April 12th, 2010
According to the IAB (Internet Advertising Bureau) the past few years of economic hardship may have actually helped online advertising with a boost in popularity. It turns out that when faced with budget cuts, companies chose to focus their marketing budgets toward online marketing.
The biggest reason for this push clearly comes from the financial pressures of needing to receive more for less. It is a fact that when done correctly marketing online costs less and converts more than any other marketing medium. But does this mean that without the economic “blip” online marketing would have puttered along at a slow and steady pace? Perhaps the boom that we are now seeing is the product of necessity.
It may be true that financial pressures encouraged companies to look for less expensive and more efficient marketing strategies online, but this ignores the other lures that online marketing possesses. Aside from being easier on the budget, online marketing also provides greater flexibility to companies, allowing them to adjust and alter their campaigns to suit their market’s changing needs.
Online marketing also provides a level of tracking and data collection that is unprecedented in the off-line world. There is simply no comparison to the way that online marketing allows companies to know how may people have viewed their advertisement and how many people were directly converted to a customer.
So while economic necessity may have played a role in speeding along the popularity of online marketing, it was likely an inevitable evolution. It seems that as a species we are becoming better media consumers. As Google’s Ronan Harris has noted, it took print almost 200 years to achieve 50 million users, radio took 38 years, and television took 13. The Internet took just 4 years.
Even now within the internet, the 50 million mark is becoming easier and easier to achieve. Facebook reached 50 million users in just 2 years and as online user-ship continues to grow, so does the potential for new websites to become more popular even faster.
The trick for those companies that have come online is to really capitalise on their opportunities and not view their new marketing strategies as simply a necessity of time and circumstances. This appears to be a real danger given the number of companies who almost present an image of distain when it comes to their online marketing.
It is true that often when something comes with a lower price tag we tend to think of it as inferior. Companies need to understand that even if they turned to online marketing in order to get a bargain, they were likely going to come along eventually for the value.
Tags: Facebook, Internet Advertising Bureau, Internet-Based Advertising, Marketing, Online marketing
Posted in Internet Marketing, Internet-Based Advertising, Tracking | No Comments »
April 12th, 2010
CAP – What it covers explicitly and what gets overlooked
One of the specific areas that CAP regulations apply is to data database practices. According to the Code, any solicitation for database information must overtly express who is collecting the information, why it is being collected, and if the information will be given to any third parties. This means that if your SMS marketing system includes data capture, you may be required to comply with this section of the Code.
Once the information has been collected there are also Code regulations for how that information can be used. The Code states that “explicit consent of consumers is required before sending marketing communications by e-mail or to mobile devices”. However, the Code dos allow for unsolicited communications to be sent as long as they are about similar products to those the customer has already consented to.
By allowing for similar communications without explicit consent, the Code removes a possibly unnecessary and cumbersome requirement for repeat consent, while still protecting the consumer from harassing over-communication. The first rule of any good marketing is to target the right market with the right information, so this requirement is not far from what should be practiced in any circumstance.
Here are a few examples of what marketers should not do, both because the actions violate CAP and also because they are unlikely to result in a successful conversion. Do no:
- Send marketing communications that are not suitable for the recipient.
- Send unsolicited marketing communications when explicit consent is required.
- Continue to send marketing communications to those who have asked not to receive them.
Where CAP does not apply is in private correspondence. This includes correspondence that a company may send to a customer about an existing relationship or past purchase. This means that while an initial SMS communication that is targeted to a broad audience may be regulated, subsequent communications may not be subject to the Code.
It also does not apply to website content unless it is a sales promotion or advertisement in paid for space. This means that content on your company site about your product may not be regulated by CAP.
Finally, CAP applies only to the jurisdiction of the United Kingdom, which includes the Isle of Man and the Channel Islands. This means that advertising that originates in another country, but still targets UK consumers, is not subject to the regulations of CAP. Depending on how you perceive the regulations and their impact on your company’s marketing strategies, this could be viewed as a disadvantage.
As mentioned in the first blog about CAP, the Code is usually referred to as a self-regulatory set of rules. This does not mean that marketers are expected to police themselves, like on an honour system. Instead, self-regulatory means that the Code is revised and adjudicated by governing bodies from within the marketing community.
Tags: CAP, Marketing, Marketing Channels, SMS Marketing, Text Marketing
Posted in Direct Marketing, Internet Marketing, Mobile Marketing, SMS Marketing, eCommerce | 5 Comments »
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