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Six Elements for Effective Landing Pages

By Greg Howlett.

MarketingExperiments just released a new research brief discussing how to make landing pages more successful.  As always, their conclusions are very relevant to online retailers and other companies who are trying to generate an action from their visitors.

A key part of the study involved trying to determine whether long copy or short copy performed better when the desired action was a simple email capture.  As it turns out, the short copy was more successful.

In the past, many studies have shown that long copy is more effective in certain situations.  However, MarketingExperiments believes that there are four factors that should influence your decision about whether to use long or short copy–the cost of what you are selling, the perceived risk, the commitment level, and the motivation.

In other words, if you are selling a high priced product, asking for a lot of personal information, requiring a time commitment, or using logic as your selling strategy, use long copy.  On the other hand, if you are giving away something for free without commitment and selling with emotion, use short copy.

MarketingExperiments identifies six elements that affect the performance of landing pages:

1) Friction – how much work the visitor has to do (this includes the reading)

2) Incentives – extras that are thrown in to sweeten the deal

3) Visitor motivation – how much they want what you have

4) Value proposition – the perception visitors have of you and what you are selling

5) Anxiety – the perceived risk to the visitor

6) Credibility – how well you convey trustworthiness

To increase site conversion, you should focus on these elements.  It is important to understand that few changes will in themselves make dramatic differences.  My company tripled our conversion rate over the past year, but we did it with a huge number of very minor changes.  Even very modest improvements in these six areas can cumulatively add up to a significant increase. 

While studies such as this one provide valuable information to online marketers, they can at best provide useful guidelines to begin your own research.  If you sell online, it is imperative that you develop a platform to do your own research.  The simplest way to do this is to use split A/B testing.  This involves splitting traffic randomly between two pages that are identical except for the factor that is being tested.  A split A/B test will quickly give you answers about how you should be marketing, and is very simple to implement.

Having launched two multi-million dollar online companies, Greg Howlett has been working in the trenches of internet marketing for over eight years.  He currently is the President/CEO of Vitabase, a leading health supplement company, selling hundreds of products under the Vitabase label.

Four Things to Consider Before Advertising on User-Generated Content Sites

By Greg Howlett.

A recent study from BlueLithium suggests that online retailers can find advertising bargains on Web 2.0 sites that feature user generated content.  While this initially seems like good news, there are additional factors that retailers should consider before jumping on the Web 2.0 bandwagon.

The study compared the cost per conversion between three different groups of sites—user generated content (UGC) sites, non-user generated content (non-UGC) sites, and highly authoritative editorial sites.  Both the non-UGC and authoritative sites had significantly higher click through rates and conversion rates than the UGC sites.  However, when factoring in the ad cost, the UGC sites had a lower cost per click and cost per conversion.

So how is this information relevant to your business?  Just as importantly, what information is not found in this study that you need to know before making advertising decisions about Web 2.0 advertising?  Here are a few thoughts.

  1. Trust is an issue on UGC sites.  Not surprisingly, the authoritative sites generated the highest click through and conversion rates, and were followed by the non-UGC sites.  UGC sites were way behind in these two areas.  This is a clear signal that visitors do not hold UGC sites at the same level of trust as other sites.
  2. UGC sites will only remain an advertising bargain as long as their ad rates are lower than rates on non-UGC sites.  Today, the vast majority of UGC sites have few options for selling advertising, but in the future, it is feasible that even small blogs will have the ability to get much higher ad rates.  If that happens, today’s opportunity may disappear.
  3. This study gives no insight on the “social buzz” phenomenon.  Viral marketing, paying for user generated content, and similar strategies were not addressed.  However, most experts believe that these strategies are where the real advertising opportunities exist with Web 2.0 sites.
  4. The easiest way to advertise on UGC sites is AdWords.  However, few advertisers seem to be able to make this work.  In fact, since Google started allowing advertisers to bid differently for AdSense websites, those bids are dropped drastically and many advertisers refuse to bid for placement on those sites at all.  Going directly to UGC sites to buy advertising does result in lower ad rates.  However, because UGC sites tend to be low traffic, putting together a large campaign is normally too time-intensive to be feasible.

If you choose to advertise on UGC sites with traditional advertising units such as banners or text ads, make sure you are getting as good a deal as you think you are.  It is quite possible that cheap ad rates are being offset by a low click through rate or conversion rate.  As with all advertising, good reporting is critical to identifying problems.

