Brad Fallon\s Vistage Presentation

CreatingCustomersOutofThinAir

Internet Marketing for CEO’s

Brad FallonPresident, StomperNet

brad@stompernet.comtext 330-242-1029

Electronic Communication: A Long Way in 160 Years

Samuel Morse, 1844

Alexander Graham Bell, 1876

The ARPA Network, 1969

“It’s tough to make predictions, especially about the future.”

~Yogi Berra

“The stuff that used to work, well it don’t work now.”

~Warren Zevon

Two Themes

3.Things are changing.

4.Things are changing faster.

“Time is that thing in nature which prevents everything from happening all at once. Lately, it doesn’t seem to be working.”

~ Anonymous

Every morning in Africa, a gazelle wakes up. It knows it must run faster than the fastest lion or it will be killed.

Every morning in Africa, a gazelle wakes up. It knows it must run faster than the fastest lion or it will be killed.

Every morning a lion wakes up. It knows it must run faster than the slowest gazelle or it will starve to death.

Every morning in Africa, a gazelle wakes up. It knows it must run faster than the fastest lion or it will be killed.

Every morning a lion wakes up. It knows it must run faster than the slowest gazelle or it will starve to death.

It doesn’t matter if you are a lion or a gazelle . . . When the sun comes up, you’d better be running.

“If you have everything under control, you’re not moving fast enough.”

~Mario Andretti

TECHNOLOGY MEANS

Bigger IdeasAND

Better Execution

TECHNOLOGY MEANS

Historical Productivity of the Inc 500Output of goods and services / labor

1973 - 1993 1.5% growth per year

1995 - 2000 Average 2.5% growth

2002 - 2005 Average 3.5% growth(Average revenue/employee of Inc. 500

increased to $163,950 in 2005 from$130,735 in 2000, 25% in 5 years.)

Inc., November 2005

~ Rupert Murdoch

Otto Frederick Rohwedder (1880-1960)

Otto Frederick Rohwedder (1880-1960)

Inventor of:

Otto Frederick Rohwedder (1880-1960)

Inventor of: Sliced Bread

Inventing Sliced Bread

Inventing Sliced Bread

Idea…………………….....1912 (Found an Idea)

Timeline

Inventing Sliced Bread

Idea…………………….....1912 (Found an Idea)

Prototype…………………1916

Timeline

Inventing Sliced Bread

Idea…………………….....1912 (Found an Idea)

Prototype…………………1916

. . . . . . . . . . .

First Sale………………….1928

Timeline

Inventing Sliced Bread

Idea…………………….....1912 (Found an Idea)

Prototype…………………1916

. . . . . . . . . . .

First Sale………………….1928

Commercial Success……...1930 (Found a Market)

Wonder Bread – different company, different machine

Timeline

2004……………………….$1.2 million (Found a Market, SEO)

Timeline

Smart Marketing, Inc.

2004……………………….$1.2 million (Found a Market, SEO)

2005……………………….$7.8 million (Physical Products)

Timeline

Smart Marketing, Inc.

2004……………………….$1.2 million (Found a Market, SEO)

2005……………………….$7.8 million

2006……………………….$32 million (#9 of Atlanta’s Fastest Growing Companies)

Timeline

Smart Marketing, Inc.

TRAFFICTRAFFIC CONVERSIONCONVERSION

TRAFFICTRAFFIC CONVERSIONCONVERSION

Search

TRAFFICTRAFFIC CONVERSIONCONVERSION

Affiliates

Search

TRAFFICTRAFFIC CONVERSIONCONVERSION

Affiliates

FreeSearch

PPC

TRAFFICTRAFFIC CONVERSIONCONVERSION

Free

Paid (PPC)

TRAFFICTRAFFIC CONVERSIONCONVERSION

Internet Marketing 2.0Internet Marketing 2.0

COMMUNITYCOMMUNITY

StomperNet.com

StomperNet is the leading training program for internet marketing in the world.

More importantly, it's a network of cutting-edge internet businss owners who constantly compare notes and share ideas.

