Demand of Digital Marketing
If you are an engineer with an entrepreneurial bent of mind, at some point you shall need to flirt with the area of marketing.
Either you hope to find a co-founder for that profile which is sometimes difficult for engineers as most of their contact circle is that of other engineers. The ones they can partner with anyway. Else you have to pay a bomb for these services.
The ROI may not work out for you in that case. Even if it’s fine for you to down it, you do not know the agency or the individual doing it for you is putting in the optimal effort and not squandering your budget away.
It’s only natural for most people to be lax sometimes when their client does not understand the first thing about what they do.
And digital marketing could be one such area. The devil here, is always in the detail. The numbers on top may be misleading.
Thus, smart CEOs and founders should know about digital marketing specially if they operate in the b2c space.
How To Convert Visitors to Customers
The next point is about channels. There are different places where your customers sit. They may be casually surfing facebook or may be in the network of websites which google places it’s ad inventory on. Or they may be searching on google. And all of these channels fare differently for getting user’s attention and converting them into your customers.
There is the concept of the conversion funnel in operation here. Imagine a regular funnel used to pour a liquid into an opening like fuel in a bottle. The funnel is much wider at top and tapers into a protruding channel.
Similarly, marketing works with conversion funnels.
- The customer who is first looking at your brand on these channels while casually surfing the web is supposed to be on the top of the funnel.
- The goal is to get their attention and get them to click the ad.
- If they do, you get them into the funnel. Now when they would revisit your brand later when you re-market to them, they would continuously be moving down the funnel.
- Then if they resonate with your brand’s message eventually, they would make the purchase or register for your news-letter or do any other action you want them to undertake.
This is a conversion event. The warm lead at the top of the funnel has finally converted after the marketing funnel matures for them.
The conversion rates vary across channels and brands. And you have to find the optimal point. Remember, all of these branding and marketing activities cost money and the conversions over a period of time have to account for the profits through the marketing exercise.
Sometime, this activity is also valuable to get the brand the visibility required. A channel where the click costs very less may be used for just brand building. However, a more costly channel like google search where a click may cost the brand as high as 100 rupees sometimes, should be used for selling only.
Marketing is a discipline where the participant has to apply themselves as in any other discipline to hit that sweet spot where you get the conversions going for you. It’s a constant optimization. Keywords, creative ad copies, ad images and a lot more help you get that perfect ROI for a channel.
One rule of thumb is to put some money in most channels and see where the results are happening. Maybe it’s Instagram or even the costly LinkedIn platform that helps you find your next b2b client.
If you devote some weeks to understanding this space however, the value you shall discover in the later years would be immense. Heres wishing all the founders the best for their awesome startups.