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Title

“The impact of digital marketing as a marketing tool in INDIAN market”

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ACKNOWLEDGEMENT

Any activity big or small is a result of collective effort of several individuals. From the very

beginning of human civilization to this complex world, we are dependent on each other for

accomplishment our goals. The project report of 5 such magnitude could not be accomplished

without the assistance of several people who participated directly or indirectly. This project

report is also the result of collective effort and support of several individuals who have been

given me their valuable contribution in fulfilment of the work. Exchange of ideas generates a

new object to work in a better way. So whenever a person is helped and cooperated by others, his

heart is bound to pay gratitude and obligation to them. Acknowledgement is not merely a

formality but an expression of deep sense of gratitude and cumulative appreciation.

First of all, I would like to give special thanks to the almighty whose blessing helped me to

complete this project. Completing a task is never a one man effort. Before explaining my project

report,

I give my sincere gratitude and thanks to Mr.Manish Tiwari (EDSS Pvt. Ltd.) to provide a

proper guidance and a right approach from time to time, to accomplish the goal. They shared

ideas with me to complete my project. They have always been guiding and suggesting me like

teacher, guide and mentor as well.

I also acknowledge my heartiest gratitude to. A faculty member of, who helped me a lot and give

me a right direction in completing the project. I am also grateful to all my faculty members of

Sinhgad Institute of Managaement and Computer Application, who have helped me in

completing this project. It shall be an injustice, if I don’t express thank to my friends who helped

me in completing my project report.

It is my earnest duty to express most gratitude and honour to my parents.

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DECLARATION

I, the undersigned, hereby declare that the Project Report entitled

―IMPACT OF DIGITAL MARKETING AS A MARKETING TOOL IN INDIA‖

Written and submitted by me to the University of Pune, Pune in partial fulfilment of the

requirement for the award of degree of Master of Business Administration under the guidance of

Dr.B.U.Sankaye (Project Guide) is my original work and the conclusions drawn therein are

based on the material collected by myself.

Place: Pune (SANDIP A.PATIL)

Date: Research Student

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GUIDE’S CERTIFICATE

C E R T I F I C A T E

This is to certify that the Project Report entitled

―IMPACT OF DIGITAL MARKETING AS A MARKETING TOOL IN INDIA AT EDSS

PVT. LTD.‖

which is being submitted herewith for the award of the degree of Master of Business

Administration of University of Pune, Pune is the result of the original research work completed

by Mr. SANDIP ASHOK PATIL under my supervision and guidance and to the best of my

knowledge and belief the work embodied in this Project Report has not formed earlier the basis

for the award of any degree or similar title of this or any other University or examining body.

Place: Pune (Dr.B.U.Sankaye)

Date: Project Guide

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CONTENT

No. Name Page No.

1 ACKNOWLEDGMENT

3

2 LIST OF TABLES

8

3 LIST OF FIGURES

9

4

CHAPTER I

Introduction about Digital Marketing.

1.1 Basic Theoretical Concepts and Contexts of the Topic

1.2 Need for the study

1.3 Objectives of the Project

1.4 Scope of the Study

11

12

17

21

22

5

CHAPTER II

Profile of the Organization

2.1 Relevant information of the Organization

2.2 Current status of the company

2.3 Future plans of the Organization

22

24

26

27

6

CHAPTER III

Research Design and Methodology

3.1 Questionaires

3.2 List of Companies

3.3 Research Methodology

3.4 Methods of data analysis

3.5 Limitation of the Study

27

29

30

32

33

34

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7

CHAPTER IV

Analysis & Interpretations

4.1 Data Presentation

4.2 Question wise Analysis

35

36

37

8

CHAPTER V

Findings & Conclusions

5.1 Benefits of Internet Marketing

5.2 Conclusions

48

49

53

9

ANNEXURE

57

10

BIBLIOGRAPHY

61

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LIST OF TABLES

Table No.

Title of the Table Page No.

Table No. 1 Penetration Stats

16

Table No. 2 Names of Companies

30

Table No. 3 Use in terms of

percentages

37

Table No. 4 Market share & profits 41

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LIST OF FIGURES

LIST OF FIGURES

Figure No. Title of the Figure Page No.

