STUDY ON THE EFFECTIVENESS OF DIGITAL MARKETING

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346 | Page STUDY ON THE EFFECTIVENESS OF DIGITAL MARKETING KETAN S RESEARCH SCHOLAR Department Of Management, Himalayan Garhwal University, Uttrakhand, India 246169 DR. VIKRANT CHAUHAN ASSOCIATE PROFESSOR Department Of Management, Himalayan Garhwal University, Uttrakhand, India 24616 ABSTRACT In this digital age, the marketers face new challenges and opportunities. Digital marketing is the advertisers' use of online media to sell the goods or services into the market. Digital marketing 's main goal is to attract clients and encourage them to engage with the brand through digital media. This paper focuses on the importance of digital marketing to advertisers and customers alike. We are looking at the impact of digital marketing on the revenues of the businesses. Additionally the variations discussed in this paper between conventional marketing and digital marketing. This study identified various types of digital marketing, its efficacy and the influence it has on the sales of companies. The study analyzed consists of one hundred and fifty companies and fifty executives chosen at random to prove digital marketing’s efficacy. Data obtained were analyzed using various statistical instruments and techniques. KEYWORDS: marketers, advertisers, techniques. Digital marketing. INTRODUCTION Marketing is a market practice which is restless, evolving and complex. Due to numerous crises, the position of marketing itself has changed drastically-commodity and energy shortages, inflation, economic recessions, high unemployment, dying factories, dying businesses, terrorism and war, and effects due to rapid technological changes in some factories. Such developments, like the internet, have forced today's marketing executive to become more consumer oriented in their strategic

Transcript of STUDY ON THE EFFECTIVENESS OF DIGITAL MARKETING

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STUDY ON THE EFFECTIVENESS OF DIGITAL

MARKETING

KETAN S

RESEARCH SCHOLAR

Department Of Management,

Himalayan Garhwal

University, Uttrakhand, India –

246169

DR. VIKRANT CHAUHAN

ASSOCIATE PROFESSOR

Department Of Management,

Himalayan Garhwal

University, Uttrakhand, India –

24616

ABSTRACT

In this digital age, the marketers face new

challenges and opportunities. Digital

marketing is the advertisers' use of online

media to sell the goods or services into the

market. Digital marketing 's main goal is to

attract clients and encourage them to

engage with the brand through digital

media. This paper focuses on the importance

of digital marketing to advertisers and

customers alike. We are looking at the

impact of digital marketing on the revenues

of the businesses. Additionally the variations

discussed in this paper between

conventional marketing and digital

marketing. This study identified various

types of digital marketing, its efficacy and

the influence it has on the sales of

companies. The study analyzed consists of

one hundred and fifty companies and fifty

executives chosen at random to prove digital

marketing’s efficacy. Data obtained were

analyzed using various statistical

instruments and techniques.

KEYWORDS: marketers, advertisers,

techniques. Digital marketing.

INTRODUCTION

Marketing is a market practice which is

restless, evolving and complex. Due to

numerous crises, the position of marketing

itself has changed drastically-commodity

and energy shortages, inflation, economic

recessions, high unemployment, dying

factories, dying businesses, terrorism and

war, and effects due to rapid technological

changes in some factories. Such

developments, like the internet, have forced

today's marketing executive to become more

consumer oriented in their strategic

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decision-making, requiring a formalized

means to collect reliable and timely

information about consumers, goods and the

industry and the overall environment.

Online marketing includes Internet use for

Market the products or services and sell

them. Online marketing makes use of the

power of electronic commerce to advertise

and sell goods. Electronic commerce applies

to every on-line market. Electronic

commerce facilitates the selling, purchase,

trade over the internet of goods or services.

Digital marketing is a branch of electronic

commerce. With the acceleration of Internet

growth, internet marketing has begun to

become very popular. It is said that in the

beginning of 1990 internet marketing started

with only text-based websites that provided

product details. With Internet development,

it is not only selling goods alone, but

additionally, product details, advertising

space, software programs, auctions, stock

trading, and matchmaking. The approach

has revolutionized a few companies; the

Internet can be used for marketing, such as

Google.com, Yahoo.com, Amazon.com,

Alibaba.com and Youtube.com, for

example. This paper provides perspectives

on some current and potential Internet

marketing patterns.

