Agency Owner
BUSINESS PLAN
SearchMarketMe, LLC
Corporate Headquarters 1495 NW Gilman Boulevard, Suite 12 Issaquah, WA 98027 866-326-5480 • 425-677-7839 www.searchmarketme.com
IMPORTANT This is a sample business plan that is intended purely as a starting point and basic template to assist prospective buyers of the SearchMarketMe business opportunity in developing their own business plan. Any statements are theoretical in nature and do not represent a guarantee of income. No income claims are being made in this document, or in any other company literature or statements. Recipients of this document may, and should, edit the document for their own personal situation. This document is solely for the purpose of examining a potential affiliation with SearchMarketMe, LLC. It is acknowledged by reader that information furnished in this business plan is in all respects confidential in nature, other than information that is in the public domain through other means, and that any disclosure or use of same by reader may cause serious harm or damage to SearchMarketMe, LLC.
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Dear Entrepreneur, I hope you find this business plan template helpful. It profiles a generic company (ABC Company), which is analogous to the business you would run as an Agency Owner. The plan is intended as a starting point toward investigating and understanding the unique strategic advantage the Online Marketing 2.0 System presents in the marketplace. The world is changing and marketing is evolving rapidly. Traditional media is on life-support while online ad spends in all categories are realizing blistering growth. Consumers are online more and use the web to find what they want more frequently. Meanwhile, fewer people respond to TV, radio and print in making buying decisions. This while growing numbers of consumers research goods and services online before purchasing. Businesses have to do more than just “be on the web” today, they have to be everywhere their customers go online. For many businesses though, targeting the most effective online marketing channels and coordinating them can be overwhelming. Many do something, few do it well and almost none do half of what they could. The industry is awash with sub-standard marketers peddling their software, product and “secret sauce.” On the other side of the equation, and I speak from experience, it is expensive to invest in staff, software and systems only to watch your best talent get recruited away and your costly tools become obsolete. Effective online marketing is complex and requires one ingredient more than any other –hard work. There is no way to sugar-coat it and nobody wants to hear it, especially potential clients, but it is the truth. Small and mid-sized businesses and B2B sales divisions, like everyone else, want the low-cost Mercedes. Our proven sales system forces them to confront what, deep down, they already know – systematic, coordinated, and repetitive hard work is the only way to get worthwhile results from online marketing. Adaptation of online marketing channels by these clients has accelerated through the recession. Certainly this is because of their need to drive sales, but also due to familiarity with the medium and recognition of the preferred value of inbound leads. The desire, and need, to reap the benefits of online marketing is present among these companies, while their knowledge of the best way to do so is limited. Even if they don’t know it. Many companies are delusional, thinking they are effective in online marketing when they are not. Once they sit down with an Agency Owner and see their report documenting where the company is showing up in 8% of the potential searches with targeted keywords, or mentioned in 5% of the industry blogs identified as being relevant.
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A multitude of vendors, channels and products, all claiming to be the best have clouded the landscape and left businesses jaded. SearchMarketMe (SM2) Agency Owners come to the rescue, incorporating every significant component of online marketing into the packages they provide clients. This is a truly unique feature compared to vendors who do SEO, or PPC or ad purchases. There just aren’t vendors in the marketplace acting as “agencies” and coordinating multiple channels like we do. Agency Owners become experts in structuring Online Marketing 2.0 Services via our training and support, benefiting from amazing software tools and help in building their team. Seldom offering their services a la carte, they opt to do it right and perform every component of the Online Marketing 2.0 System for every client. Our goal isn’t to just make you an “online marketer” though. We want you to be the owner of an Online Marketing 2.0 Agency where instead of doing everything yourself, you have a team of commissioned salespeople and contract-based fulfillment workers. The developers, writers and online marketing experts on our staff, as well as our network of other Agency Owners, are there to help you fill in the gaps. That is the end that justifies the means for us and the core of the SM2 business model. We want to build strong, vibrant Agency Owner businesses that outsource portions of their projects to us as they grow and expand. SM2 can be your project manager in getting fulfillment done. We’ll utilize other Agency Owners when possible, and when not, our internal staff can perform any and all aspects of the Online Marketing 2.0 System. Review of this plan is really just a starting point. It’s the first step in the due diligence process we ask every Agency Owner to go through. If you have ongoing interest after reading it, you will want to participate in a live webinar to see for yourself how our Online Marketing 2.0 System works. Then the next step is speaking with Agency Owners on our Evaluation Board about their businesses. Every prospective Agency Owner must interview with, and be recommended by, at least three Agency Owners on our Evaluation Board in order to be accepted. Is this the right business for you? Good question, and a tough one to answer even after reviewing this business plan. Instead, ask yourself if this is something you want to take a closer look at. If so, contact us to take the next step. Good luck with your analysis and please let us know if we can help you in any way. Sincerely yours,
Jenny Dibble President, SearchMarketMe
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Table of Contents Executive Overview Market Overview Online Marketing Trends Target Market Competition and Buying Patterns Company Summary SearchMarketMe Services Keyword Search Ranking Marketing Websites Paid Search Advertising Email Marketing Content Generation Link Strategy Marketing Strategy Business Development Marketing Packages Maintenance Agreements Pay-For-Performance Expansion Marketing Partners Fulfillment Personnel Technology Web Plan Summary Development Requirements Start-Up and Training Milestones Benchmarks Objectives Management Summary Start-up Funding
