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Digital Marketing

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Business Studies

Digital marketing has become one of the most popular forms of marketing in recent years. As more and more people have access to digital devices, marketing through digital platforms is a must for all businesses. Let's take a look at how businesses can use digital marketing campaigns to increase brand awareness and influence customer purchase decisions.

The value of digital marketing

Digital marketing is the act of promoting a product or service using the Internet and digital media

The rise of digital marketing not only brings changes to how market research is carried out but also influence the marketing mix:

  • Data: The Internet allows businesses to quickly gather information about their customers.

    eCommerce websites can observe past shopping behavior to recommend similar items, customers are likely to purchase.

    Platforms such as Youtube and Facebook can track your activities and provide advertisers with data to create customized ads.

  • Price: Thanks to the Internet, businesses can adjust prices based on the time of order or user history. This ability to change prices according to various factors is called dynamic pricing. One typical example is when buying a flight ticket. Visiting a site too many times and you'll see an increase in the price.

  • Promotion: The Internet also affects the way products and services are promoted. For example, nowadays content marketing and social media marketing are common ways for businesses to attract customers on the web. Digital marketing also makes it possible for businesses to target specific segments and involve customers in the marketing process (for example, through product reviews or social media marketing).

  • Distribution: Companies in the digital age don't need a physical presence to operate. AneCommerce store can easily be set up on platforms such as Shopify and Etsy to distribute all sorts of products. The internet also allows businesses to sell directly to the customers instead of selling via an intermediary.

  • Product: Many products today only exist in digital forms such as ebooks, online courses, newsletters, etc. They can be downloaded directly from the web rather than collected from a physical store.

  • People: While the Internet has grown significantly, it hasn't been able to replace humans in customer service and personal selling. It does, however, provide customers access to sales representatives and support teams at any time anywhere.

  • Process: The buying process can take place more smoothly on digital channels than in brick and mortar stores. With a few clicks, people can locate an item they need on an online store and make instant payment with a card.

  • Physical appearance: Physical appearance is no longer a requirement for establishing a business. Most businesses nowadays would rather invest in web design to increase customer experience on the web.

Types of digital marketing

Digital marketing is a big umbrella term that can be split into several sub-categories:

Search engine optimization (SEO)

Search Engine Optimization Icon, StudySmarterSEO represented by online searches made on laptop, Freepik.com

SEO is the combination of all activities to help a site rank higher on a search engine.

The goal is to drive organic traffic to the company's website and transform that traffic into potential sales.

SEO practices are grouped into two categories:

  • On-page SEO includes activities that focus on improving on-page elements of a site such as keywords, internal links, page speed, and images.

  • Off-page SEO includes activities that happen "off the page" to improve a site's ranking. For example, you can write guest posts, build backlinks, create social media posts to drive traffic to your website.

Paid search

digital marketing, paid search, StudySmarterPaid search represented by clicking on a dollar sign, Flaticon.com

Paid search is the act of paying the search engine for ad spaces on SERPs (Search Engine Ranking Pages).

These ads often work on a PPC (Pay per click) basis where you only pay when people click on your ads. You can find info on a keyword's competition level and pricing via SEO tools such as Ubersuggest, Moz, or SEMRush.

Content marketing

Content marketing is the act of creating and sharing online materials such as articles, videos, infographics, social media posts, podcasts, etc. to attract, engage, and retain an audience. The key of this strategy is to deliver the right content at each stage of customer awareness.

Social media marketing

Digital marketing, Social media marketing StudySmarterSocial media marketing represented by likes and a hashtag, Freepik.com

Social media marketing refers to the act of promoting the product or service using social media platforms such as Twitter, Instagram, Facebook, LinkedIn.

Companies engage with a wide range of audiences on social media, including potential customers, journalists, employees, influencers, and the general public. One common activity of social media marketing is to encourage user-generated content such as product reviews or comments.

Email marketing

Digital Marketing email marketing StudySmarterEmail marketing represented by an @ symbol in an envelope, Flaticon.com

Email marketing is the act of making customers aware of a business's products and services via email.

