Digital Marketing - Unit I for students..
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The document discusses digital marketing, defining it as the use of the internet and digital technologies to promote products and services. It explores various aspects, including inbound and outbound marketing, the digital marketing landscape, and the comparison with traditional marketing methods. Additionally, the document highlights the importance of metrics and KPIs in measuring the effectiveness of digital marketing strategies.
Digital Marketing - Unit I for students..
- 1. Digital Marketing – UNIT I S. S. SARAVANA KUMAR ASSISTANT PROFESSOR Department of Computer Applications Sri Ramakrishna College of Arts and Science Coimbatore - 641 006 Tamil Nadu, India
- 3. • Exchange of goods and services takes place as a result of buyers and sellers being in contact with one another, either directly or through mediating agents or institutions. • Markets in the most literal and immediate sense are places in which things are bought and sold. • A market is any place or venue where buyers and sellers can exchange goods and services. • A market may be physical, like a retail outlet, or virtual, like an online brokerage with no physical contact between buyers and sellers.
- 5. • Marketing is the process of getting people interested in your company's product or service. • This happens through market research, analysis, and understanding your ideal customer's interests. • Marketing pertains to all aspects of a business, including product development, distribution methods, sales, and advertising. • Marketing is about planning and executing the development, pricing, distribution and promotion of products and services to satisfy the needs of your customers
- 6. • Marketing is the process of attracting customers to your company to generate revenue. • Marketing is a way to promote brand awareness and create leads, which can become sales.
- 8. • Digital marketing is the component of marketing that uses the Internet and online-based digital technologies such as desktop computers, mobile phones, and other digital media and platforms to promote products and services. • Digital marketing is the practice of promoting products or services with the help of digital devices and technology. • In simple words, digital marketing is any form of marketing that occurs online with the help of mobile, laptop, internet, etc.
- 9. • Digital marketing is the use of websites, apps, mobile devices, social media, search engines, and other digital means to promote and sell products and services. • Digital marketing involves many of the same principles as traditional marketing and is often considered an additional way for companies to approach consumers and understand their behavior. • Digital marketing promotes products and services through channels such as websites, mobile devices, and social media platforms.
- 10. • Digital marketers have a number of tools to measure the effectiveness of their campaigns(operations). • One of the biggest challenges digital marketers face is how to set themselves apart in a world that is oversaturated with digital ads and other distractions.
- 12. • The word "internet marketing" refers to all online advertising of goods and services. • Internet marketing is a form of marketing that uses the Internet to promote a brand, product, or service via social media, search, email, and other digital channels. • It is also known as online marketing, digital marketing, or website marketing.
- 15. •The main difference between digital marketing and internet marketing is that digital marketing is a broader term that includes internet marketing, while internet marketing is a more specific type of digital marketing
- 16. • Digital marketing • A general term that refers to marketing that uses digital technologies, whether online or offline. • Digital marketing can include using social media, TV ads, and other digital services to promote products or services. It can also include managing digital customer data and electronic customer relationship management systems (E- CRM systems)
- 17. • Internet marketing • A more specific type of digital marketing that refers to marketing that uses the internet to reach an audience. • Internet marketing strategies include search engine optimization (SEO), search engine marketing, and pay-per-click (PPC) ads. While the terms are often used interchangeably, it's important to understand the differences between them when developing a marketing plan.
- 18. How Digital Marketing Works • Digital marketing can be broken down into a series of steps, including: • Define your goals: Set clear objectives for your marketing campaign. • Understand your audience: Research your target audience's needs, desires, and pain points • Create buyer personas: Develop semi-fictional representations of your ideal customers that include their goals, challenges, and purchase habits • Conduct competitor analysis: Examine your competitors' online presence, including their website, social media, SEO, and advertising • Choose a niche: Select an area of digital marketing to specialize in, such as content marketing, social media marketing, or SEO
- 19. How Digital Marketing Works • Define your marketing strategy: Use the appropriate communication channels and consider the use of SEO • Set a budget: Determine how much you'll spend on your campaign • Implement your strategy: Bring your campaign together and track and measure the results • Take corrective measures: Use the results to make any necessary adjustments
- 23. Inbound Marketing • Inbound Marketing is a technique to attract customers to buy products and services with the help of Social Media Marketing, Content Marketing, Search Engine Optimization, and branding, etc. • Some examples of inbound marketing tactics include: • Content marketing (blogs, articles, e-books, webinars, etc.) • Search engine optimization (SEO) • Social media marketing • Email marketing • Video marketing • Referral marketing
- 24. Inbound Marketing • Advantages of Inbound Marketing: • Cost-effective: Inbound marketing is often more cost-effective than outbound marketing as it focuses on organic traffic and creating valuable content that can be shared across various channels. • Builds credibility: Inbound marketing helps businesses build trust and credibility with their target audience by providing valuable information and resources that address their needs and pain points. • Better engagement: Inbound marketing allows for more engagement and interaction with the target audience, as it focuses on creating content and resources that are relevant and helpful to them.
