Digital marketing | Wikipedia audio article

By | October 6, 2019

Digital marketing is the marketing of products
or services using digital technologies, mainly on the Internet, but also including mobile
phones, display advertising,and any other digital medium. Digital marketing channels are systems based
on the internet that can create, accelerate, and transmit product value from producer to
the terminal consumer by digital networks.Digital marketing’s development since the 1990s and
2000s has changed the way brands and businesses use technology for marketing. As digital platforms are increasingly incorporated
into marketing plans and everyday life, and as people use digital devices instead of visiting
physical shops, digital marketing campaigns are becoming more prevalent and efficient. Digital marketing methods such as search engine
optimization (SEO), search engine marketing (SEM), content marketing, influencer marketing,
content automation, campaign marketing, data-driven marketing, e-commerce marketing, social media
marketing, social media optimization, e-mail direct marketing, Display advertising, e–books,
and optical disks and games are becoming more common in our advancing technology. In fact, digital marketing now extends to
non-Internet channels that provide digital media, such as mobile phones (SMS and MMS),
callback, and on-hold mobile ring tones. In essence, this extension to non-Internet
channels helps to differentiate digital marketing from online marketing, another catch-all term
for the marketing methods mentioned above, which strictly occur online.==History==
The development of digital marketing is inseparable from technology development. One of the key points in the start of was
in 1971, where Ray Tomlinson sent the very first email and his technology set the platform
to allow people to send and receive files through different machines. However, the more recognisable period as being
the start of Digital Marketing is 1990 as this was where the Archie search engine was
created as an index for FTP sites. In the 1980s, the storage capacity of computer
was already big enough to store huge volumes of customer information. Companies started choosing online techniques,
such as database marketing, rather than limited list broker. This kind of databases allowed companies to
track customers’ information more effectively, thus transforming the relationship between
buyer and seller. However, the manual process was not so efficient. In the 1990s, the term Digital Marketing was
first coined,. With the debut of server/client architecture
and the popularity of personal computers, the Customer Relationship Management (CRM)
applications became a significant part of marketing technology. Fierce competition forced vendors to include
more service into their software, for example, marketing, sales and service applications. Marketers were also able to own huge online
customer data by eCRM software after the Internet was born. Companies could update the data of customer
needs and obtain the priorities of their experience. This led to the first clickable banner ad
being going live in 1994, which was the “You Will” campaign by AT&T and over the first
four months of it going live, 44% of all people who saw it clicked on the ad.In the 2000s,
with more and more Internet users and the birth of iPhone, customers started searching
products and making decisions about their needs online first, instead of consulting
a salesperson, which created a new problem for the marketing department of a company. In addition, a survey in 2000 in the United
Kingdom found that most retailers had not registered their own domain address. These problems made marketers find the digital
ways for market development. In 2007, the concept of marketing automation
was raised to solve the problem above. Marketing automation helped companies segment
customers, launch multichannel marketing campaigns and provide personalized information for customers. However, the speed of its adaptability to
consumer devices was not fast enough. Digital marketing became more sophisticated
in the 2000s and the 2010s, when the proliferation of devices’ capable
of accessing digital media led to sudden growth. Statistics produced in 2012 and 2013 showed
that digital marketing was still growing. With the development of social media in the
2000s, such as LinkedIn, Facebook, YouTube and Twitter, consumers became highly dependent
on digital electronics in daily lives. Therefore, they expected a seamless user experience
across different channels for searching product’s information. The change of customer behavior improved the
diversification of marketing technology.Digital marketing is also referred to as ‘online marketing’,
‘internet marketing’ or ‘web marketing’. The term digital marketing has grown in popularity
over time. In the USA online marketing is still a popular
term. In Italy, digital marketing is referred to
as web marketing. Worldwide digital marketing has become the
most common term, especially after the year 2013.Digital media growth was estimated at
4.5 trillion online ads served annually with digital media spend at 48% growth in 2010. An increasing portion of advertising stems
from businesses employing Online Behavioural Advertising (OBA) to tailor advertising for
internet users, but OBA raises concern of consumer privacy and data protection.==New non-linear marketing approach==
In order to engage customers, retailers must shift from a linear marketing approach of
one-way communication to a value exchange model of mutual dialogue and benefit-sharing
between provider and consumer. Exchanges are more non-linear, free flowing,
and both one-to-many or one-on-one. The spread of information and awareness can
occur across numerous channels, such as the blogosphere, YouTube, Facebook, Instagram,
