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24th September
2009
written by Rena Bernstein
Claude Hopkins - Scientific Advertising

Claude Hopkins

They say, “if you wait long enough, everything old is new again”. That’s certainly true of Social Marketing.

People are talking about Social Media Marketing as though it’s brand new. It seems that SMM and Inbound Marketing in it’s purist sense, dates back almost to the beginning of the study of advertising itself. In 1923, Claude Hopkins wrote “Scientific Advertising”, a highly regarded advertising how-to described by advertising notables like David Ogilvy and Gary Halbert as a “must read”.

So what’s the connection? While reading through “Scientific Advertising” I came across several stories of circa 1920′s salesmen and their door-to-door marketing tactics. They offered housewives free samples, gadgets and advice — and would not take any payment. That same salesman might visit again days later to ask the housewife about what she thought of the sample he left — still not selling anything or asking for payment, just being helpful.

Because the salesman had begun a relationship, and the housewife had the opportunity to develop some level of trust with the salesman, these prospects began ASKING to buy products and sales dramatically increased. As a matter of fact, Hopkins cites at least 3 examples of similar tactics where he says “such offers were reistless, and about nine in ten of the trials led to sales”.

Let me repeat that, “9 in 10 trials lead to sales”!

This 90% conversion rate is not nearly as surprising to me as the fact that these are the exact same basic principles that make Inbound Marketing so powerful today. By engaging with prospects in order to develop a simple relationship, the marketer was able to first create a level of trust, and create an interest or need where one may not have existed before, so when the prospect was ready to buy, there was no question about WHO she would buy from. The purchase decision was not about price, but about the relationship.

Now I ask you to imagine that story again, but now add in amazing reach and effectiveness of today’s social internet so your talking to thousands of these prospects at once, and combine it with the low cost of entry — like offering simple helpful information instead of actual free samples, and I think you’ll see why I was impressed.

I think the similarity to Inbound Marketing is unmistakable. It’s fascinating that while this proven marketing practice dates back to 1923, some marketers still think Social Media Marketing is a fad and deny it’s value as an effective marketing tactic.

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4 Comments

  1. 26/09/2009

    This is an interesting observation, Rena. In fact, if I conclude it right, SMM is really just marketing (since there was not SM back in 1923), and Marketing is basically analyzing the psychology of human behaviors, and operate according to them. In this case the psychology is building trust, which in this case is giving something for free.

    In SMM, however, the trust is not built by just giving something for free, but instead it is built by how “trustful” (or friendly) your landing pages are. If you ask for too much information, so I do not trust you, and if you ask for just basic information then I think we can be “friends”.

    Nonetheless, the similarities are very interesting!

    I am curious to read your opinion on this one.

  2. admin
    26/09/2009

    My entire point is that there WAS social media in 1923….it was done face to face instead of through the internet, but the concepts are the same.

    The idea of a company offering something of value (either a free sample in 1923 or or a free e-book in 2009) and asking nothing in return is basically the same – both then and now, this starts a relationship based on your businesses abilities and hopefully begins to build trust.

    My only point was that this method of marketing is not a new concept, and now it has the strength of talking to thousands (or more) people at one time.

    Social Media as a whole, is about honesty and authenticity. Both were essential elements for any business in the 1920′s. Since then, mass marketing created an impersonal wall between themselves and their customers. SMM lets them be authentic again.

  3. [...] & Opinions, By Itai 1923-2009 Have the Rules of Marketing really changed?I read a very interesting blog post the other day, which made me think about the basic principals of SMM. Briefly, the discussed post [...]

  4. Itai
    27/09/2009

    I think you made a good point, and a very insightful example. All I am saying is that we can not call it Social Media Marketing, since the Media part did not really exist in 1923. I think it is more Social Marketing, than SMM. The point is, like you said, nothing really changed!

    This is one of your more profound posts, Rena. I really enjoyed reading it. It inspired me to write a somewhat counter/agreeing blog post: http://www.itaiboublil.com/?p=325

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