9 Keys to Increase Website Conversion Rate and Turn Visitors into Customers

by Eric Tsai

9 tips to effectively increase your website conversion rate

If you’ve been reading this blog for awhile, you might remember a post I wrote recently called Why Attention is the New Currency Online. When I wrote it, I had been working to create a process to audit website conversions.

Ultimately it turned into an article about capturing attention online because without attention there would be nobody looking at your links, images, videos and compelling content.

And without people reading your content, you certainly won’t get any clicks. When people read your content online, links and clicks follow.

However; you don’t want just any click, you want qualified prospects clicking on your links, visiting your website and consuming your content.

Let’s be clear, getting attention is only part of the equation to help you increase conversions but it does not automatically equals to conversion.

For those of you who don’t know why qualified traffic is important, let me just say that if you want to increase conversions of your landing page or your ecommerce store, this is crucial.

What is a Conversion?

How does the value of a conversion relate to the return on investment of a marketing campaign?

Basically a conversion is an action a user takes on your site that has value to your business.

Typically it’s a sale but it can also be a newsletter sign-up, a download of a file, viewing of a video, or a request for more information.

If you know what a conversion is worth to you, and the percentage of traffic visiting your conversion page versus the traffic that do convert (the conversion rate), then it is easy to calculate your return on investment (ROI) for just about any marketing campaign.

Conversion Rate and ROI Calculation

From the calculations above, you may think that if you want to increase ROI, you just need to increase CR right?

You’re on the right track but that’s not the entire story here because conversion rates typically depend on two factors:

  1. Qualified traffic – The goal is to capture only traffic that’s more likely to convert. This is where direct marketing is heavily used to grab the attention of the visitors. A valuable piece of content, a paid search ad or recommendations from social media channels are just a few ways you can use to obtain qualified traffic.
  2. Landing page – A landing page is a specific area of your website where traffic is sent (via links from online advertisements, organic search results, social media or email) specifically to prompt a certain action or result.  And since a visitor usually lands on a page after clicking on a link, it’s important that the links you use to send traffic to your website is relevant to what that person is looking for. Once on your landing page, it’s basically a tactic of one-on-one selling so if it’s not what people are looking for, you will likely get a low conversion.

There are tons of strategies to get qualified traffic (paid search, SEO, email, display, affiliate, etc.), but today we’re going to look at things that you can do to your website to help you improve your conversion rate.

These tips are easy to implement and can start improving your results immediately.

9 Keys to Increase Conversion Rate

I’m going to give you my recommendations, I also want to share a few principles that I believe are crucial in building a website that attracts thousands of high quality links.

The following steps can also be used for your landing page audits.

Use a simple scorecard format to quickly determine what you may need to do to increase your conversion rate.

Here is an example of a score card (you can download the landing page audit scorecard here)

landing page scorecard

1. Know Your Audience

The most important thing that you can do to increase your conversion rate is to know who you’re targeting and tailor your content for that person.

When a new visitor lands on your site for the first time and clicks on a link or goes to your product page, and doesn’t buy anything (or fill out a lead form), then you’ve probably lost them for good.

In my own testing I’ve found that addressing your message to a specific demographic can give you a nice life in conversions.

In fact, when I tried to cover as much features and benefits as possible (thinking that’s just adding value), I tend to get less clicks and low conversions.

2. Focus on Positive User Experience

A landing page is tailored to fit the specific call?to?action (that you designated) and is often the first page a visitor sees when clicking on a link. The challenge is to ensure that you are optimizing an exceptional online experience for visitors and also producing high ROI.

So what is considered an exceptional online experience?

It’s basically providing visitors with accurate, relevant and useful information to meet their needs. But do it in an entertaining and engaging way to differentiate yourself.

None of the bait-and-switch tactics or hype that’s overpromised and under-delivered.

positive user experience ads

A positive user experience usually focuses on a single message with a strong call-to-action that are written in plain language with no more than 7-12 words.

Don’t make the mistake of trying to combine all the features and benefits of your offer, instead focus on the highest value outcome.

Once you have a clean and precise message, you can make it credible with branding elements such as logos and security icons (third-party verifications) or use stories and testimonials. This will give confidence to the visitor which can have a positive impact on conversion as well.

Perfecting, or at the very least improving, customer experience has replaced customer loyalty as the ultimate corporate PR and brand reputation.

Put yourself in your visitor’s shoes and ask: would I scroll down and read this?

Would I fill out this form and give my personal information?

Why would I click here?

3. Develop Your Value Proposition

A value proposition is basically your offer. What are the main selling points? Why should the visitor buy right there and then? It may sound obvious to you but a clear value proposition is the foundation to your conversions.

Your landing page should address the top questions and concerns prospects have about your offer. And it usually goes back to the four Ps of marketing: product, price, place and promotion.

Too often, marketers focus too much on “promotion” instead of combining the other three Ps.

You may find after studying the competition that increasing or decreasing your price is likely to result in better conversions, for example. Perhaps there is a distribution channel, such as the social networks or email marketing; you haven’t fully integrated into your marketing mix.

And with products, developing a new product or re-package an existing product may provide a lift to your overall conversion as well.

You are likely to increase the chance of conversion if you have a clear value proposition that pushes the visitor to take action with your offer.

Ask yourself whether your landing page is helping people to make their decision.

If it’s not, then why should people do what you ask of them? (Purchase a product, sign up for newsletter or request a demo…etc.)

Don’t forget to research your competition so you know how your value proposition stacks up.

The new consumer-led digital revolution is all about exceeding customers’ expectations via influence.

Simply put, influence is conversion rate.

4. Cater to Online Reading Habits

What doesn’t get read doesn’t get clicked on. This is a simple logic that many marketers failed to recognize that there is a fundamental difference between people reading online and offline.

Accordingly to Dr. Jakob Nielsen’s eye tracking studies, “People rarely read Web pages word by word; instead, they scan the page, picking out individual words and sentences.”

Unlike traditional media or what he calls “linear media” such as print and TV, people expect you to construct their experience for them. Basically readers are willing to follow the author’s lead.

However websites are considered “non-linear media“, where the rules reverse. Users want to construct their own experience by piecing together content from multiple sources, emphasizing their desires in the current moment.