Snapchat, Pinterest, and a variety of other platforms. Online communities and social networks allow
individuals to easily create content and publicly publish their opinions, experiences, and thoughts
and feelings about many topics and products, hyper-accelerating the diffusion of information.The
Nielsen Global Connected Commerce Survey conducted interviews in 26 countries to observe how
consumers are using the Internet to make shopping decisions in stores and online. Online shoppers are increasingly looking to
purchase internationally, with over 50% in the study who purchased online in the last
six months stating they bought from an overseas retailer.Using an omni-channel strategy is
becoming increasingly important for enterprises who must adapt to the changing expectations
of consumers who want ever-more sophisticated offerings throughout the purchasing journey. Retailers are increasingly focusing on their
online presence, including online shops that operate alongside existing store-based outlets. The “endless aisle” within the retail space
can lead consumers to purchase products online that fit their needs while retailers do not
have to carry the inventory within the physical location of the store. Solely Internet-based retailers are also entering
the market; some are establishing corresponding store-based outlets to provide personal services,
professional help, and tangible experiences with their products.An omni-channel approach
not only benefits consumers but also benefits business bottom line: Research suggests that
customers spend more than double when purchasing through an omni-channel retailer as opposed
to a single-channel retailer, and are often more loyal. This could be due to the ease of purchase
and the wider availability of products.Customers are often researching online and then buying
in stores and also browsing in stores and then searching for other options online. Online customer research into products is
particularly popular for higher-priced items as well as consumable goods like groceries
and makeup. Consumers are increasingly using the Internet
to look up product information, compare prices, and search for deals and promotions.==Use in the digital era==
There are a number of ways brands can use digital marketing to benefit their marketing
efforts. The use of digital marketing in the digital
era not only allows for brands to market their products and services, but also allows for
online customer support through 24/7 services to make customers feel supported and valued. The use of social media interaction allows
brands to receive both positive and negative feedback from their customers as well as determining
what media platforms work well for them. As such, digital marketing has become an increased
advantage for brands and businesses. It is now common for consumers to post feedback
online through social media sources, blogs and websites on their experience with a product
or brand. It has become increasingly popular for businesses
to use and encourage these conversations through their social media channels to have direct
contact with the customers and manage the feedback they receive appropriately. Word of mouth communications and peer-to-peer
dialogue often have a greater effect on customers, since they are not sent directly from the
company and are therefore not planned. Customers are more likely to trust other customers’
experiences. Examples can be that social media users share
food products and meal experiences highlighting certain brands and franchises. This was noted in a study on Instagram, where
researchers observed that adolescent Instagram users’ posted images of food-related experiences
within their social networks, providing free advertising for the products.It is increasingly
advantageous for companies to use social media platforms to connect with their customers
and create these dialogues and discussions. The potential reach of social media is indicated
by the fact that in 2015, each month the Facebook app had more than 126 million average unique
users and YouTube had over 97 million average unique users.==Brand awareness=====
Ease of access===A key objective is engaging digital marketing
customers and allowing them to interact with the brand through servicing and delivery of
digital media. Information is easy to access at a fast rate
through the use of digital communications. Users with access to the Internet can use
many digital mediums, such as Facebook, YouTube, Forums, and Email etc. Through Digital communications it creates
a multi-communication channel where information can be quickly shared around the world by
anyone without any regard to who they are. Social segregation plays no part through social
mediums due to lack of face to face communication and information being wide spread instead
to a selective audience. This interactive nature allows consumers create
conversation in which the targeted audience is able to ask questions about the brand and
get familiar with it which traditional forms of Marketing may not offer.===Competitive advantage===
By using Internet platforms, businesses can create competitive advantage through various
means. To reach the maximum potential of digital
marketing, firms use social media as its main tool to create a channel of information. Through this a business can create a system
in which they are able to pinpoint behavioral patterns of clients and feedback on their
needs. This means of content has shown to have a
larger impingement on those who have a long-standing relationship with the firm and with consumers
who are relatively active social media users. Relative to this, creating a social media
page will further increase relation quality between new consumers and existing consumers
as well as consistent brand reinforcement therefore improving brand awareness resulting
in a possible rise for consumers up the Brand Awareness Pyramid. Although there may be inconstancy with product