It is also an important activity to nurture leads and generate sales. One example of email marketing campaign is to send a weekly newsletter to inform your audience of the latest industry news. This allows your brand to establish itself as a trusty source of information and encourage people to do business with you in the future.

Affiliate marketing

Digital Marketing affiliate marketing StudySmarterAffiliate marketing represented by a handshake, Flaticon.com

Affiliate marketing is an advertising form where companies pay others to promote their products or services.

It can range across many industries and product types. One example is bloggers who review Amazon books with an affiliate link for people to buy. When someone purchases the book through the link, the affiliate marketer earns a little commission.

Marketing automation

Marketing automation is the use of automated technology to streamline your marketing activities and make them more effective.

For example, you can schedule social posts with Hootsuite, set up an automated onboarding email series with Mailchimp, or install an automated chatbox on your website to answer FAQs.

Mobile marketing

Mobile marketing is the technique of reaching the audience on smartphones, through the use of emails, SMS, websites, and social media.

With mobile making up more than 50% of total web traffic, mobile marketing has grown to be an indispensable part of all digital marketing strategies.

How to develop a digital marketing strategy

A digital marketing strategy is a set of planned actions to help your business reach its goals.

Here are six steps to developing a digital marketing strategy:

1. Research and define goals

2. Collect customer information

3. Create leads

4. Nurture leads

5. Retain existing customers

6. Build marketing automation

Step 1: Research and define goals

This step includes researching your competitors and collecting customer feedback to identify your business' online position. Once the research is collected, the next step is to set a goal to help you realize your digital marketing goals.

You can increase your website's SEO ranking by setting goals such as creating quality content, building quality backlinks from authoritative websites, and improving page speed.

Step 2: Collect customer information

The next step is to collect data about your target groups. This can be done by creating a buyer persona, including your customer's preferences and behaviors online. A tool like Google Analytics can help you collect real-time customer data and create more relevant content marketing campaigns.

Step 3: Create leads

This step is about collecting your audience's personal data for future contacts. The most common way to generate leads for websites is to give away free ebooks or coupons in exchange for customer emails. Other popular methods include target ads display, search engine optimization, social media, and influencer marketing.

Step 4: Nurture leads

Once the leads are generated, the next step is nurturing those leads into long-term relationships and potential customers. How can this be done? The best practice is to educate your customers about your business and service in a non-salesy way. In other words, to add value to their life.

One example of nurturing leads is to develop an email course to help people solve a nagging problem or keeping them informed of an industry news.

Step 5: Retain existing customers

In the long run, marketing should turn one-time buyers into loyal customers. Once you have convinced the hard-earned lead to make a purchase, it shouldn't be the end of the relationship. Try to turn them into repeated buyers with smart customer retention campaigns.

Some ways to nurture relationships with existing customers include:

  • Send a thank you note

  • Ask for feedback

  • Develop customer loyalty programs

  • Cross-sell related products through email newsletters

  • Disclose your plan for future product development.

Step 6: Build marketing automation

You don't have to do the same thing over and over time. Technology makes it easy to automate workflow so you can focus on more important tasks.

Set up an onboarding email automation and chatbox to answer your customers' FQAs.

What is the job of a digital marketing agency?

If you don't want to conduct digital marketing on your own, one alternative is to outsource it to a digital marketing agency. Most agencies are well-versed in industry know-how, latest trends, tools strategies. They can help to drive organic traffic, expand business reach, generate sales with little effort on your side.

You may choose a full-service agency that performs A to Z digital marketing campaigns or a specialized agency for one digital marketing area (inbound marketing, SEO, email, social media, or content marketing).

Digital Marketing - Key takeaways

  • Digital marketing is the act of promoting a product or service using the Internet and digital media.
  • Some types of digital marketing are SEO, content marketing, social media marketing, email marketing, paid search, mobile marketing, and marketing automation.

  • A digital marketing strategy is a set of planned actions to help a company improve its online presence. The strategy is split into 6 steps: research and define goals, collect data about the target audience, generate leads, nurture leads, retain existing customers, and set up automation.

  • Companies can either conduct digital marketing on their own or resource it to a digital marketing agency.

  • There are many free courses online to help you improve your digital marketing skills

Digital Marketing

Digital marketing is the act of promoting a product or service using the Internet and digital media. Its goal is to increase brand awareness which is directly linked to consumer purchasing decisions.