Figure No. 1 Internet

12

Figure No. 2 Internet Marketing

15

Figure No. 3

E-Commerce Trascations 20

Figure No. 4 Company Logo

23

Figure No. 5 Data Flow Diagram

34

Figure No. 6 Internet Marketing

Penetration of the world

36

Figure No. 7

Use of Internet Marketing 38

Figure No. 8 Forms of digital

marketing

39

Figure No. 9 Benefits of digital

marketing

42

Figure No. 10 Sector wise use of digital

marketing

43

Figure No. 11

Digital Marketing cost 44

Figure No. 12 Preferences

46

Figure No. 13

SEO & PPC 47

Figure No. 14

Sectors 48

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Chapter 1

INTRODUCTION

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1.1 Basic Theoretical Concepts and Contexts of the Topic

The Internet

The Internet refers to the physical network that links computers across the globe. It consists of

the infrastructure of network servers and wide-area communication links between them that are

used to hold and transport the vast amount of information on the Internet.

Introduction to Internet Marketing

Internet marketing is new marketing tool introduced by Willi Crowford in 1996.

Internet marketing or Internet-based marketing can be defined as the use of the Internet and

related digital technologies to achieve marketing objectives and support the modern marketing

concept. These technologies include the Internet.

Media and other digital media such as wireless mobile media, cable and satellite.In practice,

Internet marketing will include the use of company web site in conjunction with Online

promotional techniques such as search engines, banner advertising, direct e-mail &

Links or services from other web sites to acquire new customers and provide services to

Existing customers.However, for Internet Marketing to be successful there is a necessity of

integration with traditional media.

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Fig.-1

Digital marketing –

Internet Marketing,

Online Advertising,

E-mail marketing,

Pay per click advs(PPC),

E-commerce,

Search Engine Optimization (SEO),

Banner Advs,

Pop & Push Advs,

Sponsor advs

Basically Internet marketing has following sub sections :

a. Internet Marketing

b. Digital Marketing

c. Online Advertising.

d. Pay per click advs.

e. Search Engine Optimization (SEO).

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Internet used as business purpose

Internet only recently been widely adopted for business purposes? The development of the

World Wide Web. This became a commercial proposition in 1993 after development of the

original concept by Tim Berners-Lee, a British scientist working at CERN in Switzerland in

1989. The World Wide Web changed the Internet from a difficult-to-use tool for academics and

technicians to an easy-to-use tool for finding information for businesses and consumers.

This project is related with to knowing the requirments. It has two segements viz. i Organisation

point of view - to knowing the requirments of organasion as a marketing tool. How they are

using this tool for improving there business & maxmising there sales.

a. There are many trascations between organisations to organisation. For this digital

marketing can be used or not.

b. Also there are man trascations between organisations to customer. How digital marketing

is used for this purpose so digital marketing is used or not.

Internet Marketing

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Fig No.-2

ii Customer point of view – to knowing the behaviour of customer for buying the products &

services. What are there exceptations?

Internet Penetration:

Table No. – 1

Table Name – Internet Penetration

World Internet Users and Penetration Stats

World Regions Population

(2011 Est.)

Internet Usage,

Latest Data

% Population

( Penetration )

World

Users %

Africa 1,037,524,058 139,875,242 13.5 % 6.2 %

Asia 3,879,740,877 1,016,799,076 26.2 % 44.8 %

Europe 816,426,346 500,723,686 61.3 % 22.1 %

Middle East 216,258,843 77,020,995 35.6 % 3.4 %

North America 347,394,870 273,067,546 78.6 % 12.0 %

Latin America/Caribbean 597,283,165 235,819,740 39.5 % 10.4 %

Oceania / Australia 35,426,995 23,927,457 67.5 % 1.1 %

WORLD TOTAL 6,930,055,154 2,267,233,742 32.7 % 100.0 %

Source http://www.internetworldstats.com/stats

This table shows the internet penetration rate of the different continetal in this world,

In between this North America is the highest penetration 78.6% as compare to other continetal.

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While other like Africa is with 13.5% & Asia is with 26.2%. While in Australia & Europe also

has good penetration rate.

The penetration rate analysis helps to find out the future growth of internet marketing & world

has 32.7% of penetration rate.

