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Skyscraper Outsourced Reveals 12% Growth in Demand for Direct Selling Services in Q2 Following Reports of Social Media’s Low ROI

Wednesday 21 August, 2013
Direct sales and marketing company Skyscraper Outsourced reveals that enquiries and referrals for the firm’s promotional and customer acquisition services have grown by 12% over Q2. The firm claims that businesses are becoming disillusioned by a lack of return on investment (ROI) from digital marketing and are looking for alternative strategies to generate new customers.

A spokesperson from Skyscraper Outsourced said: “Whilst we are not denying social media’s ability to enhance brand awareness and online reputation, the medium’s impact on a company’s bottom line is questionable. The feedback we have been receiving from clients is that they are looking for a service that can guarantee a return, enabling them to plan with confidence for the future. With our effective reporting and customer acquisition strategies we can provide that guarantee.”

Direct selling is the person to person promotion and sale of a product or service outside of a fixed retail location, typically done at a place of business, a private site or residence. Skyscraper Outsourced reports that direct selling’s person to person methodology allows for a high level of accuracy in measuring results. The firm reports an engagement rate of around 40% of prospects approached, and an average sales conversion of 3-5% on first meeting.

Social media marketing, which involves the promotion of products and services through social networking sites, has recently come under scrutiny for its ability to deliver results. In December 2012, IBM Smarter Commerce reported that social media’s impact on two of the biggest online shopping days of the year were negligible. Social media contributed to less than 1% of sales on Black Friday and Cyber Monday; the combined efforts of Facebook, LinkedIn and YouTube contributed 0.34% of sales, whilst Twitter contributed nothing. This March the FMCG Corporation Unilever, home to household-name brands including Radox and Marmite, reported that every pound spent on in-store promotions was bringing up to 50% more ROI than a pound spent on social media. This was despite the firm increasing its digital marketing spend by 40% in 2012.

Digital marketing software firm Exact Target reports dropping engagement levels, with 81% of customers surveyed having ‘unliked’ company’s Facebook page or removed their post from their news feed, 71% admitted to being more selective about ‘liking’ a company’s Facebook page than they were last year, and 41% have ‘unfollowed’ a company on Twitter. A spokesperson for Skyscraper Outsourced said: “Social media marketing initially became popular because it was seen as more personal than mass marketing. However in recent years it has become less personal and more like another form of mass media. In contrast, direct selling is all about the person, allowing a strong consumer engagement with the brand. This personal approach makes it stand out from all other forms of marketing.”

Skyscraper Outsourced is based in Newcastle Upon Tyne and provides direct sales and promotional strategies for UK clients.

Sources:
http://socialmediatoday.com/seo-entrepreneur/1043996/social-media-market...
http://www.marketingmagazine.co.uk/article/1173315/unilever-takes-stock-...


Media:


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