Introduction To Digital Marketing VI - Unlocked
Introduction To Digital Marketing VI - Unlocked
MARKETING
Module VI
WHAT IS DIGITAL MARKETING?
• Philip Kotler defines digital marketing as ‘a form of direct marketing which links
consumers with sellers electronically using interactive technologies like emails,
websites, online forums and newsgroups, interactive television, mobile
communications, etc.’
• Referred e- marketing/Internet marketing earlier
• Involves getting closer to customers, adding value to products, widening
distribution channels, boosting sales by running digital marketing campaigns
using digital media channels like search marketing, online advertising, affiliate
marketing ,generating leads through a website and managing after sales service
• E commerce – incl primarily selling online or ability to transact online
• Other hardware
Electronic marketspace
OPTIONS FOR ONLINE COMMUNIC ATIONS BETWEEN AN
ORGANIZATION AND ITS CUSTOMERS
3. Brand-building site
Dynamic dialogue
+ = Digital marketing
Customer driven discipline
Digital business
Involves the automation of all the
business processes in the value
chain
KEY DIGITAL MARKETING ACTIVITIES
Two-way • Consumers seek a brand- for eg pre purchase search online before
Communication buying
• Consumers co create the content- user stories /testimonials
Traditional Digital
media media Pull mechanism – imp
for companies to have
Push media – msg from good visibility in search
company to customers – esp consumers are
entering relevant search
items
Customer initiates
Limited interaction b/w contact with the brand
company and – while seeking info
customers through search –
inbound marketing
FIRST BANNER AD- 1994-
For Hotwired.com
TRADITIONAL MARKETING VS DIGITAL MARKETING
GLOBAL SCENARIO
India, 2015 - 2018
SELL SERVE
Digital
marketing
SPEAK SAVE
SIZZLE
THE 5S – DIGITAL MARKETING OBJECTIVES
Through online email communications, sales and Generate 10% more sales for
Save – Save costs service transactions to reduce staff, print and same communications budget
postage costs.
Sizzle – Extend the Through providing a new proposition and new Add two new significant
brand online experience online while at the same time enhancements to the customer
appearing familiar. online experience
Call to Action (CTA),
promotes multichannel selling
SIZZLE : Testimonials,
TYPICAL VALUE EVENTS - SELL
• Customer self service – product delivery, • Help customers do their jobs- content
after sales support eg newspaper about best practices
notifications – customized content eg
cricket scores
MEASURES OF ONLINE CUSTOMER ENGAGEMENT
Inbound marketing
Pull mechanism: in Digital marketing,
the contact with the brand is initiated
by the customer
Paid media
Media in which there is an investment to pay for visitors/reach/conversions through search, display or
affiliate advt. for eg Sponsored advertisements in search engines, websites, Facebook, Linkedin and
Twitter. Traditional media
Owned media
Media owned by brand. Company’s official website, microsite, social media pages such as Facebook page,
Linkedin page,Youtube channel and Twitter handle. Offline incl. brochures, retail stores Mobile apps or
blogs
Earned media
Publicity that is generated through recommendations and word of mouth
Done by targeting influencers ,stimulations through social/viral media
Social media engagement such as likes, shares, comments, replies, retweets, favorites etc. partners like
influencers, bloggers, customer advocates play a role
KEY DIGITAL MEDIA CHANNELS – USED FOR COMMUNIC ATION
Cost Per Acquisition (CPA) – crucial in controlling media, used to control the level of bids
• To add extra value, extend the experience and enhance the image
MERCEDES BENZ- OWNED MEDIA
• Mercedes is using their owned social channels, from a microsite to Twitter to Facebook and
Instagram to drive awareness around the #clatakethewheel campaign.
• Their owned media content strategy is being fueled largely by influencers with a large reach, that fit
the persona of their target audience, and it is aggregated on Facebook, a channel loved by Millennials
• FB – regional specific accounts, visual content- rich and engaging publishing a diverse range of
information – from car racing-related news, high-quality photographs featuring their cars in action, up
to status updates recalling Mercedes-Benz contribution into legendary automobile inventions to
reinforce the brand’s heritage value.
• they often reinforce the message by featuring and tagging in their content trending and popular
influencers such as car racing stars
• Content is often linked back to corporate website
• developed branded hashtags shared between social media platforms, such as #MBPhotoPass where
they allow social influencers, journalists, and team members to curate fresh and organic user-
generated content for their accounts.
• share on Twitter is similar to Facebook and includes a combination of car-racing news, inspiring
lifestyle images of their cars in action as well as some dose of historical news on the Mercedes- Benz
vehicles evolution.
MERCEDES BENZ CLA CAMPAIGN – USA
• Tata Salt - market leadership in the branded salt category with a 44 % market share and reaches
more than 148 million households in India.
• consistently named as one of India’s most trusted food brands since 2003
• On Global Iodine Deficiency Day observed each year on October 21, Tata Salt, reiterated the need
for increased awareness on the importance of iodine in the diet and steps for tackling iodine
deficiency.
• Through the #MissingI multi media campaign, the letter “I” was taken off from tweets to news
headlines in print and TV to create awareness and establish the importance of Iodine in the daily diet.
Even the media kit was designed quirkily to build the curiosity around World Iodine Deficiency Day.
The kit was in the form of a police FIR file which comprised of the press release, a periodic table
with the missing I, fact sheets and infographics.
• social Media: Twitter, Facebook, Instagram, Snapchat, any other social media platforms
• -Digital – SEO, ad words, ad placements, etc.
