CSC-370

E - Commerce
(BSc CSIT, TU)
Ganesh Khatri
[email protected]
Digital Marketing

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 Digital Marketing
• Digital marketing is the use of the Internet, mobile devices, social media,
search engines, and other channels to reach consumers.
• Some marketing experts consider digital marketing to be an entirely new
endeavor that requires a new way of approaching customers and new ways of
understanding how customers behave compared to traditional marketing
• Digital marketing is a broad field, including attracting customers via email,
content marketing, search platforms, social media, and more.
• Digital marketing targets a specific segment of the customer base and is
interactive.

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 Digital Marketing
• Digital marketing is on the rise and includes search result ads, email ads, and
promoted tweets – anything that incorporates marketing with customer
feedback or a two-way interaction between the company and customer.
• In digital marketing, advertisers are commonly referred to as sources, while
members of the targeted ads are commonly called receivers.
• Sources frequently target highly specific, well-defined receivers

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 Digital Marketing : Search Engine Marketing (SEM)
• SEM is one of the most effective ways to grow your business in an increasingly
competitive marketplace.

• With millions of businesses out there all vying for the same eyeballs, it’s never been
more important to advertise online, and search engine marketing is the most effective
way to promote your products and grow your business

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 Digital Marketing : Search Engine Marketing (SEM)
• SEM is the practice of marketing a business products/services using paid
advertisements that appear on search engine results pages.
• Advertisers bid on keywords that users of services such as Google and Bing
might enter when looking for certain products or services, which gives the
advertiser the opportunity for their ads to appear alongside results for those
search queries
• These ads, often known by the term pay-per-click ads, come in a variety of
formats.
• Some are small, text-based ads, whereas others, such as product listing ads
(PLAs, also known as Shopping ads) are more visual, product-based
advertisements that allow consumers to see important information at-a-glance,
such as price and reviews

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 Digital Marketing : Search Engine Marketing (SEM)
• greatest strength of SEM is that it offers advertisers the opportunity to put their
ads in front of motivated customers who are ready to buy at the precise
moment they’re ready to make a purchase.
• No other advertising medium can do this, which is why search engine
marketing is so effective and such an amazingly powerful way to grow your
business.

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 Digital Marketing : SEM vs. SEO
• Generally, "search engine marketing" refers to paid search marketing, a system
where businesses pay Google to show their ads in the search results.
• Search engine optimization(SEO), is different because businesses don't pay
Google for traffic and clicks; rather, they earn a free spot in in the search
results by having the most relevant content for a given keyword search.
• Both SEO and SEM should be fundamental parts of your online marketing
strategy.
• SEO is a powerful way to drive evergreen traffic at the top, while search engine
advertisements are a highly cost-effective ways of advertising

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 Digital Marketing : Keyword Advertising
• Keyword advertising is a method of advertising on search engines using
keyword research.
• By determining the keyword searches that are most relevant to your business's
offerings, you can then bid to place your ads in the search results for relevant
keywords.
• For example, if you sell footwear, you can make sure people searching for
keywords like "sneakers" or "women's boots" see your advertisements.
• Almost all of search marketing revolves around keywords.
• Choosing the right keywords for advertising can make or break your ad
campaigns

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 Digital Marketing : Keyword Advertising
• The most important element of keyword search advertising is to bid on highly
relevant keywords.
• The more relevant your keywords are to your business and website, the more
cost-effective your online marketing campaign will be
• As a best practice when doing keyword advertising, first select keywords that
relate to your business, then craft text ads that incorporate these advertising
keywords.
• When visitors click on your ads in the Search Engine Results Page (SERP), you
pay the amount that you've bid on the keyword (with a discount, if your ads
are very high-quality). This process is known as pay-per-click (PPC) advertising.

