Keith Bugeja

There is no doubt that in order to grow market share and revenues a company must invest in advertising, and nowhere is this truer than in the case of Business-to-Consumer (B2C) companies.

A recent report by Deloitte on behalf of the Advertising Association highlights the fact that small UK companies should invest in good advertising campaigns in order to grow, but that unfortunately it is only a small percentage that makes the required investment in promotional activities. The fact is that those companies that do take the plunge and invest their money wisely experience a rise in sales and growth in their company.

In many cases when companies think of advertising their thoughts immediately veer towards  the traditional. However the fact is that businesses who want to maximise their return on investment should look at a mix between traditional or digital marketing methods, with different channels reinforcing the core message. Large companies have already started to shift their budgets from traditional to digital, as this is achieving higher revenue and is much more cost effective. Companies' traditional advertising budgets are shrinking and are instead shifting to digital platforms.

In Malta, we are seeing a lot of companies that are now embracing digital activities including social and online advertising. In fact, 2014 is the year where we witnessed a significant shift in Malta to advertise on digital platforms.

Exploring Digital Marketing

Many companies are wary of what digital channels may bring. They are at times afraid to embrace new technologies and opportunities, avoiding them or perhaps not even being aware of them. They understand direct mail, TV, radio and print - and they stick to what they know. The fact is that the traditional channels work and will bring in good business, but one should also put aside part of the budget for digital marketing. Why? The benefits are many. Digital advertising is much cheaper, can be modified as the campaigns are running (to improve performance), more targeted and easier to measure.

The best platforms to advertise on are those that have a lot of reach, or in other terms, traffic. This means that the adverts are seen by a large number of people. However, reach and mass advertising are characteristics that traditional advertising has. While reach is still important, an advantage of digital marketing is that it is more targeted - something that traditional advertising lacks. A targeted campaign will focus on an audience consisting of people who are more likely to become customers. Combine reach with targeted advertising and you have the right ingredients for a campaign to obtain an attractive return-on-investment.

Digital marketing also makes it possible to entertain your customers and audience instead of just selling your products or services. This can easily be done via social media where one can interact with clients directly or by posting interesting content.

Studies have shown how mobile and social media are on the rise., as is the importance of  search engine optimisation, pay-per-click advertising, opt-in email campaigns and blogging. Maltese businesses should really seek advice to benefit from these opportunities and advertise using digital marketing activities.

Keith Bugeja is a Search Optimisation Consultant and Pay-Per-Click Consultant at Alert eBusiness Internet Marketing Division - www.alertemarketing.com. Member of the Alert Group: www.alertgroup.com.mt

Tech update

Uber has hit a major setback in India, with its service now being banned in New Delhi. Authorities enforced the ban after allegations emerged that an Uber driver had raped a female passenger.

In an official reaction by the company, Uber pointed out that India's transportation licensing system is ultimately to blame, since the licenced driver was a convicted sex offender, having previously spent seven months in prison for sexual assault.

CEO Travis Kalanick released a statement: "What happened over the weekend in New Delhi is horrific. Our entire team's hearts go out to the victim of this despicable crime. We will do everything, I repeat, everything to help bring this perpetrator to justice and to support the victim and her family in her recovery.

We will work with the government to establish clear background checks currently absent in their commercial transportation licensing programs. We will also partner closely with the groups who are leading the way on women's safety here in New Delhi and around the country and invest in technology advances to help make New Delhi a safer city for women."

 

eMarketing Update

MillersCoors in the US is currently experimenting with social media and ecommerce. The company is sending out promotional tweets during football matches, enabling fans to click and order beer, wind and other alcoholic beverages.

"This presents a new revenue opportunity for alcohol brands," said Dirk Rients, vice president of brand solutions at The Mobile Majority. "Drizly is giving consumers the convenience of having beer, wine, or liquor delivered to their doorstep in less than an hour. We will continue to see significant growth of these on-demand services which are being fueled by mobile.  Consumers have shown that they will pay more for convenience and speed."

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