Paul McDonnell

E-BookThe Essentials of Digital Marketing

What all managers should know

www.open4business.org.uk

Tel: +43 1 470 3680

Introduction

The internet has changed the way we live our lives. We search on-line for solutions to questions we want answering. We research before we buy anything of value, and many of us purchase products without even leaving the house.

The purpose of this ebook is to give a basic overview of the various elements of digital marketing, and specifically, how companies can leverage these tools to promote their business, and engage with their customers.

Should you require any further information or advice on how to get started, or how to manage and update content on a regular basis, we’d be happy to help.

www.open4business.org.uk

Tel: +43 1 470 3680

Click to see profile

Tip:read this ebook in slide show

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Chapter 1Chapter 2Chapter 3Chapter 4Chapter 5Chapter 6Chapter 7Chapter 8Chapter 9Chapter 10Chapter 11Chapter 12Chapter 13Chapter 14Chapter 15Chapter 16

What is digital marketing?...............Internet Search……………...............Search Engine Optimisation……….Website design & content…………Social Media & on-line reputation.Facebook……………………….........You Tube………………………………Linked-In……………………………….Twitter………………………….……….Tumblr, Pinterest, Google+…………Instagram, Location based SM……E-Mail marketing……………………..On-line advertising....……………….Analytics……………………………….Affiliate marketing……………………Summary & implications……………

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Contents

Tip:Click on chapters

to navigate

What is Digital Marketing?

• There are 3.4 billion internet users around the globe.• 76% use a social network• In the USA and UK over 50% of the population use a smartphone• By 2017 34% of the world’s population will own smartphones• Use of smartphones now exceeds that of desktops/laptops• 80% of internet users made an on-line purchase in 2014• $1.5 trillion B2C ecommerce transactions were made in 2014• Alibaba’s sales in 2013: $240bn; more than Amazon & Ebay combined• 350 million photographs are uploaded every day to Facebook• 68% of US adults use their smartphone in-storeto access the internet

To reach our customers, whether B2B or B2C, we must be not only connected, but also engaged.

A better description would simply be: ‘marketing in a digital world’ :

Internet Search

If you wish to purchase anything of any value these days, the chances are you’ll search on-line first.

So will your customer.

3.5 billion searches/day40,000 / second

More than 95% of site traffic comes from page 1 of search results*

* iCrossing study: Online search

* Forrester Research Inc/Nielsen

Internet search influences 60-70% of all purchases*

65% market share (90% in UK)

9%

9%

14%. (Dominant in China)

(YTD Aug 2015 figures according to Netmarketshare)

Search Engines

Consider this:When consumers search on line, they are in buying mode; ie at the bottom of the purchase funnel

* internetlivestats.com

Search Engine Optimisation

“Imagine a librarian knowing every word in every book in the world…”

Search engines use algorithms to trawl through every website to find search terms (‘keywords’) on the web. Eg tools, pianos, fashion

The ranking on the search engine results page (SERP) matters! The process of improving the visibility of a website in a search engine’sunpaid (‘organic’) result is called Search Engine optimisation (SEO).

Words

• Search terms used by people

Titles

• Search terms used by people

Links

• Inbound links from other sites

Content

• Unique• Engaging

Traffic

• Visitors• Low bounce

Web design and content should be geared around driving SEO.Using the right keywords, titles and links, and ensuring attractive, interesting and informative content, are critical for success

If people search on line for the product category you sell, where does your business rank on the Search Engine Results Page (SERP)?

NB: 95% of site traffic comes from page 1! Having an on-line strategy to optimise your ranking is critical. (SEO)

Website design and development

Be clear what role your website should play Eg:

• Generate leads for distributors/sales team• Build database of (potential) customers• Sell products or accessories directly• Define brand, enhance perception• Communicate company values, history• Engage with consumers• Strengthen relations with trade partners• Communicate strategy• Demonstrate innovation• Show financial performance

InboundMarketing

Website Customer Conversion

Website must be designed for :

Search Engine Optimisation:• be easy to navigate• be designed for desk top and mobile viewing!• contain unique & engaging content• attract incoming links from other sites• use analytics to assess visitor engagement• manage content for continuous improvement

Engaging & ‘converting’ visitor. Eg:• product purchase• registering email address• click through to retailer/distributor

All your marketing channels should be

driving traffic to your website!

