Despite the growing influence of the Web and the increasing media consumption of the internet, there are still some companies that are reluctant to make strategic marketing campaigns online. Noticeably, many companies have already paved their way into the online market. But what of the companies that are reluctant to join the majority?

The internet has definitely attracted many people and online users are increasing everyday. The vast majority of people do online research and sometimes make their purchases online. When compared to the television, there is a great probability that the internet will surpass the TV as the number 1 medium in the near future.

But there are still some concerns for some companies on the matter of investing online. They claim that there are still a lot of significant barriers they have to overcome before making an investment in online marketing. Problems such as the inability to measure consumer impact, digital and agency capabilities, management flexibility, and employee capabilities are among the considerations that a company has to ponder about whenever delving into online marketing.

The most important, and most common, problem that the companies deal with is the capabilities of their agency and people. For many companies, especially those that are new to online marketing, designing online marketing campaigns and finding talented people for the job can be difficult. There are companies that are still exploring the online environment and the current management the company has may not find it so easy to understand.

Another serious factor involved in investing in online marketing is that it will take some internal changes in the management and operations. These changes will naturally take some time and require the development of strong communication and new goals and objectives.

The growth of the internet, though, is something that companies cannot just ignore. In order to reach out to more consumers and grow globally as a business, companies are doing their best to adapt to the online craze and invest in online marketing.

Pay for Performance online marketing is a marketing strategy wherein you’ll only pay for a particular response or conversion. It’s entirely based on the performance and results, and most importantly your goals concerning your return on investment.

Here are three types of Pay for Performance marketing:

1. Affiliate Marketing

With affiliate marketing, you can choose your desired conversion and the rate or fee that you want to pay. Affiliate marketing is actually one of the original pay for performance strategies, wherein you get to offer an attractive affiliate program to publishers and not overpaying and hurting your ROI.

2. Pay Per Action Online Advertising

Pay per click advertising was believed to be a pay per action advertisement. This is not entirely correct because the advertiser is responsible for the conversion. However, there are PPC models and search advertising strategies that generates high ROI possibilities, and these are safe advertising choices when concerned about your ROI.

3. Lead Generation Programs

Lead generation programs offer advertisers qualified prospects for a “per prospect” fee. It will be the advertiser provider that will promote the business and the fees are charged for a genuine inquiry. The key here is that the providers deliver quality leads and this is what counts for pay for performance marketing.

Unlike other online marketing strategies, pay for performance marketing delves into tactics wherein effective results are expected. Online marketing usually does not give an assurance on good results. But at a time where recession is just at the corner and small businesses have it hard, pay for performance online marketing should not be thrown aside.

1. Build and focus on your global brand and vision.

When you can see that a product or service can be served on a global scale and that everyone can enjoy from it, then that’s a start. Begin with that vision. A business is not complete without a vision and a mission, after all. Focus on building on that and develop your brand with it.

2. Raise and invest in money.

Capital is essential in any kind of business venture. Start with your own network of acquaintances in raising money for the start of your business if you cannot generate money for yourself. Make an opportunity to meet the people who you think are right to be in the business with you. Convince them that there can be no loss for them for this venture.

As much as possible, look for people who are involved in global startups because these people are often in safe jobs and have nothing crucial to lose. People like these are also interested in new business ventures.

3. Be different and better.

Being different sets you apart. Be unique ad you will be recognized. In the business world, this can give you your core competency and a distinct advantage over others. But that’s not all to it if you want to be successful. When you do things, you make sure that you do them better.

4. Use great systems to complement your business.

Even the smallest of businesses have a their own simple system and tools. Your global business is no exception. And with a global business, it cannot be just any system and tools. To compete in the global market, you’ll have to achieve the worldwide standards — e.g fast communication, top-of-the-line security, etc. Great systems like these can ensure you some of the foothold you need to stay in the business.

Don’t forget that in making these systems and in using these tools, you adhere to efficiency and effectivity. A lot of companies also bring down their expenses and concentrate on improving their systems to make them more cost-efficient.

5. Protect your brand.

Your brand should be protected. It’s what your business is all about in the first place. You should be prepared for future risks to protect it. Believing in the business is to believe in the brand and you have to stand up for it. The product may be as simple and as small like a straw or a pill. But it’s your brand and to stay in the global market is to protect it.

6. Protect and improve on your operations

Being a global business you are prone to many competitors wanting to know how you do your operations. To be more discreet on the operations and processes, companies usually split manufacturing and other procedures across countries. You could have formulas made in one country, then ship some of it to another country for processing, and some of it to another country for another treatment. In doing so, take into account the countries benefits and disadvantages. For example, one country you have in mind may have extensive but cheap labor force, and another country may be more technologically advanced than your other options.

7. Create and develop an innovative distribution model

To reach the global market, logistics and distribution channels are taken into careful consideration. How do you reach this part of the world? How can your customer be ensured of a speedy transaction?