images; maintaining a successful social media presence requires a business to be consistent
in interactions through creating a two way feed of information; firms consider their
content based on the feedback received through this channel, this is a result of the environment
being dynamic due to the global nature of the internet. Effective use of digital marketing can result
in relatively lowered costs in relation to traditional means of marketing; Lowered external
service costs, advertising costs, promotion costs, processing costs, interface design
costs and control costs.===Effectiveness===
Brand awareness has been proven to work with more effectiveness in countries that are high
in uncertainty avoidance, also these countries that have uncertainty avoidance; social media
marketing works effectively. Yet brands must be careful not to be excessive
on the use of this type of marketing, as well as solely relying on it as it may have implications
that could negatively harness their image. Brands that represent themselves in an anthropomorphizing
manner are more likely to succeed in situations where a brand is marketing to this demographic. “Since social media use can enhance the knowledge
of the brand and thus decrease the uncertainty, it is possible that people with high uncertainty
avoidance, such as the French, will particularly appreciate the high social media interaction
with an anthropomorphized brand.” Moreover, digital platform provides an ease
to the brand and its customers to interact directly and exchange their motives virtually.==Latest developments and strategies==
One of the major changes that occurred in traditional marketing was the “emergence of
digital marketing” (Patrutiu Baltes, Loredana, 2015), this led to the reinvention of marketing
strategies in order to adapt to this major change in traditional marketing (Patrutiu
Baltes, Loredana, 2015) . As digital marketing is dependent on technology
which is ever-evolving and fast-changing, the same features should be expected from
digital marketing developments and strategies. This portion is an attempt to qualify or segregate
the notable highlights existing and being used as of press time. Segmentation: more focus has been placed on
segmentation within digital marketing, in order to target specific markets in both business-to-business
and business-to-consumer sectors. Influencer marketing: Important nodes are
identified within related communities, known as influencers. This is becoming an important concept in digital
targeting. It is possible to reach influencers via paid
advertising, such as Facebook Advertising or Google Adwords campaigns, or through sophisticated
sCRM (social customer relationship management) software, such as SAP C4C, Microsoft Dynamics,
Sage CRM and Salesforce CRM. Many universities now focus, at Masters level,
on engagement strategies for influencers.To summarize, Pull digital marketing is characterized
by consumers actively seeking marketing content while Push digital marketing occurs when marketers
send messages without that content being actively sought by the recipients. Online behavioural advertising is the practice
of collecting information about a user’s online activity over time, “on a particular device
and across different, unrelated websites, in order to deliver advertisements tailored
to that user’s interests and preferences Collaborative Environment: A collaborative
environment can be set up between the organization, the technology service provider, and the digital
agencies to optimize effort, resource sharing, reusability and communications. Additionally, organizations are inviting their
customers to help them better understand how to service them. This source of data is called User Generated
Content. Much of this is acquired via company websites
where the organization invites people to share ideas that are then evaluated by other users
of the site. The most popular ideas are evaluated and implemented
in some form. Using this method of acquiring data and developing
new products can foster the organizations relationship with their customer as well as
spawn ideas that would otherwise be overlooked. UGC is low-cost advertising as it is directly
from the consumers and can save advertising costs for the organisation. Data-driven advertising: Users generate a
lot of data in every step they take on the path of customer journey and Brands can now
use that data to activate their known audience with data-driven programmatic media buying. Without exposing customers’ privacy, users’
Data can be collected from digital channels (e.g.: when customer visits a website, reads
an e-mail, or launches and interact with brand’s mobile app), brands can also collect data
from real world customer interactions, such as brick and mortar stores visits and from
CRM and Sales engines datasets. Also known as People-based marketing or addressable
media, Data-driven advertising is empowering brands to find their loyal customers in their
audience and deliver in real time a much more personal communication, highly relevant to
each customers’ moment and actions.An important consideration today while deciding on a strategy
is that the digital tools have democratized the promotional landscape. 5. Remarketing: Remarketing plays a major role
in digital marketing. This tactic allows marketers to publish targeted
ads in front of an interest category or a defined audience, generally called searchers
in web speak, they have either searched for particular products or services or visited
a website for some purpose. 6. Game advertising: Game ads are advertisements
that exist within computer or video games. One of the most common examples of in-game
advertising is billboards appearing in sports games. In-game ads also might appear as brand-name