- 25. Inbound Marketing • Disadvantages of Inbound Marketing: • Requires time and patience: Inbound marketing can take time to yield results as it requires businesses to build an audience and establish a reputation as a credible source of information. • Less control: With inbound marketing, businesses have less control over the timing and frequency of interactions with the target audience.
- 27. Outbound Marketing • Outbound Marketing is a technique to attract large number of customers to buy products and services with the help of tv ads, e- mails, p print ads, etc. • Some examples of outbound marketing tactics include: • TV and radio advertising • Print advertising (newspapers, magazines, etc.) • Direct mail • Cold calling • Trade shows and events
- 28. Outbound Marketing • Advantages of Outbound Marketing: • Control over messaging: Outbound marketing allows businesses to control the messaging and frequency of their communication with the target audience. • Quick results: Outbound marketing can yield quick results, as businesses can reach a large audience in a short amount of time. • Better targeting: Outbound marketing allows businesses to target specific demographics and geographic regions, which can help to improve the effectiveness of marketing campaigns.
- 29. Outbound Marketing • Disadvantages of Outbound Marketing: • Costly: Outbound marketing is often more expensive than inbound marketing due to the cost of producing and distributing advertisements. • Less engagement: Outbound marketing is often less engaging and interactive than inbound marketing, as it relies on one-way communication. • Lower credibility: Outbound marketing may be seen as less credible and trustworthy by the target audience, as it is often perceived as intrusive and disruptive.
- 30. S. No. Inbound Marketing Outbound Marketing 1. It pulls in interested customer. It pushes regardless of interest. 2. It is written according to customer’s needs. It is written according to product needs. 3. It is a part of content consumption. It disrupts content consumption. 4. It is also called New Marketing Technique. It is also called Old Marketing Technique. 5. Inbound Marketing is cheap. Outbound Marketing is expensive.
- 31. S. No. Inbound Marketing Outbound Marketing 6. Inbound Marketing is also known as “Magnetic Marketing”. Outbound Marketing is also known as “Push Marketing”. 7. In Inbound Marketing, the marketer gets permission from the customer. In Outbound Marketing, the marketer interrupts the customer. 8. It has two way communication. It has one way communication. 9. It includes organic search ranking. It includes paid search ranking.
- 32. S. No. Inbound Marketing Outbound Marketing 10. Some examples are blogs, social media etc. Some examples are display ads, tv ads etc. 11. It is measurable using digital marketing software. It is challenging to quantify the attribution of physical advertising. 12. It complements the user experience. It interferes with user experience. 13. It is for specific audience. It is for general audience.
- 34. • The digital marketing landscape refers to the various channels, platforms, and marketing strategies that constitute the domain of digital marketing. • To navigate this rapidly evolving field, it's important to understand the fundamental components that make up this landscape. • The digital marketing landscape is the collection of tools, platforms, and strategies that businesses use to sell products and services online. • It includes websites, social media, email, videos, and mobile devices.
- 35. • Websites: A website is often the cornerstone of a company's online presence, serving as a virtual storefront, information hub, and a primary point of interaction with customers. • Social Media: Platforms such as Facebook, Instagram, Twitter, and LinkedIn offer unique ways to engage with target audiences, build brand awareness, and drive conversions. • Email Marketing: A cost-effective way to reach customers directly in their inbox, email marketing allows businesses to send newsletters, promotions, and personalized messages.