World Class Internet Marketing Training

StomperNet.com

Private member portal for learning anything about e-business

• Pure beginner to most advanced

• Organized by topic

• 30 paid moderators

• 10 full-time faculty members

• Live “office hours” every day

• Two personal calls per month (20 minutes each)

• Free live 3-day conferences, every four months

Pre Launch Results

• 438,000 Video Views and Downloads

• 57,000 Reverse Opt-ins

• 10,000 Questions Submitted

• 1,300 Blog Comments

• 9,000 Early Notification Requests

Actual Launch Results

• $800 x 12 months = $9,600 per sale

• 1,450 Sales in 12 Hours

• $12 Million in Sales in 12 Hours

• $2.2 Million in Credit Cards and PayPal

• 2-week/24-hour Total = $18 Million

• Members in more than 50 countries

Alexa RankingAlexa RankingOctober 3, 2007October 3, 2007

500+ HoursofInstructionalVideos

2004……………………….$1.2 million (Found a Market, SEO)

2005……………………….$7.8 million

2006……………………….$32 million (#9 of Atlanta’s Fastest Growing Companies)

2007………… The Greatest Thing Since Sliced Bread!

Timeline

Smart Marketing, Inc.

“Big will not beat small anymore. It will be the fast beating the slow.”

~ Rupert Murdoch

A

B

A

BMoney

Time

A

BMoney

Time

B

A

B

“The real constraint is almost always time, not money. Focus on speed.”

~ Brad Fallon

Leverage Point

Constraint

J.C.R. “Lick” Licklider (1915-1990)

“People tend to overestimate what can be done in one year and underestimate

what can be done in five years.” ~ J.C.R. Licklider

A B

Quantity Demanded

Demand Curve

Price

(Profit)

vVery High Margins

Quantity Demanded

Demand Curve

Price

Quantity Demanded

Demand Curve

Price

Quantity Demanded

Demand Curve

Price

Quantity Demanded

Demand Curve

Price

Free

The Free Line

$$$ $ $FREE

The Free Line

$$$

FREE

$$$$

$$

FREE$$

$$

$$$$

$$

FREE$$

$$

Subscriptions

Online Only $59

Print Only $125

Print AND Online $125

Subscriptions

Online Only $59 16

Print Only $125 0

Print AND Online $125 84

Subscriptions

Online Only $59 16

Print Only $125 0

Print AND Online $125 84

Online Only $59

Print AND Online $125

Subscriptions

Online Only $59 16

Print Only $125 0

Print AND Online $125 84

Online Only $59 62

Print AND Online $125 38

Subscriptions

Online Only $59 16

Print Only $125 0

Print AND Online $125 84

Online Only $59 62

Print AND Online $125 38

$11,444 $8,408

The Net Effect

The Arbitrage Conspiracy

Examples

FireFire

The WheelThe Wheel

Affiliate MarketingAffiliate Marketing

Affiliate MarketingAffiliate Marketing

Opportunity

DigitalDigitalMedia ProductsMedia Products

Online Online VideoVideo

Affiliate MarketingAffiliate Marketing

Opportunity

Source:comScore

Online VideoOnline VideoIn one month, there

were 175 Million Unique U.S. Internet

Users

131 Million Streamed

Video75%

Source:comScore

Online Video Is PervasiveOnline Video Is PervasiveIn one month, there

were 175 Million Unique U.S. Internet

Users

122,872,000 122,872,000 Unique U.S. Streamers Per MonthUnique U.S. Streamers Per Month

Source:comScore

Growth in Online ActivitiesGrowth in Online ActivitiesTop Five IncreasesTop Five Increases

Source:Mediamark Research

The Next Great Growth Opportunity:

Webucation

“Online continuing education is creating a new and distinct educational realm, and it is the future of education. There is a global market here that is potentially worth hundreds of billions of dollars.”

~ Peter Drucker Forbes, 2000

Example: University of Phoenix

Example: University of Phoenix

Annual tuition revenue over $1 billion

www.FreeLineReport.com

FreeLineReport

"It is not the strongest of the species that survive, nor the most intelligent, but the ones most responsive to change."

