11 Nov

Is Digital Marketing Being Held To A Higher Standard?

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ROI - Is Digital Held To A Different Standard? ROI - Is Digital Held To A Different Standard? PreviewNetworks.com

I recently read an article about Google developing a way to measure the value of advertising with mobile which includes social.  The article discusses that it requires the advertisers to input data and that it is not perfect.  Reading this I started thinking about the standard that digital marketing is being held to and how it seems to be different from that of television and radio and even print.

 

When a brand markets on television they show a 30 second commercial and has to hope that somebody is paying attention.  There is not guarantee that when that commercial airs that anybody is even in the room.  Nielsen provides data that shows them how many people were tuned in but again cannot give an exact account of those that watched.

 

This is also ignoring the fact that there is delayed watching.  Shows are being recorded and watched later in the day or up to a week later.  When watching those shows are people watching the commercials or are they skipping them so that they get to the program they wanted to watch?

 

If you are unfamiliar with television or radio advertising you purchase your spots based on past data with the hopes that the past will provide an indication of the future.  You pay the station to broadcast your commercial, but unfortunately it is not guaranteed to run because if somebody else pays a higher price you can get pre-empted.  Let’s assume you don’t get pre-empted and you paid $1,000 for the commercial.  If Nielsen says that the show generated a 2.0 GRP then you paid a $500 CPP.

 

Don’t worry about the acronyms because we are talking about standards.  So after paying that amount how does the brand know that somebody watched the commercial and then went to the store to purchase the product?  They don’t.  It is not possible to draw a straight line from a television commercial to a sale unless you put a coupon code on the commercial and thus can extract information.

 

This leads me to digital marketing and the standard of creating an ROI.  This is the hottest topic in all the groups I belong to on LinkedIn as well as the conversations I have with perspective clients.  Proof that it works and I cannot draw a straight line between the two, or can I?

 

With digital marketing you can have ‘tagged’ material that can allow you to see how many sales were generated from a particular code.  In addition to that you can create a community with social media that will allow you to interact with your current clients and speak to future clients.  What is the value in that?

 

For example, you identify a social influencer.  You ‘speak’ with this influencer on a regular basis and they spend their valuable time and influence on letting others in their circle know about your brand and your products.  This creates a domino effect where somebody in their circle becomes a social influencer for your brand as well.  You have created two marketing employees while paying only 1, your social media manager or agency.  Again, I ask what is the value in that and how do you measure that the way brands want these to be measured.

 

The one, and so far only, conclusion that I can come up with that those that are running the brands are not accustomed to today’s data and how to measure it.  I don’t have the answer with how to measure it but is there a direct line from marketing to purchase that can be the same for offline as well as online?

Last modified on Tuesday, 12 November 2013 03:12
Jason Bahamundi

Jason Bahamundi is a marketing specialist with Sonix Studio, a web development, design, SEO and hosting firm with offices in Green Bay, Wisconsin and Dallas, Texas.  An MBA graduate from Iona College in New Rochelle, NY with a BS in Marketing from SUNY-Oswego Jason started his career in marketing in the television industry creating marketing plans for Fortune 500 companies including Pfizer, Clorox, Kraft and Darden Restaurants to name a few.

Jason is not only a marketing professional, but also an Ironman triathlete, which is to say that he knows no limits.  Being able to be creative on the fly is one of his assests and has benefited him and his clients along the way.

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