- 36. • Search Engine Optimization (SEO): By optimizing website content and following best practices, businesses can improve their search engine rankings and attract more organic traffic. • Mobile Marketing: With the majority of people accessing the internet via mobile devices, creating mobile-responsive websites, apps, and advertising campaigns is essential for reaching audiences on the go.
- 37. • Role & Importance of Each Component • Each component within the digital marketing landscape plays a vital role in achieving overall marketing objectives: • Websites help establish credibility, offer vital information, and generate leads and conversions. • Social media platforms facilitate user-generated content, online communities, and genuine engagement, which can lead to increased brand awareness and trust.
- 38. • Role & Importance of Each Component • Email marketing strengthens customer relationships and facilitates effective communication. • SEO increases online visibility, driving organic traffic and potentially improving conversion rates. • Mobile marketing ensures that businesses can reach their audience on their preferred devices, providing a seamless user experience.
- 39. • New Trends and Tools Shaping Digital Marketing • Several emerging trends have a significant impact on digital marketing: • Artificial Intelligence (AI): AI tools can help analyze customer behavior, automate advertising campaigns and improve content recommendations. • Video Marketing: Videos have quickly become vital marketing assets, delivering engaging content to users across various platforms. • Voice Search: With the rise of smart speakers and virtual assistants, optimizing content for voice searches is becoming increasingly important.
- 41. Traditional Marketing • Traditional marketing encompasses the marketing methods that can be used without the internet. These are the methods that have been around for decades and are typically used less often now. However, they’re not without their strengths. • Common traditional market methods include: • Directly mailed postcards, coupons, and informational packets • Television or radio commercials • Newspaper or magazine ads • Billboards and fliers • Telephone calls and text notifications • We see and hear many of these ads every day just by listening to the radio on the way to work or even looking out the window at the billboards as we go by. They’ve become a part of daily life.
- 42. Traditional Marketing • Traditional marketing refers to conventional methods of promoting products and services to consumers. • This form of marketing has been used for decades and relies on offline channels to reach a broad audience. • Key characteristics of traditional marketing include its tangible nature, the ability to target a local audience effectively, and a one- way communication model where businesses broadcast their message to potential customers without immediate feedback.
- 43. Features of Traditional Marketing • One-way Communication: Organisations deliver their messages in a one-way manner, and do not usually provide the audience with the opportunity to interact or provide feedback. • Offline Channels: It uses offline channels like TV, magazines, radio, billboards, etc. • Tangible Materials: It also uses some tangible materials to deliver its message or promote a product or service. These materials include flyers, brochures, posters, etc. • High Cost: The traditional marketing campaigns require quite high financial investment as the cost associated with broadcasting, printing, and distributing tangible materials is high.
- 44. Features of Digital Marketing • Two-way Communication: With digital marketing, organisations can interact with their audience, allow them to provide feedback and comments, and engage with the properly. • Online Channels: It uses online channels like websites, email, social media platforms, mobile apps, search engines, etc. • Multimedia Content: It uses multimedia content like images, videos, infographics, etc., for user engagement across different online platforms. • Cost: As compared to traditional marketing, digital marketing can be more cost- effective. It is because digital marketing usually include low overhead cost and has more advertising options.
- 45. Forms of Traditional Marketing • Television commercials: One method of traditional marketing is broadcasting advertisements using TV commercials. • Radio commercials: Radios played a vital role in the late 20th century. People who could not afford television opted for radios and CD cassettes those days. • Flyers: Many companies and businesses are still printing flyers to promote their services. • Billboards: Billboards contain pictures of the advertisement. • Magazine and newspaper ads: Newspaper magazines acted as one of the finest sources of obtaining information regarding anything. • Telephone and SMS marketing: These mostly include phone calls and text messages of advertisements for various businesses and their services. • Referral: Referral is when the organization asks its employers and customers to recommend their products and services to their friends and family or neighbors. • Direct mail: Many businesses mail their ads in postcards or notices to the people in the company's target area or city.
- 46. Example of Traditional Marketing • Print advertising • Print advertising is one of the oldest forms of traditional marketing. • Television and Radio Commercials • Television and radio commercials are powerful tools in traditional marketing. • Billboards and Posters • Billboards and posters are essential components of outdoor advertising.