The ration of total population & pentration is 1:3.

1.2 Need for the study

Need of internet marketing

The internet maerketing leads to business listings and the advertisements facilities that world

needs provides is very effective because, businesses can have their own page and advertisements

about their business apart from normal listings.Internet marketing also offers search engines.

The online shopping facility will be convenient for people to purchase products online.

On the basis of the above clarification, Internet appears to have a comparatively higher cost of

acquisition. However, Internet has brought with it a very high degree of control to the media

user. All of this makes Internet a highly interactive media but also an expensive one.

If the internet is treated and used exactly like any other medium, it is unlikely to yield major

benefits to the marketer. Its effectiveness is dependent not only on the target audience one is

talking to, but also largely on the ability of the marketer to make use of the real advantages of the

Net like interactivity, flexibility, ability to monitor and the like.

To the user:

Internet gives more control in choosing content. It offers customization of the content, the way

the user wants to view it. It offers a variety of options for information and entertainment. It

offers a wide range to choose from for the user.

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It offers tremendous convenience to the user not only in delivery of information, but also in

allowing him to transact — often in a seamless manner.

To the marketer:

The Internet offers several options to a marketer trying to target a particular community It serves

not only as a channel of information, but also of product distribution. It offers a highly

interactive medium that sometimes (e.g. chats, forums, VoIP) is almost equal to one-to-one

interaction with the audience.

It offers a higher level of identification of the user to the marketer.

It allows the marketer to actually link his spends to action, and pay only on action

This action could be a click on the banner or even product purchased or just a banner impression

or per 1000 impressions. In this ability Internet is, in fact, unlike any other media.

Given the payment options and high interactivity, the Internet offers a medium for high level of

experimentation at a low cost.

Growth of Internet usage and E-commerce in INDIA:

1. According to the research report of Goldman Sachs, India has emerged as the second largest

Internet market in Asia after China with 100 million users in 2005. It estimates that Indian

Internet Users will increase by 130% compounded annual growth rate (CAGR) from 0.5 million

users recorded at end of 1998. As per preliminary findings of the NASSCOM survey, the total

volume of E-commerce transactions in India was about Rs.131 crore in the year 1998-99.

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2. Out of this volume, about Rs.12 crore were contributed by retail Internet or Business-to-

Consumer transactions, and about Rs.119 crore were contributed by Business-to-Business

transactions.

Following Fig. will explian the E-Commerce trascations in INDIA

E-COMMERCE TRANSCATIONS IN INDIA

Sources- http://articles.economictimes.indiatimes.com/keyword/digital-marketing

Fig. No.-3

0

500

1000

1500

2000

2500

3000

1990 2000 2003 2005 2008 2011

E-commerce (Crores)

E-commerce (Crs)

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The survey also revealed that E-Business transactions in India are expected to exceed Rs.300

crore during 1999-2000. Out of this, about Rs.50 crore could comprise of retail transactions. For

Business-to-Business transactions, Indian industries are expected to reach online penetration of

2% by 2003 and 8% by 2008. The Figure below gives us a fairer idea of the current world

internet usage.

1.3 Objective of Project

* Primary:

1 To understand the familirity of digital marketing amoung corporate.

2 Sectorwise use of Internet marketing.

* Secondary:

1. Creating the awareness of brand to public with help of digital media.

2. To know the form of digital marketing used by organisation.

3. The cost associated with digital marketing?

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1.4 Scope of the Project

1. The project is useful to findout the requirement of organisation in terms of internet &

digital media.

2. Internet penetration in India about the organisation & customer.

3. Digital media such as online advertising, pay per click advertises, internet marketing is

convient for organisation to target the customer directly. The concept can be easily

published towards target customers.

4. After studying this project, it is helpful to know the exceptation of the company to create

the website for internet marketing.

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CHAPTER 2

Profile of Organisation

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2.1 Relevant information of the Organization

.

Fig. 4

Name - EDSS Pvt. Ltd

(Partener for Implementation)

Engineering Design Software and Services Pvt. Ltd.

Founder – Mr. Ralph Stadtfeld (Europe)

& Carry forwarded by Ms.Mrinalini Kulkarni & Mr.Ganesh Chafekar in India.