• The campaign was a huge success, which garnered 85.9 million impressions showcasing live tweets
from celebs and influencers reiterating the message of missing “I” with tease and later reveal, and in
context to match as well.
• The #MissingI Campaign was tending in Top 10 trends for the day nationally for the entire day and
was also trending on No. 1 spot for an hour.
DIGITAL MARKETING STRATEGY
• Needed to provide consistent direction for an organization's online marketing activities so that they integrate
with its other marketing activities and support its overall business objectives
• DMS – is a channel strategy where electronic channels and digital media support other communications and
distribution channels
• Clear prioritization to how the channel should be used
• Identify target markets, positioning, OVP, choice of mix of digital media channels to acquire new customers and
contact strategies to welcome and develop existing customers
• Should create differential value for all players involved
MAIN TYPES OF STRATEGIC DIGITAL MARKETING INITIATIVES
• Tactical e-tools include the web site, opt-in email, banner ads, virtual
exhibitions and sponsorship.
• Companies- modify product and add digital value . For eg- give additional
information/transaction services /repackage current information or create new business
opportunities using internet/get revenue by selling complementary products etc.
• Need is to analyse each product/service feature to improve or to be adapted online to add
value- the different element of the extended product can be delivered online
• Brands are shifting to non physical brand experiences.
• More complex the product- more online opportunity to educate/train/sell these products
online.
• Rise of “prosumers”- the proactive consumer which participates in the design of
product/services
• Digital products- offer interaction and engagement- customers want to interact with other
consumers and brands as well.
• Eg some companies create new products with UGC- includes new product ideas
PRODUCT
• Digital products are consumed differently- many customers – interact with the
brand in the communities.
• Eg BBC – all TV programs – Find (viewers can find the content easily) , Play
(interactive element), share (Product combined with promotion and distribution)
• Extended product adds tools which helps users during their use of product /service
and contributes to quality perception
• Credibility can be assured by : Endorsements ,Awards Testimonies, Customer lists
and numbers, Customer comments, Warranties Guarantees, Money-back offers,
White papers, Staff photographs, Social proof such as a number of subscribers,
circlers, fans or followers on social networks
USER-GENERATED CONTENT (UGC)
• refers to any digital content that is produced and shared by end users of an online service or website.
• includes any content that is shared or produced by users that are members or subscribers of the
service, but it is not produced by the website or service itself.
• also known as consumer-generated media (CGM) or conversational media.
• generally considered a form of conversational media, -content leads toward initiating a conversation.
• , the conversation that follows from a UGC is a form of UGC itself.
• The UGC produced by users can be viewed, consumed and shared by other users of the website or
service.
• Some forms of UGC include: Images Videos Status updates/tweets Infographics Comments Blogs
Online ads
• Facebook, Twitter and Pinterest - popular social platforms that work and operate mostly or entirely on
user-generated content.
• Online forums, classified websites and product review websites also rely on UGC.
CO CREATION
• the joint creation of value by the company and the customer; allowing the customer to co-construct the service
experience to suit their context.”
• “purposeful action of partnering with strategic customers, partners or employees to ideate, problem solve,
improve performance, or create a new product, service or business.”
• essentially involves 2 core steps:
- Contribution: Submission of contributions by the public to the firm
- Selection: Selection of the most promising and appealing contributions/submissions
• Types of co creation includes:
- Tinkering: Public exercises control over the contribution activity while the firm exercises control over the
selection activity
- Submitting: Firm exercises complete control over both the activities
- Co-designing: Firm exercises control over the contribution activity while the public exercises control over the
selection activity
- Collaborating: Public exercises complete control over both the activities eg Mozilla Linux
TINKERING
CO DESIGNING
ONLINE VALUE PROPOSITION
• To have an effective online value proposition it should start when a customer searches
for your site in google, so make sure your message is clear at that point. Your
proposition then should be prominent all throughout your website not just on the home
page. Lastly the proposition should be fulfilled online and offline.
• Should consider the 6 Cs
• Content – in-depth information about the product, its usage and buying process, may
also include interactive content (visual).
• Customization – personalization of content according to each customer or segment of
individuals.
• Community – other customers reviews of the product.
• Convenience – how easy is it to find, select, purchase and use products from where you
are.
• Choice – showing the customer the wide choice of products and services available.
• Cost reduction – simply buying online is cheaper in many aspects.
OVP BENEFITS
• “Pay what you want”- first used by Radiohead to launch cds online .
• Different services like name your price (Priceline), group price (Groupon) are being used
• New pricing approaches being used to sell products online
• Websites can track customer habits, visits to tailor prices
Different options:
1. Subscription: traditional publisher revenue model where subscription is offered for different periods at
different price points.
2. Pay per view: A fee for single download/viewing session at a relatively higher price than subscription
service
3. Bundling- Different channels or content can be grouped at reduced price as compared to ppv
4. Ad supported content: Publishers main revenue is through adverts on the site or on the app or
customers can opt for ad free content .
PRICING
• Means place of purchase, distribution and consumption- use of widgets and apps
• place and promotion overlap – more promotion- increases distribution
• QR codes, location based marketing help to integrate place and promotion
• Remarketing also helps in integration
• QR codes : QR code (abbreviated from Quick Response Code) is the trademark for a type of matrix
barcode (or two-dimensional barcode) first designed in 1994 for the automotive industry in Japan.
• machine-readable optical label that contains information about the item to which it is attached.
• Used in consumer advt,marketing , to store personal information, Redirects to websites/url etc
PROMOTION
•
DISTRIBUTION MODELS
Digital Marketing
Morph into Simultaneity in
Products Services production and
consumption