- 47. Advantages and Disadvantages of Traditional Marketing • Advantages: 1. Builds Trust and Credibility: Traditional marketing methods, such as print advertisements, television commercials, and radio spots, have been in use for decades. 2. Builds Brand Recognition Through Repetition: Repetition is a key factor in brand recognition, and traditional marketing excels in this aspect. • Disadvantages: 1. Limited Audience Targeting: One of the significant drawbacks of traditional marketing is its limited ability to target specific demographics.
- 48. Advantages and Disadvantages of Digital Marketing • A. Advantages: 1. Targeted Audience Reach: Digital marketing excels in reaching specific audience segments with precision. 2. Builds Credibility: Another significant advantage of digital marketing is its ability to build credibility. 3. Cost-Effective Options: Digital marketing offers cost-effective solutions for businesses of all sizes. • B. Disadvantages: • 1. Requires Constant Adaptation: One of the primary challenges of digital marketing is the need for constant adaptation.
- 49. Comparison basis Traditional marketing Digital marketing Definition It is one type of marketing that utilizes media, TV, or magazine to advertise any business's services and products. It is one type of marketing that uses the internet and social media for advertising businesses. Engagement Low Relatively high Conversion Slow Extremely fast Nature Static Dynamic Investment returns Not easy to measure Simple to measure Effectiveness More expensive Less effective Less expensive More effective
- 50. Comparison basis Traditional marketing Digital marketing Targeting Standardized Customized Tracking Not possible Possible Reach Local Global Tweaking Not possible once the advertisement is placed One can change or edit anytime Results Slow results Quick and live results Communication It is mostly one-way communication It is a two-way communication Interruptions It is not easy to skip the advertisements, as they are bound to the users. One can easily skip between advertisements if it does not interest them.
- 51. A system or standard of measurement Digital Marketing Metrics and KPIs are values that marketing teams use to measure and track the performance of a digital marketing campaign.
- 52. Digital Marketing Metrics • There are many important digital marketing metrics to track and guide your success, both for sales conversion and brand awareness. • Marketing metrics are specific performance data points that marketers utilize to monitor, record, and measure the success of their marketing plans and campaigns over time. • Selecting the right metrics that align with campaign goals is crucial, as these metrics can vary across different platforms.
- 53. Digital Marketing Metrics • Digital marketing metrics and KPIs (Key Performance Indicators) are ways to measure how well your online marketing efforts are working. • Think of them like scorecards for your digital marketing strategies.
- 54. Digital Marketing Metrics • Metrics are the specific data points you track, like website visits, social media followers, or email open rates. • KPIs, on the other hand, are the most important metrics that tell you whether you’re achieving your marketing goals. • For example, if your goal for marketing channels is to increase sales, the KPI might be the number of online purchases. These metrics and KPIs help you understand what’s effective in your digital marketing and what needs improvement, so you can make better decisions and boost your online success.
- 55. Digital Marketing Metrics • A metric is simply something you can count, like actions or events – for example, pressing the "Leave a message" button. A metric is just a number, and its interpretation is up to you. • A Key Performance Indicator (KPI) provides insights. Digital marketing KPIs usually have standard values and offer meaningful information about your business when you compare the actual value to the average.
- 56. Reasons • Few reasons why keeping an eye on these digital marketing key metrics and KPIs is so important. • Measuring Performance: Metrics and KPIs in digital marketing provide a way to assess the effectiveness of your digital marketing efforts, helping you understand what’s working and what needs improvement. • Data-Informed Decision-Making: These metrics and digital marketing KPIs enable data-driven decision-making by providing actionable insights that guide resource allocation and strategy adjustments. • Goal Tracking: Digital marketing key metrics help you track progress toward your marketing goals, ensuring that you’re on the right path to achieving them.
- 57. Reasons • Few reasons why keeping an eye on these digital marketing key metrics and KPIs is so important. • ROI Assessment: These metrics allow you to determine if your marketing investments are delivering a positive return on investment, a crucial consideration for businesses. • Continuous Improvement: Regularly monitoring metrics promotes a culture of continuous improvement, helping you optimize your marketing strategies over time for better results.