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Executive Overview Our firm, ABC Company (ABC), will provide a cutting edge collection of online marketing services to small and mid-sized companies, as well as larger B2B corporate sales divisions. We refer to our services as Online Marketing 2.0. ABC will grow a true “Agency,” rendering online marketing services in every significant channel, in a coordinated and comprehensive manner, while building internal teams of Marketing Partners and Fulfillment Personnel. Our firm will outperform corporate marketing professionals or typical online marketing vendors, exceeding the results that either could generate. ABC will expand operations quickly, allowing us to serve multiple clients and scale our company as we see fit. The Online Marketing 2.0 System is an elaborate and coordinated effort that generates exponential sales results for client companies of all sizes through a combination of: • • • • • •
Keyword Search Ranking Marketing Websites Paid Search Advertising Content Generation Email Marketing Link Strategy
We perform these services for every client. There are currently vendors in the marketplace that may perform one or two components of the Online Marketing 2.0 System. However, by coordinating multiple components through six different “channels,” the Online Marketing 2.0 System produces far greater results than traditional online marketers. ABC will target small and mid-sized businesses, as well as B2B sales divisions. We will use the Online Marketing 2.0 System for our own business development, and to support outbound sales efforts of commission-based Marketing Partners. We may eventually need assistance in project fulfillment as we expand operations. As an “Agency Owner” with SearchMarketMe (SM2), a national online marketing training, software and support organization, ABC will be trained in fulfillment of Online Marketing 2.0 Services. We can also use SM2 directly for facilitation of projects through their internal and contracted web developers, content writers, specialists, and administrators, as well as utilizing the SM2 Network of Agency Owners.
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Even as the economy and most companies are in contraction, online ad spends are on the rise as companies scramble for ways to sell more, while spending less. A recent McKinsey survey of marketing executives found that 55% were cutting expenditures on traditional media, specifically in order to increase funding for online efforts.
What is Online Marketing 2.0? The phrase “Web 2.0” has been popular for a few years. It references the next generation of internet use where blogs and social networks have created new levels of interaction between consumers and professionals. Online Marketing 2.0 is a phrase SearchMarketMe coined, referencing their unique system for utilizing blogs and social networks to create links to the Marketing Websites and pages we develop for clients. It’s a direct strategy to influence Keyword Search Ranking that through Content Creation displays the client as a knowledgeable, credible expert in their field of expertise. Online Marketing 2.0 is especially beneficial in creating multiple positive “messages” about the client company for secondary, company-specific searches by customers.
ABC develops, initiates and maintains professional online marketing campaigns with the revolutionary Online Marketing 2.0 System. It is the knowledge, tactics and strategies we apply through these six different “channels,” along with our cutting-edge software and the scalability of our organization, that allow us to dramatically increase sales revenue for ABC clients in a fast and cost-effective manner. Small and mid-sized companies, as well as larger corporations in the B2B sales arena, are fertile markets for ABC to be selling to. The competition is limited to vendors that operate in a few online marketing “channels.” Many of these vendors provide an inferior product or service, requiring that we concentrate on differentiating ourselves from them in our marketing efforts. Our clients pay us to create a tornado of activity that funnels into substantive leads and sales revenue: • Our target clients are chosen • Optimal keyword groups are selected with SM2 software • Marketing Websites are developed and optimized for keywords indicative of our target companies • Paid Search Advertising keywords are researched, ads developed and campaigns managed with the software tools provided by SM2 • Custom content utilizing our chosen keywords, written to be used in Marketing Websites, Email Marketing and Link Strategy • The whole process is refined and managed user activity tracking and analysis software for maximum lead flow
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Our clients need to see us as experts in advanced online marketing services and web-based lead development. The proficiency we display in getting new business through our web presence helps us impress our potential clients. In a real way, our own web presence is our “business card”. As an Agency Owner, ABC is partnered with SearchMarketMe, LLC (SM2) and provided all of its innovative and proprietary systems and software, as well as complete training and support in exchange for a one-time fee of $23,900. Additional costs are kept low because SM2 provides us with everything we need in the first year to run our business and we work from our home office. Overall revenue is enhanced through our relationship with SearchMarketMe. It allows us to expedite becoming proficient in rendering Online Marketing 2.0 Services and puts us in a position to generate revenue quickly. We get help in building a team of commissioned salespeople and contract-based fulfillment personnel. ABC is also able to outsource projects or portions of projects to SM2, and even be in a position to receive incremental sub-contracted business through the SM2 Network of Agency Owners. SearchMarketMe will help us present, negotiate and close larger contracts in exchange for the option to manage the project and a portion of the revenue. They also train commission based salespeople, or Marketing Partners, who can represent our services to companies and bring new business to us. In addition, ABC can send any two individuals we recruit on our own through SM2 business development training at no cost. ABC can also have two individuals, which we recruit ourselves, trained to do fulfillment work in any three Online Marketing 2.0 channels that SM2 trains on. As fellow Agency Owners secure new business, especially larger contracts, they can tap SM2’s bandwidth to complete them. As a Member of SearchMarketMe, ABC may have the ability to work on projects screened and managed by the company.
