The once booming Internet Economy has experienced a significant shift. The era of blind optimism and inflated valuations is over. This article explores the evolution of the Internet Economy, drawing parallels with historical events, and provides insights into how businesses can adapt and thrive in this new landscape.
The Internet Economy, much like the Summer of Love in 1967, experienced a period of intense growth and optimism. However, just as the overcrowding and blind optimism of the Summer of Love led to its downfall, so too has the Internet Economy seen its bubble burst. The days of companies boasting billion-dollar valuations without a clear path to profitability are over. The era of businesses differentiating themselves simply by being online has ended. The disregard for stable business models, strong management teams, and actual value provision is no longer acceptable.
Online marketers have not been spared from this shift. As clients demand more justifiable marketing plans, marketers are challenged to create them. They must work smarter and more efficiently to leverage the benefits of the Internet and provide real value to their clients. In these turbulent times, it's crucial to return to the basics.
Set Clear Goals: Identify your target market and understand their needs. Establish a realistic, written goal.
Create a Buzz: Leverage viral marketing techniques. Form alliances, publish articles, swap links with like-minded sites, participate in forums, engage with newsgroups, and start an affiliate plan.
Optimize: The online world offers unparalleled opportunities for tracking results. Monitor your campaign progress closely, but remember that effective marketing plans take time to develop.
Diversify and Multiply: Don't rely solely on banners. Consider sponsorships, opt-in emails, newsletters, and online contests. These strategies should work in harmony.
Integrate: Your online marketing strategy should complement your overall marketing plan. Consider how your online efforts align with your print ads, PR, collateral material, and tradeshow presence.
The winners in this new economy will understand that content is king. Regardless of how users access your content - be it via PC, WAP phone, PDA, or even Internet-enabled clothing - what matters is whether they can find the information they need. In this new era, the medium is no longer the message. Providing a compelling reason for your market to care about you is what will set you apart. The rules and goals haven't changed, but the successful businesses will be those that can effectively blend old strategies with new ones.
For more insights into the evolution of the Internet Economy, check out this article from Forbes, and this piece from BBC News.