Digital Marketing is one kind of showcasing

being generally used to advance items or

administrations and to arrive at buyers

utilizing computerized channels. Advanced

advertising reaches out past web showcasing

including channels that don't require the

utilization of Web. It incorporates cell

phones (the two SMS and MMS), internet

based life showcasing, show promoting, web

index advertising and numerous different

types of digital media.

Through digital media, shoppers can get to

data whenever and wherever where they

need. With the nearness of advanced media,

buyers don't simply depend on what the

organization says about their image yet in

addition they can follow what the media,

companions, affiliations, peers, and so

forth., are stating also. Advanced

showcasing is an expansive term that alludes

to different limited time strategies conveyed

to arrive at clients through computerized

advances. Computerized showcasing

exemplifies a broad choice of

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administration, item and brand advertising

strategies which for the most part use Web

as a center limited time medium

notwithstanding versatile and conventional

television and radio. Standard Picture

Passage assists shoppers with sharing their

computerized photographs with companions

on the web. L'Oréal's image Lancôme

utilizes email pamphlets to stay in contact

with clients and consequently attempts to

fortify client brand unwaveringness

(Merisavo et al., 2004). Magazine

distributers can actuate and drive their

clients into Web with messages and SMS

messages to improve re-membership rate

(Merisavo et al., 2004).

Advertisers progressively bring brands

nearer to shoppers' regular daily existence.

The changing job of clients as co-makers of

significant worth is getting progressively

significant (Prahalad and Ramaswamy,

2004). Khan and Mahapatra (2009)

commented that innovation assumes an

imperative job in improving the nature of

administrations gave by the specialty units.

As indicated by Hoge (1993), electronic

advertising (EM) is an exchange of

merchandise or administrations from dealer

to purchaser including at least one electronic

strategies or media. E-Promoting started

with the utilization of transmits in the

nineteenth century. With the creation and

mass acknowledgment of the phone, radio,

TV, and afterward satellite TV, electronic

media has become the predominant

promoting power. McDonald's uses online

channel to fortify brand messages and

connections. They have constructed online

networks for kids, for example, the Glad

Supper site with educative and engaging

games to remain quiet about clients in every

case close (Rowley 2004). Reinartz and

Kumar (2003) found that the quantity of

mailing endeavors by the organization is

decidedly connected with organization

benefit after some time. The essential points

of interest of web based life showcasing is

decreasing expenses and upgrading the span.

The expense of an online networking stage

is commonly lower than other showcasing

stages, for example, eye to eye deals or deals

with an assistance of brokers or merchants.

Likewise, online networking showcasing

permits firms to arrive at clients that may

not be available because of fleeting and

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locational constraints of existing dispersion

channels. For the most part, fundamental bit

of leeway of web based life is that it can

empower organizations to expand reach and

lessen costs (Watson et al. 2002; Sheth and

Sharma 2005).

As indicated by Chaffey (2011), web-based

social networking promoting includes

"empowering client correspondences on

organization own site or through its social

nearness". Internet based life advertising is

one significant strategy in advanced

promoting as organizations can utilize

online networking structure to disseminate

their messages to their intended interest

group without paying for the distributers or

merchant that is trademark for conventional

showcasing. Advanced showcasing,

electronic advertising, e-promoting and Web

showcasing are largely comparable terms

which, basically, allude to "showcasing on

the web whether by means of sites, online

advertisements, pick in messages, intelligent

stands, intuitive television or mobiles"

(Chaffey and Smith, 2008). Giese and Gote

(2000) finds that client data fulfillment

(CIS) for advanced showcasing can be

conceptualized as a whole of full of feeling

reaction of shifting power that follows

utilization and is animated by central parts

of deals exercises, data frameworks (sites),

computerized items/administrations, client

service, after-deals administration and

friends culture.

Waghmare (2012) called attention to that

numerous nations in Asia are exploiting web

based business through opening up, which is

fundamental for advancing rivalry and

dispersion of Web advances. Zia and

Manish (2012) found that at present,

customers in metropolitan India are being

driven by internet business: these purchasers

are reserving ventures, purchasing buyer

gadgets and books on the web. Despite the

fact that spending per online purchaser stays

low, some 59% of online customers in

metropolitan India as of now make buys

online at any rate once in a month. Dave

Chaffey (2002) characterizes e-showcasing

as "use of computerized advances – online

channels (web, email, databases, in addition

to versatile/remote and advanced television)

to add to advertising exercises planned for

accomplishing benefit procurement and

clients maintenance (inside a multi-station

purchasing procedure and client lifecycle)

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by improving client information on (their

profiles, conduct, worth and unwaveringness

drivers) and further conveying coordinated

correspondences and online administrations

that coordinate clients' individual needs.