- 58. A system or standard of measurement LIST of METRICS
- 59. List of Performance Marketing Metrics 1. Website Metrics • This digital marketing performance metric indicates the total number of visitors to your website over a specific period, providing an overview of your site’s reach and audience size. • Bounce Rate • The bounce rate is calculated as the number of single-page visits (where a user views only one page) divided by the total number of visits. The formula is: • It’s typically expressed as a percentage.
- 60. List of Performance Marketing Metrics 1. Website Metrics • Average Session Duration • To calculate the average session duration, sum up the total time spent by all visitors on your website during a specific period and divide it by the total number of sessions. The formula is: • These formulas can be applied using web analytics tools like Google Analytics 4, which automatically tracks and calculates these metrics for your website.
- 61. 2. Search Engine Optimization (SEO) Metrics • SEO metrics are one of the most crucial metrics in digital marketing for evaluating the performance of your website in search engine results and understanding how effectively your SEO efforts are driving organic traffic and improving your website's authority. • Organic Traffic: Organic traffic refers to the number of visitors who arrive at your website through unpaid (organic) search engine results. It indicates the visibility and relevance of your website in search engine rankings. • Keyword Rankings: Keyword rankings track the position of your website's pages in search engine results for specific keywords or phrases. Improved rankings for relevant keywords can lead to increased organic traffic. • Backlinks: Backlinks measure the number and quality of other websites linking to your site. High-quality backlinks from authoritative sources can enhance your website's credibility and improve its search engine rankings.
- 62. 3. Domain Authority • Domain Authority is a marketing metric developed by Moz that assesses the overall authority and trustworthiness of your website in search engine algorithms. • A higher Domain Authority score is generally associated with better search engine rankings.
- 63. 4. Conversion Rate (CR) • Conversion rate is one of the simplest yet crucial digital marketing metrics. It represents the percentage of users who complete a desired action, such as making a purchase, downloading an app, or submitting a contact form. • You can find the number of conversions and total number of visitors in Google Analytics 4.‘ • Once you've set your goals, you can see this visualization on the Reports —> Engagement —> Conversion page.
- 64. 5. Click-Through Rate (CTR) • Clicks can often lead to purchases. The click-through rate (CTR) measures the percentage of users who click on a link compared to the total number of users who see it. • For instance, in a Google Ads campaign, if your ad is displayed 1,000 times and receives 100 clicks, your CTR would be 10%. This means that 10% of the users who saw your ad took the desired action of clicking on it. • A high CTR indicates that your ad is resonating with your target audience, driving more traffic to your website, and is a valuable KPI to monitor to optimize ad campaigns for better performance.
- 65. 6. Cost per Click (CPC) • Cost per click (CPC) is a key performance metric in digital marketing that indicates whether you can save money on paid ads. It measures how much you pay each time your ad is clicked, helping you assess the cost-effectiveness of your ad campaign. • Google Ads provides this information when calculating the CPC for your keyword auctions. You can seamlessly integrate your Google Ads with Google Analytics 4 (GA4) and further connect other ad services using OWOX BI.
- 66. 7. Cost per Action (CPA) • Cost per action (CPA) is a digital advertising metric that reflects the cost of achieving a specific desired action. It also helps evaluate the effectiveness of your marketing funnel. The desired action is defined by you—it could be anything from signing up for a newsletter to requesting a callback, or any other goal you set. • This straightforward metric forms the foundation of CPA marketing, where you pay for each conversion generated by an affiliate. However, a potential drawback of this approach is that unethical affiliates may attempt to deceive you with fake traffic.
- 67. 8. Cost per Lead (CPL) • Cost per lead (CPL) is similar to cost per action, but instead of paying for a specific action, you pay for the contact information of a marketing-qualified lead—someone who is potentially interested in your offer. • To calculate this metric, sum up all your ad expenses leading to actions like gated content registrations, then divide the total by the number of leads acquired. This will help you determine whether your lead acquisition efforts are within budget or if you're overspending.
- 68. 9. Customer Acquisition Cost (CAC) • Customer Acquisition Cost (CAC) is a vital digital advertising performance metric that calculates the average cost a business incurs to acquire a new customer. It provides insights into the efficiency and sustainability of marketing and sales strategies. • To calculate CAC, you add up all the costs associated with acquiring customers, including marketing expenses, advertising costs, and sales team salaries, and then divide that total by the number of new customers acquired during a specific period.
