Unrivalled Cost to Conversion
One trend that is becoming evident to even the oldest school, cost conscious decision maker, is that in real terms, the true costs of advertising in the digital space is unmatched. Of course you need to have a well-developed and optimized campaign to feel the impact of a lower cost to conversion. For example, with Google AdWords (paid search) companies can potentially see cost to conversions range from as low as fifty cents to a dollar. Rarely do offline pieces produce a cost per conversion that low, let alone provide marketers insight into the effectiveness of these campaigns, not to mention a better understanding of the ROI at the end of the day.
To the above point, the real advantage to digital marketing is that there is an infinitely better understanding of the data that can be attributed back to these marketing efforts. It’s hard to imagine that for decades companies have dumped huge marketing budgets into traditional campaigns; where as in the past they really couldn’t measure the effects these channels had to their bottom line, at least without incorporating a coupon code or other limited identifiers. Welcome to the age of real time reporting and analytics. Now eMarketers have the ability to track spend, conversions, and lead generation to better understand and dissect this info into usable segmentation that can be reengineered to optimize and improve a given campaign.
The Best Way to Attract New Customers
Final thought, as the cost of producing traditional marketing media inevitably continues to rise and its returns diminish, juxtaposed with the public’s increasing reliance on tablets, smartphones, and other mobile tech devices, those who have embraced the digital age will find themselves light years ahead. While the late adopters, naysayers, and unbelievers will be left dumbfounded, wondering what happened to their profitability and how small players have leveraged their competitive advantage against them.