In fact, Dr.Jakob conducted an eye-tracking study and found that people are read in F-shaped patterns when reading web content.

F-shape reading pattern

This is why you should use attention call-outs such as headers, subheads, paragraphs, and bullet points with words that users will notice when scanning down the left side of your content in the final stem of their F-behavior.

The idea here is to layout your content so the readers will WANT to read but keep in mind that the F-pattern should be considered descriptive, not prescriptive.

It’s all about giving you the highest chance of grabbing attention.

5. Create Compelling Copy with Clear Headlines

The first things a visitor reads after landing on your page is your headline. This is when you need to pass the smell test.

If your headline is anything less than clear, informative and compelling, you  will bore or confuse your visitors into leaving.

On the other hand, a well-written headline can drive your visitors to take a closer look even if it’s just text.

Have you noticed how some landing pages are super long?

These landing pages are called “long-form” sales letter that typically consists of a title, subtitle, bunch of paragraphs, images, testimonials and a few buy buttons on a plain-looking page that you have to scroll on and on.

Think about it, if it doesn’t convert well why would there be so many long-form landing pages online?

The truth is people only read what they’re interested in even if it appears to be too long!

The key is to do so in an engaging way that will connect with your audience, it can even be fun and entertaining.

One of my ways to start creating engaging copy is to use the five W’s and one H technique. Here is an example of this:

  • Tell them why they’re about to read the page
  • Tell them who’s it for
  • Tell them what’s in it for them
  • Tell them where they’re at or where they can get it
  • Tell them when they can get it (i.e. limited time offer)
  • Tell them how it works or how it relates to them

The goal is to focus on everything you think will push them one step closer to taking your converting and nothing more.
Make sure you get to the point with actionable content (tell them what to do next) that focuses more on the outcome rather than the feature.

You may want to check out the following articles to help you create compelling content:

How to Create Magnetic Copy to Maximize Your Content Appeal.

7 Ways To Elevate The Perceived Value Of Your Content.

If you know your customer well enough, you should know what they want.

Focus on wants at the beginning not needs.

6. Leverage Image or Rich Media to Direct Attention

Images, videos or testimonials can motivate visitors and trigger emotions. This can have a positive impact on viewers to want to read more about your product and explore the site longer.

Studies have showed that people perceived websites as more “professional” or “trustworthy” when they had images of people on the site.
However; you don’t want to just take any stock photos that relates to your message and load it up on your site.

Instead images can be used to effectively change visitor behavior substantially.

According to a study by Bunnyfoot, subtle changes such as using the right images can direct and guide the visitor’s eyes where you want them to go.

Visual Eye Tracking Study

I thought this was an interesting study and one that you should consider when adding images to your landing page.

When using images and videos, ask yourself whether that piece of content is drawing attention away from your persuasive message or adding to it.

7. Create Content with SEO in Mind – SEO Copywriting

A great tactic that you should put in practice is to integrate your copywriting with SEO (search engine optimization).

SEO copywriting is a technique that tries to optimize your site around a keyphrase that can send you organic search traffic. Done right you can even turn research-intent traffic into converting traffic.

The goal is to get search engine rankings for a relevant phrase around what you’re trying to rank for that can bring you “qualified” traffic.

For example, if someone is looking for “men’s running shoes review” and your online store happens to have a blog with articles comparing all the latest running shoes on the market, the visitor may read the article and decide to bookmark and come back later. Or better yet, the visitor reads the article ended up buying a pair of shoes from your online store.

Obviously you need to know the keywords that your audience uses in order to rank for those keywords.

You can get an idea on the competitiveness of your keywords by using Google’s Keyword Tool to see what phrases are popular and the volume of searches on them globally and locally.

Once you have those keywords, simply remember to use it in your content in addition to HTML areas such as the title tag, meta tags, anchor text in links, and permalinks.

Here is an example of my SERP result, notice the bolded words that highlights the keywords that’s in my title and descreption.

SEO copywriting title descreption

If you use a platform like WordPress (what I use), then all you have to do is install one of those All-in-One-SEO plugins and you’re set.

8. Test, Adjust and Repeat

The golden rule of any direct response marketing is to ensure you evoke a measurable, tractable response.

This means constant testing of your landing page using methods such as a/b split testing or multivariate testing.

The concept is simple.

You want to have variations of the page to be tested on an ongoing basis so you can improve conversion rate.

  • What is an A/B split test? A classic direct marketing tactic, A/B testing is a method of marketing testing by which a baseline control sample is compared to a variety of single-variable test samples in order to improve response rates It’s typically performed to determine the better of two content variations
  • What is a multivariate test?
    A slightly more complex test, multivariate test is a process by which more than one component of a website may be tested in a live environment. It can be thought of in simple terms as numerous A/B tests performed on one page at the same time.

By conducting tests on your landing page, you will be able to determine which headline is more effective or what layout works better.

Here is an example case of an A/B split test that I did on my email marketing.

The objective was to determine if removing the sidebar would result in a better overall performance. I also tested two different email subject line to see which one opens better.

split test email

The obvious winner here is the control version. The result indicated that the new version (without sidebar) has a higher open rate compare to the control version (email with sidebar), but the conversion rate was substantially lower.

Keep in mind that with testing you want to make sure you gather enough data (sample size) to ensure that your tests are statistically relevant.

Sounds complicated?

Well, thanks to Google, you can use their Google Analytics Content Experiments to conduct both of these tests for free!

Or for more advanced folks, you can try Visual Website Optimizer, UnbounceMonetate, or Sitespect.

When it comes to testing, here are some ideas you can use:

  • Test different headlines, sub headlines and ad copy
  • Test different version of the same logo, icons, layout of testimonials and even colors
  • Test different call-to-actions and buttons (i.e. try this vs. buy now)
  • Test different images or videos (swap image for video and vice versa)
  • Test different forms (embed in different areas of the site, reduce required fields)
  • Test different offers (use incentives to see how discounts or coupons work differently)
  • Test long versus short sales page
Checkout WhichMVT for a full list of reviews and comparisons on testing tools.
And for case studies and test ideas, visit WhichTestWon.

9. Track and Analyze Your Landing Pages

One thing that you can do to benchmark your landing page is to install Google Analytics. If you are using Google Analytics you will know that it’s an invaluable tool that’s again – totally free!