- 69. 10. Abandonment Rate • This metric represents the percentage of inbound calls that are disconnected before reaching a call center agent, or the percentage of abandoned shopping carts in the retail industry. For call centers: For retail businesses or e-commerce:
- 70. 11. Return on Ad Spend (ROAS) • The most crucial metrics for measuring ad performance in digital marketing. It represents the revenue your business earns for every amount spent on advertising.
- 71. 12. ROI (ROMI for marketing) • Return on investment is a performance metric used to assess the effectiveness of a specific investment.
- 72. 13. Average Revenue Per Account/User/Customer (ARPA, ARPU, ARPC) • Average Revenue Per Account/User/Customer (ARPA, ARPU, or ARPC) is a key financial metric used to measure the average amount of revenue generated by each account, user, or customer over a specific period, usually monthly or annually.
- 73. 14. Time to Payback CAC • This financial metric indicates how long it will take to recoup the marketing costs spent on acquiring a customer.
- 74. 15. Monthly Recurring Revenue (MRR) • MRR, or monthly recurring revenue, is a key metric for the recurring revenue components of a subscription business. It helps companies forecast revenue and adjust their sales strategies accordingly.
- 75. 16. Churn Rate • The churn rate is the percentage of customers or subscribers who discontinue their subscriptions during a given period.
- 76. 17. Revenue-churn • Revenue churn measures the loss in revenue due to customers canceling or downgrading their subscriptions.
- 77. 18. Share of Market (SOM) • While marketing often plays a significant role in market share growth, sales strategies can also influence it.
- 78. 19. Share of Wallet (SOW) • Share of Wallet is a digital marketing measurement KPI that shows the portion of a customer's spending going to your company compared to competitors.
- 79. 20. Customer Retention Rate (CRR) • How long do customers continue to return to your business, or do they make a purchase and then move on? Acquiring new customers is far more costly than re-engaging existing ones. The customer retention rate, also known as reverse churn, reflects this ongoing relationship.
- 80. 21. Customer Lifetime Value (CLV) • Customer lifetime value can be either historical, representing the total profits from all purchases a customer has made, or predictive, estimating the total revenue your business anticipates from the ongoing relationship with that customer.
- 82. Marketing Channel: Social Media Marketing Facebook This platform has been around for a long time. The main audiences on this platform are usually millennials or older as younger generations tend to migrate to newer platforms. Instagram Instagram is currently owned by Facebook. The native content of this platform is mostly visual-heavy in both image and video formats. Twitter Twitter is a “loud” platform that allows you to post multiple short-texts posts in one day without annoying your audience. LinkedIn A professional social media platform, LinkedIn is great for B2B business.
- 83. Marketing Channel: Google Adwords Everyone uses Google on a daily basis. This is a powerful paid platform to advertise with. The audiences on this marketing channel are usually searching with intent. This means that they know what they are looking for. There are a few methods to advertise with Google Ads. You can use these strategically depending on the marketing objectives you want for your business. The different types of ad campaigns you can create are: Search Network (text ads) Display Network (banner ads) Shopping Network (product displays) Video (Youtube ads) App (App installs and promotions)
- 84. Marketing Channel: Affiliate Marketing Affiliate marketing is a way to earn commissions from selling other products. This can be done through product recommendation videos on Youtube, for example. You will have to contact the company you want to be an affiliate to obtain a link or a code. This is where your sales will be tracked and you can earn a percentage off of them. This channel is great to use as an additional income source for your business.
- 85. Marketing Channel: Email Marketing Email marketing is still effective! Once a customer opts-in to your email list, you can create content that is educational or relevant in your industry. Make sure, however, that you are answering to what they will find interesting. The most important part of a good commercial email is the subject title and the first sentence.
- 86. Marketing Channel: Search Engine Optimization We can have a great website but without anything to attract visitors to your website, that website is practically useless. Search Engine Optimization (SEO) is a great way to help your website be discoverable on search engines such as Google. However, the process of building your SEO well enough to rank on page one of Google can take a minimum of 3-6 months.