Basically it is Belgium based software comapny which provides services for construction field

like wise Builder, Contractor, Architector, Interior designer & Consultants.Services

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There are two types of software services offered by EDSS Pvt. Ltd.

1. Hit-Office

Hit-Office is a Software Package that has been especially designed for the Construction Industry.

Hit-Office is an easy, fast, precise and gives you more time for your important professional

activities. Hit-Office has become the most popular management solution for construction

industry of any size.This software contains 4 modules

Estimation Module

Project Module

Inventory Module

Builder Module

2. Customized Software

Hit-Office has an open architecture so that we are able to add custom tools and interfaces.

Project Management

Project Accountancy

Running Account Bills

Gantt

Work Report

Equipment &

Staff

ISO safty Module

In India Head Office is located in Pune & also there are different branches

Mumbai, Banglore,Chennai,Delhi,Hydrabad,Kolkata,Nasik,Ahmadabad,Surat

Gandhinagar,Nagpur,Bhopal.

2.2 Current financial positions of company

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In this financial year i.e. April 2011- March 2012 the coampny annual turn over is 3 Crores 20

Lakhs.

Employement

In pune HO there are more than 50 employees. It also provides employment at the different

branches in India.

Marketing Strategies

EDSS Pvt. Ltd. has many compititor in market. But due to there unique strategy. They target all

the sub sectors of Construction, Infrastructure, Real Estate & Conctractor.

It is beneficial to capture the more & more market share of the company as compare to

compititor. Currently there are more than 4000 client of the company across the India.

Reasons for Profit

When the company provides the software servies to our client then the cost of software is

charged normally it is according to the ability & financial condition of the client.During that the

company provides training & lience for one year.

After completing one year there is annual maintainance contract (AMC) with client. It charged

upto 30 % of initial cost of software which was charged during purchase.

This is important financial srtategy of this company to improve the profit & market share with

life time client reletionship.

2.3 Future plans of the Organization

After getting the huge success with HIT-OFFICE software EDSS Pvt. Ltd. implementing new

modules for construction field to improve customer satisfaction & market share.

Sources- http://www.edss.co.in &

http://www.hit-office.com

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EDSS Pvt. Ltd.

Engineering Design Software and Services

CHAPTER III:

Research Design and Methodology

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3.1 Questionaires

Following are questions which are used to get information about digital marketing from

companies. In this question set there are Yes/No types of Questions, Liquir scale, Optional type,

Descriptive type of responses are included.

Yes/No types of Questions – 3,

Liquir scale – 1,

Optional type – 3,

Descriptive type of responses – 3.

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3.2 List of Companies

NO. Sector Company Name Concern

Person

Product / Services

1 IT EDSS Pvt. Ltd. Ms.Mrinalini

Kulkarni

Software services

2 Qualitat System Pvt. Ltd. Ms.Sneha Mam.

Software services

3 Bumpreality.com Mr.Pasalkar Digital Marketing

4 Pharmacutical

Unijules Life sciences Mr.Pranav

Sangai

Life Sciences &

Research

5 Pfizer Pharmacutical

Mr.Manjit

Shinde

Medicines

6 Agricultural

Parle Agro Products

Mr.Nagesh

Kalande

Food Products

7 Nirmal Seeds Pvt. Ltd.

Mr.R.O.Patil Seeds

8 Jain Irrigation

Mr.S.P.Sharma Agro products

9 Real Estate

Searchpuneproperties.com

Mr.Santosh

Pokale

Real Estate

Services

10 Reliance Infrastruture

Mr.Sachin Sir Infrastruture

Solutions

11 Urmi Estate

Mr.Anmol

Sharma

Infrastruture

Solutions

12 Reddvise Pvt. Ltd.

Mr.Kumar Real Estate

Services

13 D B Reality Group

Mr.Bharat

Khadse

Infrastruture

Solutions

14 Manifacturing

Varroc Polymer Pvt. Ltd.

Mr.Mahajan Sir Plastic

manifacturing

15 Rushiprabha Engineers

Pvt. Ltd.

Mr. Desai Sir Engineering works

16 Tata Autocomp Systems

Ltd.

Ms. Sayali

Khedkar

Automobile part

17 Bhagyashree Accessories

Pvt. Ltd.

