The underlying difference between inbound & outbound marketing
Let’s primarily begin with outbound marketing.
It is a more traditional form of marketing. Outbound marketing has a direct approach, and uses methods of advertising like television commercials, billboards, and print ads. Outbound marketing has been in picture ever since the beginning.
The issues with outbound marketing
Personalization aspect is not met; this is one of the major drawbacks for outbound marketing’s inefficiency. Outbound marketing consists of ad campaigns that are very open to everybody. It is not complied for a specific set of audience. It uses advertising mediums like, Billboards, television ads, email blasts, sales calls, and magazine, newspaper ads.
The basic funda of outbound marketing is to make an announcement on a generic scale. The ads thrown out are out there for everyone, irrespective of the fact that maximum people who are exposed do not even have any interest in the broadcast. These ads fade away soon and easily, cause of the short shelf life. Once the Ad expires it is of no use for the business.
Any type of marketing has cost involved, marketing cannot take place without a set budget, we all agree to it. Outbound marketing is a costly job. According to a study by Doyen Digital, outbound marketing taxes your pocket 61% higher per lead in comparison to inbound marketing. Outbound marketing appears to involve a lot of labour, and many a times involves added expenses. These expenses could be a result of activities like, printing, production, flex, and other associated expenditures. In due time these expenses add up as fast as a bolt, and can pose to be a real burden, specifically on the shoulders of small businesses, start up ventures and NGO’s.
Well this does not lead to a conclusion, where we can say goodbye to outbound marketing. It only means that there are many keys and techniques that can be utilized for relevant and effective marketing strategy for the year 2017 and many more to come. Outbound marketing is forecasted to have costs increasing with technology like caller ID, ad blockers, spam filters etc, this technology was developed, in line with the consumer backlash against forced ads. This has made way to increase the growth of inbound marketing.
The rise of Inbound Marketing
Inbound marketing combines modern marketing aspects like, social media, paid ads and blogging all of which offer an opportunity to target the niche audience. Inbound marketing not only targets the right audience, but also permits customers to give consent before you make an attempt to advertise before them.
Inbound marketing is tagged as “interruption marketing”; whereas “permission marketing” is an attribute of inbound marketing. Inbound marketing is less aggressive in nature, yet more result oriented and successful. Outbound marketing targets as reaching masses through various means mentioned in the fold above.
According to a study by Hubspot, about 90% marketing resources are still blocked in for outbound activities. The past has experienced the effective side of outbound marketing, but inbound marketing has expedited its pace. The downfall in outbound marketing popularity is largely a result of elevation in social media, which permits brands to make most out of the “real-time” factor.
Inbound marketing primarily gained strength and force in online search. Social media further caught pace and started to grow at a rapid rate. Since people started spending more time on the internet, it was a wiser alternative to advertise there. Google and Facebook have been making the most of this trend. The secret behind is , to create content that is well optimized and leaves you with an opportunity to mark a place in the organic searches, to find audience that is actually interested in what you have in store for them to be offered. In addition, PPC (pay per click) ads have the potential to bang on the target audience more effectively than a billboard ad; this approach boost users to come to you.
Benefits of Inbound Marketing
Doyen Digital states that inbound marketing generated leads have a 14.6% close rate as compared to outbound with a figure of 1.7%. Why? The reason is pretty simple. The leads come from internet users, who initiated a call or navigated through your website. This indicates that they are actively shopping and aspire to make a purchase.
On the other hand outbound leads also targets people, who do not have any interest in the product or service offered.
Best trick you can use for the upcoming year – 2017
We all are aware that we are a part of a techno savvy world, but it certainly is not the time to ditch outbound marketing completely. It totally depends on the kind of available marketing budget, if the budget allows, one should consider getting the perfect mix of inbound & outbound marketing aspects, for a perfect marketing mix to fall in place, this is very useful if you have expansion plans on the list for a brand new geographic region.
It would be great if your budget gave you the liberty to run a TV commercial or direct mail ads in the new region, before the launch, post which focus could be shifted on inbound strategies after the official launch.
If your organization works on uptight budgets, your move would be to focus strictly on inbound tricks, as outbound marketing is more taxing on the pocket. The trick in order to lead to a conclusion is to consider the potential ROI. It is very difficult to measure ROI on billboards, TV commercials or newspaper. So it would be wise to have a balanced marketing mix.