Digital marketing overview

1. Dr. Gobinda Roy
International Management Institute, Kolkata
12 October 2022
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2. Discussion Agenda
 What is digital marketing?
 Role of digital marketing in marketing strategy
 Differences between traditional marketing and digital marketing
 Internet behaviour of users
 Web 1.0, Web 2.0 and Web 3.0
 Digital Commerce in India
 Digital Marketing Strategy
 Digital Marketing Plan
 Class exercise
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3. What is Digital Marketing
Philip Kotler defines digital marketing as “a form of direct marketing
which links consumers with sellers electronically using interactive
technologies like emails, websites, online forums and newsgroups, interactive
television, mobile communications, etc.”
Digital marketing encompasses all marketing efforts that use an
electronic device or the internet. Businesses leverage digital channels
such as search engines, social media, email, and other websites to
connect with current and prospective customers. (Hubspot, 2019)
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4. What is Digital Marketing
 “Digital is at the core of everything in marketing today—it has gone
from ‘one of the things marketing does’ to ‘THE thing that marketing
does.’ (Marketo, 2021)
– Sanjay Dholakia, Former Chief Marketing Officer, Marketo
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5. Digital marketing Characteristics
Characteristics of digital marketing are:
 Two-way Communication
 Targeting of One to one or one to many
 Level Playing Field
 Measurability
 Push and Pull
 Real-time
 Zero Moment of Truth
 Remarketing
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6. Traditional marketing vs. digital marketing*
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 Traditional Marketing: “Spray and pray” – spread the
messages and then hope some one in the market purchase
the products.
 Digital marketing: target a specific audiences who have
interest in the products, and hence are already in the market
to buy those products.
 “Half of the advertising is waste, but I don't know which
half” – Dilemma of traditional marketing.

7. Traditional marketing vs. digital marketing*
Traditional Marketing Digital Marketing
Type of Marketing Structured and Clear
Advertising campaigns, service hotlines
Unstructured and Unclear
Status updates, ad campaigns, blogs, posts, comments, social
media, etc.
Direction of Communication Unidirectional (one to many)
Information spread by company (active)
Consumers only listen (passive)
Multidirectional (many to many)
Both company and consumers talk and listen (both active).
Consumers can also create content, like or post
Scheduling Long-term Short-term
Communication with
Consumer
Private
Communication only between company and consumer (via email,
phone); discussion is kept secret
Public
Reactions to comments are public; anyone can read and join a
discussion
Availability During Working Hours
No direct support beyond regular working hours (9 to 6)
All the Time (24/7)
Constant readiness to respond to negative comments and
consumer requests
Language Formal, Legally Safe
Official
Genuine, Direct
Personal responses and short answers
Response time Longer as if somebody is interested after seeing an ad in print or TV
they can’t see the additional information at that instant, they need
longer time for gathering information about the product.
Quickly as soon as they see the ad, they can click the link and
can get more information so decision can be taken quickly
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8. Internet Users
2.9
3.1
3.3
3.5
3.7
8% 6.70% 5.90% 5.80% 5.70%
41% 43% 45% 47% 49%
2014 2015 2016 2017 2018
Internet Users and Penetration Worldwide,
2014-2018
Internet Users(billions) % change % of Population
Source: eMarketer, July 2015,
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(Source: Statista, 2021)

9. Top Country Ranked by number of internet users
9
Countries
with the
highest
number of
internet users
as of
December
2019(in
millions)
(Source: Statista, 2020)

10. Internet users in India
India, 2015 - 2018
2015 2016 2017 2018
Internet User Growth 39% 18% 15% 12%
Internet Users (millions) 315 373 429 479
Internet Users (% of population) 25% 30% 34% 37%
Mobile Connections (millions) 986 1019 1047 1071
Mobile Connections (% of population) 79% 81% 82% 83%
Mobile Phone Messaging App Users (millions) 107 133 158 181
Mobile Phone Messaging App Users (% of mobile
phone users)
17% 20% 22% 23%
Mobile Phone Messaging App Users (% of population) 9% 11% 12% 14%
Mobile Phone Users (millions) 638 684 731 776
Mobile Phone Users (% of population) 51% 54% 57% 60%
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11. Internet users in India
Smartphone Users (millions) 184 224 267 306
Smartphone Users (% of population) 15% 18% 21% 24%
Smartphone Users (% of mobile phone users) 29% 33% 37% 39%
Digital Buyers (millions) 93 130 180 224
Digital Buyers (% of population) 10% 14% 19% 23%
Digital Buyers (% of internet users) 37% 44% 52% 58%
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12. Advertising Spending in India
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Distribution of expenditure in the advertising industry across India
from 2016 to 2019 with a forecast until 2022, by channel
The Indian ad industry saw the highest ad expenditures on television media with a share of about 39
percent from the total ad spends in 2019. This was expected to reduce to 37 percent by 2022. At the same
time, the expenditure on digital media which stood at 20 percent in 2019, was expected to jump up to 30
percent by 2022.
(Source: Statista, 2021)

