Majority of SMBs (small businesses) believe digital marketing (DM) is crucial for their businesses. Can you beat that? A simple “No”. The modern world is increasingly driven by digital media. We are constantly hooked to the Internet for something or the other. Such a digitally-influenced space makes a digital presence more than compulsory for every business to reach the customers. Boosting sales figures is the prime goal for SMEs taking to DM today. Added to it, SMEs are also counting on online marketing for enhancing brand awareness, lead conversion, and improvement of website traffic.

There are 4 significant benefits of digital marketing for small businesses.

Customers are online

80% of potential consumers take to online media for information. When we come across a new business or company, the immediate reflex is to search for digital marketing in the web world. Gone are the days when we used to visit a store physically or call it up to know about it. Thus, it’s extremely crucial for a small business to have a strong presence online and digital marketing is the tool for it. Put simply, if your potential customer can’t find you online, she will immediately go to your competitor.

To connect to the modern “smart” world

Mobile phones are no longer used for mere calling or texting. In fact, smartphones are one of the most important tools to browse the web world today. 91% American adults are in constant touch with their smartphones. When it comes to searching for a product or service, they will naturally prefer to make queries from their smartphone only. If your business is not present online, just imagine the huge chunk of potential leads you are going to lose!

More economical

Capital crisis is a major problem for most of the small businesses. And this is where digital marketing comes as a savior. Online marketing is any day cheaper compared to traditional marketing. In fact, some of the channels are even free of cost. For example, it costs you nothing to make your business page on social media and stay connected to your customers online.

Digital marketing also helps you to save money. There are many online marketing tools that are available for free like free website builder, free email marketing management tools and so on.

Better ROI

On one hand, DM helps you to reach your customers while keeping the costs low. On another hand, it helps you to save money for your business. The end result is better ROI for your business over time.

Should I use inbound or outbound marketing? Where do you find that balance between outbound and inbound marketing to maximize and grow the flow of leads? What should you consider when concocting a synergic marketing mix to include both? To answer all these questions, let’s start by understanding each of the marketing techniques, its strengths and weaknesses.

What is Outbound Marketing?

Outbound marketing can be simply described as a straightforward business exchange proposition. “Hey there, want to buy my thing?” is your basic message and approach of outbound marketing. It’s the oldest and most fundamental part of any marketing strategy, and is also what non-marketers assume marketing is all about.

Examples of outbound marketing include telemarketing (“cold calls”), paid mailings (both electronic and “snail mail”), advertising (banner ads, radio ads, billboards, etc.) and even door-to-door sales. It’s all about reaching out and pulling the prospect in.

Strengths of Outbound Marketing
Not only is it the older and better polished set of techniques, outbound marketing generates sales leads almost immediately. It goes beyond saying that it’s no magic wand, but when it comes to “sealing the deal”, your go-to tools are those in your outbound toolbelt.

• Easier to measure ROI
• Quicker to show impact
• Potentially Personalized

Weaknesses of Outbound Marketing
Many businesses and brands love outbound marketing for its quick and easily measured results. However, they equally hate the cost and too often the reaction of the target audience, which can easily manufacture a negative sentiment toward the brand.

• Intrusive
• Expensive
• Ineffective on its own

What is Inbound Marketing?

In short, the idea of inbound marketing is to create a pull effect to bring in pre-qualified leads instead of pushing intrusive messages.

Inbound marketing activities include opt-in email marketing, content production and promotion, social media, and search engine optimization efforts (SEO), among other things.

Using this method, a type of funnel is created with leads coming in at the top of the funnel (TOFU) and being “nurtured” down the funnel with marketing messages tailored to the stage that the lead is in until they are “ready” to be approached with a message directed to start the purchasing process.

Strengths of Inbound Marketing
Though it existed long before social media and even online sales, the inbound methodology has taken over digital advertising by storm in the past decade. With growing banner blindness, do-not-call lists and the rising cost of users’ attention, it’s no wonder so many brands and businesses include inbound marketing in their strategies.

• Cost-effective
• Unintrusive
• Broad

Weaknesses of Inbound Marketing
For B2B marketers, it’s often hard to explain the value of inbound marketing to executives who just want to see those leads flowing in and converting. It’s no longer a new approach and methodology, and yet there are reasons brands sometimes hesitate to prioritize inbound marketing activities.

• Slow to show results
• Harder to measure
• Impersonal

Brewing Your Marketing Mix
Let’s go back to the question we started with: which should you be using – inbound or outbound? Understanding the strengths and weaknesses of each, you can see why both are necessary ingredients in your marketing mix. But how much of each, and when?

A number of variables affect the inbound to outbound ratio of every brand, product, campaign, and even specific transaction. The impact of some might be less than of others, depending on your unique business and product.

• Deal Size
• Product Type
• Funnel Stages

The Marketing Mix and Match
Combining inbound methodologies and outbound marketing techniques in your marketing mix is not always easy, but is usually worth it. By defining the correct balance between the pull techniques of inbound and the push techniques of outbound, you can combine both to create an optimized lead nurturing and conversion process. It all depends on how well you know your target audience, and how willing you are to make the effort to cater to their needs along the journey down the funnel.