Research on the Importance of Digital Marketing on the Branding and Marketing Strategy of the Local Business

This Research is an investigation on the importance of Digital Marketing on the Branding and Marketing Strategy of Local Businesses. ‘The Digital revolution have shaken marketing to its core’ (Jerry Wind, Vijay Mahajan 2001). Digital technologies have expanded their reach, compelling incumbent companies to digitally innovate their business models, centred around a digital experience (Björn Hildebrandt 2015). Digital Marketing is changing the world the way we know it and the progress is not linear (Earnst and Young). The term Digital Marketing was first coined in 1990 with the launch of the first ever Search Engine called, Archie which is often referred as Web 1.

0. With the transition to Web 2.0. The term E-Marketing, Internet Marketing, Online Marketing is often used interchangeably for Digital Marketing even if the terms have stark differences. Carlén (XXX) agrees with the statement that the definition of E-Marketing, Online Marketing or Internet Marketing varies from one researcher to another.

Digital Marketing is explained by (Afrina Yasmin & Sadia Tasneem & Kaniz Fatema, 2015) as the use of electronic media by marketers with the intention to promote products or services, where the aim is to attract potential customers while giving them the possibility to engage with the brand.

Get quality help now

Sweet V

Verified writer

Proficient in: Digital Era

4.9 (984)

“ Ok, let me say I’m extremely satisfy with the result while it was a last minute thing. I really enjoy the effort put in. ”

+84 relevant experts are online

Hire writer

Hubspot (2018) goes in the same direction by mentioning that Digital marketing is the overall marketing efforts while using electronic device or the internet. Hubspot (XXX) on its side, states that Businesses need to make us of digital channels such as search engines, social media, email, and their websites to connect with current and potential leads. Online commerce and interaction have grown dramatically over the last decade (Oestreicher-Singer & Sundararajan, 2010) digital technology brought a new level of convenience to customers (Earnst and Yong).

In our modern era, people tend use digital channels to communicate with each other, there has been a “digitalization of society” Nissen (2018). With the rise of digital media, brand building has become multidirectional and interconnected (Hennig-Thurau et al. 2010). The branding of a business is increasingly done through digital channels, mainly social media (Lotta Bäck).

Digital channels have multifold advantages, they for example, lower barriers to entry and increase globalisation, leading to a spiral of intensifying competition and commoditisation (Earnsst and Young).The overall aim should consist of aligning the brand experience with the brand´s strategy, positioning and purpose (Smartinsights 2015). Bhatnagar (2017) agrees with the fact that there has been a movement towards a digital business and explains it as adapting technology and converting data into digital format. Lesidrenska and Dicke (2012) describe a business’ online activity as an eco-system, where each digital media channel interrelates with each other. [image: learn digital marketing]Coolerinsights (2017) listed some of the most popularly used channels of Digital Marketing.

The evolution of digital marketing over the years, has altered the way brands and businesses are making use of technology in order to build a concise marketing strategy (Lotta Bäck) states that with an accrued understanding on how to communicate with potential customers in digital media, the business creates mutual benefits for both parties involved.

Today, most companies are either thinking about or pressing ahead with digital transformation initiatives (Earnst and Young). For every industry, digitization changes the way products are made, sold, and distributed, as well as how companies are managed, and how and with whom they compete (Acker). In the present era of digitalization, the prominence of digital marketing has substantially been on the rise from one year to another as part of the overall marketing strategy which is practiced by organizations of any type and any size (Baltes 2015). It has been found that consumers increasingly spend more time on online services to browse, store, play, email, access Facebook, Twitter and other social apps through connected devices i.e., tablets, smartphones, laptops and in this way transforming the way internet is used (Ericsson Consumer Lab 2012). It is clear that the amount of data that we generate in our Digital Society is increasing exponentially (Wilthagen).