Mr.Satyajit

Chitale

Machinary spare

parts

18 Scoda Retail &

manifacturing

Mr.Bhushan

Damle

Manifacturing

19 Asian Elevator Mr.Shankar

Kurne

Lift services

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20 E & TC

Amdocs DVCI Mr.Beena

Malikaveetli

Telecommunication

Services

21 Cisco Mr.Yashodeep

Ahirrao

Networking

Solutions

22

Power &

energy

Suzlon Energy Ltd.

Power supply

23 Automobiles

Royal Enfield Mr.Ambuj

Singh

Two Wheeler

24 Swaraj Mazda Mr.Avinash

Sahay

Trucks & Spare

parts

25 Financial

services

ICICI Bank

Mr. N Kalmadi Banking services

26 Money Plant Consulting

Consulting services

27 a'XYkno Capital

Mr.Pritam

Shendre

Capital services

28 Glob Capital Shares & Equity

29 SSJ Finance Ltd.

Fincancial services

30 Consumer

Durable

IFB industries Ltd. Mr.Yogesh

Metange

Electronic goods

31 FMCG

Marico India.

Mr.Ravi Shinde FMCG

32 Parag Milk Foods Pvt.

Ltd.(Gowardhan)

Mr.Vikas Bhor. Dairy products

33 Bislery International Pvt.

Ltd.

Mr. Kishor

Barhate

Mineral water

bottle

34 Educational

Services

British Coucil Mr. Aalok

Shrivastav

Educational

Services

35 Media

Jagran Prakashan Mr.Jitendra

Hiranandani

News Paper

36 Maccan Ericsson Pvt. Ltd.

Advertising &

Promotions

37 Oli & Gas Hindusthan Petroleum

Corporation Limited.

Oil & Gas

38 Sandik Asia Ltd. Mr.Abhishek

Mahajan

Manifacturing

Table No.2

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3.3 Research Methodology

Data is collected from the marketing manager, top level management & senior person of

companies.

It is collected with the help of email.

Collected data is analysied with the help of graph, bar charts & pie diagrams.

It also contains the percentage calculation of the respondants.

Sources of Primary Data collection:

Observation – Collected data is analysied with the help of some chararistics of the company.

Questionnaire – There are 10 different types of questions filled by the respondants.

1 Sector of the particular company.

2 Market share & profit margin behind the selling of the product or services.

3 The fincancial condition of the company.

4 The response given by the concern person from the company about the Digital Marketing.

Sources of secondary data collection:

Personal Database – The database available on authorised website of the company.

It gives the current stratergic planning & other relevant information which is mentioned above

Online database – Also on different websites the data related with companies are available

Ex.

1 If the any company uses Digital marketing then it must give advertisin on websites like

Justdial.com, Yellowpages.com & IndiaMart.com

It also gives the information abou the online advertsing & PPC advs on web.

2 Google.com, Yahoo.com gives the information about the SEO.

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Sampling Method (Judgemental sampling)

Business-to-business (B2B) model

Commercial transactions are between an organisation and other organisations

(Interorganisational marketing)

3.4 Limitation of the Study

The study is limited with 40 companies from different sector in Market.

It predicts the exceptations of manager or marketing related person.

Most of the data is collected from websites & other related sites.

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Data Flow Diagram: Following diagram shows the flow of data collection & analysis.

Sector of company

Online Database

Questionaire

Observations

Reasearch

Methodology

Conclusion

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Fig. No. 5

Chapter - 4

ANALYSIS & INTERPRETATION

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INTERNET MARKETING PENETRATION OF THE WORLD

Fig. No- 6

This fig. shows the world’s internet pentration rate as per regions in terms of graph.

North America has 78.6 % most internet penetration in the world. While Africa has minimum

internet penetration rate i.e. 13.5 %. Asia & Africa has there internet penetration rate bellow than

World total penetration rate.

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Question No. 1

The organisation uses internet marketing. Yes / No

Following graph shows the percentages of internet marketing used by above mentioned

company.

Table No. -4.1

Table Name – Use of Internet Marketing

Use in terms of percentage

Yes No

28 % 72 %

From the above graph 28 % of companies from given table are uses internet marketing,

& 72 % of companies are not uses internet marketing.