By using Google Analytics you will know the sources that deliver traffic to your landing pages from pay-per-click (PPC), email marketing, social media, organic searches or even offline advertising channels.

Knowing the source of your most profitable traffic is the key to increase ROI.

The more detail you get with where traffic comes and goes the more clear you will see how visitors reacts to your offer.

There are many ways to aggregate your website data from Google Analytics but if you want to focus on conversion rate, start by looking at the following areas (just to name a few):

  • Traffic source – where are people coming from? This is your channel acquisition strategy.
  • Visitor loyalty – How long do people stay? How many pages do they visit and how many times do they visit between two or more times.
  • Bounce rate – How relevant is your landing page? Bounce rate measures the percentage of single-page visits or visits in which the person left your site from where they landed on. The more relevant your landing pages, the more visitors will stay on your site and convert
  • Keywords – This shows you what queries (keywords) are mapped to your landing pages that sends you traffic. This is a good indicator of what keywords your website is ranked for and how search engines interpret your content.

There are so many important variables to consider when tracking your pages, you can also track clicks or heatmap on your layout and navigations via Google Analytics (In-Page Analytics section) or something like Crazy Egg, Click Density, Click Tale or Attention Wizard.

heatmap analytics

Last but not least, listen and learn from your customers to make sure what you’re tracking matches to the story your data is telling you.

It’s as easy as picking up the phone and call the customers yourself!

If you aren’t able to do that, try conducting regular online surveys or implement some type of post-sale customer feedback system.

The Take Away

In the era of engagement, consumers no longer separate marketing between in-store or online experience—it is the experience.

Whether you’re making a sale in person or receiving a conversion online, conversion rate is the vote of confident that creates personal relationships.

It is trust, likability, authority and ultimately, influence.

Nothing prevents you from trying to increase your conversion rate. If you do nothing, your conversion rate will normalize over time (stays the same).

However; while conversion is an important factor to the profitability of your marketing, you shouldn’t lose sight on the big picture – that’s building your brand equity.

When you have brand equity, you have top-of-mind recalls.

This means you command attention and your message will have a higher chance of cutting through the noise of the increasing irrelevant landscape of “push” advertising.

Conversion rate will eventually reaches the point of diminishing returns – when your investment yields progressively smaller profits.

That’s when you need to take your budget and put it into a higher ROI marketing vehicle.

Until then, keep testing.

 

Why You Should Be In This $50 Billion Dollar Information Marketing Business

by Eric Tsai

Information Marketing

You understand the power of the social web so you set out to master the art of internet marketing. Perhaps you went through some training, attended seminars or read a bunch of great books. You get it.

It’s all about building traffic adding subscribers and ultimately generating a revenue-generating machine. You’ve heard all the hype about social media, SEO and information marketing but the truth is you need a strategy.

Web Strategy Is Business Strategy

The backdrop is set for businesses big or small to become the next millionaire expert, advice guru or information marketer. Regardless of what business you have or what industry you’re in, you need to understand that the biggest opportunity in the history of marketing is here.

Peter Drucker predicted that there would be a evolution in society brought about by information. He argues that although information is conceptual, the meaning is perception.

According to him, the largest working group will become what he calls knowledge workers. The defining characteristic of these knowledge workers is the level of their formal education and training.

Since information is basically content with relevance and purpose, converting them requires knowledge, a specialized knowledge in which people must learn and understand in order to take action.

And relevance and purpose follows the rate of change that’s happening with our society.

We still follow the Maslow’s Law of Hierarchy, maintaining the same needs and wants, but with very different perception of how to obtain them, who to get them from and what to do with the knowledge.

Keep in mind that those needs somehow always comes back to health, wealth and relationships.

Internet Marketing Is Information Marketing

Where are the hottest markets with the biggest opportunities?

According to Morgan Stanley analyst Mary Meeker, online advertising has a $50 billion dollar opportunity simply because eyeballs are moving online!

People spend more and more time online (Some support data here) and the ad dollars just follow people to the web and this is where the change is happening.

Morgan Stanley: The State Of The Web by Mary Meeker

Today every business is an information business, everyone idea can become the big idea and even if you don’t have a business yet, you can start from scratch and earn substantial income doing internet marketing as an author, speaker, coach, seminar leader, and online information marketer.

There is no doubt that this trend will continue.

In a paradigm shift like this you can defy conventional wisdom to create new markets without having to fight for competitive advantage, battle over market share, and struggle for differentiation.

Need more facts about this emerging trend?

Check out who’s spending the big bucks online already. There shouldn’t be any surprise that brands like AT&T, Amazon, Expedia or eBay are paying Google to be found online.

How Much Big Brands Are Spending On Google

What most don’t realize is that there is a relatively unknown spenders that’s throwing gobs of cash at online advertising.

Take a look at the number 2 spender in June, Apollo Group, the company behind The University of Phoenix.

They are spending almost as much as AT&T who was trying to direct traffic to its site to sell iPhone 4s. According to Apollo’s income statement (as a public company), the company totally annual revenue is close to $5 billion with a growth rate of 25% per year for the last 3 years.

The company’s primary business is to provide educational programs, trainings and certifications.

Again, this goes back to the explosion of the information era and the need to have knowledge to stay relevant – the idea of becoming a knowledge worker.

3 Key Strategies of Internet Marketing Success

STRATEGY1: CONTENT MARKETING

The main formula of a successful internet marketing strategy is content marketing. It’s about demonstrating your expertise by focusing on high value content delivery.

Great content grabs attention and connects prospects with their emotional needs, it’s the foundation to build your trust, gain credibility and establish authority.

Related reading:

STRATEGY 2: DIRECT RESPONSE MARKETING

Whether it’s social media, video marketing, SEO (search engine optimization) or PPC (pay-per-click), you need copywriting. That’s the foundation of direct response marketing.

From killer headline to thought-provoking copy the sole purpose is to get the reader to take action.

Related reading:

STRATEGY 3: AFFILIATE MARKETING

The real concept here is to build relationship referrals with an audience that leverages word-of-mouth to spread your message.

Due to the proliferation of spam, affiliate marketing is often connected to MLM (multi-level marketing) which gives the idea of a pyramid scheme.