There are over 3.5 billion searches on Google every day. Traffic from Google is more likely to convert than any other form of advertising. Digital Future Project (2017) estimates that the average user spends 23.6 hours Online per week. Facebook have 1.871 billion of monthly users, Youtube 1 billion, Whatsapp 1 billion, Instagram 600 Millions, Tumbler 557 millions, Twitter 317 millions, Sina Weibo 297 millions. Brandwatch (2017) estimates that there are a staggering 1 billion of video views on Youtube on a daily basis. Moreover, it has been reported by the Internet Advertising report (2017) that in the United States alone, $88 billion (+21.6) was generated from Internet Advertising. Internet Advertising surpassed any other medium in terms of revenue TV $70.44 billion (-2.6%), Magazines $20.9 billion (-0.9%), Radio $17.6 billion, Newspaper $17.0 billion (-7.1). In 2018 Digital Marketing turned out to be a major component of Marketing. ‘Digital technology has put the customer in charge, creating a fundamental shift in the dynamics of Marketing’ (Jerry Wind, Vijay Mahajan 2001). Vijayendran (2016) state that all industries need to gear up for digitalization in terms of marketing, communication, service, market research and sales. There are very few businesses which would not find any benefit of any kind, at least to some degree of Digital Marketing (Damien 2018). The digital development not only provides new media’s where marketing activities can be executed, it has also become easier for firms to access, collect and analyze marketing activities by using digital data (Pickton, 2005; Russell, 2009). By becoming digital, companies can gain benefits such as customer acquisition, servicing and retention (Vijayendran, 2016).Rowles (2014) states that Digital branding is the sum of our online experiences. He moreover rightly points out that what customers say about us is more important than what we have to say about ourselves. The shift of dialogue from means that the traditional approach to branding is no longer enough.

Over the years, especially during globalization, Internet has become an essential part of our life (Rungta X) Digital marketing has made any. Kent Wertime, Ian Fenwick (2008) mentions the dramatic transformation of the Mobile phone into a mobile computer complete with web surfing, enhanced photography and videography. 2. Rationale of the study Digital Marketing plays an important role in the Branding and Marketing strategy of Local businesses. Moreover, the technological advancement together with the changes in consumer behaviour make companies rethink their marketing strategies in order to adapt in accordance to the digital environment (Tiago & Veríssimo, 2014). More importantly, growth in digital marketing has been due to the rapid advances in technologies and changing market dynamics (Mort, Sullivan, Drennan, Judy, 2002). An imperative for digital innovation and engagement has emerged: businesses have already realised that they must use digital channels to engage with their key stakeholders to maintain relevance and drive the conversation (Earnst & Yong). In the opinion of the Rathenau Instituut, it is time to acknowledge the impact of digitalization on society.

A survey by Gartner mentions that 47% of CEO are being pressed by their Board of Directors to empower the progress in Digital Makreting with 57% of them stating that their Digital Strategy have already improved profit. Another study from Ascend2 Research-Based Marketing (2017) tends to agree with Gartner the study states that there are a 57% majority of respondents that consider a digital marketing plan very successful at reaching important objectives, describing it as best-inclass. While 47% consider it somewhat successful. Only 2% pessimistically describe digital marketing planning as unsuccessful at achieving objectives. Media agencies need to more actively harness the power of such intangible assets to create more effective online tools for stronger channel integration (Ovitz 2015).There are many aspects which have not been covered by researches since these have been newly developed. There are several advantages which businesses can derive by using Digital Marketing for the above-mentioned scope. Some of them have been listed below:

• Brand Loyalty
• Brand Awareness
• Thought Leadership
• Brand Strategy and Management
• Better Marketing practices
• Lead Nurturing
• Lead Acquisition

However, in order to adopt a concise digital strategy, there are several points which needs to be considered. There’s no question that having the right digital marketing strategy is critical to winning over customers (IBM Marketing cloud) These factors play a vital role in the success or failure of the implementation of the strategy.

This study also aims to highlight these models and to ensure that they are applicable on the local market. Understanding your online consumer properly and doing necessary improvements and moves based on analytics gathered from the consumers' online behaviors, is in today's competitive world a must if you are looking at achieving a successful business and for being able to compete against your competitors (lotta). Instead of talking one-on-one to customers, suppliers and employees, organisations are now talking to a crowd of people who are often talking to each other (Earnst and Young).Limited studies are currently available on the subject on the Local scene. Despite the importance of Digital Marketing for Branding and Marketing Strategy. They do not fully understand the benefits of digital marketing in terms of growth and cost effectiveness (Fawad 2018). Research also aims to di-mystify the myths around digital marketing and to identify the don’ts.