How cost effective is a Social Media Marketing Plan Vs Direct Marketing?

A need arises

The time is completely recession proof, but the business is not – for being a reeler through the financial meltdown. In this scenario, the best possible solution or in fact a challenge for any organization was cutting down the costs and expenditure; operational and personnel as well. During these unexpected doldrums, putting up oneself against the changing market conditions, either adapting new technologies or embracing the competitive efficiency, has also been an immediate requirement to safeguard one’s business targets. How cost-effective companies confronted this situation is our discussion here.

A marketing tool evolves

Within a tight budget that too targeting a technologically advanced target audience, though it took a little momentum get on with new improvements, marketers have started being with audience round the clock not at their door fronts but on their fingertips. With the social networking on rise (thanks to Facebook, Twitter, Linkedin), marketers eyed the target’s digital personal space. Availing all search based recognition techniques, profile (age, gender, and demography) based targeting methods they have stormed into customer’s personal digital space. Eventually the process is named as a new marketing tool called Social Media Marketing. To the organizations’ delight, the new tool has turned out to be cost-effective in reaching the customers with in a specific budget and within very short time making it a best deal to salvage the businesses from financial meltdown.

How cost-effective is this new marketing tool vs digital marketing?

That said, how cost-effective is a social media marketing plan when compared to digital marketing could be your query. In brief, we can say SMM reduces the cost of employing more number of personnel than in direct marketing, it encourages cost-effective online discussions than high-spend focus group gatherings, and with analytics’ fact assessment social media marketing proven to be faster in gathering response/feedback thus can roll back a failed product or process in time and be damage preventive. Let us dig more deep into these cost-effective factors.

The Buzz Word within the pocket range

Gone were the days, where we had to knock every door, literally, to let the prospects aware of our products/services. The time is not the same, so are the prospect’s preferences. With a 3G enabled smartphone in almost every hand, the well-versed (online) gen Z generation are more responsive digitally than in direct.

No one is interested in entertaining a personal conversation specifically sales oriented (exceptions include corporates). The reason might be anything but the influencer is one - the ever-changing technology. The new-age consumer prefers to turn dynamic than being victimized to lagging sales discussion at gunpoint.

With social media has become a need in every part of the world, it should not be any big task for an organization to create the buzz.

Thus, instead of shelling out more on 10 traditional marketers, it is, indeed, a better idea to employ a few digital/social media marketers to get the business done. All you need is a better-contented web portal –properly optimized, adequately informative and with regular product/service updates. However, an informative web portal in coordination with social media marketing plan might not bring-in exceptional results overnight, but, for sure, could reduce the promotional costs of an organization, helpful in come off unnecessary allocation of working capital.

Virtual discussions Vs Focus Groups

On the same lines of Ernest Dichter's idea of organizing focus groups for a qualitative research in order to conclude people's perceptions, ideas, beliefs and attitude towards a product, Social Media Marketing plan too equipped with user polls, discussions and many such online activities to keep track of the end-user’s respectful opinions on the brand and the product.

While the age-old focus groups could cost you much in finding out accommodation for mass gatherings, the new age Social Media Marketing needs just a Facebook/Twitter account to get the job done cost effectively. To the betterment of the market as a whole, making it is easier for organizations digitalised-behavioural-targeting has also been introduced in making focus groups online a success and cost-effective social media marketing plan.

One such successful and effective social media marketing campaign is Fastrack’s which has kept its character ‘Move On’ with their Facebook page going in the new-age marketing way-generating more discussions among its fans-publishing/updating the line of products every day triggering a virtual likeness towards the product.

Analytics Surfacing the Facts

I still wonder how one’s admiration towards a product could be quantitatively calculated without even, them, buying, or experiencing the product. With the old techniques like wait and watch till it breaks out and guess the go methods, the business would lag in time to build up competitor analyses and to come up with a combative business strategy.

With numerous fan page likes and shares clubbed with instant responses pouring in through list posts, social media has it all to assess the facts in real-time and gets the job done within no time  paving a way ahead to compete with rivals. Taking clue from that the social marketers bounce in no time to fine-tune the processes in case of backfires. It not only helps in safeguarding the goodwill of the organization but also cuts down the extra spend.

For better reach, extended brand/product discussions, and for real-time feedback within very less cost, social media marketing plan has many a successful campaigns since its inception. However, though SMM proven to be cost-effective, a traditional marketer–if at all he is properly been incentivised- would always be an asset to the company is what we strongly believe in. Our opinion on how cost effective is a social media marketing plan Vs direct marketing might differ with yours. If yes, kindly let us learn. 