That doesn’t mean there aren’t real people focusing on serving their customers via the means of network marketing.

At the end it’s about making a commitment to deliver a quality and relevant experience for your readers and subscribers.

Related reading:

The take away: People need information to find a job, solve a problem, buy a product, find a date, get professional advise and they want to do it the fastest and easiest way they can – via the internet.

So in a way everyone needs information packaged in way that it’s easy to understand. And that’s called “information products.”

It can literally be anything from ebooks, speeches, videos, seminars, in-person or online coaching, a service you provide or just an idea you have. They’re not limited to the typical products you see on late night infomercials (although they’re considered info products as well).

This is also why e-readers are selling great (Forrester: e-book sales to hit nearly $1 billion this year, $3 billion by 2015) because it’s a device that’s capable of connecting to the internet and access information products in any format.

All you have to do is to help people connect the dots by bring value that matters to what they’re looking for.

It’s time to challenge everything you though you knew about strategy and re-invigorate your approach.

Do you see your business as an information business? Have you purchased any information products online? I’d love to hear your thoughts and feedback, thanks!

4 Internet Marketing Trends For 2011

by Eric Tsai

information highway

As we’re approaching the end of the 2010 there are numerous developments with businesses using social media. I had predicted that brands will need to figure out how social fits into their overall brand strategy by identifying where the leverage is with social media and how to manage it.

Online communities are now everywhere there is access and common objectives. Even social networks are interconnected themselves pushing and pulling content across various channels.

For business owners, bloggers and marketers, we have to realize that the landscape is changing and will continue to shift towards attentive reach, not frequency.

Instead of trying to reach broad targets of demographic groups, investing in paid media we find valuable organic content becoming more powerful, ranking higher by search engines and shared by passionate communities.

Need more facts to back up the growth of social media? According to Harris Interactive:

  • 9 out of 10 (87%) online adults use social media
  • Highest percentage (22%) uses social media less than 1 hour per week
  • Highest percentage of 18-34 yr-olds (17%) uses social media 6-10 hours per week

social media usage study by Harris

It’s indicative that the evolution of social media is not just with the tools. The real “leading indicators” will be how social media gets utilized in the real world, not how marketers want it to be used.

And because we’re living in an over-communicated society with competing and conflicting information, true engagement in this on-demand world will be the biggest challenge moving forward.

I’m not just talking about getting people’s attention in marketing; I’m referring to real meaningful conversations that open up the communication channel that leads to authentic actions.

There is so much noise and deception across all media channels that it only makes sense for most people to ignore them.

Here are 4 internet marketing trends that will be maturing in the coming year:

1) The Return of Direct Marketing

The meaning of your communication is the responses you get especially on the social web where people can simply close a window, ignore a tweet or click away to other attention grabbing links.

Everyone’s got a blog, a website, Facebook page, Twitter account or Youtube Channel. So how do you stand out in a sea of sameness?

As it turns out direct response marketing is still the most effective way to test your marketing campaigns. The difference with social media is that you need to be measuring the right metrics.

It’s essentially the same concept as great salesmanship. Great marketing is great one on one sales focusing on finding out what customers want, their pain, urgency, desire and needs.

Done right you will get insights about your customers that tells you not just what they clicked on but from where, why and how. Remember, greater marketers don’t make assumptions!

Once you have meaningful data, it’s easier to craft your direct response campaign that converts better because you’ll have a list of “high quality” leads that are more likely to buy.

Without qualified leads, you’re basically playing the guessing game, driving in the dark and often a waste of time and money.

Concentrate on appealing and selling to the top 20% of the prospects that are more likely to convert. And if you can integrate your email marketing efforts with social media, you’ll gain further insights on your customer’s media habits, which can be used to optimize your next campaign.

2) The Raise of Social Metrics

Since majority of your prospective customers will not convert immediately upon getting your communication, it’s important to follow-up with email and social media because not only will you know when someone opened the email and what they’ve clicked on; you’ll also learn their social habits and sphere of influence.

The goal is to find out your customer’s “from” and “to” path to your web properties. It could be your online store, a product(s) page, your opt-in page (landing page), a sign-up to webinar or simply a Facebook page.

Ask yourself these questions:

  • Where are my source of traffic? How much does it cost me? (time, money and resources)
  • What are the demographics (age, location, habits etc…) of my traffic? Are they on social networks?
  • What does my customers want? Do I have the same customers online and offline?
  • How much time does it take for my customers to go from the original source of traffic to my web properties? And what can I do to get them to take the action I want that aligns with what they want?
  • What social media metrics can bring clarity to the habits of my prospective customers?

There are some nice free tools out there that will provide you with social data to get you started.

One of my favorite way to view my engagement performance is using Hootsuite’s statistics with Google Analytics and email marketing data. This allows me to view the engagement performance across social media from blog articles to emails.

For example, in the past 12 months, I generated 16,000+ clicks from my Twitter account which allows me to see what sort of topic my followers are interested in.

twitter.com/designdamage

I can then tailor my blog content to target further engagement and sharing. The same can be applied to email and this is particularly useful if you have an ecommerce site that allows you to track sales conversions.

The key here is to link metrics to actionable options that you generate for them. That’s why you want people to visit your web properties because you will have control of the environment.  Everything is a test in marketing.

3) Focus Shifts from Tactical to Strategic

From the mix of clients and prospects I’ve talked with this year, most of them fall into one of the three buckets: those still experimenting with social marketing, those using social media as an add-on tool with existing marketing tactics and those integrating social as part of their efforts to be more customer-centric.

In the coming year I see more businesses moving towards wanting to be more social embracing what Jeremiah Owyang described as the “hub and spoke” social business model.

Most Corporations Organize in “Hub and Spoke” formation for Social Business

The challenge will be how to strategize, streamline, automate, budget, and measure social media and social marketing. Simply put, the one-size-fits-all volume marketing will no longer be effective.

You want more consistent, predictable campaign that can be efficiently replicated instead of one-off campaigns that requires lots of resources and attention to operate.

So how can you achieve that?

The best way is to conduct split testing across integrated campaigns. You must become gradually efficient at implementing and optimizing your campaigns focusing on frequency and delivery of real-time value.