13. Internet Users In India*
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14. Web 1.0, Web 2.0 and Web 3.0: The differences
and Implications**
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15. Characteristic Features of the Internet
• The term Web 2.0 describes World Wide Web websites that emphasize user-
generated content, usability and interoperability for end users.
• Web 2.0 technology facilitates various activities some of which include:
• Blogging : user-generated content where entries are made in journal style and displayed
in reverse chronological order.
• Wikis: A website that allows the visitors to add, remove, edit and change content without
registering on the site.
• Folksonomy : It is an Internet-based information retrieval methodology that categorize
content such as web pages, online photographs, and web links. (Flickr: shared photos;
Pinterest: photo sharing and publishing website, Twitter hashtags)
• RSS : It is a form of web syndication used by websites and weblogs to alert users of a
new content on the web page.
• A network effect is the effect that one user of a good or service has on the value of
that product to other people.
• The larger number of people in a network (or, the higher the usage), the more valuable is
the network.
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16. Characteristic Features of the Internet
 Web 1.0 : The first iteration of the web represents the web 1.0, which, according to
Berners-Lee, is the “read-only web.” There was very little in the way of user
interaction or content generation.
 Web 2.0, or the “read-write” web: Web 2.0 applications tend to interact much more
with the end user.
 Web 3.0: By extrapolating Tim Berners-Lee’s explanations, web 3.0 is “read-write-
execute.” This is difficult to envision in its abstract form. To illustrate, consider
semantic markup and web services. Below are 5 main features Web 3.0:
 Semantic Web: The semantic web improves web technologies in demand to create, share
and connect content through search and analysis based on the capability to comprehend
the meaning of words, rather than on keywords or numbers.
 Artificial Intelligence: Using NLP
 3D Graphics
 Connectivity
 Ubiquity-Content is accessible by multiple applications, every device is connected to the
web,
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17. Internet: A Private and Public Channel of
Communication
• Internet may be used as both a public platform (e.g., discussion/chat forum and
blog) and a private channel (e.g., e-mail, SMS, and IM)
• Some of the greatest strengths of Internet are:
• It reduces information asymmetry between information seekers (e.g., buyers)
and information providers (e.g., sellers).
• It reduces distinction between a ‘technical’ and a ‘non technical’ person.
• It allows a free movement of information and connections.
• It encourages lack of control over users of the Internet.
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18. Digital Commerce
• Digital commerce is the buying and selling of goods and services using
the Internet, mobile networks, and commerce infrastructure.
• Digital commerce in India was expected to touch 2.1 lakh crore by end of
the year 2016, growing 68 per cent from December 2015.
• Online travel continued to account for 61 per cent share of the market at
76,396 crore.
• Online non-travel, comprising segments like e-tailing, financial service,
matrimony, and classifieds accounted for 49,336 crore at the end of December
2015.
• The fast growing e-commerce market in the country will touch USD 84 billion in
2021 from USD 24 billion in 2017 on account of a healthy growth in organised
retail sector,
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19. Digital Marketing Strategy*
1. THE CONSUMER DECISION JOURNEY
 Awareness
Display advertising on websites, social media such as Facebook, LinkedIn, YouTube.
 Interest (consideration stage)
Highly creative campaigns, Interesting posts, emotional messaging
 Desire
To “evaluate” Channels are community forums, blogs, review rating sites
 Action
Search engines, websites, blogs, social networks, mobiles, applications, forums.
 Advocacy (sharing experience after purchase)
Social media
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20. Digital Marketing Strategy*
1. THE CONSUMER DECISION JOURNEY
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(Search Engine Journal, 2013)

21. Digital Marketing Strategy
2. The P-O-E-M Framework**
 Paid media
Sponsored advertisements in search engines, websites, Facebook, Linkedin
and Twitter.
 Owned media
Company’s official website, microsite, social media pages such as Facebook
page, LinkedIn page, YouTube channel and Twitter handle, Mobile apps or
blogs
 Earned media
Publicity that is generated through recommendations and word of mouth
Social media engagement such as likes, shares, comments, replies, retweets,
favorites etc.
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22. Digital Marketing Strategy
2. The P-O-E-M Framework**
 One of the best practice in Digital Marketing
 It should not be lopsided towards one type
 Thumb rule: Divide equally between paid and owned media
 Should strike a balance between long and short term medium.
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23. Digital Marketing Strategy
3. SEGMENTING AND CUSTOMIZING MESSAGES
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Behavioural
Segmentation and
targeting based on
intent
•The pages browsed on a website
•The time spent on the site
•The clicks made
•The recency of the visit
•The overall interaction with the site
(Neilpatel,2020)

24. 4. THE DIGITAL LANDSCAPE
Digital Marketing Strategy
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25. Digital Marketing Plan
1.
Objective
2. Buyer
Personas
3. Content
4.
Channels
5.
Timelines
6.
Budget
7.
Measurement
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Brand awareness/recall
sales/leads/conversion
Who, what, why
Text/video/image
Infographics/podcast
Paid/organic/social media
PullSEO long term
PushPPC1w/1Month/short term
Flexible
Low-medium-high budget
Vanity metrics- views, likes, share
Core metrics – CTR, CPL, CPA

26. Class exercises- Digital Marketing plan
 Case 1: Digital Marketing plan for a NGO working in Childcare and
education.
 https://www.pratham.org/
 Case 2: Giftcart.com
 Giftcart.com is a brand-new idea cultivated by two experienced professionals who
quit a technology company to start something new and innovative in the space of
e-commerce.
With huge strengths in technology, experience design, strong commitment and
insight to make Giftcart.com a leading name in e-gifting globally, the team has put
together some of the industry's first and unique propositions such as Personality
based gifting, Gift Wizard, Gift Registry, Wish list, Event Butler, Advanced Search
and more.
 https://www.giftcart.com/about-us
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27. Thank you!
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