Entrepreneurs need internet marketing
This article summarizes 3 articles from the years 2011 to 2015 plus additional 2024 information.
Free Download for Startups
For all startups who are wondering how much internet marketing is appropriate when starting a business, I have compiled the information already available on the blog.
The key points from the panel discussion for startups and the workshop for startups have been summarized.
Startups: How Much Internet Marketing Does a Startup Need?
The Office for Economic Development of the City of Schorndorf recently invited me to the panel discussion "How Much Internet Marketing Does a Startup Need?"
I was very pleased to receive the invitation, where I had the opportunity to speak alongside 4 colleagues.
In summary (and due to various inquiries), I am compiling a series for startups here that addresses the key questions of the evening. Additionally, in my 105PROZENT concept, targeted training and seminars are offered, which teach what small businesses or medium-sized companies can do themselves to be optimally represented on the web (a very good complement to an internet professional).
Part 1 deals with the questions:
- What is internet marketing and what can I achieve with it (vs. traditional advertising)?
- Do startups need the internet?
- What importance should the website have and how should it be used?
What is Internet Marketing?
Traditionally, internet marketing refers to all marketing activities carried out with the help of the internet, such as search engine marketing, email marketing, banner advertising, social marketing/viral marketing, guerrilla marketing, affiliate marketing, etc.
SEYBOLD understands it as all accompanying measures necessary to differentiate from competitors. Accordingly, the measures can be comprehensive, covering everything from concept to topic development for the website, its optimization, and even offline topics (e.g., promotional mailings).
What Do I Achieve with It?
1. For 80% of information seekers, the search engine is the starting point.
2. The targeted first contact usually comes through websites.
3. 95% of website visits are concentrated on 1% of the websites. This means: Only optimized sites have a chance of being found.
4. 9 out of 10 companies with websites do not have optimized websites - Huge potential for startups to "jump ahead."
The internet offers many opportunities, but also dangers. While presenting your own products and services on the internet is relatively easy to do, your competitor is only a click away.
The days of a simple business card on the web are long gone. The DE top-level domain is the second most common TLD worldwide. The key is to differentiate from others – this can already be achieved with simple means.
Internet Marketing vs. Traditional Print Advertising:
Internet marketing offers the ability to target a specific audience, ideally without any wasted reach (it is possible to place regionally or nationally targeted ads in search engines and optimize your presence).
Traditional advertising (e.g., newspaper inserts) must be extremely flashy and aggressive today if it wants to reach more than just a fraction of the audience. The same goes for advertisements.
Does a Startup Need a Website?
Yes and No.
It always depends on the target customer group and how best to reach them. A market stall selling agricultural products does not initially need a website to get started. However, depending on the business goals (special organic products? Aiming to establish a niche product beyond the local region?), an online presence may become interesting.
A service provider specializing in the repair of expensive CNC machines, for example, has very good opportunities to inform online, optimize their pages for various keywords, and place paid ads in search engines (e.g., Google).
The following is important:
1. The online presence must be meaningful, consistently structured, and follow clear lines (no pixelated images, appropriate formats (e.g., no text as jpg), etc.).
2. Do not rely on the son of a colleague or something similar. He might create nice pictures (perhaps even an appealing online presence), but he is not capable of developing a comprehensive concept. In some cases, a purchased design can be helpful until "something better comes along." Ready-made designs are available from 0 Euros, for example, here.
3. "If I have nothing new to say, then it's better to say nothing at all!"
How Should the Website Be Properly Used?
This depends on the target audience you want to reach.
For some businesses, it is initially sufficient to have an online business card, so people can find out the opening hours or select the appropriate contact person.
Even for a baker or butcher, a website can be useful and profitable (daily menu information, catering service, bakery tours, etc.).
Even for services that require extensive consultation, this can be a first step that is then expanded and enriched with background information that, at best, also gives a sense of how the company operates.
A website must offer added value, something that other companies do not provide. This can be information on relevant topics that are collected (e.g., in a blog) to customer-retaining processes that are mapped to the internet (e.g., virtual insight into the status of a repair; Order tracking via the internet; calculators for specific tasks (e.g., financing of heating oil), etc.).
This presence is then supported by advertising, e.g., via social marketing in forums and on appropriate platforms (Dooyoo, Ciao, StumbleUpon, Mr. Wong, videos on YouTube, etc.). These measures are necessary to maintain a top position on Google and similar platforms. Only those who are found have a chance to recoup their investment.