~Charles Darwin

“If you’re doing something you’re good at, that’s probably bad.”

~ Brad Fallon

’InternetMarketingforCEOs

TenThingstoKnow

1. Overview – (The Components of your strategy)

’InternetMarketingforCEOs

1. Overview – (The Components of your strategy)

2. SEO (Search Engine Optimization) – (More prospects for free)

’InternetMarketingforCEOs

You vs. Google

SEO – Search Engine Optimization

SEO – Search Engine OptimizationMultiple web site strategy Corporate Sites Blogs Microsites

SERM – Search Engine Reputation Management

Keyword Research

More JargonSEO – Search Engine OptimizationSEM – Search Engine MarketingPPC – Pay­per­ClickPaid Search – Same as PPCSERP – Search Engine Results PageFree/Natural/Organic vs. Paid Search

SEO Factors

SEO Factors

On Page Factors Off Page Factors

SEO Factors

On Page Factors

•Title Tags

Off Page Factors

SEO Factors

On Page Factors

•Title Tags•Keyword Density•Site Structure

Off Page Factors

•Link Popularity•PageRank®•Page Reputation

Atlanta CPA

IBIS, Inc.

OtherExamples

1. Overview – (The Components of your strategy)

2. SEO (Search Engine Optimization) – (More prospects for free)

3. PPC (Pay-per-Click) – (#1 in 10 minutes)

’InternetMarketingforCEOs

CAC – Customer Acquisition Cost

LCV – Lifetime Customer Value

FSCM – First Sale Customer Value

Metrics

1. Overview – (The Components of your strategy)

2. SEO (Search Engine Optimization) – (More prospects for free)

3. PPC (Pay-per-Click) – (#1 in 10 minutes)

4. Affiliate Marketing – (Referrals on steroids)

’InternetMarketingforCEOs

Ruth’s Chris

Examples

1. Overview – (The Components of your strategy)

2. SEO (Search Engine Optimization) – (More prospects for free)

3. PPC (Pay-per-Click) – (#1 in 10 minutes)

4. Affiliate Marketing – (Referrals on steroids)

5. Email and Auto-Responders – (From good to great)

6. Conversion Concepts – (Getting people to do the right thing)

7. Analytics and Testing – (The key to success)

8. Online Video – (The new standard in business communication)

9. Blogs, Web 2.0 & Social Media Marketing – (Things are different)

10. Resources – (It’s not what you know; it’s who you know)

’InternetMarketingforCEOs

. Googlevs Facebook

• 1 Million New Users per Week (25+)

Facebook

. Googlevs YouTube

• 1 Million New Users per Week (25+)

Facebook

• 50 Million Visitors per Month

YouTube

www.FreeLineReport.com

FreeLineReport

First Who,Then What.

“Do less, make more.”

~Brad Fallon

People You Need for Internet Marketing

• Webmaster

• Web Designer

• Programmer

• Copywriter(s)

• Online PR

• Sales Copy

• Video

www.FreeLineReport.com

FreeLineReport

Where to Advertise

• eLance.com• Craigslist.com• 99designs.com• Guru.com• Workaholics4hire.com (other “businesses”)• Rentacoder.com• Local paper – local, less competition, cheap• Monster.com• careerbuilder.com• Freelancewriting.com • Myspace.com (young, computer savvy)• dice.com (technology)

The Magic Formula

1. Have a web site (sites)

2. Dominate the search engines

3. Convert as many leads or sales as possible

4. Follow-up with a sequential autoresponder

5. Keep in touch with email

Creating Customers Out of Thin Air:Secrets of Online Marketing for Offline Businesses

www.BradFallon.com/book.html

Creating Customers Out of Thin Air:Secrets of Online Marketing for Offline Businesses

www.BradFallon.com/book.html

Free Line Reportwww.FreeLineReport.com

StomperNet The Net Effectwww.StomperNet.NET

SEO Researchwww.seoresearch.com

“ ’ . Thefutureaintwhatitusedtobe”

~ Yogi Berra

Brad FallonPresident, StomperNet

brad@stompernet.comtext 330-242-1029