Paid advertising, sponsored posts, Google AdWords – or content marketing? This is a decision every marketer needs to make, every year. The best way to know how to spend your budget is simply to look at the return on investment over time. This is what it looks like.
When you Google ”Which online marketing strategy has the best ROI?”, you find a wide range of articles that say the return on investment of online marketing is too difficult to measure.
A lot of them also tell you that it’s almost impossible to compare the results of these methods.
But you can measure it. In digital communication, you can track every lead, every click, every subscription. Unlike traditional print ads, you can measure not only how many people have seen your banner, but how many have clicked it and bought something.
To see which marketing method is more effective, we only have to look at the statistics.
Of course, it depends on what you’re selling and to whom. Maybe your customers are not on Facebook. Maybe they’re all about newsletters or Snapchat, and the time and budget needed for those channels may differ.
But we do know that only the messages that they find useful, viral, engaging or truly interesting will bring results. By posting useful content in your digital channels regularly – website articles, videos, photos, infographics, newsletters, blogs and social media posts – you will increase your sales. Statistics show that half of B2B buyers first consume 3 to 5 pieces of content before engaging with a salesperson. That is content marketing.
Here’s what the marketing statistics say
- In 2016, 51% of B2B buyers said they relied more on content to make purchasing decisions than they did last year
- 74.2% of companies indicate that content marketing is increasing their number of leads – and their conversion rate
- Content marketing generates more than three times the number of leads than paid search does
- Website conversion rate is nearly six times higher for content marketing adopters than non-adopters
What costs more, then? Paid search or content marketing?
Just like INC puts it in this article, time and money are both investments:
”If ROI were a simple matter of money in, money out, it’d be much easier to estimate and compare. However, some strategies require more of a time investment than a money investment, which adds another difficult-to-measure variable to the process.”
Long-term results are also different from short-term results. We know that over the course of five years, a long-term investment will pay off far better than a short-term one.
However, you want immediate results. Depending on the size of your company, statistics show that
- Content marketing costs 31-41% less than paid search
Content doesn’t come with a deadline, which paid search does. Paid advertising might work during that limited time, and it may be a good complement to boost a post, but it doesn’t build your brand continuously without good content.
As an example, I wrote a blog post for one of our clients in 2014. That blog post is still (today, January 2017) the one piece of content that drives the most traffic on their website!
Compared to paid ads, good content reaches your customers because:
- You deserved their attention by being interesting, relevant and attractive
- They chose you because you seemed different than the rest
- Someone recommended you
- They Googled a question, and you provided the most relevant information and answer to that question
It’s all about long-term branding!
You can pay for better ranking on Google, but the day you stop paying, the effect will stop. If you build your ranking with organic search instead, it will last. And once you’ve created a post that drives traffic, people will keep finding it, every day. Traffic drives traffic.
Building a ”content bank” is building your brand. The more high-quality content you have that is search engine optimized, the more traffic you will get, and the better you will rank. Which increases your traffic, which in its turn increases your ranking …
- Content creation ranks as the single most effective SEO technique
So why aren’t more companies doing this?
They are. But:
- 87% of B2B marketers say they struggle to produce content that truly engages their buyers
Being a content manager is almost like being a journalist or editor: you must know what’s interesting to your customers. Don’t tell them about your company or products all the time, give them something useful and interesting.
Like what? Well, you’ll find all those stories inside your business, it’s all there. It requires skills and experience to make them useful, but it’s worth it.