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 Digital Marketing : Search Engine Optimization(SEO)
• SEO is the process of optimizing web pages and their content to be easily
discoverable by users searching for terms relevant to your website.
• The term SEO also describes the process of making web pages easier for
search engine indexing software, known as "crawlers," to find, scan, and index
your site
• Billions of searches are conducted online every single day.
• This means an immense amount of specific, high-intent traffic.
• Many people search for specific products and services with the intent to pay for
these things.
• These searches are known to have commercial intent, meaning they are clearly
indicating with their search that they want to buy something you offer.

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 Digital Marketing : Search Engine Optimization(SEO)
• It’s important to note that
Google is responsible for
the majority of the search
engine traffic in the world.
• This may vary from one
industry to another, but it’s
likely that Google is the
dominant player in the
search results that your
business or website would
want to show up in

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 Digital Marketing : SEO Keyword Research
• The first step in search engine optimization is to determine what you’re actually
optimizing for.
• This means identifying terms people are searching for, also known as
“keywords,” that you want your website to rank for in search engines like
Google.
• There are several key factors to take into account when determining the
keywords you want to target on your site :
– Search Volume : The first factor to consider is how many people are actually
searching for a given keyword. The more people there are searching for a
keyword, the bigger the potential audience you stand to reach. Conversely, if no
one is searching for a keyword, there is no audience available to find your content
through search.

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 Digital Marketing : SEO Keyword Research
• There are several key factors to take into account when determining the
keywords you want to target on your site :
– Relevance : A term may be frequently searched for, but that does not necessarily
mean that it is relevant to your prospects. Keyword relevance, or the connection
between content on a site and the user's search query, is a crucial ranking signal.
– Competition : Keywords with higher search volume can drive significant amounts
of traffic, but competition for premium positioning in the search engine results
pages can be intense

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 Digital Marketing : Display Ad Marketing
• Although the term “display ad” may be unfamiliar, you’re almost certainly
familiar with display ads themselves.
• They’re the visual-based ads you see while reading an article on your favorite
blog, watching a video on YouTube, or using a mobile app etc.
• Display advertising is a method of attracting the audience of a website, social
media platform or other digital mediums to take a specific action.
• These are often made up of text-based, image or video advertisements that
encourage the user to click-through to a landing page and take action (e.g.
make a purchase).
• Most display and online advertising campaigns are charged on a cost per click
(CPC) basis.
• That is to say, every time the user on a search engine clicks on your ad, you’ll
get charged an amount based on your overall bidding strategy
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 Digital Marketing : Display Ad Marketing
• Display ads can come in several shapes and sizes, which include the following :
– Banner Ads : One of the oldest and traditional forms of advertising, usually
appear at the top of websites in a “banner” format.
– Interstitial Ads : These ads appear as web pages that are served to users before
they are directed to the original page they requested or an advertisement that
appears while a chosen website or page is downloading
– Rich Media : These ads include interactive elements, such as video, audio and
clickable elements.
– Video Ads : The YouTube advertising platform, as well as social networks like
Instagram and Facebook, have opened a whole new avenue for marketers. Video
ads allow you to reach your audience and connect with them on a personal level,
and are well worth investing in.

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 Digital Marketing : Display Ad Marketing : Pros
• Diversity :
– Display ads come in many shapes and sizes. And they can be presented in a
number of formats, too.

• Reach :
– Google Display Network (GDN), can access millions of sites straight from your
Google Ads account.
• Targeting :
– Because of GDN’s extensive reach, you can also target the right audience by
placing your ads on the right websites.
– This includes demographic and geo-targeting, along with specific interests of your
target audience.
• Measurable :
– Clicks, impressions and conversions can all be tracked from Google Ads, as well as
Google Analytics for more granular performance and engagement tracking.
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 Digital Marketing : Display Ad Marketing : Cons
• Banner Blindness :
– Because of the prolific nature of display ads, many users have come to ignore
them completely.
– This means a lower click-through rate.
– However, this can be circumvented using rich media ads

• Ad Blockers :
– ad blocker technology has risen in popularity over the last few years.

