The Inbound Marketing Explosion

THE INBOUND MARKETING EXPLOSION Marketing used to be about paying for your audience's attention and trying to lure them away from whatever they were doing before. But thanks to the web, the game has changed. Inbound marketing encompasses a number of tactics that attract customers by offering them useful, relevant information. Using inbound marketing, you can zero in on customers who are eager to buy what you sell. We explore just how widely inbound marketing has caught on and how businesses are finding success with it in 2012. INBOUND MARKETING BUDGETS BOOM The social web and ever-evolving technology have made inbound marketing one of the most sought-after tactics for businesses in 2012. How the average 2012 inbound marketing budget compares to last year's: Why companies are increasing their inbound marketing budgets: 11% 11% Economy 17% Lower 47% 54% Change in management Higher Past success with inbound 18% No Change Other Inbound marketing has redefined the profession of marketing by creating entirely new skill sets and areas of focus. Marketers today spend their work time much differently than 10-20 years ago. 58% spend more than b HOURS PER WEEK on social media alone. 34% spend more than II HOURS PER WEEK on social media. It is because of this intense focus on inbound marketing and the results it can generate that the social media marketing industry is growing at 34 percent Compound Annual Growth Rate. Social Media Marketing Industry Size $5 Billion $3.1 BILLION $4 Billion $3 Billion $2 Billion $716 MILLION $1 Billion $0 2012 2014 (projected) 2009 2010 2011 2013 SMALL BUSINESSES ARE THE BIGGEST ADOPTERS OF INBOUND MARKETING On average, small businesses invest much more of their marketing budget into inbound marketing than large companies. Percent of 2012 Lead Generation Budget Invested In Inbound Marketing 43% SMALL BUSINESS (1-5 employees) LARGE BUSINESS (500+ employees) 21% Small businesses spread more of their marketing budgets across inbound marketing tactics than big businesses. Distribution Of Lead Generation Budget SMALL BUSINESS LARGE BUSINESS Outbound Marketing 18% 14% 11% 11% 11% 18% 7% 3% Social Media SEO Blogs Email Marketing Inbound Marketing 17% 11% 7% 9% 7% 5% 5% 5% Trade Shows Paid Search Direct Mail Telemarketing MORE LEADS FOR LESS One of the biggest advantages companies find in inbound marketing is that leads cost far less to acquire than they would with outbound strategies. Average Cost to Acquire a New Lead $500 $373 $400 $332 Outbound Marketing $300 $134 $143 S135 $200 Inbound Marketing $100 $0 2010 2011 2012 These leads are not only cheaper, but are also far more abundant. Here is a look at how success with inbound marketing channels affects lead generation. TARGETED LANDING PAGE CREATION FACEBOOK REACH Businesses with over 40 different landing pages generate 10 times more leads than those with only 1-5 landing pages. Businesses with over 1,000 Facebook fans generate 12 times more leads than those with 1-25 fans. 10 TIMES 12 TIMES TWITTER REACH BLOG SIZE B2C companies with over 1,000 followers on Twitter generate 10 times more leads than those with 1-5 fans. Businesses with over 200 total blog posts generate 3.5 times more leads than those with under 20 blog posts. 10 TIMES 3.5 TIMES Besides merely having more leads, inbound marketing strategies convert leads to customers at a much higher rate than outbound ones. Lead-to-Close Rate 15% 15% 4% 2% 7% SEO Direct Traffic Referrals Paid Search Social Media Outbound Marketing G+ SOURCES: BLOG.HUBSPOT.COM | MARKETINGCHARTS.COM I FARRELLKRAMER.COMI SOCIALMEDIAEXAMINER.COM I QUORA.COM gplus.com