What is Digital Marketing?

Digital marketing (also known as data-driven marketing) is an umbrella term for 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.[1]

Digital Marketing

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Digital marketing’s development since the 1990s and 2000s has changed the way brands and businesses utilize technology for marketing.[2] As digital platforms are increasingly incorporated into marketing plans and everyday life,[3] and as people use digital devices instead of visiting physical shops,[4][5] digital marketing campaigns are becoming more prevalent and efficient.

Digital marketing or web marketing techniques such as search engine optimization (SEO), search engine marketing (SEM), content marketing, influencer marketing, content automation, campaign marketing, data-driven marketing[6] and 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.[7]

History of Digital Marketing

The term digital marketing or online marketing was first used in the 1990s,[8] but digital marketing has roots in the mid-1980s, when the SoftAd Group, now ChannelNet, developed advertising campaigns for automobile companies: People sent in reader reply cards found in magazines and received in return floppy disks that contained multimedia content promoting various cars and free test drives.[citation needed]

In 2000 a survey in the United Kingdom found that most retailers had not registered their own domain address.[9]

Digital marketing became more sophisticated in the 2000s and the 2010s, when[10][11] the proliferation of devices’ capability to access digital media at almost any given time led to great growth.[12] Statistics produced in 2012 and 2013 showed that digital marketing was still a growing field.[13][14]

Digital marketing is often referred to as online marketing, internet marketing or web marketing. The term digital marketing has grown in popularity over time, particularly in certain countries. In the USA online marketing is still prevalent. In Italy, digital marketing is referred to as web marketing. In the UK and worldwide, however, digital marketing has become the most common term, especially after the year 2013.[15]

Digital media growth is estimated at 4.5 trillion online ads served annually with digital media spend at 48% growth in 2010.[citation needed] 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.[12]

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 exchanged around the world by anyone without any regard to whom they are.[22]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.[23]

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.[24] 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.[25] Although there may be inconstancy with product images;[26] 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.[23] 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.[26]

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.[27]

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