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 Digital Marketing : Advertising Exchanges
• An ad exchange is a digital marketplace that enables advertisers and publishers
to buy and sell advertising space, often through real-time auctions.
• They’re most often used to sell display, video and mobile ad inventory
• Virtually anyone can buy from an ad exchange provided the ad exchange
allows it.
• Advertisers and agencies typically use demand-side platforms or their own
bidding technologies to do so, but ad networks and other entities also buy ads
from exchanges
• Exchanges enable advertisers to easily buy ads across a range of sites at once,
as opposed to negotiating buys directly with specific publishers.
• It’s a more effective and efficient way to buy and sell advertising
• Major ad exchange operators include Google Ad Manager, Microsoft
Advertising, The Rubicon Project, OpenX, Yahoo etc.
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 Digital Marketing : Programmatic Advertising
• Programmatic advertising is the process of automating the buying and selling
of ad inventory in real-time through an automated bidding system.
• Programmatic advertising enables brands or agencies to purchase ad
impressions on publisher sites or apps within milliseconds through a
sophisticated ecosystem
• Programmatic advertising has become one of the most preferred ways of
running ad campaigns
• Programmatic advertising includes ad slots for online streaming, TV, video and
voice ads.
• also known as programmatic marketing or programmatic media
• Eg : Google, The Economist, Amanda Foundation, etc.

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 Digital Marketing : Real Time Bidding
• Real-time bidding (RTB) is an automated digital auction process that allows
advertisers to bid on ad space from publishers on a cost-per-thousand-
impressions, or CPM, basis
• CPM(Cost Per Mille) is what you pay for one thousand people to see your ad.
• Like an auction, the highest bid from relevant ads will typically win the ad
placement
• The RTB process occurs in milliseconds before a website even loads. You won’t
even notice it happening!
• RTB in advertising is a part of the programmatic advertising process.

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 Digital Marketing : Real Time Bidding
• It involves three platforms for ad buying:
– Supply-side platforms (SSPs)
– Ad Exchanges
– Demand-side platforms (DSPs)

• These different platforms work together to get ads in front of the user
• Demand-side platforms (DSPs) :
– allow an advertiser to buy ad space and manage their ads.
– It’s a place for advertisers, who have a demand for ad space.
– An example of a demand-side platform would be Google Ads

• Ad Exchange :
– In between the advertiser and the publisher is the ad exchange
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 How does real-time bidding work?
1. When you arrive at a site, before the page loads, the site’s publisher sends
available ad space dimensions to the supply-side platform.
2. Then, the supply-side platform looks at your cookies. This is data from your
web activity, your interests, demographics, and more. This data helps
determine what ad would be relevant to you.
3. Next, the demand-side platform assigns a value to the user and places a bid
on the ad space based on that information.
4. Just a reminder, this happens between the time you click on a search result
and the page loads.
5. Finally, the supply-side platform receives the bids and picks a winner based on
the highest and most relevant bid.

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 Digital Marketing : Real Time Bidding - Benefits
1. Real-time bidding saves you time
2. Real-time bidding is cost-efficient
3. Real-time bidding ensures that your ad is relevant

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 Digital Marketing : Email Marketing
• Email marketing is the use of email to promote products or services while
developing relationships with potential customers or clients.
• It is essentially direct mail done electronically instead of through the postal
service
• Email marketing can include newsletters with updates on the company, or
promotions of sales and exclusive deals for subscribers.
• Marketing emails may also seek to share a general message on the company's
behalf, such as in the wake of a natural disaster or company scandal.
• At its best, email marketing allows businesses to keep their customers informed
and tailor their marketing messages to their audience.
• At its worst, this kind of marketing can drive customers away with persistently
annoying spam emails.
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 Digital Marketing : Email Marketing
• It's easy to set up and track an email marketing campaign, which makes it
accessible for small businesses.
• You can add a newsletter sign-up option to your website, for instance.
• As people sign up, you can send newsletters to a growing audience.
• You can also direct customers to the newsletter from your social media profiles.
• Note : The two biggest advantages of email marketing are price and ease.
Compared to other types of marketing, emailing is an inexpensive way to
advertise your company and its products or services
• Email marketing can substantially increase your income if you do it correctly.
• It's a great way to get people to visit (and revisit) your website or blog.
• More traffic usually equates to more income.
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 Digital Marketing : Email Marketing Strategies
• Build Your Own List
• Follow the Law
• Mix Up Your Messages
• Respect Your Subscribers
• Follow a Schedule
• Optimize for Mobile