• engage with users• build community of

brand advocates• actively seek

feedback• research opinion• appease unhappy

customers• monitor and manage

online reputation

Social Media and On-line Reputation Management

Advertising and branding used to be one-way. The brand owner used to control the message.But that was then.

• ask for recommendations• review product performance• assess your customer satisfaction• compare pricing• express their grievances publicly

Now social networking enables the consumer to:

Brand Owners should leverage social media channels to:

What are people saying about us on line?What words are

associated with our brand?

• Founded in 2004 by Mark Zuckerberg as a college networking site• Facebook now has over one billion users worldwide.• Over 350 million photos are posted every day to Facebook• Facebook ‘Pages’ are used by businesses to engage with customers• Special functionality allows businesses to

• Obtain feedback from customers• Promote events• Advertising to a narrowly targeted demographic eg women over 30, with interest in fashion, living in Bristol eg men over 30-60 with interest in hunting, living in Germany

• Facebook accounts for 25% of all on-line display ads in the US

Click here for example of a Facebook page we like!

Facebook

You Tube

• A video sharing website created in 2005 • Acquired by Google in 2006 for $1.65 billion• 15 billion visitors per month; 3rd most visited website in the world• Top ‘You Tubers’ generate several million subscribers/views

• Multinationals and small businesses create video content to:• Introduce their company• Highlight products/promotions• Educate customers• Develop brand personality

• As advertising platform, especially useful to target under 30’s

• Product placement in music videos becoming very popular• Massive audience (eg Taylor Swift)• Longevity (videos popular & visible for years)

• You Tube revenue $4 billion in 2014

Upload video content free of charge.Click for example

Sales and Marketing:• Identify & nurture prospects across the web and keep top of mind• Sales lead generation• Targeted ads (text, display, video)• Raise awareness & drive traffic to your site• Analytics to measure ad effectiveness

On-Line network of professionals (380m members):• Build professional identity• Stay in touch with colleagues and classmates• Get latest news, inspiration and insights

Recruitment:• Post job ads• Search for candidates

Linked-In

Twitter

• Created in 2006• May 2015 500m users (302m active)• Allows users to send short 140 character messages (‘tweets’)• Can also view photos and videos via links• Users can subscribe to ‘follow’ other users tweets

• Often used to get real time updates on world events• Twitter use often peaks during TV shows & sports events• ..thus making TV viewing more social and interactive• Twitter using this advantage to appeal to advertisers

• Twitter advertising available in 200 countries• Businesses can create & grow a relevant follower base:

• to build an engaged and connected audience• drive clicks through to company website• build brand awareness and influence brand personality

Person

with the

most

followers

?Click

to find

out!Quickest time to 1mfollowers?

Click to find out!

Twitter

• Created in 2006• May 2015 500m users (302m active)• Allows users to send short 140 character messages (‘tweets’)• Can also view photos and videos via links• Users can subscribe to ‘follow’ other users tweets

• Often used to get real time updates on world events• Twitter use often peaks during TV shows & sports events• ..thus making TV viewing more social and interactive• Twitter using this advantage to appeal to advertisers

• Twitter advertising available in 200 countries• Businesses can create & grow a relevant follower base• ..to build an engaged and connected audience• ..drive clicks through to company website• ..build brand awareness and influence brand

personality

Katy

Perry

74.5 m

followers

Aug 2015

Robin Downey jr23 hrs 22 min

• Microblogging website, especially popular with teens• Allows users to post multi-media in a short form blog• Acquired by Yahoo! in 2013 for $1.1 billion• As at Aug 2015 Tumblr hosted 248m blogs. 75m posts daily• Possibility to place ads targeted at different interest groups• Advertisers incl. Starbucks, Gatorade, Mastercard, BMW, AT&T

• ‘Google Plus’ - Community/interest based networking site• Ca. 300m users (March 2015), 60-70% male. 25-34 y.o. = 35%• Low user engagement compared to eg Facebook• Presence on Google+ improves search rankings with Google• Businesses can target specific interest groups/communities• Can create a business page and add text, photos & videos

• Pinterest users boomark ideas & products seen on the web• ‘Boards’ created in categories (eg food, fashion, technology)• 73m ‘pinners’, 85% female. 42% of US women active,13% men• Pinterest Business - set up boards for fans to follow• Followers have very high purchase intent (85%+)• Analytics give insights into your followers’ interests

Click to see

example of a business

board

Click to see

Mercedes Benz

success story

• Instagram is a photo & video sharing site• Founded 2010. Acquired by Facebook 2012 for $1billion• 300m active users monthly. 51% male• 2.5 billion likes daily. 70m new photos daily• 20% of internet users using Instagram• Advertising currently limited geographically. Users include:• Levi, McDonalds, L’Oreal, Philadelphia, John Lewis, MBenz

Sites like Yelp, Tripadvisor & Foursquare are aimed at service businesses. Consumers post reviews, and businesses can pay to advertise. As a business you should become a member, as reviews will be published regardless! In this way you can manage any potential negative reviews.