Algorithm Updates or End User preferences, eCommerce Website Optimization at maze!

Perhaps most of us could have read/heard a news item 'Panda slaps 10 year old original eCommerce content site,' couple of years ago. Well, dug deep into the topic and having gone through the comment section we have learned that that ecommerce website marketer practiced some of the black hat SEO techniques that of keyword stuffing (at the bottom of the page) written exclusively for search engines instead of end user preferences. However, those practices are now rectified, if, at all, you would try to go through.

Having that example discussed, we can imagine what could be the worst nightmare of an ecommerce website marketer; their portal coming under the claws of google algorithms. In that perplexed state, which should be the ecommerce website marketer’s first target, algorithm updates, or end user preferences? What practices should the marketer be following?

Either periodic change of google algorithms or ever-changing customer preferences, the ecommerce website should be equipped to welcome any.

No one should have anything against google algorithm updates for Google being the biggest stakeholder in online searches. It deserves the control over how the crawling and indexing should be done; what accuracy levels one should follow regarding the content to be published; and how fast the end user should get what he prefers.

As per end user preferences concerned, every business’ main goal is to attain customer satisfaction through reliable information, quality service and if not regular, frequent visits. Thus, an ecommerce website must try to provide accurate information always to keep themselves in good books of Google algorithm updates.

But the penalized ecommerce website http://tinyurl.com/p5w48u had unique content to its kitty. It was all dependent on organic search than any other traffic pulling sources. No links were purchased or given. It has exclusive product information for end user preferences, which no one could find anywhere else (as claimed by the ecommerce website marketer himself). Even then, Google has penalized it.

Early into the fact assessment, everyone had raised concerns about Google algorithm updates. However, it was learned that that ecommerce website has much of the content written targeting search engines than the end user preferences. That was out right an act of keyword stuffing for which any website is vulnerable to be penalized.

Now with Panda 4.0 up for victimizing many such ecommerce website marketers, what one should know to get with the flow is discussed here.

The quality - Fresh Product Descriptions: You can rather call it as no mass publishing. As a first step, the tangible thing any ecommerce provider should take up is drafting fresh product descriptions right away with price tag updates on daily basis. Say a big no to direct company information. There might be many websites, which publish the same product descriptions given by the manufacturer. Never ever publish the same. Tweak it a little. If possible, with a better keyword planning team devise new keyword sheets and show up the content as fresh to the google algorithms.

The brevity - Go comparable: The new age customers are analytical, clever, and smart as never before. They need a lot of research before a purchase. Make them avail of what they want rather than pushing what you have: branding a keyword on your website for particular brand. Let them have a choice of comparison between two products of equal segment but different brands. Give them some time to kill more on your website.
For instance, draft detailed reviews (with accurately placed keywords linking back to product selling page) on Canon Powershot G7 and Nikon's Coolpix P5000 (arguably competitive product segments from the two major camera manufacturers) and make them avail through the top level gateway site thus, the end user will get an opinion of his own while making final decision.

Gateway Site is indeed an useful technique through which one can hyperlink exclusive product reviews, product comparisons, and various product descriptions to the main domain following proper search-oriented keywords inserted for better optimization.

The simplicity - No Doorway Page/Bridge Page: To safeguard the eCommerce website against algorithm updates, one should adhere to stringent SEO i.e., avoid creating just a doorway page/bridge page/jump page – a page which is phrase related, agent related, or IP related.

One common way of creating doorway page is establishing a page targeted to a search phrase with lack of information, i.e. just for the sake of creating or mimicking the success of similar pages on a website. When user searches for that page, he may land in doorway and can find no information, which sounds a form of black hat SEO, and potential enough to be a victim of Google algorithms. Therefore, avoid simple bridge pages or jump pages in eCommerce website optimization.

Ultimately, for an eCommerce website marketer the biggest challenge would be ‘to-go-with-the-flow’ with the robust Google updates. Keep quality over quantity in the content plan to be shielded from algorithm updates; a better classification of product categories and pages with search-engine free architecture are purportedly proved to be the best practices for ecommerce website marketers to see better results in the long run.

We also wish to see Google to come up with altogether a different algorithm for e-commerce websites to get rid of algorithm updates (if at all a website achieved a momentum over a period).


Our opinion on how algorithm updates or end user preferences push ecommerce website optimization into a perplexed state might differ from you. If yes, let us learn. 