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 Digital Marketing : Affiliate Marketing
• Affiliate marketing is an advertising model in which a company compensates
third-party publishers to generate traffic or leads to the company’s products
and services.
• The third-party publishers are affiliates, and the commission fee incentivizes
them to find ways to promote the company.
• The Internet has increased the prominence of affiliate marketing.
• Amazon popularized the practice by creating an affiliate marketing program
whereby websites and bloggers put links to the Amazon page for a reviewed or
discussed product to receive advertising fees when a purchase is made.
• In this sense, affiliate marketing is essentially a pay for performance marketing
program where the act of selling is outsourced across a vast network.
• Firms typically pay per sale and less frequently by click or impression
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 Digital Marketing : Mobile Marketing
• is the art of marketing your business to appeal to mobile device users.
• When done right, mobile marketing provides customers or potential customers
using smartphones with personalized, time and location-sensitive information
so that they can get what they need exactly when they need it, even if they're
on the go
• As we know mobile is the future of marketing, but really the era of mobile has
already arrived.
• If you're not implementing some kind of mobile marketing strategy, you're
already trailing behind!

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 Digital Marketing : Mobile Marketing
• Mobile marketing consists of ads that appear on mobile smartphones, tablets,
or other mobile devices.
• Mobile marketing ad formats, customization, and styles can vary, as many
social media platforms, websites, and mobile apps offer their own unique and
tailored mobile ad options.
• Mobile marketing consists of ads that appear on mobile smartphones, tablets,
or other mobile devices.
• Mobile marketing ad formats, customization, and styles can vary, as many
social media platforms, websites, and mobile apps offer their own unique and
tailored mobile ad options.

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Digital Marketing : Mobile Marketing Strategies/Types
• App Based Marketing :
– This is mobile advertising involving mobile apps.
– While 80% of mobile time is spent engaged with apps, you don’t have to create an
app yourself to get in on the action.
– Services like Google AdMob help advertisers create mobile ads that appear within
third-party mobile apps
– Facebook also allows advertisers to create ads that are integrated into Facebook’s
mobile app.
– Facebook’s mobile Promoted Post ads integrate so seamlessly with Facebook’s
news feed that users often don’t realize they’re looking at ads

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Digital Marketing : Mobile Marketing Strategies/Types
• In-game mobile marketing :
– refers to mobile ads that appear within mobile games
– In-game ads can appear as banner pop-ups, full-page image ads or even video ads
that appear between loading screens.

• QR Codes :
– QR codes are scanned by users, who are then taken to a specific webpage that the
QR code is attached to.
– QR codes are often aligned with mobile gamification and have an element of
mystery to them, since users who scan them don’t always know exactly which
rabbit hole they’re jumping down

