlimited (free) technical support.
• If you are going to sell online, e-commerce software that includes a secure shopping cart and online merchant verification.
• To give you an example, go to www.dmwebsites.net.

Creating and maintaining a website takes time and planning. Many companies provides template driven products. While they are very inexpensive, a little more money will provide a unique experience for your visitors. To reiterate, the web is interactive. Your website should facilitate that two way communication.

Some caution should be noted. Business owners, hard pressed to run their day to day operations, should assign the development and/or maintenance to someone. If that is not possible, wait until you have the time. I also advise, get help from experts.

Your comments and suggestions are welcome.

What happens to the lead after a click?

A while ago, I was speaking with the president of a Search Engine Marketing company. I believe his company to be a fine organization. I asked him a question prefacing it by stating that at the end of a click is a name and address. How will his company monetizes that name and address from a lead to a customer or (if it was a sales generated campaign) a repeat customer. His answer was revealing They did not get involved with that end of the marketing. It was left up to their client. This same company president also stated that one of his clients wanted to know who were their best customers based on the names generated. He could not help his client.

Now, put yourself in the eyes of that president's customer. What if the SEM company could provide an integrated SEM and monetize those best customers. How much more valuable would that SEM company be viewed? Equally important, that would be a real differentiator in a very competitive marketplace. I have seen no differentiator separating themselves from competitors. Each is selling a better mouse trap. While I am sure each is good in their own right, the value proposition, from the customer's perspective, is neutral.
Search is here to stay. It is a very ROI driven medium. In it's evolution, SEM companies have to go to the next step and integrate traditional database marketing.
If you have any questions how to accomplish this, we would love to hear from you and answer your questions.

EBM Direct Marekting Services is an internet/web development and direct response marketing company. It principle has over 28 years experience handling direct response campaigns for lead generation, customer retention, cross and upsell programs. If you would like more information on our company, please visit Eric Mohr's LinkedIn profile.