Digital Marketing is no stranger to businesses and marketers in the digital age. A business that wants to expand the market, reach customers, improve sales is required to apply digital marketing. Modern technology has been ingrained in the perception and habits of most people, becoming the fastest and most effective tool to access trends, information, and entertainment.
According to Hubspot’s statistics, digital marketing trends from 2020 to 2021, for the global e-commerce retail industry reached $4.5 trillion in sales, which proved the role of Digital Marketing. Our today’s article will clearly show the role of Digital Marketing in the development of a business.
1. About the Digital Marketing Role
Since the advent of the Internet, consumer behaviors, preferences, habits, and buying trends have changed radically. Customers love to find information on search engines or social networks,… and subsequent direct purchases via the Internet, limit going to stores to choose, try products to save time.
This has created a new customer segment – customers who love to buy over the Internet. The growing Internet has led to the expansion of digital marketing services. The communication revolution will accelerate, thus requiring managers to build an effective digital marketing strategy. Digital marketing emerged from here.
To put it simply, digital marketing is the promotion of products/brands/services to have a direct, long-term impact on customer perception and stimulate their buying behavior through one or more media.
2. Why should businesses apply Digital marketing in their business plan?
According to recently published data: About 50% of businesses have applied Digital Marketing to their business activities and have achieved certain results.
Since 2018, about 80% of businesses have the view that traditional advertising is no longer effective. Digital marketing is a disruptive development; help businesses increase sales and expand market share 30% more than before.
In another report by Google and IPSOS Hong Kong; sales of businesses using digital marketing increased by 2.8 times compared to other advertisers (Facebook, Instagram,…)
You may also notice for yourself that there is a shift from traditional marketing to digital marketing. In the digital age, most businesses still advertise in a traditional and ineffective way. That is why Digital Marketing was born and solves all of the above.
Kevin O’Kane, Google’s head of SME Asia Pacific, said: “The online marketplace is a rocket launcher to help accelerate business efficiencies for small and medium-sized business owners.”
3. The role of Digital Marketing in businesses
One of the important factors in the role of Digital Marketing in businesses is to create fair competition between large businesses and small businesses, anyone can use Digital Marketing platform to promote their brand.
Currently, businesses are gradually turning to Digital Marketing, because they can save costs and also keep relationships, as well as interact with customers. Not only that, Digital Marketing is also effective in promoting products and services,… But not all businesses can deploy and implement. The following article helps you better understand the role of Digital Marketing in the business.
3.1 Create a fair competitive environment for small and medium enterprises
The importance of digital marketing is evident in bringing fair competition opportunities for all types of businesses, promoting brands, services and products more effectively in the online environment. Not only large companies and multinational corporations can grasp and apply Digital Marketing in business.
For small and medium-sized businesses, digital marketing plays an extremely urgent role. Because it helps businesses promote their brands more widely to consumers on the internet environment and improve business efficiency better.
In traditional marketing, businesses have to spend a lot of money to promote their products / services to customers (distributing leaflets, placing banners, rotating tvc, opening booths in supermarkets ,…) but do not effectively achieve the number of target customers, for SMS form, it is impossible to measure effectiveness. On the contrary, if applying Digital Marketing, businesses can promote their products/services online with a large number of target customers.
3.2 More cost-effective than Traditional Marketing
As mentioned above, when businesses apply Digital Marketing form, they will save a lot of costs, take advantage of capital to spend on advertising compared to traditional marketing.
As Gartner’s latest report on ad spend indicates; Businesses save about 40% when advertising online.
The report also found that 28% of businesses; experimentation will shift from spending in the usual way to Digital Marketing advertising.
According to a report by HubSpot, the online environment helps reach potential customers (CPL) better than other marketing methods.
3.3 Increase conversion rates from campaigns
The main purpose of digital marketing is to spread the brand and promote it through communication channels, helping to convert target customers into buyers.
The important goal of Digital Marketing is to build a brand, convert goals into potential customers. If you have a marketing strategy where you’re only interested in measuring sales rates, subscribers, leads, deals, etc., but don’t focus on purchase conversion rate metrics, then you have a misunderstanding of the purpose of digital marketing.
3.4 Digital Marketing helps businesses achieve sales, KPIs set
With clear targeting, specific leads, conversions and revenue generation, etc. according to many statistics, the use of digital marketing helps many small and medium-sized businesses increase their normal sales by 3.3 times.
Online marketing helps businesses grow stronger and more sustainable by reaching better targets and driving leads into shoppers, becoming loyal customers.
3.5 Digital Marketing aimed at mobile and e-commerce users
About the role of digital marketing in e-commerce: Along with the explosion of the Internet, smartphones become more popular, marketing brands, services, products, through smart mobile is an important form of digital marketing that many businesses often forget.
In the current 4.0 era; Computer users are gradually shifting to mobile. Therefore, businesses need to focus on improving the interface and speed.
A report by EMarketer, found that 80% of users make purchases using their phones compared to computers and PCs. That’s why reaching customers over the phone is getting more attention these days.
Marketing in the form of Digital Marketing, there are many different ways such as running Facebook ads, SEO website, using social networks, Email marketing ,… The online environment is always a piece of cake for anyone, from large, medium and small businesses to individuals who want to do business online.
Any business that wants to reach its potential customers, when applying the right digital marketing strategy, you will notice that business results vary a lot compared to traditional marketing.
Using an effective digital marketing strategy will attract a large number of customers. It provides an opportunity for an immediate customer call to action (CTA). There are many strategies to help you move from calling customers to making a purchase.
A call-to-action helps customers know what to do next, be it visiting your website, inboxing right away, or sharing this interesting information with your friends,…. Digital Marketing provides you with all the solutions for you to choose from and find your own solution to approach; and get them to make purchasing decisions.
To build a digital marketing campaign, businesses need to implement:
- Target Market Research
- Develop an action strategy
- Implement the plan
- Measure results and analyze
Digital marketing tools businesses should use:
- Page announcing information about services, products, brands for customers to visit: Website, landing page, blog …
- Build online marketing content with valuable content, meeting the needs of updating news, information and entertainment of customers
- Perform website optimization (optimize search engines so that websites, important phrases have high rankings).
- Marketing on search engines (running ads), on google using SEM
- Online PR (via email marketing, mobile app,…)
- Display banner ads
- Marketing, advertising products, services, brands on social media channels reaches as many customers as possible.
Hopefully, through the article, you have a clear understanding of the role of digital marketing in business activities of businesses. From recognizing the importance of digital marketing, you will build marketing campaigns for each communication channel effectively, bringing high conversion rates as well as driving superior sales.