In the previous paragraph, we have discussed what content marketing is, set some examples from the past, and differentiated between two content types that are used in content marketing. This paragraph, however, will directly focus on the benefits of content marketing, explaining the hidden (and the obvious) power that lies behind content.
Before we begin, it should be noted that 88% of B2B and 76% of B2C marketers regularly use content marketing as part of their business strategy, primarily using social media, blogs, and newsletters as the main content marketing tactics.
If we delve into the benefits of content marketing, however, it is possible to distinguish the following 10 case points.
1. Generates more traffic to your website
When producing high-quality, valuable content and skilfully distributing it on relevant channels, the chance to see an increase in traffic becomes significantly higher. In addition, the "right" type of content helps to obtain natural links from other websites and industry authorities, which, in turn, increases domain authority and page rank, as well as builds brand awareness. All these factors directly influence referral, social and organic traffic that can be seen from content.
2. Increases engagement with targeted audiences
By tailoring relevant information to a targeted audience — information that would provide a solution for a particular struggle, a piece of education, or a dose of entertainment — brands are able to engage with their audience and become more influential in the niche community.
3. Gives a better understanding of your audience
In order to be successful at content marketing, it is necessary to do a deep research into the target audience, developing a so-called “buyer persona”. This can be achieved through a number of methods, such as conducting customer surveys, doing phone and in-person interviews, and creating web and exit surveys. The acquired data will help to better understand what the audience cares about, and, as a result, help produce content that is perfectly tailored to the actual needs, likes and preferences of the audience.
On top of that, content marketing builds a higher level of trust among customers, whose purchasing decisions are ultimately shifted in a positive direction. It is argued, for instance, that content marketing is seen as a primary factor behind up to 50% of buying decisions, even though some sources claim that the percentage is even higher (63%). In addition, 60% of customers admit that they feel more positive about a company having read custom content on its website and are inspired to seek the product mentioned on it. Thus, content marketing increases the customer acquisition rate, as the brand that is involved in content marketing activities (like blogging) ultimately becomes more appealing for potential customers.
4. Can help brands to build their own community
By establishing a tighter relationship with the audience, brands are able to create their own, dedicated community of people around social networks (via Facebook groups, Twitter chats, own forums, etc). Community is often seen as a hidden driving force of any successful business.
5. Builds brand awareness and improves reputation
By developing a higher level of relationship with the audience, brands are able to increase their authority and build trust in their product and/or service. This fact alone influences the purchasing decision of at least 52% of consumers who constantly rely on blogs for information.
6. Establishes your brand as a thought leader
Having improved brand authority and credibility through high-quality content distributed through appropriate channels, content marketing can help businesses to position themselves as experts in the relevant industry. By becoming a go-to resource, the brand gains recognition among the experts and specialists in the industry, as well as among product consumers and/or service users.
7. Increases conversion potential
Thanks to content marketing more people who are now simply engaging with content are later converted into potential prospects.
8. Higher visibility in search engines
Publishing relevant content with targeted keywords will result in more than just “content value” for your audience. Additionally, it will also boost the SEO of your blog and, consequently, the whole website, making it more visible in the search inquires for users.
9. Increases sales and drives profit
According to Neil Patel, the famous entrepreneur, investor, and marketing influencer, content marketing can bring a return on investment within the first six months. In some prominent cases, first sales can also be achieved during the initial three months of content marketing activities.
"Content marketing can be leveraged to not just create the potential for deals, but to actually help the sales team close deals”, says Alex Lopes from Content Marketing Institute. "However, in order to achieve that, it is essential to develop a thorough content marketing strategy and be consistent at implementing it."
10. Costs less than outbound marketing
Finally, content marketing is claimed to be costing 62% less when compared to traditional marketing. There is, however, an investment to be made in order to generate ROIs at the beginning. As said by Jim Haynes:
— "Content marketing is relatively cheap compared to most other options, but it requires you to invest your time, effort and a lot of patience before you can reap its returns".
Furthermore, content marketing can have a significant impact on pricing, as claimed by Joe Pulizzi, CEO at Content Marketing Institute:
— "Since the majority of would-be customers are long-time readers, they already understand the value you bring to the table. They don’t come for the cheapest service… They come to get the best. In this way, pricing rarely becomes an obstacle. When you increase your pricing, customers usually don’t have an issue with it."