To solve this problem, global companies apply their own innovative distribution model. They could give license to people across the world to help you sell your products. With this kind of negotiation, both of you will have profits to gain.

Love it or hate it, an effective marketing plan can make or break your business. Great advertising equals power in the marketplace. Potential customers tend to relate your product, services and abilities to the ads they see. In other words, if you have a great campaign, they’ll probably have a better opinion of you-versus no opinion at all if they don’t know you exist.

The most important thing to remember is that the goal of marketing is to generate results for your business. If you don’t see benefits from a particular marketing expenditure, reconsider it. Advertising is expensive no matter where and how you do it. Having a balanced and effective strategy you can track is the best way to reach your audience while getting the most for your money.

Have a plan - Having no plan is a plan. It’s just not a very good one. Sit down and think about your budget and target audience (customers). Think about where else you could allocate funds, and who you want to notice your business.

Size it up - Develop a plan that stays within your financial and strategic guidelines. One suggestion is to set aside a set percentage of your annual net profit. As your business grows, so will your marketing budget.

Be consistent - Your marketing reaches a lot of people who don’t need you today. They need to know who you are, what services you provide and why you’re the best option for them-and they must be reminded on a regular basis.

Track your efforts - If you don’t know whether your ads are bringing in business, you have some work to do. Ask clients where they heard of you. Monitor incoming inquiries to learn if a promotional giveaway, yard sign or ad was responsible for the calls.

Focus on quality - Converting inquiries into real business is an important part of marketing. In other words, the quality of the leads matters more than the leads themselves.

Market online - While marketing online can be cost-effective, it is not necessarily the be-all-and-end-all of brand awareness. In fact, nearly three-fourths of respondents to Deloitte & Touche’s “State of the Media Democracy” study said they would rather read the printed version of a magazine even if they can get the same information online.

Does this mean you should cut off your online marketing efforts? Absolutely not. The message here is: Keep your campaign balanced.

Eliminate poor investments - Don’t keep marketing in a certain media or sponsoring events just because you always have. Take a hard look at your return on investment each year, and drop ineffective strategies. Keep your money where it will benefit you most.

Source: Margaret Kelly, RISMedia

Multi-channel retailing is becoming increasingly crucial for businesses to survive in an online age - Rebecca Spicer explores the options and steps required to build a successful e-store.

Thanks to the spread of broadband and wireless services at home, online business are growing rapidly, urged on by confidence in online brands such as eBay and Amazon.

The global ACNielsen Online Consumer Opinion Survey conducted last October found the vast majority of Australian internet users (87 percent) made a purchase over the internet. “Our ongoing e-commerce research clearly demonstrates an upward trend in Australian and global online shopping,” says Richard Sandlant, ACNielsen’s director of customised research.

So, how can your business tap into this growing market? While businesses may already
have websites to promote their business and provide additional information, it may be worth considering actually selling online as well.

David Lammey, general manager of business and consumer at web and application hosting company WebCentral, believes the decision for a business to expand online will be based on increasing its turnover and making the business more profitable. “What businesses are trying to do is sell more with less effort, and an online store can do that,” he says.

However, before embarking on developing your e-store, Lammey suggests asking yourself the following questions:

1. Is my product really going to sell; is it applicable; are people going to buy it on the internet? Anna Carosa started her accessory business, msAnna, just over two years ago. After successfully selling via mail-order catalogue she decided to launch online a year later. Selling mainly handbags and jewellery, she knew these were viable products to sell online. “I find with handbags, it’s more of a visual thing,” she says. “People know roughly what their style and taste is so most can buy jewellery and fashion accessories online relatively easily.”

2. How do you want to brand and structure the shop; do you want it to be a link off your main business website or a separate entity?

3. How am I going to do it? Analyse your current financial position—resources, costs, and so on—then ask yourself, can I afford this additional distribution channel? You’ll need to consider the extra resources needed to fulfil online sales and maintain the website, as well as set-up charges, ongoing maintenance and trouble-shooting costs.

4. Will you build and maintain the site in-house, outsource the job or use a combination of both? Deciding which way to go will depend on your time and resources, and how much risk you’re willing to take.

If you’re planning to sell online, the best research starting point would be to shop online yourself. Have a look at how other e-stores function and you’ll get an understanding of what consumers expect in terms of usability and security.

More on how to build your e-store: Building an E-Store by Rebecca Spicer, DynamicBusiness.com

The struggle we have as online marketers is to find ways to measure the effectiveness of advertising, including those elusive offline conversions. Offline conversions are simply sales that start online but are completed offline—either by way of a phone call or a visit to a physical store. The challenge is tracking that customer behavior after customers leave their computers.

Here are a few methods used to track conversions offline. I’ve grouped these methods in increasing order of sophistication and cost.

1. Simple Methods for Offline Conversion Tracking

The easiest technique is to make an assumption based on a change in sales. If sales go up after an online advertising campaign, then you can assume it’s due to that campaign. This method isn’t so much of a method as a practice.