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In terms of Graph

U

Use of Internet Marketing

Fig. No-7

From the above fig. 29 of companies from given table are uses internet marketing,

& 11 of companies are not uses internet marketing.

The reason behind that their field not much more penetrated with internet for business

trascations.

YES 72%

NO 28%

Internet Marketing Of Comapnies Uses

Yes – 29 & No - 11

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Analysis of Question – 2

Different digital form used by companies for internet marketing.

Internet marketing – Companies which has there own website.

Online Advertising – Companies which gives advertisement on other websites

Ex. Advertising of EDSS Pvt. Ltd. On Justdial.com

Pay Par Clicks Advs – Advertising given by Searchpuneproperties.com on Google.com

Push up & pop down Advs – Advertising given on any web it appears when any click for

Next page.

Banner Advs – Advertising given in the form of digital banner with animations.

Ex.ICICI bank advs on web.

Sponser Advs – It includes the events advs on web

Ex.Chess matches sponserd by Jain Irrigation.

E-mail marketing – The informative e-mail send by company to client.

Ex.E-mail sends by money plant consultancy.

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Following graph shows the different digital form used by companies.

Fig. No. – 8

Conclusion –

1 Mostly the company preferred the websites & E-mail marketing

2 At second level online advertising & sponsers advertising are used by companies which are

mentioned above.

3 At next level pay par click advertising & banner advertising are used.

4 At the end banner advertising are used.

0

5

10

15

20

25

30

InternetMarketing

Online Advs. Pay par clickadvs

Push & Popadvs

Banner advs Sponser advs E-mailMarketing

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Analysis of Question – 3

It is really beneficial for improve your sales & market shares?

Very Useful / Useful / Normal / Less Used / Not Used

1 2 3 4 5

a) The benefits for companies to improve there market shares & sales.

(In terms of percentages)

Table No -4.2

Table Name – Use of Digital Marketing

Use of Digital Marketing Yes No

48 % 52 %

Above table shows 48 % of companies they use digital marketing as a marketing tool

& 52 % of companies avoid use of digital marketing.

The reason behind that there is low internet penetration in India. But it totally depends upon the

sector.

Benefits of Digital Marketing

(In liquir scale format)

Bellow graph shows the benefits of digital marketing in liquir scale format.

Mostly the companies are aware of Digital Marketing they are using it as a marketing tool.

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Most of the companies say that internet marketing is normally useful for them,& bellow that

some companies say it is very useful for them,

The use of internet marketing is lies between normaly to very useful, but it depends upon the

industries from which the company belongs.

Sector wise use of digital marketing

(In terms sectorwise use of digital marketing)

0

2

4

6

8

10

12

Very Useful Useful Normal Very Less Not Used

Page | 38

Fig. No. -10

Above graph shows the percentage use of digital marketing in different sectors.

Interpretation -

IT sector is the highest use of digital marketing.

AUTOMOBILES sector is not uses of digital marketing.

FINANCIAL sector is less use of digital marketing.

100%

50%

25%

80%

34%

50%

0

50%

25%

50%

0

50%

75%

20%

66%

50%

100%

50%

75%

50%

Chart Title

Yes No

Page | 39

Analysis of Question No. 4

The amount paid for this advs is much more than the benefits you get?

The amount paid for digital marketing.

Fig. No-11

The above graph gives the percentages of amount involved for digital marketing& cost

associated with the advertising.

43%

58%

Digital Marketing Cost

High Low

Page | 40

The real business amount paid for digital marketing in europian countries.

Hourly rate: $76–$200/hr.

Project-specific pricing: $1,000–$7,500

Monthly retainers have a wider distribution than hourly rates/projects2 most common

monthly retainer cost ranges:

$251-$500/month (13.8%);

$2,501-$5,000/month (11.3%)

http://www.optimum7.com/internet-marketing/

Page | 41

Que. If you wish to give your company advs on web then which one you prefered.

Pay par click advs /

Search Engin Optmasation

Preferences

Advertisement preferences of companies.

Fig. No. - 12

Most of the companies uses Search Engine Optimasation for displaying there advertising on web

Ex. The advertising of EDSS Pvt. Ltd. given on Google search engine.