products like guns, cars, or clothing that exist as gaming status symbols. The new digital era has enabled brands to
selectively target their customers that may potentially be interested in their brand or
based on previous browsing interests. Businesses can now use social media to select
the age range, location, gender and interests of whom they would like their targeted post
to be seen by. Furthermore, based on a customer’s recent
search history they can be ‘followed’ on the internet so they see advertisements
from similar brands, products and services, This allows businesses to target the specific
customers that they know and feel will most benefit from their product or service, something
that had limited capabilities up until the digital era.==Ineffective forms of digital marketing
==Digital marketing activity is still growing
across the world according to the headline global marketing index. A study published in September 2018, found
that global outlays on digital marketing tactics are approaching $100 billion. Digital media continues to rapidly grow; while
the marketing budgets are expanding, traditional media is declining (World Economics, 2015). Digital media helps brands reach consumers
to engage with their product or service in a personalised way. Five areas, which are outlined as current
industry practices that are often ineffective are prioritizing clicks, balancing search
and display, understanding mobiles, targeting, viewability, brand safety and invalid traffic,
and cross-platform measurement (Whiteside, 2016). Why these practices are ineffective and some
ways around making these aspects effective are discussed surrounding the following points.===Prioritizing clicks===
Prioritizing clicks refers to display click ads, although advantageous by being ‘simple,
fast and inexpensive’ rates for display ads in 2016 is only 0.10 percent in the United
States. This means one in a thousand click ads are
relevant therefore having little effect. This displays that marketing companies should
not just use click ads to evaluate the effectiveness of display advertisements (Whiteside, 2016).===Balancing search and display===
Balancing search and display for digital display ads are important; marketers tend to look
at the last search and attribute all of the effectiveness to this. This then disregards other marketing efforts,
which establish brand value within the consumers mind. ComScore determined through drawing on data
online, produced by over one hundred multichannel retailers that digital display marketing poses
strengths when compared with or positioned alongside, paid search (Whiteside, 2016). This is why it is advised that when someone
clicks on a display ad the company opens a landing page, not its home page. A landing page typically has something to
draw the customer in to search beyond this page. Things such as free offers that the consumer
can obtain through giving the company contact information so that they can use retargeting
communication strategies (Square2Marketing, 2012). Commonly marketers see increased sales among
people exposed to a search ad. But the fact of how many people you can reach
with a display campaign compared to a search campaign should be considered. Multichannel retailers have an increased reach
if the display is considered in synergy with search campaigns. Overall both search and display aspects are
valued as display campaigns build awareness for the brand so that more people are likely
to click on these digital ads when running a search campaign (Whiteside, 2016).Understanding
Mobiles: Understanding mobile devices is a significant
aspect of digital marketing because smartphones and tablets are now responsible for 64% of
the time US consumers are online (Whiteside, 2016). Apps provide a big opportunity as well as
challenge for the marketers because firstly the app needs to be downloaded and secondly
the person needs to actually use it. This may be difficult as ‘half the time
spent on smartphone apps occurs on the individuals single most used app, and almost 85% of their
time on the top four rated apps’ (Whiteside, 2016). Mobile advertising can assist in achieving
a variety of commercial objectives and it is effective due to taking over the entire
screen, and voice or status is likely to be considered highly; although the message must
not be seen or thought of as intrusive (Whiteside, 2016). Disadvantages of digital media used on mobile
devices also include limited creative capabilities, and reach. Although there are many positive aspects including
the users entitlement to select product information, digital media creating a flexible message
platform and there is potential for direct selling (Belch & Belch, 2012).Cross-platform
measurement: The number of marketing channels continues
to expand, as measurement practices are growing in complexity. A cross-platform view must be used to unify
audience measurement and media planning. Market researchers need to understand how
the Omni-channel affects consumer’s behaviour, although when advertisements are on a consumer’s
device this does not get measured. Significant aspects to cross-platform measurement
involves de-duplication and understanding that you have reached an incremental level
with another platform, rather than delivering more impressions against people that have
previously been reached (Whiteside, 2016). An example is ‘ESPN and comScore partnered
on Project Blueprint discovering the sports broadcaster achieved a 21% increase in unduplicated
daily reach thanks to digital advertising’ (Whiteside, 2016). Television and radio industries are the electronic
media, which competes with digital and other technological advertising. Yet television advertising is not directly
competing with online digital advertising due to being able to cross platform with digital
technology. Radio also gains power through cross platforms,