- 87. Marketing Channel: Content Marketing Content is the key to all forms of digital marketing. This online marketing channel will help build brand awareness, convert customers, and build customer loyalty. Your content should be relevant to your audience and the content, whatever form it is or where you post them, will help to promote your business and who you are. In terms of content, there are 3 main types: evergreen, topical, and ephemeral. Topical content provides relevant and targeted information. Evergreen content are ones that can still be relevant to your audience months or years from the time it is posted. Ephemeral content are ones that are short-lived. Like Instagram stories, for example, these last only 24 hours but they are used by many businesses to stay relevant and encourage brand recognition.
- 88. Marketing Channel: Influencer Marketing Influencer marketing, while it can be costly, will help you reach the type of audience who are your ideal customers. The most important factor in choosing an influencer is the type of audience that follows them and their engagement rate. Having a high engagement rate will not only give a show that their followers are real, but it also increases the likeliness of producing sales.
- 89. Marketing Channel: Native Advertising This marketing channel is similar to paid ads but instead of appearing as an ad, the content looks native to where it appears. This could be in the form of a recommended content on a website or on social media feeds. The core of native advertising is to have the advertisement appear non-disruptive and does not directly push its product or service to the audience. As a result, the form of marketing has the potential to work even better than regular advertisements.
- 92. Customer Centricity Customer-centricity means putting the customer first and at the center of everything that you do. Being customer-centric entails more than just saying the customer is top of mind. It is about truly understanding the customer, so you can anticipate their wants, needs and communication preferences, create meaningful experiences, and build lasting relationships with them. Customer-centric organizations take steps to understand the customer and act on that understanding by creating a culture that empowers employees to make the best decisions for both the customer and the company in parallel. They take into account how each business decision, process change, and customer touchpoint affect the experience. All in all, customer-centricity is as much a strategy as a culture. It has to be ingrained in an organization in order to be recognized by the final decision maker: the customer. Successful organizations realize higher retention rates, more referrals, price premiums, and ultimately greater revenue.
- 93. Why is customer-centricity important to your business and brand? If customers aren’t happy, they won’t stay with your brand. If you don’t have customers, you don’t have a business. Consider your own experiences interacting with your favorite brands. They make it easy to do business with them, they communicate with you via your preferred method, and they may even present offers at the exact time you plan to purchase.
- 94. common challenges businesses face getting to customer-centricity Customer-centricity challenge 1: Getting buy-in and building a culture Customer-centricity challenge 2: Shifting from product-centric to customer-centric Customer-centricity challenge 3: Overcoming data silos and technology
- 95. Customer-centricity challenge 1: Getting buy-in and building a culture The most difficult challenges to overcome are the least tangible. Creating a customer-centric culture is a good example of that. Culture is not something that is forced or easily changed. It doesn’t necessarily translate directly from plan to action. It requires everyone from executives on down to embrace the change that customer-centricity brings. Everyone has to want to believe, execute and succeed.
- 96. Customer-centricity challenge 2: Shifting from product-centric to customer-centric A shift from product-centricity to customer-centricity applies to both consumer and non-consumer-based industries. Think of your bank or insurance agency. In the past, you would have an account number for each account owned, interacting with different representatives for each one. This product-centric approach didn’t stop there. Systems recognized a customer by account or policy number, not by name. Processes and experiences were siloed and choppy as a result. You’d often need to share your information multiple times or receive offers for products you already own.
- 97. Customer-centricity challenge 3: Overcoming data silos and technology A data silo is a collection of data held by one group that is not easily or fully accessible by other groups in the same organization.
- 98. Customer-centricity challenge 3: Overcoming data silos and technology Digital transformation means a successful data management strategy to support customer-centricity is even more important. As customers flock to the growing number of digital channels, interactions with your brand have potentially increased in frequency. Consumers and business buyers alike are making purchase decisions prior to engaging with a salesperson due to the availability of information
- 99. Customer-centricity challenge 3: Overcoming data silos and technology Web chats, online product reviews, and social media create additional channels for customers to learn about and experience brands. Data is often the biggest challenge when it comes to knowing who your customers are and understanding what they want. In many companies, data is unorganized, siloed, duplicated and, frankly, a mess. Breaking down silos and getting control of data – centralizing it, cleaning it, enriching it, governing it – and making it actionable go a long way in delivering customer-centricity.