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Market Overview Companies are reducing traditional media advertising spending for newspapers, radio and television, while increasing their online media spending. In its forecast for online marketing over the next five years, Forrester Research expects annual online marketing expenditures to reach $55 billion annually in a “cannibalization of traditional media.” “Interactive marketing will near $55 billion and represent 21% of all marketing spend in 2014 as marketers shift dollars away from traditional media and toward search marketing, display advertising, email marketing, social media, and mobile marketing. This cannibalization of traditional media will bring about a decline in overall advertising budgets, death to obsolete agencies, a publisher awakening, and a new identity for Yahoo!.” Companies are shifting budget to interactive media and online marketing from traditional avenues for a number of reasons: •
Economic conditions. Companies want to affect sales now and online marketing is more effective than traditional channels and costs less per sale. Companies find that online marketing channels are less expensive and more measurable, with better direct response than traditional media.
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Interaction with customers. Customers today are empowered and want a customized, interactive brand experience beyond TV, radio and print.
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Online marketing is more familiar. The vast majority of business people in decision-making roles are familiar with the components of strategic online marketing campaigns, with the exception of social networks and blogging.
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Print media decline. Newspaper and magazine readership has plummeted as publishers fail to make money online. Advertisers are abandoning print and taking their business online with advertising revenue down 20% for Q1 2009 over Q1 2008.
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Proof that it works. Any doubts about online marketing “working” are long gone. The concern has shifted to how best to take advantage and use online marketing most effectively.
Forrester Research surveyed 204 marketing executives in 2009 from firms with more than 200 employees. Of those, 118 said they would increase online marketing spending and the following chart (figure 1) reflects how they would pay for it.
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Online Marketing Trends There is a proven shift in budget from traditional media toward online marketing. The world of marketing and how companies acquire new customers is changing dramatically and online marketing takes a larger portion of the marketing pie. There are a number of ramifications the Forrester Research report and other experts have identified: •
Overall budget amounts are declining, but online marketing investments are increasing. Budget is moving out of traditional media toward more efficient online marketing channels. Companies will need less money to accomplish their marketing objectives.
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Traditional advertising agencies are going by the wayside as they have difficulty transitioning from pushing out messages to nurturing customer connections. Agencies that lack data management, analytics, listening, social media interaction, and strategy expertise will die.
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Insights gained from online marketing programs are becoming key to business strategy.
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Experts expect Paid Search and Search Engine Optimization expenditures to increase 15% annually and reach $32 billion per year by 2014.
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Nearly two-thirds of all companies with online marketing executives spend budget to manage search programs through advanced tools or outsourced partners.
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85% of online consumers search the web at least weekly.
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New search engines selling their own or additional Google inventory further expands slots where advertisers can place keyword ads.
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Expansion among social media and innovation of the marketing associated with it is creating new opportunities.
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Social media is expected to see the greatest growth of any online marketing channel at 34% annually for at least the next five years. It is nearly certain that companies will expand spending in the channel to balance out the amount of time consumers are spending in social media. Spending on social media will top $3 billion by 2014.
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Companies want exposure to social media as it becomes an established part of the online marketing mix.
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Mobile remains one of the most anticipated, least adopted interactive channels in the mix. Over the next five years mobile marketing will see 27% annual growth.
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Target Market ABC helps clients reach and eventually exceed their sales goals by offering pragmatic and highly effective Online Marketing 2.0 Services: •
Consulting on website structure for Keyword Search Ranking
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Production of keyword specific content for Marketing Websites
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Development and management of Paid Search Ad campaigns
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Content Generation and Revision
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Management of trackable Email Marketing campaigns
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Link Strategy, corporate blogging and social networking tactics
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High-quality leads for clients
ABC focuses on supplying small and mid-sized businesses, B2B companies, sales divisions, Fortune 1000 companies, sales managers, and marketing departments with Online Marketing 2.0 Services to assist in reaching sales goals. The industry is full of poor performing vendors who tend to over-promise and under perform. Furthermore, most vendors work in only one or two areas and fail to get the exponential impact of working all the channels of the Online Marketing 2.0 System. ABC targets companies of all sizes especially small and mid-sized companies, as well as larger B2B sales divisions. ABC offers “Marketing Packages” of Online Marketing 2.0 Services designed for specific industry verticals. Small and Mid-Sized Businesses – These companies need help now. They have limited ad budget and are constantly looking for the next way to spur sales. There is no other source that will give them greater Return on Investment than our Online Marketing 2.0 System. The vast majority of consumers (estimates range from 60-90%) research purchases online first, then follow up with a phone call and/or location visit. If these companies can’t be found online they suffer. Conversely, minor investments generate results that have a huge impact, on a percentage basis, in the client company’s revenue. Marketing Departments – Companies want to sell more while spending less, and today they must do so with fewer staff members possessing the right skills to accomplish online marketing objectives. While most companies perform some level of online marketing activity, very few come close to doing all of them, or doing so effectively, even with an in-house marketing department. With these clients we will frequently, at least initially, offer select
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components of our Marketing Packages. Perhaps the client is comfortable with their Email Marketing and Paid Search Advertising, but wants our help in creating Marketing Websites, performing Keyword Search Ranking and Link Strategy. It is crucial to combine all the individual strategies to get optimal results, regardless of who does what. Sales Divisions – Literally every company in the world can benefit from our ability to use online marketing to drive interested buyers to their website, identify sales targets, gather contact information and determine if they are interested in the company’s product or service. According to Cahners Research, the average B2B sale is $82,741. In this niche, ABC targets companies with $50 million to $10 billion in annual sales. Businesses that market and sell a “high dollar” item to other businesses stand out as prospects because these companies spend a great deal of time and money on every “sale”. Companies are just beginning to learn how to use the Internet for targeted sales lead generation. The vast majority of companies are not using anything similar to our Online Marketing 2.0 System. Almost every company is a potential client as more and more recognize their need to utilize technological advances to increase sales and drive costs per lead down. They also want to empower salespeople to benefit from such advances. ABC stands to prosper as a market leader providing access to otherwise unavailable leads that provides a dramatic advantage to company clients and their sales process.