It also requires the big picture marketing strategy, NOT just tactics. At the end it is about getting the highest return on the value you create for your customers. Start thinking about how you can earn engagement that leads to conversation that leads to revenue.

4) Video Marketing Becomes Mainstream

Are you doing any videos? Do you know that a YouTube channel is the equivalent of a Facebook profile? Do you know that online video, yes video can help with your SEO?

Let’s take a look at some data here for you to think about.

At the 2010 Search Engine Strategies Conference & Expo, Greg Jarboe, president and co-founder of SEO-PR revealed that:

  • Americans watch more videos a month on YouTube than they conduct searches on Google
  • A video is 50 times more likely to get a first-page Google ranking than a text page

If those finding aren’t stunning, coming from an SEO perspective check out Pew Internet Research’s recent study indicating that “7 in 10 adult internet users (69%) have used the internet to watch or download video. That represents 52% of all adults in the United States.”

Something to keep in mind is that while online video is exploding, other media channels are slowing down or shrinking!

According to a recent Edison Research’s study indicates that “during an average day, Americans age 12-24 spend two hours and 52 minutes on the internet, making the web the media format American young adults spend the most time consuming. Television closely follows with a daily average of two hours and 47 minutes.”

In addition, as opposed to TV ads, online videos are trackable and can be viewed repeatedly attracting the “long-tail” viewers while allowing you to measure the exact impact of the video and participate around it in the comments section or on blogs.

The bottom line is that although video (Youtube) marketing isn’t anything new, it’s gaining more momentum now because the cost of video production are dramatically reduced today than it was a few years ago.

You can now purchase high definition cameras (such as the Flip HD) for under $150 which creates amazing looking videos. Even the new iPhone4 has HD videos that enable everyone to become a video producer at all times.

Keep in mind that you should consider video marketing tactic to support your overall marketing campaign not the other way around if it doesn’t fit into your strategy. Success video marketing strategy focuses on attracting the right audience with a topic or theme that’s video-worthy and can be compelling!

The take away: We’re in the middle of a media evolution where technology has fundamentally changed the way we consume media and interact with one another. It’s not about Facebook, Twitter, LinkedIn, Youtube, Google, iPhone or iPad; it never has been.

It’s about how these tools and platforms support what you want to achieve with your business.

Social is just a label, the real challenge is figuring out how to deliver optimal customer experience that builds meaningful relationships between you and your customers.

Am I missing anything here? Please leave your comments and questions, I’m interested to hear how you’re using internet to market your business, products or services.

Why You Need Email Marketing More Than Social Media

by Eric Tsai

With more than 500 million active users and the recent surge overtaking Google in time spent on site, you would think that Facebook is the king of content sharing. However; a recently research from Chadwick Martin Bailey found that email still tops Facebook for content sharing.

According to eMarketer, “86% of survey respondents said they used email to share content, while just 49% said they used Facebook. Broken down by age, the preference for email is more pronounced as users get older. And only the youngest group polled, those ages 18 to 24, reverses the trend, with 76% sharing via Facebook, compared with 70% via email.”

So what does this mean to your business?

For one, just like what the article points out social network sharing revealed much of our self-interested motivations behind sharing.

People love stories, especially stories about themselves. Unless you’re an effective marketer, most of us make decisions on how we feel about the relevancy of the content based on what we think was interesting, funny or helpful. Furthermore social sharing via Facebook is more about the person sharing while sharing via email is more about the recipients.

This goes back to knowing the customer and understand the habits of what people use and why. Social media will continue its explosive growth but marketers must not focus on tactics at the expense of strategy.

Here are 3 tips to help you focus on strategy rather than tactics:

Picture Your Outcome

You need the right motivation to help you identify what needs to be done to get the results you want. A Facebook fan page, be on the first page of Google or a YouTube channel is not a goal. They should be the contributing factor to getting your goal.

Set your objectives (usually has to do with sales goals) and figure out the tactics that can get you there efficiently and cost effectively. Reverse engineer from your outcome by doing research, ask questions, conduct tests and architect your sale funnel.

Talk to every customer facing points of your business, come up with a mixture of tactics so when one doesn’t work you have alternatives to implement immediately.

Become Your Customer

It’s always interesting to me that everyone talks about listening and conversing especially in the topic of social media marketing. Don’t get me wrong, there is definite value in monitoring Twitter feeds, LinkedIn Answer or check your sentiment via Social Mention.

The challenge for most marketers is that you’re still thinking from your perspective to simulate what might be going on in your customer’s head.

Don’t just send out surveys. Sit down and talk to as many customers as you can and just drill down with meaningful questions deeper and deeper. Figure out where they’re coming from and what do they think they want.

What does your solution have to do with their challenges? Is it obvious to them that they need your products or services to overcome their problems?

Know the difference between listening and feeling like your customers.

Identify Quality vs Quantity

Generating high quality leads should always be the number one focus over the amount of leads. From a business perspective, it’s about what you do with the lead and the opportunities it generates.

This applies to content as well across blogs, landing pages and social networks. Your audience will find value in your content if it’s relevant in solving their problem. Move the “free line” so they will step into the funnel.

Come up with your own system to rank your leads, clicks, retweets, likes on an ongoing basis and measure the effectiveness and impact of each channel.

It’s useless if you have bunch of weak leads that you spent a lot of time on trying to convert, instead focus on capturing those sales-ready prospects and lead them down the funnel.

Remember people have all kinds of reasons not to buy, it takes time to nurture leads so put more emphasis on finding those already looking for your solution (hot leads) will yield optimal ROI (return on your invested). Try testing your ideas with Google Adwords or Facebook Advertising.

It’s cheap to spend a little and get some proof of concepts that brings clarity to your assumptions.

The Take Away: Email marketing is about your audience and should be consider your top weapon from your marketing toolbox. It’s more personal and secure in many people’s eyes so tread carefully but don’t be afraid to test and find out about your customers. Learn, create, measure and improve.

I’ve always been an advocate of email marketing and will continue to stick with my opinion that email marketing is here to stay but business owners and marketers must recognize the implications of social medias well as SEO on email marketing. For more information on integrated the 3 read: How to Integrate Email Marketing, SEO and Social Media for more details.

