The webscape of e-marketing is really just one, big competitive market when you look at it, isn’t it? If we look at the structural characteristics of a perfectly competitive market, we have this checklist:
- Infinite buyers and sellers: Yep. There is basically no limit to the number of e-marketing experts and people seeking their services.
- Zero entry and exit barrier: Nothing really stops people from starting or stopping an online marketing business.
- Perfect information – It’s a lot of fun to google a question and see how many people have asked it before you. Chances are, someone has already asked it.
- Zero transaction costs – People can get e-marketing services and tools for free.
- Profit maximization – All websites aim to get the most views for the lowest cost, yes.
- Homogeneous products – Most e-marketers promise the same things: more website traffic in order to generate more leads.
So how the hell can money be made in this perfectly competitive market?
After Googling the answer to this question and scouring several articles on the saturation of internet marketing (see the end of this article for the sources), I spotted a couple of key insights and would like to add my own.
Firstly, we haven’t reached market saturation yet. One reason is because the internet, and by association this industry, are still relatively new so there is plenty of room for expansion. Moreover, market saturation is a relative term – how do you define saturation? Is it the 100th online gaming site, or the millionth? We’ll always be more saturated than yesterday, but if you compare the number of internet sites tomorrow and today, the market isn’t saturated yet.
And to build on that, another good question to ask is, will we ever reach saturation? More niche markets, the internet, consumers and the world are always constantly changing, developing, being invented and growing. Reaching a saturation point implies that things are in stasis, but the reality is that everything is constantly evolving. If you think about it this way, saturation is impossible.
And finally, the hardest working get the best rewards. In Economics, we see this principle being fulfilled every time the more efficient firm beats out the less efficient firm and makes more money. And today, we see this in e-marketing too: there is no shortage of SEO experts, Facebook pages, Tweeters, and e-marketing gurus out there. With that in mind, it seems hopeless to even try to try and become just another one floating around the internet.
But the fact of the matter is that the harder you work at improving the search engine optimization, tweaking your content to suit your target market and optimizing your resources, the better the results of the e-marketing campaign. Lazy guys never finish first – it’s always the hardworking individuals that become successful, and good e-marketers are constantly learning, adapting and changing their methods to accommodate the ever changing landscape of internet users.
My inspiration for this blog post can be found right here:
Have a great day!