Competition and Buying Patterns Website Developers – have long created websites to be supposedly well received by search engines. The algorithms Google uses to rank web locations are intricate and confidential, but we know that the days of “tricking” search engines to increase rankings are long gone. Genuine content with targeted keywords and external inbound (non-reciprocal) links into the client website are required to increase rank. This requires proactive and repetitive attention in addition to quality development of Marketing Websites. Email marketing firms and products – are plentiful and function at different levels of effectiveness. Some do more damage than good by servicing multiple clients on the same servers and IP addresses, causing decreased deliverability. They are fine charging customers to send endless emails to junk folders. An Agency Owner recently discovered that a new client was spending $3,000 per month in email sends. Their analysis identified that by only sending to those who had opened an email in the last year, those costs could be cut by 80%. Products that track statistics are available in the marketplace. However SM2 email marketing tool’s unique advantage is that it allows the user to identify who is opening and reading an email and then produce their name and phone number with data from their Customer Relationship Management (CRM) solution.
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Marketing consultants – The perception that prospective clients originally have is that our services are similar to those of marketing consultants. Education is the key to differentiating our services due to the fact that marketing consultants may do some aspect of online marketing but most tend to be middle-men who invariably will still use third-party vendors with poor tactics and limited effectiveness.
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Company Summary “As the ad industry braces for a deep recession, someone needs to notify the search advertising business.” – Mike Shields, MediaWeek The ABC Company strategy is to provide quality Online Marketing 2.0 Services to its customers, both small to mid-sized businesses and larger B2B sales divisions. Our marketing plan takes the same services we provide clients and applies them toward generating new business for ABC. ABC Company enjoys a number of advantages in the marketplace: • • • • • • • • • •
Superior operating model Early innovator status Lowest cost per sale in most industries Marketing focused Subcontracting opportunities provided through SM2 Powerful software and web applications Potential for referral business through SM2 Sales assistance from SearchMarketMe Expansion oriented model Highly sought after services
ABC will receive complete training, software and support in furnishing companies with the Online Marketing 2.0 System, including: • • • • • • •
Using the Online Marketing 2.0 System for business development All aspects of project fulfillment Keyword Search Ranking Paid Search Advertising Professional Email Marketing Content Generation Link Strategy (corporate blogging, social networking)
The entire Online Marketing 2.0 System is designed to maximize the generation of high-quality leads for the client, leads that companies are willing to pay top dollar for.
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SearchMarketMe Our company is affiliated with SearchMarketMe, LLC (SM2) a national developer of independently owned Online Marketing 2.0 companies. SearchMarketMe provides us with up to date operations training, unique Online Marketing 2.0 Software, technology systems, as well as initial start-up and ongoing support. •
As part of its service agreement with ABC, SearchMarketMe is committed to both helping us launch our business and training us in every aspect of operations.
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The design of our logo and development of our website will be done by SM2. SearchMarketMe also has web developers who will do our client’s Marketing Websites and Email Marketing templates at such a low rate we maintain an attractive profit margin.
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SearchMarketMe provides ABC with amazing software to select the most effective keywords for Keyword Search Ranking and put our clients in the top 10% of Paid Search Advertising results at Google and other top search engines.
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SM2 is also our training partner, providing ABC with initial and ongoing training and support in the “how to” components associated with facilitating the Online Marketing 2.0 System.
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SM2 assists us with email templates, trains on best practices, and teaches us how to generate and create content using what our clients already have. It all goes to create a “perfect storm” of marketing benefit for our clients.
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Through SearchMarketMe, our company has access to potential projects that SM2 is managing and assistance in closing deals and subcontracting opportunities, positioning ABC to realize incremental revenue.
The typical online marketing consultant will struggle to balance business development and fulfillment. SearchMarketMe trains both sales and fulfillment personnel for ABC and allows us the infrastructure (contracts, scripts, operating procedures) that let us grow and expand as a company, beyond a one or two person operation. All while each member of our team works remotely from their own home-offices. Expansion is critical to take market share as companies transition traditional ad spends to more effective online marketing venues.
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Overall trends favor ABC as interactive marketing expenditures will approach $55 billion by 2014, according to Forrester Research. The unstoppable trend toward equilibrium of ad expenditures and time spent by consumers with that medium is undeniable and favorable to ABC. In the following chart, notice the proportionate amount of money that is spent, in relation to consumer time spent on that medium, for all conventional marketing channels. Now notice the disproportionate amount of money spent in online marketing compared to the amount of time we spend online. Also make note of the 4% increase in online ad spend and the 5% increase in consumer web time.