How to Integrate Email Marketing, SEO and Social Media

by Eric Tsai

Social media is changing how businesses find customers and how customers engage with brands. There are many reasons to believe that it will eventually overtake email marketing, but I’m a firm believer that it’s here to stay.

In fact, I believe email marketing combine with search (SEO) and social media will the best strategy moving forward.

However; let me get a few things straight. First, email is the original social network. Second, you need email to open social network account and get alerts.

And third, search engines (Google, Yahoo, Bing) will continue to index and aggregate social network data not to mention most social network has their own internal search engine as well.

It sounds like there is a lot of cross-over between the three, so how should you use these three tactics to help you strategize your marketing efforts?

It’s hard to realize how these tactics can impact your business without some basic understanding of the big three. Let’s look at how each works and what you can do to get the most bang for your marketing bucks.

The Big Three #1 – Email Marketing

Why email – Today it’s hard to find someone without an email account and majority of account holders have had it for a while (I still check my hotmail from 14 years ago) thus letting it go is not likely for most.

Account holders may reduce the time they spent on email but it doesn’t have the abandon rate (Facebook, Twitter) like majority of the social networks.

Almost all basic business communications are done via email not via social networks.  The perception is that it’s more secure, private and user friendly (centralized contacts, integrates with calendar, easily accessible via mobile devices).

Simply put, people will use what’s easy to achieve the same goal – to get work done and to communicate.

Another benefit of email is that it’s a direct private channel of communication to alert customers on new product offerings or promotions. At the same time, customers can use e-mail to provide feedback and ask questions.

Done right, you will be kept away from the spam folder and earn a permanent spot on the white list.

This is why great email marketers tend to focus on delivering high value content at the right time, with the proper frequency using attractive subjective lines that encourage clicks and forwards.

Building your email list should still be all marketers’ top priority. Give people a reason to subscribe and to remain subscribed is the ongoing art and science of email marketing.

The Big Three #2 – Search Engine Marketing

Why SEO – This one should be a no brainer. What is the first thing you do when you’re looking to buy a product? If you do your homework you would first Google it.

This applies to almost anybody looking to learn more about a company, a product or how to do something.

Often times, people don’t even question the search results because it’s just easier to trust Google’s rankings and feel good about the decisions you’ve made based on what was found.

It’s no surprise that 79% of United States hiring managers and job recruiters search online information about job applicants according to a recent research commissioned by Microsoft.

This is why smart businesses (and individuals) are putting more emphasis on content marketing and shifting their mindset to operate more like a media company.

They understand search engine is catered to “people” and people want relevant, valuable content that’s going to move them a step closer to identify the information they’re searching for.

The key is to create great content around what your customers are interested in when looking for your product; such as how things work (the outcome of your product or services), step-by-step guides or research reports that reveals product comparisons.

Then tie these high quality content with relevant keywords and over time you’ll likely to move higher through the non-paid “organic” rankings. And today you can SEO anything from websites, blog posts, videos, images, podcasts you name it.

SEO is one of the key marketing arsenals especially for retailers, direct marketers and authors.

The latest Internet Retailer Survey (some sample data below) clearly shows a growing interest and investment in search to drive more online sales. It’s not a matter of why, but how.

There is simply too much information and too little time. Search engine is our instant gratification to today’s ADD (Attention-Deficit Disorder) society.

The Big Three #3 – Social Media

Why Social – If search engine is a way for people to find information, then social media is a way for people to find conversations and be part of them.

It adds the credibility fuel to the fire of trust since social media is basically word-of-mouth. Instead of just believing in what you read from company websites or reviews you found online, you can talk to people you trust or listen to experts you follow.

Similar to search, you can get people to your site with social media, and it’s a great tool to tell customer stories, demonstrate expertise, and stack up your social proof to win business from competitors.

The goal is to connect with customers on an ongoing basis to further understand their needs, wants and concerns.

This will help you to build strong, lasting and engaging relationships with your customers for future business as well as referral opportunities by getting people to share your products on social networks to bring in traffic and find new customers.

And since social media is word-of-mouth, it’s your brand’s reputation on the line. Your digital reputation is your first impression and perception is reality.

How The Big Three Can Work Together

Although you can choose to only do one or two of the three, but to get the most out of your marketing investments, you should consider doing all three.

Here are a few ideas to consider on how to leverage the big three:

1) Create Once, Recycle Many– Focus on content not just promotions and sales, it’s about facilitating people through the sales cycle.  People usually don’t buy base on just one piece of data think of it as adding “trust points” to people’s decision to buy.

If prospects consumed a great piece of educational content on your landing page, that’s one point.  If they read some great reviews about your product from a third party site, that’s another point.

If there is more positive comments than negative ones about your brand in social networks, that’s another point.

The goal is to accumulate enough trust so prospects feel good about why they’ve made the decision over you than others.

You want to invest your time and money on creating the best blog content, how-to articles, educational videos, whitepapers or anything that will get your audience to bookmark, download and share.

Then make sure you optimize the content for search engine with the proper keywords and deliver them to the right people in your target channel via email and social networks.

For example let’s say you have a really good article on how to do something (try not to involve your product first, focus on solving the problem then introduce your product later when appropriate), you can package it in a downloadable PDF put it on a landing page that’s highly optimize for SEO.

Then abstract the summary from the content for your email newsletter so you can send your subscribers to that very same landing page, a typical web marketing campaign.

But let’s take it a step further by turning that piece of content into a video (using screen capture tools like Camtasia, or with a webcam or FlipVideo) and upload it to YouTube, Ustream or Vimeo to drive traffic back to your landing page.

Then post the video on your blog, tweet it out via Twitter, send it to relevant groups on LinkedIn or submitted to social network sites like Technorati, Digg, Reddit or StumbleUpon. Continue to produce great content and after 3-6 month you can recycle that piece of content with some updates and do it again.

2) Streamline with Process – Think about how your customers consume information and respond to connections.

It’s NOT jamming the information down their throat like traditional one-way push advertising but allowing them to discover and get permission to establish a relationship.

Talk to your customers, ask them what they read, who influence them and why? Understand what they don’t care about (don’t be surprise if it’s a lot of what you do) is just as important as what they care (a lot of what you should know).