What Importance Does the Website Have in the Overall Marketing of My Startup?
With an online presence, the startup has the simplest way to get in touch with customers and present itself. But an online presence needs to be maintained – this can be a significant task, but by using appropriate tools (SEYBOLD has developed a simple-to-administer CMS, for example, that already includes many features to keep a website always up-to-date – whether it be automatically updating trade fair dates from an ever-current trade fair calendar, rotating featured articles, or other things).
So: The effort can be minimal, but it must be followed through. It is better to achieve a small success with limited resources (e.g., 50-100 Euros per month on Google AdWords) than to do nothing.
The creation of a website is just the beginning of the internet marketing adventure. What follows is maintenance, updates, optimization, ad placement, social marketing, etc.
Which Industries and Products Are Suitable for Internet Marketing?
This is dependent on the target audience and the added value that I am willing to offer a customer.
In principle, every industry, product, and offer is suitable.
Even the so-called "best agers" are well represented (50% of those over 50 use the internet). The internet is ideal for initial information gathering: The customer can browse around first without immediately being bombarded by "overly eager salespeople."
It is important to know your target audience and understand why they should be interested in your offer…
Exclusive Distribution: Yes or No?
Many online shops struggle because no customers place orders. This is usually due to mistakes made in key areas, which leave the customer with a "bad feeling." However, most online shops do not fail because too few customers visit them, but because the operator is overwhelmed with the requests. An example of a company that succeeded: myMuesli.com was so successful that orders had a lead time of up to 6 weeks. These challenges need to be managed (myMuesli managed to do so).
Before installing an expensive online shop (even seemingly free open-source software still requires a few thousand Euros to adapt to the necessary technical and legal requirements of German shipping providers. An example of a recently installed online shop by SEYBOLD is the new shop by Fuchstaschen - a young designer from Stuttgart), other platforms can be used, such as eBay.
The "City Scooter" supplier Hudora does not appear on the first 10 result pages for the corresponding Google search query. However, there are many eBay listings and other shops that do.
Here, the favorable placement of eBay in search engines can be leveraged to present your own offer before (or in parallel) launching your own shop.
Many companies in Germany shy away from investing in online shops, not because of the price, but because of the legal situation (e.g., the right of withdrawal allows returns without a reason within 14 days; in Finland, this also applies to personalized products (e.g., engraved pens), and in Spain, the refund amount doubles if not paid out within 30 days). These are all things that need to be considered.
Besides eBay, other platforms where products can be sold (and presented cheaply) include Etsy.com.
With your own shop, you should also consider affiliate marketing. Why not give away a percentage of the purchase price if it means your banner ad will be widely displayed?
What Costs Are Associated with a Website?
Investment in the internet should not be a "OK, we're in" investment just "because it has to be," but should be an active part of the marketing concept. Otherwise, it is not possible to achieve a return on investment.
A ready-made website can be purchased for little money – but this does not provide any benefit, and the operator has not recognized the opportunities and possibilities of the website. Worse still:Websites created with so-called drag-and-drop builders are an absolute no-go. Everyone can tell from afar that the website was built with a drag-and-drop builder. It's better to buy a cheap website template that doesn't look "off-the-shelf."
Investment in a web concept can start at 1,000 – 2,000 Euros but is usually in the range of 3,000 – 10,000 Euros.
At a minimum, quarterly evaluations of log files should be conducted (possibly as a simple variant with "Google Analytics" or specifically using server logs. Page-tagging evaluations can also be obtained from SEYBOLD).
SEYBOLD can provide each customer with about 20% of the information they do not already know. These could be, for example, interested parties.
(Example: SEYBOLD reports to a managed company every quarter about 20% – 40% of new prospects that can be used for sales and would otherwise not be discovered without analysis). Or SEYBOLD shows the customer which search terms a prospect uses on Yahoo and then extensively studies the company's online presence: SEYBOLD points out which measures and opportunities exist to generate profit from the investment in a website.
Such an evaluation ranges from 0 Euros to around 500 Euros per quarter.
Advertising measures, e.g., with Google Ads, can range from 50 – 150 Euros per month and can give you a small edge over the competition. Continuous optimization is necessary.