in online streaming content. Television and radio continue to persuade
and affect the audience, across multiple platforms (Fill, Hughes, & De Franceso, 2013).Targeting,
viewability, brand safety and invalid traffic: Targeting, viewability, brand safety and invalid
traffic all are aspects used by marketers to help advocate digital advertising. Cookies are a form of digital advertising,
which are tracking tools within desktop devices; causing difficulty, with shortcomings including
deletion by web browsers, the inability to sort between multiple users of a device, inaccurate
estimates for unique visitors, overstating reach, understanding frequency, problems with
ad servers, which cannot distinguish between when cookies have been deleted and when consumers
have not previously been exposed to an ad. Due to the inaccuracies influenced by cookies,
demographics in the target market are low and vary (Whiteside, 2016). Another element, which is affected within
digital marketing, is ‘viewabilty’ or whether the ad was actually seen by the consumer. Many ads are not seen by a consumer and may
never reach the right demographic segment. Brand safety is another issue of whether or
not the ad was produced in the context of being unethical or having offensive content. Recognizing fraud when an ad is exposed is
another challenge marketers face. This relates to invalid traffic as premium
sites are more effective at detecting fraudulent traffic, although non-premium sites are more
so the problem (Whiteside, 2016).===Channels===
Digital marketing is facilitated by multiple channels, As an advertiser one’s core objective
is to find channels which result in maximum two-way communication and a better overall
ROI for the brand. There are multiple digital marketing channels
available namely; Affiliate marketing – Affiliate marketing
is perceived to not be considered a safe, reliable and easy means of marketing through
online platform. This is due to a lack of reliability in terms
of affiliates that can produce the demanded number of new customers. As a result of this risk and bad affiliates
it leaves the brand prone to exploitation in terms of claiming commission that isn’t
honestly acquired. Legal means may offer some protection against
this, yet there are limitations in recovering any losses or investment. Despite this, affiliate marketing allows the
brand to market towards smaller publishers, and websites with smaller traffic. Brands that choose to use this marketing often
should beware of such risks involved and look to associate with affiliates in which rules
are laid down between the parties involved to assure and minimize the risk involved. Display advertising – As the term implies,
online display advertising deals with showcasing promotional messages or ideas to the consumer
on the internet. This includes a wide range of advertisements
like advertising blogs, networks, interstitial ads, contextual data, ads on the search engines,
classified or dynamic advertisement etc. The method can target specific audience tuning
in from different types of locals to view a particular advertisement, the variations
can be found as the most productive element of this method. Email marketing – Email marketing in comparison
to other forms of digital marketing is considered cheap; it is also a way to rapidly communicate
a message such as their value proposition to existing or potential customers. Yet this channel of communication may be perceived
by recipients to be bothersome and irritating especially to new or potential customers,
therefore the success of email marketing is reliant on the language and visual appeal
applied. In terms of visual appeal, there are indications
that using graphics/visuals that are relevant to the message which is attempting to be sent,
yet less visual graphics to be applied with initial emails are more effective in-turn
creating a relatively personal feel to the email. In terms of language, the style is the main
factor in determining how captivating the email is. Using casual tone invokes a warmer and gentle
and inviting feel to the email in comparison to a formal style. For combinations; it’s suggested that to maximize
effectiveness; using no graphics/visual alongside casual language. In contrast using no visual appeal and a formal
language style is seen as the least effective method. Search engine marketing – Search engine marketing
(SEM) is a form of Internet marketing that involves the promotion of websites by increasing
their visibility in search engine results pages (SERPs) primarily through paid advertising. SEM may incorporate Search engine optimization,
which adjusts or rewrites website content and site architecture to achieve a higher
ranking in search engine results pages to enhance pay per click (PPC) listings. Social Media Marketing – The term ‘Digital
Marketing’ has a number of marketing facets as it supports different channels used in
and among these, comes the Social Media. When we use social media channels ( Facebook,
Twitter, Pinterest, Instagram, Google+, etc.) to market a product or service, the strategy
is called Social Media Marketing. It is a procedure wherein strategies are made
and executed to draw in traffic for a website or to gain attention of buyers over the web
using different social media platforms. Social networking service – A social networking
is an online platform which people use to build social networks or social relations
with other people who share similar personal or career interests, activities, backgrounds
or real-life connections In-game advertising – In-Game advertising
is defined as “inclusion of products or brands within a digital game.” The game allows brands or products to place
ads within their game, either in a subtle manner or in the form of an advertisement
banner. There are many factors that exist in whether
brands are successful in their advertising of their brand/product, these being: Type
