How to achieve marketing nirvana

Business who blend brand and demand marketing will ultimately achieve far better results.

Research by the Institute of Practitioners in Advertising shows that the optimal balance of brand and lead generation marketing is a 60% branding/40% direct response split, in digital and traditional marketing.

“If your ratio is skewed too much one way or the other, you’re going to get suboptimal results,” the IPA says. “If you just have brand marketing without lead generation, you can’t move potential customers through the sales funnel. They may know your brand, but they’re not actually connected with your company. You can’t drive sales if there are no leads to convert.”

Brand marketing works on a very different timeline to lead generation marketing. And while it takes longer to develop, it’s a strategy that yields better returns for businesses in the long run.

Ten years ago only 47 per cent of marketing funds were allocated to lead generation, according to LinkedIn Marketing Solutions. Fast forward to 2019 and that number has increased to 72 per cent.

Lead generation marketers’ ability to show a short-term sales gain means they are more successful. But the IPA study found that while these direct response efforts produced quick hits they became less effective over time. Comparatively, the fruits of a successful branding campaign were still going strong long after lead generation marketing had dropped off.

LinkedIn Marketing Solutions says businesses should have the patience to stick around for the long term.

“The war on brand isn’t a war worth fighting,” LinkedIn Marketing Solutions says. “Remember that it’s not a competition. You all have the same goal and you all play a role in reaching that goal. So negotiate a truce, with a 60/40 split of the budget between branding and lead generation. Don’t just focus on short-term successes, think about your long-term goals.”

LinkedIn Marketing Solutions worked with a credit card company to see what would happen if it synchronised brand and demand.

They started with a direct response-only campaign which achieved a 0.2 per cent conversion rate. But when the campaign was paired with brand and demand they recorded a 1.2 per cent conversion rate – a substantial increase.

So negotiate a truce with the 60:40 rule to achieve maximum effectiveness.

The Marketing Room Welcomes Jane Jones

Jones is one of Perth’s most experienced and highly respected communications and marketing professionals.

With a career spanning 20 years in senior client and agency roles including National Marketing Manager at iiNet, Marketing Manager at Celebrate WA, Group Business Director at 303 and more recently as Director of Client Services at Block Branding, Jane’s commercial focus and ability to build relationships is a welcome addition to The Marketing Room.

The Marketing Room’s MD Tahnee Sharp is excited to have Jane join the growing team. “Our people are our business. We are committed to offering our clients access to the brightest marketing minds Perth has to offer, but in a way that works for our team. All of our people are extremely experienced and credentialed but are now seeking a work life balance which is what The Marketing Room offers.”

“It’s such an exciting time to be joining The Marketing Room. Their business model is simple and compelling, for both clients and employees. And their passion for getting women back into the workforce is something that really connected with me. The growth Tahnee and TMR have seen in such a short time is testament to this. I can’t wait to immerse myself in their broad range of clients and make a real difference.” Said Jones.

The Marketing Room provides clients with their own in-house outsourced Marketing Manager. Due to continuing growth, they are always looking for experienced Marketers looking for a part-time role. Reach out to Tahnee Sharp tahnee@themarketingroom.com.au or visit https://themarketingroom.com.au/about-us/work-with-us/

We’d love to catch up to discuss how we can help your business grow.

Please complete the form and we will be in touch to arrange a convenient time.

  • Date Format: DD slash MM slash YYYY
  • This field is for validation purposes and should be left unchanged.

*Required field