Internet Campain- lower or higher cost?

Some corporations use internet to launch marketing campaigns, as beautiful as ancient TV Ads. The beauty means low cost, high efficiency, including brand package and ROI. But in general, the coming of internet doesn’t decrease the marketing cost, but increase it.

Using internet to launch market, in essence, is to look internet as a media- new media. But to media itself, it is different from normal economics and the economic rules for normal merchandise:  niche market provides large amount of supplement, which will not decrease the price, but increase it. With more and more website appear,- according to the market research in July. 2009 from CNNIC, there’re more than 3 million websites are running, which even are not include billions dependant blog sites- behind such supplement, audiences for business organizations are becoming are blew away, so that these websites have to devote more resources to win attraction. This is why the ads cost are increasing every year in global environment. It is said, it was increased by 6% aside for inflection.

Marketing planner in this way figured out some innovations to reduce “ superficial cost”. The core of these innovations is to communicate among audience. We have some classic cases such as “block wang lao ji”.

The traditional ads actually are a continuous duplication action. Invest sum of money to make an advertisement, and to copy it continuously in different TV station. The more the copies sare, the more effective. But when speaking of the network videos, we can find the effect that 10 medias could reach before, can only achieved by 20 videos in the internet now. Beside, the costs are not lowered accordingly to the rate.

The nature of those creative ideas that can’t be duplicated result in leaving market quickly, only legend exists.

So great creative could make it possible to be a good campaign, but can’t stay that long and periodically.

So, internet is negative for corporations? Of course not, what I said is internet increase the marketing cost, rather than corporation cost.

This is because internet itself is low cost. Many free tools can be used like free media- IE, instant chatting, even some domains and emails for your corporation if without large scale. You don’t need to pay much money to start your business.

To make your audience know you, maybe need some investment. But to achieve attitude from audience, you don’t need to buy some printed medias. The information on the internet is also free, which doesn’t rely on the investment, but some labor force. But for labor force, to be realistic, you don’t need to invest.

More advantage for internet is that it doesn’t need to be stored up because it’s a niche market. This is from long tale theory. Storage is definitely a killer for movement of funds for many corporations: have to store, dare not to store too much. But as for me. It’s actually is “goods supplied by needs”. Internet helps to organize this supplyment, increase exchange rate, and decrease overstock of funds. 

More obvious advantage for internet is convenient to change the outlook, to suits the operation, especially for B2C market. According to internet statistic system, organization can see clearly which layout is more suitable for selling- so called “rate of conversion”. Some cosmestic website just changes the comment from separated comment page into the middle place for a usual goods page (right beneath the picture). What they imaged before clearly become a right thing, which is rate of conversion were increased several percentage.

Nowadays, people survive in digital life, for corporations which rely on public to survive of course should live in digital life. But digital survive doesn’t only take digital as a tool, because survive is a conscious, is a habit, is a metabolism in all-dimensional.

 

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