of game, technical platform, 3-D and 4-D technology, game genre, congruity of brand and game, prominence
of advertising within the game. Individual factors consist of attitudes towards
placement advertisements, game involvement, product involvement, flow or entertainment. The attitude towards the advertising also
takes into account not only the message shown but also the attitude towards the game. Dependent of how enjoyable the game is will
determine how the brand is perceived, meaning if the game isn’t very enjoyable the consumer
may subconsciously have a negative attitude towards the brand/product being advertised. In terms of Integrated Marketing Communication
“integration of advertising in digital games into the general advertising, communication,
and marketing strategy of the firm” is an important as it results in a more clarity
about the brand/product and creates a larger overall effect. Online public relationsVideo advertising – This
type of advertising in terms of digital/online means are advertisements that play on online
videos e.g. YouTube videos. This type of marketing has seen an increase
in popularity over time. Online Video Advertising usually consists
of three types: Pre-Roll advertisements which play before the video is watched, Mid-Roll
advertisements which play during the video, or Post-Roll advertisements which play after
the video is watched. Post-roll advertisements were shown to have
better brand recognition in relation to the other types, where-as “ad-context congruity/incongruity
plays an important role in reinforcing ad memorability”. Due to selective attention from viewers, there
is the likelihood that the message may not be received. The main advantage of video advertising is
that it disrupts the viewing experience of the video and therefore there is a difficulty
in attempting to avoid them. How a consumer interacts with online video
advertising can come down to three stages: Pre attention, attention, and behavioural
decision. These online advertisements give the brand/business
options and choices. These consist of length, position, adjacent
video content which all directly affect the effectiveness of the produced advertisement
time, therefore manipulating these variables will yield different results. Length of the advertisement has shown to affect
memorability where-as longer duration resulted in increased brand recognition. This type of advertising, due to its nature
of interruption of the viewer, it is likely that the consumer may feel as if their experience
is being interrupted or invaded, creating negative perception of the brand. These advertisements are also available to
be shared by the viewers, adding to the attractiveness of this platform. Sharing these videos can be equated to the
online version of word by mouth marketing, extending number of people reached. Sharing videos creates six different outcomes:
these being “pleasure, affection, inclusion, escape, relaxation, and control”. As well, videos that have entertainment value
are more likely to be shared, yet pleasure is the strongest motivator to pass videos
on. Creating a ‘viral’ trend from mass amount
of a brands advertisement can maximize the outcome of an online video advert whether
it be positive or a negative outcome.It is important for a firm to reach out to consumers
and create a two-way communication model, as digital marketing allows consumers to give
back feed back to the firm on a community based site or straight directly to the firm
via email. Firms should seek this long term communication
relationship by using multiple forms of channels and using promotional strategies related to
their target consumer as well as word-of mouth marketing.===Self-regulation===
The ICC Code has integrated rules that apply to marketing communications using digital
interactive media throughout the guidelines. There is also an entirely updated section
dealing with issues specific to digital interactive media techniques and platforms. Code self-regulation on use of digital interactive
media includes: Clear and transparent mechanisms to enable
consumers to choose not to have their data collected for advertising or marketing purposes;
Clear indication that a social network site is commercial and is under the control or
influence of a marketer; Limits are set so that marketers communicate
directly only when there are reasonable grounds to believe that the consumer has an interest
in what is being offered; Respect for the rules and standards of acceptable
commercial behavior in social networks and the posting of marketing messages only when
the forum or site has clearly indicated its willingness to receive them;
Special attention and protection for children.===Advantages and limitations===
The whole idea of digital marketing can be a very important aspect in the overall communication
between the consumer and the organisation. This is due to digital marketing being able
to reach vast numbers of potential consumers at one time.Another advantage of digital marketing
is that consumers are exposed to the brand and the product that is being advertised directly. To clarify the advertisement is easy to access
as well it can be accessed any time any place.However, with digital marketing there are some setbacks
to this type of strategy. One major setback that is identified, is that
Digital marketing is highly dependent on the internet. This can be considered as a setback because
the internet may not be accessible in certain areas or consumers may have poor internet
connection.As well as digital marketing being highly dependent on the Internet is that it
is subject to a lot of clutter, so it marketers may find it hard to make their advertisements
stand out, as well as get consumers to start conversations about an organisations brand
image or products. As digital marketing continues to grow and