It helps to attract the visitors & traffic on our web page.

0

5

10

15

20

25

30

35

Preference

PPC

SEO

Page | 42

http://seomoneymaker.net/seo-and-search-engine-marketing-ppc/

Fig. No.13

SEO & PPC

This fig. show the advantages of SEO & PPC as compare to each other.

SEO is used by all companies to improve there visit & visibility of websites

PPC is used in some particular sectors.

Mostly for longer period of time the Search Engine Optimasation is used to achieve the

goals of organasion.

But for short period of time pay par click advertising are the best option to improve the

sales & market share of particular company.

Page | 43

Sector wise use of Digital Marketing

Sources-google.com/images

From above graph the use of digital marketing in IT & ITES sector ie more than any other

sector. They uses 38 percentages.

Then BFSI-(Banking, Financial Services & Insurance) has another more use of digital

marketing

IT & ITES 38%

BFSI 19%

CONSULTING 9%

MANIFACTRING 8%

SERVICES 5%

TELECOM 4%

AUTOMOBILES 4%

FMCG 3%

EDUCATION 3%

OTHERS 7%

Sector Wise Use of Digital Marketing

Page | 44

CHAPTER NO.-5

FINDINGS & CONCLUSIONS

Page | 45

BENEFITS OF INTERNET PROVIDS FOR THE MARKETERS IS AS

FOLLOWS

The reason is an additional source of revenue made possible by an alternative

marketing and distribution channel. The marketing opportunities of using the Internet can be

appreciated by applying the strategic marketing grid (Ansoff, 1957) for exploring opportunities

for new markets and products.

1 Market Penetration:

The Internet can be used to sell more existing products into existing markets. This can be

achieved by using the power of the Internet for advertising products to Increase awareness of

products and the profile of a company amongst potential customers in an existing market.

2 Market Developments:

Here the Internet is used to sell into new markets, taking advantage of the low cost of advertising

internationally without the necessity for a supporting sales infrastructure in the customer country.

But it does require the overcoming of the barriers to becoming an exporter or operating in a

greater number of countries.

3 Product Developments:

New products or services are developed which can be delivered by

the Internet. These are typically information products such as market reports which can be

purchased using electronic commerce. This is innovative use of the Internet.

4 Diversification:

In this sector, new products are developed which are sold into new markets.

DTI (2000) has identified different types of drivers or benefits why companies adopt ecommerce.

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5 Cost/efficiency:

Increasing speed with which goals of company can be easily achieve.Reduced sales

costs.Reduced operating costs.

6 Competitivenes:

Customer demand.Improving the range and quality of services offered avoid losing market share

to businesses already using e-commerce. The Internet provides Guinness with the opportunity to

provide non-core merchandising activity at a relatively low cost.

A new medium for advertising and PR,

A new channel for distributing products,

Opportunities for expansion into new markets,

New ways of enhancing customer service,

New ways of reducing costs by reducing the number of staff in order fulfilment.

7 Effectiveness of the Net in Reaching Out to the Masses

The reach of Internet may not yet be as wide as that of other mass media, but given its unique

advantages, Marketers around the world have from time to time tried to reach their target

audiences through various media. Scientific and technological advances have and will continue

to create newer media to improve communication, and marketers will try to use the same to

effectively address their audiences. Internet is one of the latest to join the list of such media

inventions.

8 Internet Fame with the Indian Audiences

Let us first take a quick look at the audience that this medium is trying to reach. The top 8 metros

of the country, the scope of the Internet as a medium to reach out to a large number of people is

presently limited. However, some of these limitations can be addressed.

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Internet is available in regional languages also. Even today this medium is largely

confined to only those who are literate in English. Various initiatives of companies like

ITC and HLL like E-choupal and i-Shakti have given a considerable boost to vernacular

usage of internet.

Internet is accessible though other media also and not only through telephone lines. In

the current scenario, the usage of internet might be dominated by telephone lines, but

broadband and cable net are coming in a huge way.

Government policies are aimed at broadening and strengthening the infrastructure

required for Internet accessibility.