On the other hand, using UGC sites to create social buzz for your product line could be very cost effective and could even lead to dramatic results.  In my opinion, this is the better Web 2.0 alternative for most retailers.

Having launched two multi-million dollar online companies, Greg Howlett has been working in the trenches of internet marketing for over eight years.  He currently is the President/CEO of Vitabase, a leading health supplement company, selling hundreds of products under the Vitabase label.

Strategies for Corporate Social Media Management

Having helped Hitachi develop its social media plan, Jeremiah Owyang is now with PodTech and helping other corporations set up social media strategies.

He recently gave a presentation to Intel and has shared some of that advice on his blog. You’ll find many great ideas and suggestions, including…

  • Recognize the new influencers. Like Media, Press, and Analysts, consider Social Media in your industry as yet an additional influence group to reach.
  • Prepare for all scenarios. Create an internal process or at least discuss how to deal with crises. (such as exploding products, embarrassing situations). Draw from classic PR strategies, but realize that acting quickly in a human way, and not hiding is key.

Book Review: How to Win Sales & Influence Spiders

It seems that some internet marketers have been with us for eons – sharing their wisdom and helping others to improve their marketing practices. They have staying power – and name recognition – because of their ability to explain complex strategies and their commitment in keeping up to date with the latest trends.

One such “legend” is Catherine “Cat” Seda, and she’s back with a brand new book “How to Win Sales & Influence Spiders (aff).” Cat was kind enough to send me a copy of the book, and I’ve been spending some time reading it.

I must admit, knowing Cat, and seeing the title, I expected the book to focus fully on search engine marketing, but it was a refreshing surprise to discover that Cat actually covers just about every aspect of internet marketing there is!

102 Blogging Tips

Solomon Rothman has put together a quick list of tips to consider when blogging. The list has 102 items, but I noticed a few “fluffy” ones that looked like they were thrown in to get the list to 102. ;-)

Here’s the first ten…

  1. Make sure a new visitor can discern the who, what, where and why of your blog within three seconds
  2. Write original content
  3. Make your posts scan-able
  4. Use pictures and other visual content
  5. Use a custom theme
  6. Have easy and multiple subscribe options
  7. Include blog author information
  8. Don’t use too many categories
  9. Reference old posts and topic history
  10. Use spell check

Despite that, it’s a great list and won’t take you more than 10 minutes to read. Feel free to share any that made you go “doh, why didn’t I think of that before.”

Break into the “A-list” (Whether It Exists or Not)

So, unsurprisingly, Jason Calacanis has once again inflamed some bloggers by stating that there’s no such thing as “A-list” bloggers:

Give me a break… there is no A-List in blogging. Just people who’ve been blogging longer than others and who are smarter or better writers–or all of those things.

I think there are a lot of folks who think because they re-blog a couple of stories a day for a couple of weeks, and they don’t go anywhere in terms of traffic, that they are being “held back’ by the A list. That’s BS… those folks are basically the losers who think that their success in blogging is based on other people.

Kinda reminds me of how hard it is for new sites to rank well against really well established ones. I don’t think that search engines or the blogosphere are a perfect “meritocracy.” The bloggers and websites that deserve the most attention, for quality writing or awesome products and services, don’t always get it.

Granted, much of the A-list has worked very hard to get where they are today. It remains to be seen whether the same amount of work today could achieve the same results. But if you’re up to it, Calacanis and others offer 20 tips (okay, there’s some overlap) on how to get into the (nonexistant) A-list.

Give Away the Milk: People Still Buy the Cow

Forget what your mother told you: start giving away the milk for free, and some people will still buy the cow. (If this were about video, I’d say, “Give the milk away, and make tons more money than you could from selling the milk by slapping some ads on the cow.” Anyway…)

Everyone’s sweetheart, Linden Lab, creators of Second Life, is the featured case study for MarketingSherpa (free access until Wednesday, so hurry if you want to read it!). The study details how Linden Lab’s use of a hybrid “freemium” content model actually improved their paid subscription rate.

Did you sign up for Second Life before September 2005? Way back then, a basic lifetime membership was $9.95. Premium memberships, which enable you to own land in the virtual world, started at $10/month. Linden experimented with their sign up procedure to see what would happen if they eliminated the $9.95 basic membership fee.