140m visitors71m reviews

monthly60m Members225m reviews

Location based

social media

E-Mail Marketing

Despite the advent of WhatsApp, Snap Chat and other instant messaging platforms, E-mail remainsBIG business, and is forecast to grow.

* Email Statistics Report – Radicati Group

*191

billion

E-mails

sent daily

from 4.1

billion

accounts!

50% of consumers in USA have purchased from an E-

mail campaign

66% of

E-mails

are read

from

mobile

device27% of consumers like to

receive E-mail with special offer

Only our

friends

have

stronger

influence

than E-

mail !

Most interesting part of an E-mail?Subject line

Key Success Factors

• Build your own subscriber list eg registration form on website

• Personalize the E-mails• Use E-mail campaign

software²• List mgmt.• Data analytics• Mail merge• Templates for mobile & desktop• Spam filter• Unsubscribe functionality!

• Keep short & concise• Highlight call to action • Clear outcome for consumer

² eg Mail Chimp, Get Response, AWeber

On-line Advertising

Internetretailer.com/emarketer

Search AdvertisingAds linked with results from search queries, which translate directly into clicks and purchasesby placing a product before a customer at theexact moment they are making a purchase decisionM.Blanding Forbes

Display (banner) AdvertisingAds placed on targeted sites. More visible than search ads but less likely to result in click throughs.Good for improving brand awareness. Consumeris higher up the purchase funnel

• Google market leader in search advertising ($40 billion revenue)

• Facebook accounts for 24% of display ads in US

• You Tube, Twitter, Pinterest, Instagram focusing more on ads

• Social platforms offer advanced targeting options• On-line advertising offers some

valuable analytics to measure conversions & ROI• 83% of companies social media spend is on paid ads

Pay Per Clic (ppc) terminologyCost per clic (CPC)) The amount you pay for a single click on you adCost per mille (CPM) For every thousand views (impressions)Cost per acquisition (CPA) For each conversion (purchase or sign up)Click through rate (CTR) = No. of impressions/No. of click throughs

Analytics

Example from Google Analytics (Standard) dashboard,which is free of charge. A premium version for corporateswith a dedicated account manager is also on offer

The nature of the internet means that a lot of activity is ‘visible’. Search engines and social platforms offer free reports to help businesses build a better picture of their audience & their needs.Marketing and site content can be tailored to improve ROI. Response to campaigns can be tracked in real time.

• No. of visitors, sessions, time per session• Pages & posts viewed, • Provenance: referrals from sites, direct• Location: city, country • Downloads of videos, link click-throughs• Type of device used (mobile, desktop)• Bounce rate

Examples

Affiliate Marketing

Affiliate marketing is a type of performance based marketing, in which a business rewards one or more affiliates for each visitor or customer brought by the affiliate's own marketing efforts. Wikipedia

Merchant (Brand Owner)

Publisher (Affiliate)

Customer

When you last booked a flight on lineyou were probably asked if you wish to book a car, or hotel. The airline is acting as an affiliate, and receives commission

Specialist networks bring merchants andaffiliates together and manage thepayment/commission system

Example

Product review and tutorial sites arecommonly used as affiliates. They actlike an extended sales force of the merchant, paid a % of revenue.

Summary and Implications

• We live in a digital world• If you are not on-line you are all but invisible

• Consumers searching on-line are in buying mode• How businesses engage impacts success

• All channels should lead to your website• Consider if affiliates could help too!

• Your website should be:• designed to optimize SEO (Page 1 of SERP)• must be ‘responsive’ (readable by mobile devices• contain unique and engaging content

• Social media platforms offer:• a great way to engage with customers• find new ones • manage your on-line reputation

• Analytics:• help you target your audience• measure marketing ROI

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I hope you have enjoyedreading this ebook.

If you need support withyour digital marketing we’d be happy to help

www.open4business.org.uk

Tel: +43 1 470 3680

Paul McDonnell