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 Digital Marketing : Mobile Marketing Strategies/Types
• Location-based Marketing :
– are ads that appear on mobile devices based upon a user’s location relative to a
specific area or business.
– For example, some advertisers may only want their mobile ads to appear when
users are within a 1-mile radius of their business
• Mobile Search Ads :
– These are basic Google search ads built for mobile, often featuring extra add-on
extensions like click-to-call or maps
• Mobile Image Ads :
– Image-based ads designed to appear on mobile devices
• SMS :
– SMS marketing involves capturing a user’s phone number and sending them text
offers. This is considered somewhat out of date.
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 Digital Marketing : Local Marketing
• Local marketing is a strategy that targets potential customers within a specific
radius - typically 50 miles of the physical location of a business.
• It’s also known as location-based marketing, neighborhood marketing, or local
store marketing
• Local marketing can work for any brand that has a physical location, like shops
and bars, or any locally-based businesses that travel to a customer’s location,
such as plumbers and electricians.
• Local businesses can use a range of outbound and inbound marketing methods
to attract customers, including
– Inbound : Google My Business, Local SEO, social media marketing, etc.
– Outbound : Display ads, attending local events, community involvement, etc.

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 Digital Marketing : Online Marketing Metrices
• Digital Marketing Metrics and KPIs(Key Performance Indicator) are values used by
marketing teams to measure and track the performance of their marketing campaigns.

• Digital marketing teams use a number of tools to promote their services and products,
and tracking the results can often be time consuming and difficult.

• By creating specific digital marketing KPIs, it’s easy to determine targets and goals and
measure performance based on those values

• Examples :
– Returning Visitor Metric
– Brand Awareness Metric
– Incremental Sales
– Web Traffic Sources
– Content Downloads etc.
– Google analytics tools
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Digital Marketing : Pricing Models for Online Advertisements
• There are several different ways to price online ads.
• The pricing model depends on the campaign goals, the platform hosting the ad
and the type of ad itself.
• Not all digital advertising pricing models are created equally.
• Some models are more advertiser-friendly than others.
• These are the four most common pricing models used in the online
performance advertising model :
– Cost-per-Thousand (CPM)
– Cost-per-Click (CPC)
– Cost-per-Lead (CPL)
– Cost-per-Action
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Digital Marketing : Pricing Models for Online Advertisements
• Cost-per-Thousand (CPM)
– most common pricing model for video advertising.
– display advertising also commonly uses the CPM model, but display ads are
starting to move towards other pricing models, such as cost-per-lead (CPL) or cost-
per-action (CPA).
– the CPM pricing model sets a flat rate for every 1000 views an ad gets
– One of the major issues with this pricing model is that advertisers are charged
regardless of whether anyone clicks their ad.
– Youtube, for example, bills advertisers on a CPM basis.
– Advertisers are charged a flat rate per thousand views.

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Digital Marketing : Pricing Models for Online Advertisements
• Cost-per-Click (CPC)
– It charges advertisers only when someone clicks on the ad.
– This model corrects one of the major issues with the CPM model, where
advertisers are charged, regardless of how many people click on the ad.
– That doesn’t mean the CPC model is perfect, in search advertising, keywords have
become very expensive (and prices are steadily rising).

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Digital Marketing : Pricing Models for Online Advertisements
• Cost-per-Lead (CPL)
– are the most advertiser-friendly pricing model.
– In the CPL model, advertisers only pay for every qualified lead.
– This model eliminates the possibility of paying for accidental clicks and views.
– To qualify as a lead, someone has to explicitly fill out a form on the advertiser’s
website after clicking the ad (usually to provide contact information.)
– CPL advertising allows advertisers to generate guaranteed returns from their online
advertising budget.
– Example : In 2008, the Obama campaign used CPL advertising to build email lists.
A lead was only considered qualified if they signed up for an eNewsletter, making
the campaign very cost effective

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Digital Marketing : Pricing Models for Online Advertisements
• Cost-per-Action(CPA)
– requires even more specific actions than CPL before an advertiser pays.
– Usually, that action involves the customer making a purchase or signing up for a
service.
– In CPA advertising, the advertiser usually only pays after a credit card transaction.
– That means the CPA model is best for motivating immediate action when the
advertiser wants a customer to buy something right away.
– For that reason, CPA advertising can be ineffective for industries with a high barrier
to purchase such as financial services, insurance, and professional services.

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