Attracting new customers: Who wins - Inbound marketing Vs. Outbound marketing?
Updated: Mar 18, 2020
Attracting new customers is the biggest challenge facing most of us. There’s more ways than ever to reach potential customers - social, emails, blogs, post. Though it’s the type of marketing that means win or loose.
In this 3 minute read we explain what inbound & outbound marketing means, the facts, along with positives and negatives of each and the ultimate question answered... Where should you invest your time?
First up... What does inbound and outbound marketing mean?
Marketing that is designed to make consumers engage with your business, not the other way round. By producing information that’s specific and of interest to certain people, they engage with it and are more likely to follow your business. This blog post for example is classed as inbound marketing.
This works in reverse and is what we’d call classic marketing. A mass market message, a letter in the post, a random email that we all delete. The ‘spray and pray’ approach. By producing information & sending it to the masses, the hope is a certain percentage must want the offering!?
"Inbound marketing is about attracting customers towards you. Outbound marketing is about heading out to the masses hoping for a reply."
You can see where we’re going with this…
Whether your product is business to consumer (B2C) or business to business (B2B), people are searching for information specific to their challenge or lifestyle.
Understanding your target demographic in as much detail is vital. By industry, by age group, by country. It’s one thing to produce marketing material, it’s another thing to find people who actually want to look at it.
"You must deeply understand your target market to gain the best chance of them taking interest."
What do the facts say?
We’ve carried out research to find the real facts, here are the stand outs:
1 - Per dollar spent, inbound marketing generates 3 x as many leads compared to outbound
2 - Inbound marketing costs 62% less than outbound
3 - 91% of people have unsubscribed from an email they previously opted into
Positives and negatives of inbound & outbound.
Much cheaper to produce marketing material - usually digital
The R.O.I (return on investment) is much higher compared to outbound
Once engaged, customers remain interested for longer. They made the first move
Time and effort is required to think deep & relate to your specific audiences
Initial research of your target market could be costly - focus on the vital information
It's a longer process to get results
Quickest way to get your name out there - (this doesn't mean people take notice)
Production of marketing material is faster & results are instant
You can reach the mass market
More costly to produce marketing materials
Much lower R.O.I, requiring a huge audience for any sort of engagement
It can be annoying! How many junk mail letters or sales emails do you actually read?
"R.O.I for inbound is much higher, though effort is required. Outbound is a faster approach, though R.O.I will be lower."
The winner has to be… Inbound marketing!
Yes it’s harder, more time consuming and requires more effort upfront to understand your audience, though it certainly pays off in the long run.
Our team are ready to help you with this challenge. We will find your target markets, by customer type or by industry, show you what they are looking for and work with you to create great marketing that makes them take interest in you. Our contact details are below.
The most important part - put the effort in to understand your audience first & know where they're located. Then make your content relevant & easy to access. Then keep them engaged and part of your company with consistent & relevant inbound marketing.
Shay Doran - Founder at SJ Global