In order to be a successful entrepreneur, you must stay ahead of the curve, not behind it. Many times, we are the last to profit from emerging trends when it comes to entrepreneurship and business. On today’s Black Entrepreneur Blueprint podcast episode # 429, Jay discusses and dissects a recent report about digital marketing trends that successful entrepreneurs need to know and implement in 2023.
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BLACK ENTREPRENEUR BLUEPRINT EPISODE # 429 – SHOW NOTES
Today I want to help you get in front of the curve and give you some things that successful entrepreneurs are doing now and for 2023 that can improve your business.
Successful entrepreneurs look at other businesses and industries to see what’s working they don’t just focus on what they’re doing.
Let’s Start By Understanding What Digital Marketing Is And Why We Need It
- Digital marketing, also called online marketing, is the promotion of brands or products or services to connect with potential customers using the internet and other forms of digital communication. This includes not only email, social media, and web-based advertising, but also text and multimedia messages as a marketing channel.
- The importance of marketing for your business is that it makes the customers aware of your products or services, engages them, and helps them make the buying decision.
A recent report by Leadpages broke down the following:
- They wanted to discover what digital marketing strategies other businesses are employing
- Which areas they’re investing most in
- And what challenges they’re currently facing.
So you want to use this information to guide your own digital marketing strategies and maximize your results for 2023
WE ARE GOING TO BREAK DOWN FIVE (5) AREAS AND GIVE YOU SOME TAKEAWAYS
The five areas are
- Web traffic
- lead generation
- online advertising
- the challenges
WEB TRAFFIC – Where are businesses getting the majority of their traffic from?
So, here’s the deal, A perfectly optimized website or landing page is useless if no one sees it, which is why digital marketing begins with traffic generation.
It’s important to note that the top three drivers of web traffic are non-paid channels. Organic search, organic social, and email marketing rank one, two, and three respectively, showing that the amount of money you spend on advertising doesn’t always dictate how much traffic you receive.
Organic search – 27.6%
Organic social – 19.7%
Email marketing – 14.8%
MAIN TAKEAWAY Non-paid channels might require more time and work, but when done right they’ll likely be the biggest drivers of traffic for your business.
This isn’t to say that there isn’t a place for paid traffic. For example, paid ads are critical for eCommerce businesses. However, for most other industries, once your online presence is established, you’ll likely find this strategy isn’t the primary driver of traffic to your website and landing pages.
Let’s look at what strategies entrepreneurs are investing in
- Leading the way in this category is social media, with a third of businesses investing in this channel more than any other.
- Email marketing comes in second in this category, and for good reason. Growing your email list is tough work, but email traffic has been shown to convert at a very high rate compared to other channels.
- Paid advertising comes in third, proving that while important it’s not the be-all and end-all of digital marketing. It’s possible to thrive even if you don’t have a large advertising budget.
MAIN TAKEAWAY social media and email marketing are the most popular channels to invest in. But with organic search driving the most traffic don’t overlook SEO.
Lead generation is critical to building both new and existing businesses. Here’s how entrepreneurs are handling this area of their business.
How are businesses generating leads?
Lead magnets – 52.9%
Free consultations – 14.1%
Webinars – 8.4%
Over half of the businesses, we surveyed report that most of their leads come from lead magnets. So, why are they so effective? It’s likely because they: Are inexpensive and easy to produce. Can be automated. Provide value.
MAIN TAKEAWAY Lead magnets are both an affordable and effective way to generate leads. If you’re a new business looking for leads this strategy is the best place to start.
Let’s look at the ROI entrepreneurs are getting from these different types of lead gen strategies
Lead magnets -44.3% ROI
Free consultations – 17.6% ROI
Webinars – 12/9% ROI
Nearly three-quarters of those we surveyed indicated they spend less than $500 per month on advertising, with almost one-third saying they don’t invest any money in this strategy. Why are so few businesses investing big money in online advertising? There are a couple of potential reasons
- It’s expensive: newer businesses don’t have the budget to spend thousands on advertising every month.
- There are better traffic sources: As we’ve seen, most businesses get most of their traffic from organic sources. Once businesses build up a steady stream of organic traffic they likely start reducing their ad spend.
- 43% spend between $0.01 and $499 per month
- 29.3% spend $0 dollars per month
- Only about 6% spend over $2,000 per month
MAIN TAKEAWAY Depending on your business model, once you build up a solid stream of organic traffic you can likely start reducing your ad spend.
Businesses usually will have two types of revenue: one-off sales and recurring. So, which one is more prevalent?
65.1% of businesses work off of one-off sales
34.9% of businesses work off recurring payments
CHALLENGES BUSINESS FACE
Biggest challenges you face when starting your business:
Lead generation 22.5%
Lack of funds 21.1%
Converting leads to customers 18.5%
Biggest challenges you currently face:
Converting leads to customers 27.4%
Lead generation 18.3%
MAIN TAKEAWAY Set up automated email sequences that guide leads toward a purchase once they enter your funnel.
1 Focus on organic traffic Despite all the different paid channels available to you, organic traffic is still how most businesses bring prospects to their websites and landing pages. Focus on building these channels early and you’ll be rewarded later on.
2 Want more leads? Create more lead magnets It’s clear that the primary way businesses generate leads is through lead magnets, and most businesses have more than one.
3 You don’t need a large advertising budget. Most businesses we surveyed don’t spend a lot on online advertising. So don’t be discouraged if you don’t have a large advertising budget.
4 Build your lead generation system early. This is the biggest challenge for new businesses, so if you’re just starting out make sure you have a lead generation plan. Your best bet is to create one or two high-value lead magnets and dedicate your time and money to promoting those.
5 Make sure you have a way to nurture leads after they enter your funnel. Once you establish a way to consistently generate leads you need a strategy to convert them into customers. An automated email marketing campaign is a great solution, as it keeps leads engaged, provides value, and educates them on your brand.