Google is not the answer, at least for health issues

I am a 30-year-old independent male living in metropolitan. One fine day while riding a two wheeler as a pillion, unfortunately my right-leg hit the helmet hook very harshly. But, within minutes a sigh of relief came my way and I had moved on as though nothing has happened unnoticing that the problem was imminent.

Couple of weeks later, to my panicky, health-oriented, modern-day young brain, what came as a shock was a circled blood clot, little above the ankle and somewhat distant from the knee. That's it! Without a second thought, like any other current-day youngster, I started Googling the diagnosis process. Indeed, I had spent almost a day researching on it only to find out it was a certain kind of ailment which is normal in 30-60 aged people who are not at all into regular exercise - which I am not. Irrespective of the known fact that that particular ailment will not develop in my kind of persons - workout habituated; unknowingly I was stressed and went into sleep deprivation.

To the worse, by just believing what I read in Google search result pages, I had even picked up some remedies and started following them regularly such as: wearing a tight socks up till the knee to circulate the clotted blood evenly thus, to decrease the chances of those blood clots breaking into blocks and flow in normal blood vulnerable to attack the heart.

Weeks have gone by. Nothing had changed. The clot looked the same and the red patch was spreading around it. I was scared and called a friend, who relatively has better knowledge than me in ailments. The moment I explained the situation, he had gone crazy and stated - "this is what the problem with you younger generation. When on the earth, will you people start learning that for everything Google is not the answer?"

Later, I realized god knows what on earth had moved me to think so drastically even for a small problem. Had I called my friend prior to the 'let's-Google-it' attitude, I would have slept sound, at least during all those panicky days.

The simple reason for the blood clot on my right leg was its contact with the helmet-hook while I was riding a pillion. And the simple remedy: take some ice cubes and place over the clot. Within days, no blood clot, no red patch around it and no worries that those broken blood blocks reach up to my heart and may cause an attack.

Now, I firmly believe Google is not the answer for all, at least not for health related issues. You have to reach out to a doc or a well-wisher, at least, for the issues related to health. Google is undoubtedly a search engine giant. I agree, but how far we should utilize it, in our routine, depends on us. It is sad to see, many a doctor, nowadays, attending a half-knowledge patient/client with a hope that the latter turns up without any prior research on Google. Go to a doc with an empty mind, and don't be a victim of abundant information gained through Google search.

2 Unique Factors that define the New Media

Walking by the street gazing at an empty billboard, did you ever go blank wondering what it could be? Don’t stop. Read the line at the bottom or scan the quadcode given on that billboard with your smartphone to welcome some unknown guests on your mobile screen that will guide you through a promotional campaign.

Taking a clue from that, it is apparent that organizations today seem adept in adapting the path breaking promotional aspects while communicating the brand message; clear and out-of-the-box. They seem to have found a perfect meaning for putting the customer in the centre. Whatever they are trying, they are pitching it big for customer experience. If at all the promotions are to be online, they are banking big on the customer interaction/participation.

With cross-Media, display, mobile, search, social, video, et al and with trending promotional techniques like smart applications, games, augmented reality banners, events, organizations, now, have numerous ways to reach consumers so personally.

All thanks to the new age promotional phenomenon – the New Media, which gives the target a chance to have real-time product experience and at the same time the consumer is asked to participate calling-in for instant feedbacks. With its increasing likeability among youngsters, for its agility in spreading the content, the new media has become an important aspect in strategizing the digital promotional aspects of modern day organizations.

Well! What made this new-age promotional phenomenon, new media, stand out while targeting the frivolous younger generation is not our discussion here, but what unique factors does it have to offer to organizations in devising those strategies could call for one.

Responsive: When we say responsive, we meant it not only from organizations perspective but also from consumer’s point of view.

With its portability and abundance, the new media has made many a organizations to turn responsive in order to reach consumers 24x7 with qualitative support, uninterruptedly. Anything, anywhere, on any digital device; taking that as a parameter while approaching prospects, every organization walking towards the responsive design way. Mobiles, tablets, varied screen sizes, varied mind-sets. Thus, organizations are turning responsive, having their web properties designed and pitched for everyone, exclusively.

On the other hand, consumers too have become responsive with the new media in their possession. With 3g/2g enabled mobile handsets/smartphones/tablets and with a better knowledge of social media, every consumer is now game for the instant feedbacks. They indeed have a quick hand to respond or interact with the service providers. They can share real-time opinions with in no time with the service providers thus, can make it big for quality, from now on.