develop, brands take great advantage of using technology and the Internet as a successful
way to communicate with its clients and allows them to increase the reach of who they can
interact with and how they go about doing so,. There are however disadvantages that are not
commonly looked into due to how much a business relies on it. It is important for marketers to take into
consideration both advantages and disadvantages of digital marketing when considering their
marketing strategy and business goals. An advantage of digital marketing is that
the reach is so large that there are no limitations on the geographical reach it can have. This allows companies to become international
and expand their customer reach to other countries other than the country it is based or originates
from. As mentioned earlier, technology and the internet
allows for 24 hours a day, 7 days a week service for customers as well as enabling them to
shop online at any hour of that day or night, not just when the shops are over and across
the whole world. This is a huge advantage for retailers to
use it and direct customers from the store to its online store. It has also opened up an opportunity for companies
to only be online based rather than having an outlet or store due to the popularity and
capabilities of digital marketing. Another advantage is that digital marketing
is easy to be measured allowing businesses to know the reach that their marketing is
making, whether the digital marketing is working or not and the amount of activity and conversation
that is involved. With brands using the Internet space to reach
their target customers; digital marketing has become a beneficial career option as well. At present, companies are more into hiring
individuals familiar in implementing digital marketing strategies and this has led the
stream to become a preferred choice amongst individuals inspiring institutes to come up
and offer professional courses in Digital Marketing. A disadvantage of digital advertising is the
large amount of competing goods and services that are also using the same digital marketing
strategies. For example, when someone searches for a specific
product from a specific company online, if a similar company uses targeted advertising
online then they can appear on the customer’s home page, allowing the customer to look at
alternative options for a cheaper price or better quality of the same product or a quicker
way of finding what they want online. Some companies can be portrayed by customers
negatively as some consumers lack trust online due to the amount of advertising that appears
on websites and social media that can be considered frauds. This can affect their image and reputation
and make them out to look like a dishonest brand. Another disadvantage is that even an individual
or small group of people can harm image of an established brand. For instance Dopplegnager is a term that is
used to disapprove an image about a certain brand that is spread by anti-brand activists,
bloggers, and opinion leaders. The word Doppelganger is a combination of
two German words Doppel (double) and Ganger (walker), thus it means double walker or as
in English it is said alter ego. Generally brand creates images for itself
to emotionally appeal to their customers. However some would disagree with this image
and make alterations to this image and present in funny or cynical way, hence distorting
the brand image, hence creating a Doppelganger image, blog or content (Rindfleisch, 2016). Two other practical limitations can be seen
in the case of digital marketing. One,digital marketing is useful for specific
categories of products,meaning only consumer goods can be propagated through digital channels.Industrial
goods and pharmaceutical products can not be marketed through digital channels. Secondly, digital marketing disseminates only
the information to the prospects most of whom do not have the purchasing authority/power. And hence the reflection of digital marketing
into real sales volume is skeptical.Measuring The Effectiveness of Digital Marketing Campaigns
Although the ultimate criteria to evaluate any business initiative should be its return
on investment or any other financial metrics in general, the evaluation criteria and metrics
for the digital marketing campaigns can be discussed in more details. The criteria and metrics can be classified
according to its type and time span. Regarding the type, we can either evaluate
these campaigns “Quantitatively” or “Qualitatively”. Quantitative metrics may include “Sales Volume”
and “Revenue Increase/Decrease”. While qualitative metrics may include the
enhanced “Brand awareness, image and health” as well as the “relationship with the customers”. Shifting the focus to the time span, we may
need to measure some “Interim Metrics”, which give us some insight during the journey itself,
as well as we need to measure some “Final Metrics” at the end of the journey to inform
use if the overall initiative was successful or not. As an example, most of social media metrics
and indicators such as likes, shares and engagement comments may be classified as interim metrics
while the final increase/decrease in sales volume is clearly from the final category. The correlation between these categories should
exist. Otherwise, a disappointing results may happen
at the end in – spite of the illusion of success perceived early during the project.==Strategy=====
Planning===Digital marketing planning is a term used
in marketing management. It describes the first stage of forming a
digital marketing strategy for the wider digital marketing system. The difference between digital and traditional
marketing planning is that it uses digitally based communication tools and technology such
as Social, Web, Mobile, Scannable Surface. Nevertheless, both are aligned with the vision,