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Services The Online Marketing 2.0 System has an exponential effect on lead generation and conversions for clients. Each “channel” within the System feeds activity for the others. ABC increases the sales revenue of clients by helping them market and sell their products and services through the Online Marketing 2.0 System. Incorporating multiple online marketing tactics, or channels, the System attracts qualified prospects to the lead generation system we develop for clients. Our offering in each “channel” addresses a problem, producing a superior solution and collectively generating far greater results. ABC must seek to differentiate itself at every opportunity from the underperforming vendors within the industry. How ABC will differentiate itself is based upon an analysis of each channel and the problems associated with typical vendors:
Keyword Search Ranking
The software that SM2 provides us with draws data directly from search engines like Google to identify the precise phrases people are searching for. This determines the most effective keyword groups to build each Marketing Website around, the content contained in them and the Link Strategy we will employ. Problem: Web development and search engine optimization (SEO) companies have been promising to “optimize” websites to rank high at search engines for years. Search engine ranking has changed with Google, and today creating and optimizing the perfect website effectively gets you to the starting line. Without traffic and inbound links it goes nowhere. Still, a multitude of vendors over-promise what changes to a website will do, to the extent that the SEO acronym has acquired a somewhat tainted image in the small business marketplace. Solution: We use Keyword Search Ranking to position each Marketing Website or page to be ranked highly for certain. However, those keyword groups also affect our Paid Search Advertising and most importantly our Link Strategy. We target blogs, social networks and content sources that share the same keywords. It is only through establishing inbound, non-reciprocal links, and securing additional traffic that search ranking is positively affected.
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Marketing Websites
Based on the keyword groups identified, we design websites and integrate the keywords into the domain, titles and content. Each keyword grouping has its own Marketing Website or page. Our relationship with SearchMarketMe provides us with access to low-cost web development for this purpose. Problem: Most company websites are really online pamphlets or brochures. They present the “who, what, where, and why” of it all. They’re generic because they have to serve or facilitate so many interests: general inquiries, product description, press, employees. This type of web property is tough to position well for Keyword Search Ranking because it is so general. Solutions: Marketing Websites let us optimize different websites/pages for specific groups of keyword phrases. Every Marketing Website we do has a lead capture device or information request form to secure the lead, gain opt-in permission and ensure that the client knows where it came from.
Paid Search Advertising
Paid Search has three components: chosen keywords, text advertisement, and landing page. Keywords find the right prospect, the ad makes them click, and our landing page gets them to buy. We use Marketing Websites we create as landing pages. SM2 software lets us download a competitor’s entire campaign, including every keyword, bid, ad, and landing page in minutes. With it, we are able to take an average marketer and make them the most productive. We can also identify prospects among the under-performers, as well as develop and manage our ads directly through the SM2 application. Problem: Pay per click (PPC) is low cost compared to other mediums and has an attractive ROI. For that reason, what amounts to sub-par results have been deemed acceptable because they were at better cost-per-lead and cost-per-sale figures than any other medium. The market is full of half trained admins and bad performers generating average to below average results in paid search. Solution: The answer is metrics, competitive intelligence and quality content. Our software pulls real-time data from Google on what advertisers are paying for each keyword, the competitiveness and the number of searches. It makes it very easy for us to identify the characteristics of the top 10% of advertisers and then help any client in the lower 90% get to the top.
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Email Marketing
Effective Email Marketing has authentic and valued content, married with professional delivery and direct contact from a client’s sales staff. We are able to provide our clients with email tracking software that utilizes data from their contact management software so that the client’s sales people know the very second a recipient opens an email and are able to access contact information immediately to call them. Problem: Email is an abused, yet effective, mechanism for communicating with prospects. When well-intended business correspondence ends up in spam filters though, the prospect never sees it. Even if they do, the vast majority of email copy is writing in an overly “promotional” manner. It is easy for high-quality business communications to get lost, unopened or deleted altogether. Solution: Through our relationship with SM2 we provide clients with revolutionary “email tracking” services. Our application utilizes contact information from the client’s customer database to notify sales people the very second someone opens their email, while producing the prospect’s phone number. This way the sales person can call the prospect within seconds of them opening the email.
Content Generation
Often overlooked in online marketing, effective marketing content has to support the keyword groups we want our client to rank highly on. We don’t use software to create compelling content. Rather SM2 has trained us in a methodical process for utilizing clients as source writers and revising their work product to create quality content for Marketing Websites, Email Marketing, and Link Strategy (blogging, press releases, articles). Problem: Traditional marketers can write effective marketing content for traditional media, but online marketing principles require different tactics and style. On the opposite end, “new school” marketers who understand the web intuitively are frequently poor at writing compelling copy. Solution: We reinvigorate, edit and revise content from our client’s existing marketing pieces (website, product brochures, articles, emails) and employ a Content Revision system to revise copy, integrating the keyword groups we want to rank highly on at search engines. We edit, revise and shorten the content again for use in Email Marketing and Link Strategy. The system is based on sound psychological principles as to how people read information online.
