One of the most important aspect of every marketing strategy is the budget. The bigger your budget is, the more things you could accomplish.
But what if you have a small business or if you’re just starting out? It would be a given that your marketing budget is limited— or sometimes, non-existent even. It is, therefore, critical that you spend it wisely in the right direction and make the most of what you have.
In marketing, there are two ways you can take — digital or traditional. Traditional marketing involves all the marketing techniques we grew up with — flyers, news ads, TV ads, etc. Digital marketing means reaching out to your customers via online channels — SEO, social media, email, newsletters, and other media.
It can be confusing trying to decide which basket to put your eggs in, especially if you have limited marketing funds. Let’s take a look at the differences between digital and traditional marketing so you can decide where to invest and ensure you get a good ROI.
When you advertise on a newspaper or other traditional media, you are limited by the platform you are advertising with, whether in terms of size, length of video or audio. But with digital marketing, you can be as creative as you like and the limitations are fewer.
Digital marketing also allows you to target your audience more accurately while giving higher returns on your investment. According to studies, advertising on online channels is 100 times cheaper in terms of CPM and only costs $0.01 per impression.
One of the advantages of digital marketing is engagement. Customers can interact with the brand easily and conveniently, unlike traditional marketing. You can comment, like, or message the company directly to voice your thoughts. It also facilitates communication between the audience and the company, making way for meaningful conversations and building relationships.
When you distribute flyers, advertise in newspapers, run an ad on TV, or give away coupons, you don’t know how far your marketing campaign will go. You don’t know if it’s going to be successful or not, much less how much of your market you’re going to reach. There’s no way to tell and you can only guess at the results.
But with digital marketing, you will have instant access to real-time results. Being able to measure results allows you to have a clear view of the marketing game, rather than going around guessing. You’ll learn which channels are more effective, what your conversion rate is, acquisition rate, total sales, and overall revenue.
Traditional marketing is limited by the audience their reach. For example, newspapers are limited by their distribution while TV ads are restricted by their viewership. If your business is not local or location-bound, your reach will be limited if you go the traditional way.
But when you use digital marketing, you can reach different cities and different countries across the globe. This is particularly beneficial to businesses that are based in multiple locations or online businesses that cater to customers worldwide.
Facts and data prove that digital marketing wins hands down against traditional advertising. This is not to say that traditional marketing doesn’t have its advantages. It’s just that the benefits of the online platform is way more beneficial for small and startup businesses.