Another example of a simple method is using anecdotal data to gather statistics. Here you might ask your salesman or call center to inquire of customers how they learned about your products. You can also use in-store surveys to ask customers how they located your products.

The obvious problem with these simple techniques is that, although they are easy to implement, they are VERY imprecise.

2. Intermediate Methods of Offline Tracking

Most small businesses lack the infrastructure or resources to spend on higher-end methods. So one intermediate method for tracking offline sales is by gathering some data in a trial program and then extrapolating it to future sales or a larger campaign.

For example, we ran a trial PPC campaign for a client who had businesses in many locations across the country and wanted offline information but didn’t have the resources to continually track offline conversions. We built a short-term campaign targeting a mini-site with a custom 800 number as well as an online reservation form.

At the end of the pilot test, we calculated an online to offline conversion ratio that we were then able to apply to a much wider PPC campaign targeting multiple sites. This allowed us to have a real-world estimate of the online to offline conversion ratio even though the client could not continue to dedicate the resources to track the offline conversions directly over the long term.

Other options that give offline accountability include the tried-and-true coupon code or special offer codes. This method relies on the customer entering a special identifier that both gives them a discount and also allows you to track where the customer came from.

A more subtle approach is to configure your site to generate a special price based on the source of the traffic. While this does not require giving a discount (other than a few cents off to achieve the special price), it does cause possible confusion for both the customer and your sales staff due to the variability of the pricing.

3. Advanced Offline Conversion Tracking Techniques

Now let’s look at some higher end techniques.

Customer tagging is one method used especially by companies who have loyalty or frequent buyer programs. To implement customer tagging, the customer needs to be uniquely identified on the site, usually through a log in, a customer ID or an order ID. The customer starts the purchasing process online, then comes in or calls the store to complete the transaction. The ID can then be used to tie the offline sale to the online behavior.

Unique phone numbers for referrers. Another advanced method for tracking offline conversions is the use of persistent unique phone numbers based on referrers.

This approach can be used to track offline conversions from a variety of lead generation sources. Javascript on the landing pages identifies the source of the referral and displays a unique phone number. The visitor is also tagged with a cookie, so as that visitor explores the site the same unique phone number is consistently displayed. Even if the customer bookmarks the site and returns at a later date he will view the same telephone number.

Pay-per-call. Commercial pay per call services can work with your paid advertising campaigns to track conversion performance across different search engines. These vary in sophistication, but basically they work by generating a phone number for the visitor based on the source of the traffic. In addition, they track the call performance using their proprietary systems, so you can get call length, conversion, and other information without the need to dedicate a phone number to that particular campaign.

4. Graduate level offline conversion tracking

One of the advantages of pay-per-click advertising from an online conversion perspective is the ability to track a conversion back to the specific keyword phrase that brought the visitor to the site. If you know a specific keyword brings in converting visitors, you may allocate more of your budget for that keyword.

Call tracking of keyword-driven traffic. Sophisticated call tracking tools provide the ability to track offline conversions with a similar high level of detail as online analytics. Obviously, asking a customer what search phrase they used to find your site online won’t likely be effective. An automated service is the best approach if you need that fine-grain concentration of detail when tracking conversions.

This is a level of service that would be difficult to achieve by a site owner on his own. Tracking offline conversions down to the keyword level requires the dedication of perhaps hundreds of toll-free numbers, and would then still require a lot of back-end integration with your phone system to capture all the conversion information.

Source: Offline Conversion Tracking: The Missing Metric by Christine Churchill, Search Engine Land

Have you ever read the book Richest Man In Babylon? It’s a great book and I highly recommend it. Once you have completed the book you’ll look back and think, why didn’t I already know this. It isn’t rocket science, but the knowledge in the book is priceless.

I wanted to talk about one idea within the book that has really made an impact on my life. Here is the thought: “A Part Of All You Earn Is Yours To Keep”. Basically this means that when you get a paycheck or any type of earnings you need to pay yourself first. For example lets say you pay yourself 10% of all you earn. You’ll want to take this 10% and put this money to work for you. Re-invest it into possible businesses, stocks or bonds, any type of investment that will create some value to you over time.

I personally prefer re-investing this % into ideas that will provide a passive income for me. Passive income is an income that will pay me each month, without me having to work for it. A lot of people have created a nice passive income in using rental properties, each month when they receive their rent check and subtract the mortgage payment, the extra cash is theirs to put where they please.

I recently found a website that is currently earning me a passive income as well, it’s called Prosper.com. This website has opened up a whole new outlook on financial lending. It’s a consumer to consumer lending service, that cuts out the bank and the higher interest. There are plenty of good people out there looking for a business loan, but don’t want to pay the interest rate. Also there are a lot of people that are tired of paying the high interest rate on the credit cards, so they come to the site consolidate them all into one payment.

I used to put my money in an ING Direct savings account at 4.5%. But now I currently earning back a 14.5% annual return on my money, over a 3 year period of time. The site is an awesome concept, and I am really enjoying help other people out.