Businesses have a wealth of marketing tools at their disposal, all with the same aim: to get a message in front of the target audience. But with so many options, how do businesses choose the right strategy and tools that will give them the best ROI? Figuring this out can be an overwhelming and frustrating process! That’s why today, we’re exploring two of the most prominent approaches: inbound and outbound marketing. We’ll provide you with more information and examples of both to aid you in the decision-making process.
What is outbound marketing?
Outbound marketing is the more traditional approach of pushing messages out to a broad audience. Some examples of this include TV commercial, ads, cold calls, outbound email marketing, billboards and sponsorships. Outbound marketing is more of a numbers game – a high number of people will see the message and a percentage of those will hopefully be interested in your service/product.
Outbound marketing activities are a great way to increase brand awareness and increase leads. However, the performance of the activities can vary. It’s said that email marketing boasts a high average ROI of $42 for every $1 spent. However, other tactics such as cold calling are more a thing of the past and is less effective. A whopping 72% of cold calls are met with rejection, making it a time-consuming task with very little return. Selecting the right marketing mix can be key in ensuring your outbound marketing has a good ROI. Read more about how to show marketing ROI.
What is inbound marketing?
Inbound marketing is all about attracting potential customers with valuable content – often referred to as ‘content marketing’. By creating valuable content, you can draw people in based on their interests and needs. Some examples of inbound marketing include blog posts, social media, search engine optimisation and opt-in email campaigns. Inbound marketing is less of a numbers game and is more about ensuring your content shows up in front of your target audience wherever they spend their time.
By creating targeted content, it helps to generate more qualified leads. It is important to create informative content and well position your brand as 94% of B2B buyers research online before making a purchase. Similarly to outbound marketing, you have to make sure the marketing mix is right for your business’ objectives. For example, 82% of inbound marketers who blog have seen a positive ROI. Therefore, if you’re looking for more web visits, blogging could be a key part of your strategy. It’s important to note that inbound marketing is a marathon, not a sprint! you’re looking for more web visits, blogging could be a key part of your strategy. It’s important to note that inbound marketing is a marathon, not a sprint!
When to use outbound marketing?
If the following benefits stand out to you, maybe it’s time to use outbound marketing:
- Raise brand awareness quickly
- Stand out to your highly specific audience (activities such as trade shows can be beneficial)
- Create excitement around a new product or service
- Re-engage past customers and leads
- Connect to a specific industry (through sponsoring or PR)
When to use inbound marketing?
Inbound marketing is key for nurturing and building long-term relationships. Check out the following benefits to see if it’s time to use inbound marketing:
- Build brand authority by creating informative content
- Position your brand as an industry leader by building a strong online presence
- Nurture more leads
- Improve the sales funnel
- Build an engaged contact list
Inbound AND outbound marketing
Sometimes the best strategic approach is to combine inbound and outbound marketing. Imagine them as instruments working together in an orchestra! Outbound marketing can be used as the attention-grabbing tool which creates an initial spark to get people interested. You can then use some inbound marketing activities to inform, nurture and engage your audience. These touchpoints can work well together as they’re at different stages in the customer journey.
Understanding the difference between inbound and outbound marketing can help you to make an informed decision that delivers results for your business. Whether you choose to attract or interrupt, making sure you’ve got the right marketing mix in place is key when achieving your marketing goals.