Chaffey's definition mirrors the relationship

advertising idea; it underlines that it ought

not be innovation that drives e-promoting,

yet the plan of action. A wide range of

online networking give a chance to

introduce organization itself or its items to

dynamic networks and people that may

show intrigue (Roberts and Kraynak, 2008).

As indicated by Gurau (2008), internet

promoting condition raises a progression of

chances and furthermore challenges for

online networking advertising specialists.

ADVANTAGES TO CUSTOMERS

Digital Marketing brings various advantages

to the customers which are enumerated

below:

A customer can stay updated about

the product.

They can easily compare between

two products and more.

The rate of engagement is very high.

Information is very precise and clear

so that the customer can read and

understand each and everything with

ease.

There is no bondation in buying a

particular item at a particular time

afterwards shop will close. Digital

marketing focuses on 24/7 shopping

that means a customer can buy any

product ir-respective of time.

User/customer can easily share the

product or any service which they

like with others.

Prices are apparent that indicates that

the company shows its product price

at digital platform which makes the

pricing very clear.

If customer likes a product they can

buy that product instantly. If we

compare this with traditional

marketing in traditional marketing a

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customer first watch an

advertisement then search for a store

afterwards they can buy but digital

marketing makes it very easy that a

customer can buy anything while

sitting in their home.

Difference between Traditional

Marketing and Digital Marketing

The difference between traditional and

digital marketing is illustrated by the

following table below:

Table 1 Difference between Traditional and Digital Marketing

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Advertising platforms which could be used

as part of a business' digital marketing

campaign may involve advertising efforts

made via the Internet , social media, cell

phones, electronic signage, as well as

traditional television and radio networks.

Digital marketing is a sub-branch of

conventional marketing, which uses new

digital platforms to position items such as

streaming music, mainly to interact with

stakeholders such as consumers which

investors about brand, goods, and business

development.

DIGITAL MARKETING ELEMENTS

Digital marketing has various elements,

most important digital marketing elements

are illustrated below:

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I. Online advertisement

Digital marketing is a very significant aspect

of online advertising. It's also called internet

ads, from which company will send the

product or service post. Web-based

advertisement offers the information and ads

that better suits customer desires. Publishers

placed on their websites about their goods or

services so that customers or users are given

free information. Advertisers should

position online advertising which are more

successful and appropriate. Business

manages its spending well by online ads,

and has complete leverage over time.

II. SEARCH ENGINE

OPTIMIZATION

Popularly known by its short form (SEO). It

is the method of influencing the visibility of

the "normal" or unpaid ("organic") search

results of a website or web page in a search

engine. Generally speaking, the earlier (or

higher on the search results page), and the

more often a website appears in the search

results list, the more visits it gets from users

of the search engine. SEO that target various

types of search including image search, local

search, video search, academic search, news

search, and vertical search engines unique to

the industry.

III. SOCIAL MEDIA MARKETING

SMM or social media marketing is an

exemplar of the SEM campaign. This means

moving traffic through social media such as

Facebook, Instagram , Twitter, Pinterest,

Google+ , LinkedIn, etc. to your pages or

company. As we mentioned above, it shares

and likes good content. In this way, create

and customize content for growing social

media channels. Remember to be consistent

and original; you will communicate with

users on a regular basis, four to five times a

day at least. Your SMM activities can be

particularly useful in branding and

improving sales. With the advent of social

media the methods and strategies for

interacting with consumers have changed

significantly; accordingly, businesses must

learn how to use social media in a manner

compatible with their business strategies

(Mangold and Faulds 2099). A customer

needs to be open to the technologies in order

to build a successful marketing strategy

through social media.

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IV. E-Mail Marketing

When message is sent to the current or

potential customer via email about the

products or services, this is known as email

marketing. Direct digital marketing is used

to deliver ads, create brand and consumer

loyalty, build customer trust and develop

brand recognition. Through making easy use

of this aspect of digital marketing, company

may promote its goods and services.