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Link Strategy
Search engines assign additional value to websites with inbound, non-reciprocal links. Google, in particular, assigns greater value to links from: press releases, blog posts, as well as social media and networking websites. References and links directed to client Marketing Websites increase their Keyword Search Ranking. Link Strategy requires consistent attention with monitoring of blogs to select posts ideal for a response, press releases that are relevant and coordinated, as well as monitoring and maintenance of social networking locations. Problem: Corporate blogging and social networking are the new “wild west.” There are few established best practices. There is also wide open opportunity. While companies want to embrace this new frontier, most don’t know how. Much of what is being done through blogging and social networking is executed haphazardly by otherwise distracted employees or management, without a tactical plan. Solution: ABC uses blogging and social networking to get additional keyword coverage for our client at other web properties and create non-reciprocal links to the Marketing Websites we develop. While these are important compliments to a complete Online Marketing 2.0 campaign, they are also time-consuming activities that require sensitivity to a client’s message and repetitive attention.
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Marketing Strategy ABC has the truly unique advantage of using the very services that we provide clients for the marketing of our own services. In other words, we use the Online Marketing 2.0 System for business development, as well as direct contact with small and mid-sized businesses and larger companies. SearchMarketMe provides ABC with thorough training and support in implementing our marketing and sales strategy, as well as access to commissioned sales people, or Marketing Partners, to sell our services. In marketing our services we: •
Create Marketing Websites around specific keyword groups we want to target (geographical location, industry)
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Use our Content Generation training to create keyword specific Marketing Websites
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Utilize Link Strategy to get searchable content at other web properties and establish links to our Marketing Websites
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We conduct Paid Search Advertising in narrow and specific keyword groups tied to our Marketing Websites to generate leads
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Revise Content for Email Marketing with messages promoting our services designed for particular targets
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Based on email tracking we prioritize those leads and send follow up emails and make phone contact
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We index our email newsletters at our website so that they are indexed by search engines, giving ABC the keyword benefit
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When contacting prospects, we disclose that we know when they are opening our emails and reading them as an attention grabber
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We schedule meetings locally or web meetings if remote
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We ask questions about their sales process for initial project analysis
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We prepare a bid/proposal
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The same process is used to build our team of commissioned sales people, or Marketing Partners
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The process can also be replicated as we expand our business into multiple industry niches
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Business Development As part of our sales process we identify what prospects are currently doing in the way of Online Marketing before ever meeting with them. We know what web properties the prospective client has, where they advertise, what keyword groups they should be ranking on and where they are referenced online already. We even know what share of searches they are missing out on. This knowledge gives us tremendous power going into any sales presentation. There we can demonstrate where the company ranks, where their competition is and what their competitors are doing. We simply enter keywords that a prospect would enter which are very descriptive and specific to our client’s product or service, and our software shows them where they rank and where they don’t show up at all. With information in hand as to who the company markets their products and services to, and where they rank, we, or our Marketing Partners, are able to craft a professional proposal for their Marketing Package and Monthly Maintenance, whereby the client pays monthly or quarterly for ongoing Online Marketing 2.0 efforts. Development costs are incorporated into the proposal up front along with initiation of the Package. A Forrester Research survey found that of 172 marketing executives at companies with more than 200 employees handled Paid Search and SEO in the following manner.
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The survey suggests that almost 80% are potential clients of ABC and these are fairly large companies. An even higher percentage of small companies will seek to outsource their Paid Search Advertising and Keyword Search Ranking.
Marketing Packages Marketing Packages mimic the services of a full service, technologically advanced internal marketing department of a larger company. They include all the initial set-up, writing and development work and costs to initiate an Online Marketing 2.0 campaign. The cost is much less than what the company would spend to employ, train and maintain a full-service online marketing department themselves. A “Marketing Package” for a small to mid-sized business can range between $2,000 to $10,000 upfront and ongoing maintenance of $500 to $2,500 per month. This results in an annual contract worth anywhere from $8,000 to $30,000. For B2B sales divisions, a Marketing Package can range from $5,000 or $10,000 to more than $30,000. Monthly maintenance costs more as well at $2,000 to over $10,000 – per month.
Maintenance Agreements For optimal results the Online Marketing 2.0 System requires repetitive and consistent efforts. The one-year “Maintenance Agreement” is committed to by the client to allow for continued application of the Online Marketing 2.0 System. ABC will therefore typically combine its Marketing Packages with a monthly Maintenance Agreement that allows the clients to pay monthly, quarterly or on an annual contract. ABC will occasionally provide its services on an a la carte basis, but only when it is the best solution for a unique situation. We will also offer specialized services that incorporate only select “channels” like Reputation Management where we unearth negative blog and social media comments and counteract them.
Pay-For-Performance Occasionally, we will take a project on a “pay-per-lead” basis. In this type of agreement the development costs can still be realized by the client, or shared, and a lead capture device or form is incorporated into the design of the website. Typically, the client’s credit card is charged every time a qualified lead requests information and debited to the ABC bank account.
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This is appropriate when we see an opportunity where, rather than provide a Marketing Package and Maintenance Agreement at a set fee, it makes more sense from a revenue perspective to be paid on a per lead basis. This also puts ABC in the enviable position of choosing clients and makes business development a matter of selecting the clients we can make the most money with.
Expansion As ABC grows we will seek to build a sales team of commissioned sales people or Marketing Partners, along with a team of contract based Fulfillment Personnel. However different functionally, neither cost anything until they bring money into our company. They also work entirely from their home. SM2 actually recruits sales people for us and trains them. We may also use our Online Marketing 2.0 tools and expertise to target sales people to join our team. When SM2 recruits and trains these individuals they retain a share of the Marketing Partner or Fulfillment Personnel’s initial commissions until paid a fee to offset their recruiting and training efforts. ABC can also recruit salespeople (up to two) and send them through SearchMarketMe training at no cost. Likewise, we can send up to two Fulfillment Personnel through training in as many as three channels of the Online Marketing 2.0 System. At some point, commissioned sales people may take over the presentation process previously described and be paid a commission on a graduated scale.