the mission of the company and the overarching business strategy.===Stages of planning===
Using Dr Dave Chaffey’s approach, the digital marketing planning (DMP) has three main stages:
Opportunity, Strategy and Action. He suggests that any business looking to implement
a successful digital marketing strategy must structure their plan by looking at opportunity,
strategy and action. This generic strategic approach often has
phases of situation review, goal setting, strategy formulation, resource allocation
and monitoring.====1) Opportunity====
To create an effective DMP, a business first needs to review the marketplace and set ‘SMART’
(Specific, Measurable, Actionable, Relevant and Time-Bound) objectives. They can set SMART objectives by reviewing
the current benchmarks and key performance indicators (KPIs) of the company and competitors. It is pertinent that the analytics used for
the KPIs be customised to the type, objectives, mission and vision of the company.Companies
can scan for marketing and sales opportunities by reviewing their own outreach as well as
influencer outreach. This means they have competitive advantage
because they are able to analyse their co-marketers influence and brand associations.To cease
opportunity, the firm should summarize their current customers’ personas and purchase journey
from this they are able to deduce their digital marketing capability. This means they need to form a clear picture
of where they are currently and how many resources they can allocate for their digital marketing
strategy i.e. labour, time etc. By summarizing the purchase journey, they
can also recognise gaps and growth for future marketing opportunities that will either meet
objectives or propose new objectives and increase profit.====2) Strategy====
To create a planned digital strategy, the company must review their digital proposition
(what you are offering to consumers) and communicate it using digital customer targeting techniques. So, they must define online value proposition
(OVP), this means the company must express clearly what they are offering customers online
e.g. brand positioning. The company should also (re)select target
market segments and personas and define digital targeting approaches. After doing this effectively, it is important
to review the marketing mix for online options. The marketing mix comprises the 4Ps – Product,
Price, Promotion and Place. Some academics have added three additional
elements to the traditional 4Ps of marketing Process, Place and Physical appearance making
it 7Ps of marketing.====3) Action====
The third and final stage requires the firm to set a budget and management systems; these
must be measurable touchpoints, such as audience reached across all digital platforms. Furthermore, marketers must ensure the budget
and management systems are integrating the paid, owned and earned media of the company. The Action and final stage of planning also
requires the company to set in place measurable content creation e.g. oral, visual or written
online media.After confirming the digital marketing plan, a scheduled format of digital
communications (e.g. Gantt Chart) should be encoded throughout the internal operations
of the company. This ensures that all platforms used fall
in line and complement each other for the succeeding stages of digital marketing strategy.===Understanding the Market===
One way marketers can reach out to consumers, and understand their thought process is through
what is called an empathy map. An empathy map is a four step process. The first step is through asking questions
that the consumer would be thinking in their demographic. The second step is to describe the feelings
that the consumer may be having. The third step is to think about what the
consumer would say in their situation. The final step is to imagine what the consumer
will try to do based on the other three steps. This map is so marketing teams can put themselves
in their target demographics shoes. Web Analytics are also a very important way
to understand consumers. They show the habits that people have online
for each website. One particular form of these analytics is
predictive analytics which helps marketers figure out what route consumers are on. This uses the information gathered from other
analytics, and then creates different predictions of what people will do so that companies can
strategize on what to do next, according to the peoples trends.==Sharing economy==
The “sharing economy” refers to an economic pattern that aims to obtain a resource that
is not fully utilized. Nowadays, the sharing economy has had an unimagined
effect on many traditional elements including labor, industry, and distribution system. This effect is not negligible that some industries
are obviously under threat. The sharing economy is influencing the traditional
marketing channels by changing the nature of some specific concept including ownership,
assets, and recruitment.Digital marketing channels and traditional marketing channels
are similar in function that the value of the product or service is passed from the
original producer to the end user by a kind of supply chain. For instance, a typical digital marketing
channel is email. Organization can update the activity or promotion
information to the user by subscribing the newsletter mail that happened in consuming. In addition to this typical approach, the
built-in control, efficiency and low cost of digital marketing channels is an essential
features in the application of sharing economy.==See also==
Digital marketing engineer Digital marketing system
Digital marketing channels in the sharing economy
Distributed presence Interactive marketing
Mobile marketing Online advertising
Pay per click Social media marketing
Visual marketing Customer Data Platform
User intent

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