If you make the wrong assumption it will bring you the false conclusion which will impact on how you strategize your campaign.

For example if you know your customer reads certain blogs regularly, should you advertise on their site or is it better to build a relationship with the blogger?

Once you’ve made your decision, focus on identifying the path to your web properties.

Take out a piece of paper and map out that path and create a process to streamline every possible step that your customer may take so you can funnel them via your sales pipeline.

Remember, not everyone consumes media the same way, some people like to read while others prefer to watch videos or listen to a podcast.

It’s important to have as many media options as possible available to maximize engagement opportunities.

3) Target, Track and Repeat – Without the right data you won’t know where to focus your marketing efforts and no accountability in your actions.

What happens after your prospect conducts a search?

What actions were taken after consuming your content?

Was it shared on Facebook or forwarded to a colleague?

The biggest benefit from tracking your email, search and social media analytics is that you will be able to tie them all together and figure out your ROI.

You’ll know where your site visitors are coming from, which email links they clicked on and what gets shared so you can make adjustments to improve conversion rates.

Why continue to do something that doesn’t work?

You need to know so you can keep doing what works and stop doing what doesn’t. Perhaps Facebook is not the best social network to target your audience or is it because your marketing messages aren’t resonating with them?

Marketers must aggregate customer behavior information to build a holistic view of the customer.

This means analyzing quantitative data to measure and monitor customer-related metrics such as customer attrition rate, customer retention rate, number of products purchased, repeat purchases, likelihood to recommend, etc.

When you have the right customer insights, you’re in a position to address customer needs, improve processes (to shorten the sales cycle), and to maintain a strong connection for an opportunity to turn customers into fans and fans to brand evangelists.

Do Your Homework, Fish Where Fish Are

Before you start, you should learn where your customers are at, the tools they use and why.  This allows you to make better informed decisions and build a framework for your assumptions before you jump in. You can find some valuable research data from the internet and here are two examples I’ve found.

First is the Morgan Stanley Internet Trends Analysis, which has a lot of in-depth information about all things internet, mobile, cloud computing, email, social networks and more. (Check out slide 12 on social networking vs email usage).

Morgan Stanley Internet Trends Analysis

The second report is from Edison Research on “Everything You Need To Know About Who’s Using Twitter.” I found it particularly interesting that people actually go to Twitter to learn about products, far more than they do with other social networks. (51% of active Twitter users follow companies, brands or products on social networks)


Twitter Usage in America 2010

The take away: Email marketing, search engine optimization and social media are all great, but it takes a combination of know-how and creativity to get people just to open your e-mail, to click on your search results or to retweet your messages.

Business owners and marketers need to have some technical knowledge of what methods produce positive results.

Your goal should be to have a mix and balance of the big three utilizing content strategy that is useful and easy to share.

Think like a publisher, not only do you have to figure out ways to engage your subscribers (and to remain subscribed) but also prospects, people on the fence and try to sway influencers your way.

Yes, it’s time consuming like what Jay Baer mentioned recently but think of it as investing in your customers, you get what you put in.  It’s easy to setup your email newsletter, social network accounts and have SEO gurus optimizing your site, those are executions of tactics NOT strategy.

First, learn before you start, listen before you talk and research before you decide.

You’re better off investing your marketing dollars to build your own targeted database (and customer segmentation!) with accurate information.

Questions on email marketing, search engine optimization or social media? Subscribe to my newsletter and get more tips on the full potential of integrated digital marketing.

The Emerging Trend of Hybrid Marketing Model

by Eric Tsai

A day after my last post on how traditional media is deteriorating, Microsoft’s CEO, Steve Ballmer speaking at the Cannes Lions International Advertising Festival, argued that traditional media will not bounce back, all content consumed will be digital, we can debate if that may be in one, two, five or ten years.

In some respect the context of Ballmer’s statement is indicative of the fact that advertising revenues continue to shift to where the interaction is taking place – online.

There is definitely a shift in consumer behavior as the online experience, through social media, becomes more acceptable, accessible and affordable.

Keep in mind that social media in nature has low barrier to entry with the lack of gatekeeping process.

This is a double edge sword providing that content can be generated rapidly but the quality is dramatically reduced.

The message of social media is totally radical, pervasive, and decentralized while the content of social media focuses on the concept of crowdsourcing defined via Wikipedia as “the trend of leveraging the mass collaboration enabled by Web 2.0 technologies to achieve business goals.”

That’s what’s carrying out the new social media revolution because it’s basically an extension of our sense of voice with instant speed for community-based design.

During Jeff Pulver’s 140 Characters Conference, Chris Weingarten of Rolling Stone made a great point: Crowdsourcing kills art because crowds have terrible taste! If you let people decide then nothing truly adventurous ever gets out.

I couldn’t put it better myself.

People stop asking why information gets delivered and the quality of them.

Typically authorities have a quality assurance process in sequence and in concatenation to produce high quality, relevant content.

What we must do on the receiving side is to continue to question the legitimacy and integrity of the source.

Social media allows us to connect horizontally across each other with relative ease, but just as Jeremiah Owyang recently pointed out that human don’t scale which questions the authenticity of top social media bloggers and news blogs.

This is very true in a sense that because we don’t scale, we’re only able to consume limited amount of information combine with short attention span, it’s a race to absorb as much as possible in a short period of time.

This propelled the publishers to publish rapidly; furthermore the increasing competition has put a sense of urgency pressure to compete for the same audience.

Ultimately the brand that can scale and remains relatively authentic perception-wise will be the ones to profit the most.

Hypercomptition To Hybrid Marketing

Hybrid Marketing

There is no sustained competitive advantage anymore according to Richard D’Aveni, professor of business strategy at the Amos Tuck School at Dartmouth College. He argues that advantage is continually created, eroded, destroyed and recreated through strategic maneuvering.

I found this particularly interesting because that’s what’s going on with the traditional media landscape.

Traditional media rules and orders can’t be applied perfectly under the new regime of communication (social media) and thus formations of authorities are under attack from these new forms of expression.

Simply put, it’s not a technological argument but the outcome from social and cultural conditions.

Think how content is produced, reproduced, distributed and consumed – more people are adjusting to the “new way of doing things” abandoning the old ones which leads to the permanent shift in behavior.