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CONCLUSIONS

ONLINE MARKETING INDUSTRY TOUCH Rs. 2K CRORE BY 2013 &

7K CRORE BY 2015

1. As rules of the advertising game change rapidly, online or digital marketing market size

in India is estimated to touch close to Rs 2,000 crore in the next two years from a Rs

1,400 crore now, say management experts.

2. At the Confederation of Indian Industry (CII) conference on 'Best Marketing Practices',

experts felt that no company could now possibly ignore the power of social networking

sites in creating today's brands.

3. He added that with revenues worth Rs 800 crore, Google India is bigger than any

television channel in the country.

4. The business of buying online railway tickets is worth Rs 5,500 crore in India, while

that of airline tickets is close to Rs 12,500 crore.

Sources-http://www.businessstandards.com/india/news

TAG LINE FOR DIGITAL MARKETING

Fig. No. - 4.10

DIGITAL MARKETING IS ALWAYS AVAILABLE

WHENEVER YOU WANT IT & NEED IT

OPEN FOR 24 HOURS

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Advertising options available on the Internet.

The Internet offers a variety of options for the marketer to advertise their products/brands. These

include

1. Banner ads and their variations

2. E-mailers and their variations

3. Sponsorships

4. Search Engines

5. Affiliate marketing

In India, banners still remain the most popular option. However, wider options are now available

to the marketer which, even at the cost of being intrusive, serves to enhance the visibility and

effectiveness of the banner.The Variants of Banners include: Banner Ad, Beyond the Banner,

Button Ad, HTML banner,

Rectangle Ad, Iterstitial, Vertical Banner.

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Financial benefits of Internet Marketing

Internet Marketing is a hot topic especially in these days of instant results. The reason why i-

marketing has become so popular is because they provide three major benefits to potential

buyers:

1. Convenience: Customers can order products 24 hours a day wherever they are. They don’t

have to sit in traffic, and a parking space, and walk through countless shops to find and

examine goods.

2. Information: Customers can find reams of comparative information about

Companies, products, competitors, and prices without leaving their office or home.

3. Fewer hassles: Customers don’t have to face salespeople or open themselves up to

persuasion and emotional factors; they also don’t have to wait in line.

Internet Marketing also provides a number of benefits to marketers:

1. Quick adjustments to market conditions: Companies can quickly add products to their

offering and change prices and descriptions.

2. Lower costs: On-line marketers avoid the expense of maintaining a store and the costs of

rent, insurance, and utilities. They can produce digital catalogs for much less than the cost of

printing and mailing paper catalogs.

3. Relationship building: On-line marketers can dialogue with consumers and learn from

them.

4. Audience sizing: Marketers can learn how many people visited their on-line site and how

many stopped at particular places on the site. This information can help improve offers and

ads.

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ANNEXURE

Questionaire is as follows

(Must filled by Director, CEO, Top management or Marketing manager)

The obejective is to collect the relevant data from companies

1 Your organisation uses internet marketing. Yes / No

2 Which digital form you uses Internet marketing

Online advertising

Pay par click advs.

Push & Pop advs.

Banner advs

Sponser advs

E-mail Marketing

3 It is really beneficial for improve your sales & market shares?

Very Useful / Useful / Normal / Less Used / Not Used

1 2 3 4 5

4 The amount paid for this advs is much more than

the benefits you get? Yes / No

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5 If you wish to give your company advs on web then

which one you prefered. Pay par click advs /

Search Engin Optmasation

6 Where from you find out the internet, digital, online

media? Sources / References / Own

7 What are my goals in using the Internet to market my product/service?

8 Is it successfully reducing costs, increasing sales, and/or improving communications with

stakeholders? Is it meeting my corporate objectives?

9 Should I use any advanced Internet technologies?

10 Give your brief describation about the digital marketing in Short.

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For Customers or Users

1 Would you use online marketing / shopping?

2. How it is beneficial to you about awareness of product or services?

3 Did you get sufficient information to buy the product or services?

4 What differences does the Internet introduce in relation to existing marketing

Communications models?

5 How you got the information about the specific product or servises?

SEO / Email / PPC / Banner Advs.

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BIOBILOGRAPHY

BOOKS -

1. E-Services

2. Digital world

3. Business for you (Mazgine)

WEBSITES -

www.google.com

www.internetworld.com

www.edss.co.in

www.hitoffice.com