Comparing with ads or other types of media

representation it is fairly low cost. Company

can draw full consumer interest by

producing an enticing combination of

graphics , text, and links on the goods and

services.

V. TEXT MESSAGING

This is a way of sending cellular and mobile

devices information about the goods and

services. Company can submit information

in the form of text (SMS), images, video or

audio (MMS) by using the phone devices. In

Europe and some parts of Asia, marketing

via cell phone SMS ( Short Message

Service) became increasingly common in

the early 2000s. One may send

confirmations of the order, send alerts via

text message. Using SMS is providing

quicker and more meaningful results for

campaigns. Using this strategy, marketers

can deliver real-time, any time, marketing

messages to their customers and can be sure

that they will see the message. Company

may create a questionnaire and get valuable

customer feedback necessary for future

production of their goods or services.

VI. PPC

Pay-per - click advertising is a strategy to

use search engine ads to attract clicks to

your website, rather than organically

"earning" those clicks. For searchers and

advertisers the pay per click is fine. This is

the perfect way to market the business

because it offers low cost and greater

attention to the goods and services.

OBJECTIVES OF THE STUDY

The objectives of this study are illustrated

below:

The main objective of this study is to

find out the effectiveness of digital

marketing.

This study articulates about the

digital marketing elements.

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This study clears the concept of

difference between traditional and

digital marketing.

This study enumerates the digital

marketing advantages for customers.

DATA COLLECTION AND

ANALYSIS OF THE STUDY

Technique stems from the systematic and

theoretical examination of the approaches

used to determine the suitability of one

particular method to be applied to a field of

study. This includes usually terms such as

structure, theoretical model, stages, and

quantitative or qualitative techniques. This

analysis is performed using both the primary

and secondary sources of data.

In addition, we also gathered data from 50

sample executives and other specific

companies to learn their perspective on

digital marketing effectiveness.

Data and information gathered were

structured, explained, and analyzed using

various statistical tools and techniques. This

analysis presents findings in both concise

and analytical manner.

ANALYSIS

Cor-relational Analysis

In order to demonstrate the connection

between the various elements of digital

marketing and improved revenue, we have

gathered data from one hundred and fifty

businesses that are using the different

strategies or elements of digital marketing.

The findings are set out below:

Table 2 Correlation Analysis

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From the above table, we can infer that

every aspect of digital marketing is linked

positively to the increase in sales. This

suggests that all digital marketing

components have a positive impact on the

revenues of firms. Online ads, email

marketing , social media and search engine

optimization ( SEO) are strongly positively

associated with the rise in revenue as the

importance of r is respectively.869,.873,.840

and.840. The r value of text messaging and

pay per click (PPC) is .667and.560 which

also indicates poor positive correlation with

the rise in revenue.

Digital Marketing Analysis

Digital media is so ubiquitous that users can

access information whenever they want, and

wherever they want. This was a long time

ago that people's communications about

particular goods or services consisted simply

of what a corporation needed them to say.

Table 3 Summary of the model

According to the above table, we can infer

that the relationship with digital marketing is

largely clarified by almost all the variables

having weight. Staying updated with goods

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or services , for example, is explained by

71.80 percent of digital marketing and

another aspect explains the remaining 28.20

percent. 51.60 percent of digital marketing

indicates greater involvement and the

remaining 48.40 percent is explained by

other factors. Clear details about the goods

or services are clarified by 62.90 percent in

digital marketing and another aspect

explains the remaining 37.10 percent. From

the above table we can also see that the F

value is greater than 80 indicating the

model’s power

.

CONCLUSION

Digital marketing platform has become an

important part of a lot of companies'

strategy. Nowadays there is a very

inexpensive and effective way to market the

goods or services even for small business

owners. There are no frontiers of digital

marketing. Company may use any devices

such as smartphones , tablets , computers,

televisions, game consoles, digital

billboards, and media such as social media,

SEO ( search engine optimization), videos,

advertising, email and much more to

promote the business itself and its products

and services. Digital marketing will be more

effective if it considers consumer needs as a

top priority. Just like "Rome was not built in

a day," so, the effects of digital marketing

will not come without attempt, without trial

(and error), either. At the core of all digital

marketing campaigns will be the

watchwords "check, know, and develop."

Companies will create creative user

interactions and clear media strategies to

determine the best direction for driving up

the success of digital marketing.

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