However, marketer should not disregard traditional media altogether, but combine traditional media with social media to form an integrated strategy or the “hybrid marketing” model.

In the hybrid marketing model, it’s about drawing a business model that works within the ecosystem of your brand.

The key is to have a fluid approach in creating a meaningful dialog with your market. Instead of focusing on what marketing tactics to use strategize on aligning your brand strategy with your business goals and view social media as one of the arsenal to choose from.

I believe this is a more practical approach and allows for integrated efforts for companies with branding 1.0 infrastructure to transition into branding 1.5 strategies because there is no point in applying branding 2.0 strategies if the infrastructure is not ready for it.

The idea is that the marketing strategy will streamline with the resources creating the desire outcomes that are measurable. Brands must consider the costs associate with deployment, control, and management to sustain such strategy.

There is a place for the shrinking traditional media. It will continue to evolve based on how we act and react to technology.

However, it won’t be technology that drives the outcome of the new media, but the cultural value of intellectual property and how it gets produced and consumed.

What’s your marketing strategy?

Perhaps you’re already utilizing hybrid marketing in your business model, share your thoughts here.

7 Keys to Creating Social Media Strategy for Your Brand

by Eric Tsai

In the past few weeks I’ve experienced a decent amount of spam from social networking sites ranging from people marketing their books, selling “make money online” information, to promoting their personal brand.

It’s indicative of the fact that individuals and businesses are viewing the space seriously as it takes on the mainstream spotlight.

There are many ways to utilize social media to boost your brand.  The key is to have a strategy around building your social proof.

Let The Truth Be Told

People naturally look for social proof in any given situation.

Social proof is a weapon of influence by which we replicate what we see others do.  We tend to make assumptions in our head when we’re unable to determine the appropriate action to take.
So we turn to surrounding authorities that we assume possess more knowledge about the situation than us.

For example, if you see a bunch of people lining up outside of a restaurant you tend to think the food is good or better yet, it MUSTbe good.

Social proof is especially powerful in social media because of the available information from Twitter followers to LinkedIn connections.  People get influenced real-time on their PCs or their mobile devices.

This creates little barrier to entry for people to be perceived as preeminent experts.  Combine that with the limitless reach of social network; people will often evaluate others based on how “connected” they are.

The truth is – social media is a platform for engagement and building communities.

It has evolved to be part of a marketer’s arsenal and it’s on the path to be the next coming of email spam.

If you don’t want to be perceived as a spammer or someone just looking to gain free social proof, you need a solid strategy for your brand.

Aligning Your Brand And Business Strategy

There are lots of high profile people and companies using social media today but not all of them are getting the result they want.

Many brands are doing a fairly good job utilizing the right social media strategy while others clearly have no clue.

Here are 7 keys to create your social media strategy:

1. Define your outcome

This is perhaps the most important aspect of your social media strategy.

What are you trying to achieve?

What is your ideal outcome? Sales?

Lead generation? Promotions? Branding? Buzz?

Corporate brands generally use social media as part of their larger strategic initiatives for reputation management, product launches, and customer engagement tools.

Those methods apply to personal branding as well because social media is a cost-effective marketing and PR vehicle in comparison to the traditional media marketing.

2. Focus on your audience’s needs

If you want to sell a product such as a book across social media, you must focus on your audience’s pain point, solve their problems, and add value to them little by little.

Provide free advice that’s of high value, NOT something anyone can just copy and paste from a source like a blog.

For example, instead of relaying mainstream news, focus on syndicating news gear towards a specific niche area so you become the go-to source for it.

Better yet, compile the content and provide your own insight so you act as a filter for your audience.

3. Implement measurable ROI

This is actually difficult to do because social media is still a relatively new medium and remains largely unproven.

The best solution is to gauge the time spent versus the result you are able to measure such as inbound traffic, clickthroughs, impressions, comments, fans, followers, subscribers, and ask how prospects find you.

Track your data and chart them over time to find relevant cause and effects.

You may be surprise to find what people are saying about your brand or how effective your marketing triggers are after reviewing your statistics.

4. Actively participate in discussion groups

If you have something valuable to offer, people should know.

Join discussions and participate in forums will bring you opportunities to brand yourself and create awareness in the form of constructive promotion.

Further more by providing your audience with insights, educational content, or value support systems will help you gain social proof.

Knowledge transfer in social media is very powerful especially given as freebies.  As a result it creates reciprocation from the recipient who will want to return the favor in the form of purchasing your product or endorsing your brand.

5. Get in front of the right people

High profile people are great leverage to give you that boost of traffic especially key opinion leaders in your niche area.

Get in touch with them and do something for them first.

Contribute to their cause and the reciprocation factor will work on them as well.  Instead of asking for endorsements, participate in their discussion groups, leave comments on their blog, send them useful information, and interact with their channel are all ways to gain visibility.

Build the right relationship will also drive The Long-Tail affect in which your brand impression will be distributed amongst high profile people’s fans in significant numbers.

6. Blend online and offline social networking

This is one of the overlooked areas for social networking.

Offline networking can add more fuel to the fire especially when people aren’t able to hide behind their user name, emails or avatars.

There is nothing quite like a face-to-face conversation to get a nice dialogue started.

Not only can you hear the voice of the other person but the body language, eye contact, and physical interaction in the same space makes you more “real” and believable.

Although it can be time consuming, offline networking is more powerful than 140 words in a tweet or a two liner comment in Facebook.

It also encourages word-of-mouth marketing which is by far the most effective marketing tool today.

I highly recommend you to attend conferences, go to tradeshows, take a training course, or get with other social networkers locally.  Start a MeetUp group or a monthly seminar.

7. Nurture relationships, build momentum

When implanting social media strategies, you may wan to run tests to get feedback from your network.

You should stay true to yourself but also know what worked and what doesn’t.

Ideally you want to keep doing what works and find new ways to strengthen your relationship with your audience.

Start your own discussion group, do an online survey, create joint ventures, exchange opportunities, and continue to provide free information are all ways to foster your social media relationships.

Nothing will happen when nothing is provided and you must be patient before you get results.

Whether you’re already on Facebook, Twitter, LinkedIn, or is blogging on a regular basis, my best advice is to just let go and keep on giving!

Has social media already helped your business?