Every few years, search engine optimization should be carried out. Depending on the topic, it can take 1 – 6 months to reach the top of Google. For example, it is much more difficult to reach the top position for the term "online poker" than for the search query "heating oil Schorndorf."
Interesting: The topic of Analyze-Optimize-Advertise is a topic that interests many companies, but they shy away from the high costs of specialists (an SEO professional can be hired for as little as 500 Euros, if they are not particularly good. Extreme top SEOs can cost up to 15,000 Euros per day). SEYBOLD has developed the 105PROZENT concept, a seminar series aimed specifically at small and medium-sized businesses that want to extract some information from their web presence and are also willing to carry out part of the work themselves. For more difficult cases, the specialist can be brought in.
What Do You Need Right Away and What Can Be Added Later?
First, an online presence should be professionally designed and installed together with a CMS (Content Management System). It should be a simple system, as smaller changes should be maintained by the user without having to learn a complicated system each time.
There are numerous systems available (including open-source: Open-source is probably a Swabian invention and means "free of charge"), but some come with significant security risks (SEYBOLD has identified a security flaw in a CMS from a competitor that allows the web presence to be misused for spamming from Russian servers. We informed the manufacturer before Heise published the report). So be careful!
Either choose a widely-used system (regular security updates, often cumbersome to use) or an optimized system tailored to the company (such as freshCMS-lowcarb from SEYBOLD, which is customized to the client's needs so that the necessary information is accessible – and always expandable).
Additional modules, such as a shop, online ticket system, etc., can be installed and integrated later. The important thing is to think about these possibilities when setting up the system.
Search Engine Optimization and Web Analysis are an Absolute Must:
At least Google Analytics, at least Google AdWords!
How to Find the Right Service Provider?
First, consider why a customer should choose you as a service provider or your product.
With this information, you have the foundation for setting goals for your online presence.
Inform yourself (e.g., from the book "Company Presentation on the Internet" by Ralf Seybold with an accompanying online blog for further topics) independently of which options are available and familiarize yourself with the terminology/matter.
Hire a trusted agency to create and implement a concept.
If the budget for a comprehensive presence is not sufficient, then at least have an online business card with the most important information for the customer, possibly with a reference to the eBay shop, etc.
Important in Collaboration: The chemistry must be right. The service provider must have an understanding of your business and be able to highlight individual distinguishing features from the competition.
Compare offers, possibly with the table of hourly rates from my book "Company Presentation on the Internet".
Choose the offer that suits you best.
Who Can I Contact? Who Can Help Me Find the Right Service Provider?
You can find a provider through the internet (enter search terms), through other websites (whose concept and design you like), through the Yellow Pages, through the Federation of Self-employed (or similar associations), the Chamber of Commerce, or through events or blogs like the one you're reading right now.
What Can Be Done Yourself and Where Is a Professional More Useful?
Many things, including search engine optimization, can be done by yourself. For example, the websites can already be prepared (integrating your own search terms, etc.). In my blog, I have summarized some helpful points - and of course, there is the 105PROZENT concept, seminars for companies.
Of course, it is also important to master the terminology/vocabulary – and then, in case of doubt, you should simply ask your chosen service provider what you can do yourself…
BEST-PRACTICES, WORST-PRACTICES
The attached PDF summarizes some points that show what other companies have to say. These companies all work with freshCMS-lowcarb from SEYBOLD "in different flavors." The appearances also vary in different price ranges.
Most Common Problems
The most common problem is that the online presence is seen as a necessary "evil." "You just need it." If this is the case, there is no reasonable budget for the site, and the willingness to maintain the website to generate business from it seems to be lacking.
Trends
The online advertising market continues to grow rapidly, and more and more companies are investing in digital advertising. In the US, the online advertising market is now not only larger than the print advertising market, but it has also surpassed other traditional media like TV. A similar trend is seen in Germany, where spending on digital advertising significantly exceeds budgets for print media. Traditional magazines and media companies must increasingly focus on digital platforms and multimedia content to remain competitive.
Search engine results are increasingly enriched with visual and interactive content such as videos, images, and infographics. Video marketing on platforms like YouTube, TikTok, and Instagram Reels is becoming increasingly important. Companies that adopt this form of content strategy can increase their visibility and build a closer connection with their target audience. Additionally, artificial intelligence is playing an increasing role.
If you have any further questions, feel free to contact me.
