This presentation is an extract from my website on Digital Marketing for small businesses. It contains a background to Digital Marketing and explains how and why digital marketing involves in the early 2000s.

1. Background to Digital Marketing for
Small Businesses 2012
“Its Marketing Scotty, but not as
we know it”
Richard Masters
1 18/10/2012

2. What is Digital Marketing?
Digital Marketing is not some new orthodoxy, it is simply
a whole range of new marketing tactics that are now
available which have, largely, been enabled by the
development of the Internet

3. Digital Marketing?
 The FT definition is
“The marketing of products or services using digital
channels to reach consumers”
 There are all sorts of more prescriptive definitions, but
I like this one because it is simple and inclusive.
 DM provides for Small Businesses a whole range of
potential new and powerful Marketing Tactics which
are affordable!
 The key driver is technology, and in particular the
spectacular rise in The Internet. However, other
technologies such as Mobile and Digital TV are also
important.
 DM is where Business. Marketing and The Internet
intersect. The next diagram tries to illustrate this
positioning.

4. Digital Marketing

5.  So broadly Digital Marketing occupies the space
where Business, Marketing and the Internet
overlap.
 The next slide, and the subsequent table, develop
the idea a little further by looking at some of the
other overlapping areas in the Venn diagram to
better position DM.
 The characteristics of the other numbered areas
in the diagram, are described in the subsequent
table

6. The Overlapping Areas

7. No Name Characteristics
1 Digital Marketing I,M,B Use of Internet based marketing
tactics for business.
2 Traditional Marketing M,B Tactics such as: Brochures, Mail
shots, TV and Print advertising
3 Non Business M,I Government, Education , Charity
Internet etc. Internet based Marketing
4 Non Marketing B,I Enterprise Applications, Cloud and
Business uses Productivity Apps etc.
5 Non Business M Traditional marketing for non-
Marketing business organisations
6 Business Activities B Core business activities that have
nothing to do with marketing or
Internet
7 Internet I Personal uses such as Gaming,
Music, photo’s, email. Non profit
uses

8. The Internet: The key driver
This rapid expansion in the tactics available to small
businesses for marketing, has been facilitated by the
growth and development of the internet. Such has been
the impact it is fair to describe it as a paradigm shift.

9. The Impact of the internet
 The impact of the Internet on Marketing has not
been a one off event. It has evolved over the past
30 years
 It is useful to distinguish between two distinct
phases:
 Web 1.0: The Web pre 2000
 Web 2.0: The current Web
These are each described in turn below:

10. Web 1.0
The web before 2000

11. Web 1.0
 Back in 1992 view of Web largely derived from
academia
 It was seen as a “Vast interconnected set of
reference libraries” where all the worlds
knowledge could be stored for access by anyone.
 First search engine emerged in 1993:
AltaVista
 Rudimentary browsers emerged in1994:
Netscape launched
 Interaction was characterised as one way. The
user was largely passive.

12. Marketers Built Websites!
 1995-2005 was the era of website building
 Boy, did we build websites. Rivalled the growth of
railways in the 18th Century!
 Web design companies grew like topsy!
 Some accompanying developments in
“Outbound” or “Push” Marketing such as
electronic newsletters & email marketing.
 Often called the “field of dreams” era!

13. “Field of Dreams” Marketing
 “Build it and they will come” approach to websites
predominated
 Often compared to erecting
a billboard in a basement
 Marketers built millions
and millions of websites
 Problem was nobody came
and even fewer stayed!

14. Why the Underachievement?
 Traditional “4P’s” product marketers saw
Websites just as new “Electronic Brochures” full
of product “puff”.
 Expensive investment in design elements
 Often supplemented with email direct marketing.
 Nothing to encourage customers to visit, stay or
return.
 Few visitors + little engagement = limited
Business
 Websites were consistently not achieving
business expectations
 Enter, stage left: Web 2.0!!

15. WEB 2.0
The web post 2005

16. The genesis of Web 2.0
 Towards the end of the millennium a new
view of the web emerged from users
 We now call this Web 2.0
 Web 2.0 is based on interaction:
 two way interaction, multiple
conversations
 Users wanted to participate
 emergence of sites such as:
 Google developed a commercial
business model, based on search, that
worked.
 Business could now better exploit the
web!

17. Web 2.0: Some Definitions
 “Well, simply put, Web 2.0 is an Internet jargon
term used to describe the newer generation
of websites that are about "User-generated"
content. By this I mean Web 2.0 websites allow
users to collaborate and share information,
opinions, comments, ideas, links, ratings,
bookmarks, reviews, pictures, videos, and more.”
Allan Todd
 “Web 2.0 is the term given to describe a second
generation of the World Wide Web that is focused
on the ability for people to collaborate and share
information online” Webopedia

18. Web 2.0 : The how
 It is wrong to see Web2.0 as driven by the underlying
technology. The Internet itself did not change.
 Three factors came together:
1. Software tools: new tools were developed that
allowed the building of new types of sites
2. User aspirations: There was mounting pressure
from users for new types of systems that let then
participate and interact and not be purely passive.
3. Entrepreneurs: A new generation of highly
talented people emerged, who could see the
potential of the Internet and who built brilliant
companies and products to exploit it.

19. Created a major paradigm shift
 “Web 1.0 was where corporations thought the internet was
another dandy platform for telling us what they wanted us to
know. Web 2.0 was where we showed them that the internet is
about us, not them, and that if they want to stay around, they'd
better sit back, shut up, and listen. Web 2.0, like Rock and Roll,
is here to stay”. Ray Beckerman
 “This Is Not Your Father’s Marketing” .. “And that’s the
difference between traditional marketing and social media
marketing. In traditional marketing, you throw out a message
where it will be seen by millions of people who couldn’t care
less.”... “In social media marketing, you find the people who are
already talking about your message and join the conversation.
It’s really that simple and that complicated.” liana li Evans

20. Impact on Marketing
 The basic principles of marketing did not change.
What changed, fundamentally, was the way we went
about doing it!...
 A whole new discipline emerged: In bound
marketing.
 The role of websites changed from Billboards to
portals and nodes of two way interaction.
 The whole process became customer centric and no
longer product centric.
 The creation of great content to attract and engage
customers came to the forefront
 The rise of online publishing, social media & multi
media

21. Next steps
 This presentation has presented a brief
background to the revolution that is digital
marketing.
 The subsequent sections look at the
manifestations of this revolution of relevance to
small businesses
 This starts with a re-iteration of the basic
principles of marketing and then an exploration
Digital Marketing and Social Networking and their
applications
 Finally, further technology impacts on small
businesses ,such as cloud computing and mobile,
are covered in outline.

22. Further Information/Contact
 Email: richard@rjmasters.co.uk
 Website: www.rjmasters.co.uk
 LinkedIn: http://lnkd.in/vTp8Kw
 G+
:http://www.google.com/profiles/richardmasters.richar
d
 Facebook: https://www.facebook.com/richardmastersj
 Twitter: www.twitter.com/mastersassoc
22 18/10/2012