Creative Freedom: Though the new media is in the budding stage, the amount of creative freedom it offers is as big as any ocean. The more you dig into it, the better you could get out of it. As discussed above, the augmented reality is the big in-thing now that every company want to get adapted to. Find one such creative way of turning heads with Jaguar concept windshield.

Now the advertisers can use different techniques to engage the customers. How creative your new media campaign would depend on how far you can stretch with the best possible ways like contextual games, interactive banners, virtual communities, etc.

The link provided down here, will stand a perfect example of how creative and at the same time strategic, the organizations have turned to attract the consumers. It shows a water purifier brand seeking customer’s interaction to let them know how the water is pure until one put their finger in it. You can find it yourself here.

http://www.bannerblog.com.au/2006/07/water_purifier.php

Likewise, in many ways from strategy development to idea execution, with its unique features like the responsiveness, and the creative freedom, the New Media can help organizations to communicate the message in time, within budget and can offer the better promotional environment.

Along with the new media, the print medium too needs a mention here, for its innovative ways of promotional activities, making it big for customer experience. Are you wondering how could one experience the odour of a room spray through the print advertisements? We bet, that you have not gone through any of the Godrej aer’s perfumed print ads that ran in The Times during 2012, promoting their range of home and car fragrances.

Our opinion on the new media and it’s unique factors may differ with you. If it is, kindly give us your opinions. 

Emotionally, Indian Advertisements!

 “Creative advertising redefined with a slice of emotional values” apparently, has become a regular phenomenon in Indian advertisement context of late. Considering many recent advertisements produced in India – across varied product segments – which have tried to portray the relation between sisters and brothers, husband and wife, and between old age couple, the Indian advertising industry seems surely at its best in utilizing the humane emotional values. 

For instance, gone Diwali 2012, big brands like Tanishq and Cadbury had lent their share in patting the emotional values of the middle age couple and the most abandoned section of Indian society during festivities, the bachelors/working professionals who stay away from home. While the former pitched its solitaires business with ‘One Love’ campaign through a satiric vernacular situation between middle-age couple, the latter brought-in the abandoned feeling of a phirangi (foreigner) at his workplace in India (made him feel at home reading through the line “Toh is Diwali aap kise kush karenge”.)

Not only during Diwali 2012, but also a month before the festivities, the Indian advertisement fraternity has proven track record of moving the audience/customers emotionally. 

A good example of that sort would be the most talked about ICICI Bank Unexpected Rewards campaign wherein the campaign showcased the struggle of two kids to get a candy for the minimum sum they had, echoing to a folk song. Even, Cadbury Oreo’s ‘Naya Oreo Choco Cream from Cadbury’ too tried to build a strong proposition using brother and sister relationship to launch the all new Chocolaty Oreo. 

All said and done, clients don’t buy ideas or solutions alone – they buy trust, which perhaps influences the Indian advertisers to pitch the brands in emotionally stronger ways. Of course, the world is still yet to see the best from Indian advertisements, emotionally.

MRF - The first Indian tyre manufacturer to corss Rs. 10,000 Crore turnover

MRF sculpted logo

MRF (formerly Madras Rubber Factory, at present Manorama Rubber Factory), has crossed Rs. 10, 000 Crore turnover becoming the first Indian Tyre manufacturer to achieve the well deserved milepost. The growth in the revenues are evidenced through the recent press release by the biggest vehicle Tyre manufacturer from India.

Addressing to the press conference on Monday in Chennai, the Chairman and Managing Director of MRF, K.M Mammen has announced the company has crossed Rs. 10,000 Crore turnover comfortably yet facing the challenging 2010. According to the press release, MRF has seen 30% more compared to the last year's.

In 2010, MRF has registered it's net worth as Rs. 8,080 Crores which now has been increased to Rs. 10,000 Crore for 2011.

Exulting over the achievement, the MRF Chairperson, Mr. Mammen has said the revenue is a good mix from original equipment manufacturers who have given 20 percent along with exports of 10 percent and 70 percent from replacement market.

Bestowing credit to well done bottom line of MRF, the panel has affirmed a combination of factors such as inverted import duty structure on natural rubber, low import duty on finished tyres helped the Madras based tyre manufacturer achieve Rs. 10,000 Crore milestone. However, from the press conference on Monday, it has been surfaced that MRF is eyeing on overseas acquisition of plantation business as a part of look around the world for opportunities.

Well, all set and done, the 62 year old Indian tyre manufacturer reaching Rs. 10,000 Crore milestone is somehow posing the future rubber (especially tyres) industry in India will stretch it's corridors.