Marketing Partners ABC has the option of expanding its operations with sales oriented Marketing Partners, with the extra benefit that SM2 will recruit and train these sales people for us. To recoup its expenses in doing so, SM2 retains half of the Marketing Partner’s commission until SM2 is paid $10,000. ABC receives 70% of the sales generated by a Marketing Partner at all times. Marketing Partners work entirely on commission and engage in selling our Online Marketing services. They contact prospective clients, educating them about our services, closing deals and communicating with the client throughout the life of the contract. The Marketing Partner is prevented from ever becoming an Agency Owner themselves and signs an iron-clad non-compete agreement with a liquidated damages clause.
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ABC also has the ability to recruit two individuals itself and send them through the same business training that Marketing Partners receive. However, when we do so the individual sent through sales training does not have to share their commissions with SM2, leaving us free to contract with them however we want.
Fulfillment Personnel ABC can send up to two individuals through training in up to three Online Marketing 2.0 channels at no cost. SearchMarketMe can also recruit fulfillment Personnel for us. SM2 will take $5,000 from their initial earnings. Fulfillment Personnel are paid on a contract basis and ABC will limit their earnings to $20,000 to $30,000 annually and prohibit them, contractually, from offering or performing any additional online marketing work for any other party.
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Technology SM2 is headquartered in Seattle, and has been able to utilize that talent pool in developing an awesome array of Online Marketing 2.0 software tools. ABC benefits from this tactical and powerful collection of technology resources that are used for: • • • • • • • • •
Analyzing website metrics Determining preferred keywords for Marketing Websites Identifying client competition and their keywords and ads Finding potential clients and assessing their current activity Preparing and managing Paid Search Advertising Creating, sending and tracking professional Email Marketing campaigns Revising content for Marketing Websites, Email Marketing and Link Strategy Managing sales prospects, leads, clients and Marketing Partners Tools to streamline project management for multiple clients
This compilation of tools, used in facilitating the Online Marketing 2.0 System is unavailable anywhere else. It is the cumulative effect of all these tools and strategies on each channel that makes the System so beneficial to clients. Keyword Search Ranking software determines the keyword phrases we want to build Marketing Websites around. It may not be the most popular keyword phrase that we choose as they can be too hard to score a top rank with. Instead we target optimal keywords where we can position our client to dominate. Our software tells us that spot. We utilize amazing web analytics software that tells us everything about traffic to and from the Marketing Websites we build for our clients: what website they came from; what pages they select; how long they are at a page; and where they go when they leave. Trends are established to tweak the approach of each Marketing Website. Our Paid Search Advertising software allows us to enter any URL or keyword phrase and instantly see all the advertisers, their keywords, their ads and their landing pages. With it we are able to determine the methods of the top 10% of advertisers for any keyword and take a company in the lower half of effectiveness and increase their results immediately. We create and manage the campaigns from the software as well. ABC uses the Email Marketing applications provided by SearchMarketMe to send targeted recipients well thought out and professional email messages. With our email tracking applications, we are able to see, in real time, as recipients open their email and click on links within the email. Name, phone number, title and email are all displayed along with the links a recipient has opened.
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Clients and their sales people are able to contact interested parties immediately and have confidence that the person they are calling is in the office, or at least opening their email and reading the message. Any perception of spam is avoided by using opt-in methods established with the lead capture forms at the Marketing Websites we create. ABC’s prospective clients are managed via our contact management software. Once a prospect becomes a client, the same contact management software is used to manage multiple projects and activities required to execute each – seamlessly. An Online Marketing 2.0 focused website is customized for ABC by SearchMarketMe as part of our Agency Owner fee. It includes development of our website, domain name registration and email hosting for one year. ABC also receives custom-generated Email Marketing templates for use when promoting our Online Marketing 2.0 Services. ABC receives access, from SearchMarketMe, to a password-protected website containing constantly updated training materials, Online Marketing 2.0 manuals, contractual agreements, form templates, media training presentations, scripts, and a directory of other SearchMarketMe Agency Owners. The SearchMarketMe Training Portal also houses a forum where ABC can communicate seamlessly with other Agency Owners nationwide.
Web Plan Summary The ABC website will contain a straightforward, professional and well-designed marketing message. Designed, developed and hosted by SearchMarketMe, our website will be contemporary in its look and provide information customized for segments of our target market. The ABC website is utilized in conjunction with our Online Marketing 2.0 products to reach small and mid-sized companies, as well as larger corporate sales and marketing divisions. We market our services via the Internet and email. With Online Marketing 2.0 Services as our product offering it is important that ABC be perceived as being advanced technologically, starting with our website, email templates and content. The website will furnish prospective clients with confidence that we can produce a marketing and sales advantage for them.
Development Requirements ABC is provided with a start-up website and hosting for one year, as well as logo design with its investment from SearchMarketMe. Included is multiple email address accounts, remote access for email, and banner positions for the sale of products. We also can make adjustments to the website for Keyword Search Ranking purposes.