SEO is the combination of all activities to help a site rank higher on a search engine. The goal is to drive organic traffic to the company's website and transform that traffic into potential sales

Digital marketing strategies are a set of planned actions to help a business improve its online presence and achieve marketing objectives. There are six steps to a digital marketing strategy: research and define goals, collect data about the target audience, generate leads, nurture leads, retain existing customers, and set up automation.

Common types of digital marketing are SEO, content marketing, social media marketing, email marketing, paid search, mobile marketing, and marketing automation.

An example of digital marketing automation would be installing an automated chatbot on your website to answer FAQs.

Final Digital Marketing Quiz

Question

Digital marketing is the act of promoting a product or service using...

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Answer

the Internet and digital media

Show question

Question

Digital marketing can influence the marketing mix strategy. 

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Answer

True

Show question

Question

Give an example of digital marketing influencing a product's price. 

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Answer

When buying a flight ticket, visit a site too many times and you'll see an increase in the price. This phenomenon is called dynamic pricing. 

Show question

Question

Digital marketing allows companies to sell their products without a physical presence.

Show answer

Answer

True

Show question

Question

Give an example of digital marketing simplifying the process of buying. 

Show answer

Answer

With a few clicks, people can locate an item they need on an online store and make instant payment with a card.

Show question

Question

Name some types of digital marketing

Show answer

Answer

  • Search engine optimisation
  • Paid search
  • Content marketing
  • Social media marketing
  • Email marketing
  • Affiliate marketing

Show question

Question

Search engine optimisation includes all activities that help a site rank higher on a...

Show answer

Answer

search engine. 

Show question

Question

What is the main difference between Search engine optimisation (SEO) and paid search?

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Answer

SEO is free whereas paid search takes fees from advertisers. 

Show question

Question

What are some forms of content marketing?

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Answer

  • Online articles
  • Video
  • Infographics
  • Social media posts
  • Podcasts

Show question

Question

What types of content does social media marketing encourage?

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Answer

user-generated content such as product reviews and comments. 

Show question

Question

Give an example of an email marketing campaign

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Answer

A company sends a weekly newsletter to keep the customers updated with the latest industry news. 

Show question

Question

Mobile marketing is becoming more and more popular in the digital age. 

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Answer

True

Show question

Question

What are the steps to create a digital marketing strategy?

Show answer

Answer

1. Research and define goals

2. Collect customer information

3. Create leads

4. Nurture leads

5. Retain existing customers

6. Build marketing automation

Show question

Question

Nurturing leads means...

Show answer

Answer

developing a long-term relationship with existing and potential customers. 

Show question

Question

What are some ways to retain existing customers?

Show answer

Answer

  • Send a thank-you note

  • Ask for product feedback

  • Develop customer loyalty programs

  • Cross-sell related products through email newsletters

Show question

Question

Keywords, internal links, page speed, and images are elements of ...

Show answer

Answer

on-page SEO

Show question

Question

Writing guest posts, building backlinks, and creating social media posts are activities of ...


Show answer

Answer

on-page SEO

Show question

Question

Define marketing automation

Show answer

Answer

Marketing automation is the use of automated technology to streamline your marketing activities and make them more effective.

Show question

Question

Mobile marketing is the technique of reaching the audience on smartphones, through the use of ...


Show answer

Answer

emails, SMS, websites, and social media 

Show question

Question

Give an example of marketing automation

Show answer

Answer

Set up an onboarding email automation and chatbox to answer your customers' FQAs.

Show question

Question

What is the main job of a digital marketing agency?

Show answer

Answer

A digital marketing agency helps a company to conduct digital marketing campaigns so as to drive traffic, expand business reach and generate sales. 

Show question

Question

Companies can either conduct digital marketing on their own or resource it to a digital marketing agency.

Show answer

Answer

True

Show question

Question

What is the function of data in digital marketing?

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Answer

Data helps companies to analyze customer behavior and make product recommendations that match customers' needs and want. 

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Question

Can you give examples of product that exists only in digital forms?

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Answer

ebook, online courses, printables, etc.

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