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Start-Up and Training ABC has the option of either launching the business full-time or part-time. With full-time initial efforts, the largest start-up cost would be living expenses until regular cash flow is established. If a part-time initial launch is chosen, the loss of income is not applicable, because ABC management would continue to receive the compensation associated with full-time employment. Once the company is profitable, management will discontinue working at their current position and focus solely on ABC. While prudent from a financial aspect, part-time efforts will require great discipline initially. Expenses will be manageable because ABC will operate from a home-based office and utilize an existing computer. ABC will receive training, support, logo design, website development, email marketing templates, Online Marketing 2.0 software, client management software, as well as email and web hosting, all from SearchMarketMe. The following assets and professional services will be needed for the launch of operations: • • • • • • • • • •
Processing of SearchMarketMe Agency Owner paperwork and payment Quality computer Travel to on-site training or participation in a “Live Remote” training event Three to four weeks of remote training Execution of “30 day SearchMarketMe Start-Up Plan” Incorporation or formation of an LLC High-speed Internet connection Voice mail and telephone Preparation of marketing materials Development of website
Milestones SearchMarketMe Remote Training - ABC will participate in SM2’s remote training in Online Marketing 2.0 Services during the first month of operations. We will also receive resources, contracts, and support as well as separate software applications for Keyword Search Ranking and Paid Search Advertising, Email Marketing and Tracking, contact management and lead generation. All provided by SearchMarketMe.
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On-Site or Live-Remote SM2 Training – ABC Management will attend on-site (or LiveRemote) SearchMarketMe training during the first month of operations. We will learn Online Marketing 2.0 methodology, how to utilize SearchMarketMe software, marketing of services, preparation of proposals, revenue stream development, complete business development strategies, processes, contract negotiations, and operations, as well as the ability to work with SM2 on referred projects. 30-Day Start-Up Plan - From the beginning of operations, ABC will follow a thorough 30-Day Start-Up Plan developed by SM2. During the first 30 days, we will complete training, set up office systems, incorporate or form an LLC, initiate Online Marketing 2.0 efforts for our company and prepare to contract with clients. Standard Operations – ABC will be in a standard operations mode once the 30-day start-up plan is completed. Daily activity, weekly objectives and monthly goals will be well established at this point. Expansion – At the appropriate time, ABC intends to expand with commissioned sales people, or Marketing Partners, provided by SM2, as well as Fulfillment Personnel. ABC will be a sub-chapter S corporation, although nothing would prevent us from choosing the Limited Liability Corporation, or LLC, corporate structure. Regardless, the company will be capitalized with the contributions of one single stockholder, the owner ________________ _______________. We will operate the business from a home office, allowing for a low cost of operations.
Mission The focus of ABC is to deliver excellent service to our clients in helping them exceed their marketing and sales goals. We are committed to delivering strategic, creative, and cost effective Online Marketing 2.0 Services. The short-term objective is to launch ABC quickly and inexpensively, with minimum financial expenditures and the best possible operating foundation. The long-term objective is to grow the company into a stable and profitable entity that ownership can either sell or manage on an ongoing basis to consistently achieve our internal revenue goals. ABC will leverage emerging technologies and marketing knowledge to provide the highest quality Online Marketing 2.0 Services.
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Benchmarks •
Complete SearchMarketMe Agency Owner Training and Start-Up
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Learn Online Marketing 2.0 methodology, technique and skills
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Learn Online Marketing 2.0 System best practices
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Use Online Marketing 2.0 techniques to market ABC services
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Know the proposal process
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Train and manage commissioned Marketing Partners to sell ABC services
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Supply Marketing Partners with inbound leads generated with Online Marketing 2.0 System
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Utilize Online Marketing 2.0 System to grow revenue and establish ABC presence
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Maintain company lead database, communicating with prospects regularly
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Grow business at 25% annually for first five years
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Implement controls and procedures to allow for business to be sold, and/or expanded, if management chooses
Objectives Year One • Marketing Packages: Small Businesses #_____ x $______ = $______ (a) Mid Sized Companies #_____ x $______ = $______ (b) Large Companies #_____ x $______ = $______ (c)
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Total Marketing Packages Revenue (d): $______ (a + b +c)
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Less Development Costs (e): $_____ (d x .3)*
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Total Marketing Package Profit (f): $______ (d - e)
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Maintenance Contracts: Small Businesses #_____ x $______ = $______ (g) Mid Sized Companies #_____ x $______ = $______ (h) Large Companies #_____ x $______ = $______ (i)
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Monthly Maintenance Contracts (j): (g+h+i) x 12
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Potential Sales Revenue: f + j
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Plus, Performance Based Contracts
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Management Summary The owner and President of ABC Company is ____________________________. Prior to starting ABC, ________________________ was a _______________ ___________________ ___________________________________________________________________________ __. __________ has _______ years of business experience in a wide array of areas including ____________________________, __________________________________ and _________ ________________________________________________. Agency Owner’s Name yourname@ABC.com Phone: 888-123-4567
Start-up Funding The main funding needed to begin ABC is the start up cost for training, software and support from SearchMarketMe. SearchMarketMe charges a $23,900 fee for training, software, materials and support. ABC will not have the expenses associated with web development, logo and email template design, or email hosting because they are included in the SearchMarketMe training fee. ABC will incur the expense of incorporation and potentially to on-site training with SearchMarketMe. Additional start up costs could be realized, in the form of living expenses, if ABC management elects to start the business full-time.
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