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FUNDAMENTALS OF

DIGITAL MARKETING

LEARNING OBJECTIVES
Defining Digital Marketing
Overview of traditional marketing approaches
Identify & evaluate innovations that have

created new channels to reach consumers

LEARNING OBJECTIVES
Evaluate the role of the internet in reaching

customers through multiple channels


Evaluate the changing nature of

communication and CRM


Identify different channels of Digital Marketing

Defining Marketing
Marketing is an organisational function and a
set of processes for creating, communicating
and delivering value to customers and for
managing customer relationships in ways that
benefit the organisation and its stakeholders.

(As defined 2004 by american marketing association)

Defining Marketing
Marketing is a way of thinking that puts the
customer at the centre.
It is based on understanding the needs of
customers and serving those needs,
competitively and at a profit.

Defining Digital Marketing

Achieving Marketing Objectives Through Digital


Technologies

The Nature of Marketing


NEEDS

WANTS

DEMANDS

A State of felt deprivation:


Physical Food, Clothing, Shelter
Social Belonging & Affection
Individual Knowledge and Self Expression

Form that needs take as they are shaped


by culture and individual personality

Wants backed by buying power

Traditional Marketing Approaches


The 4 Ps of Marketing

PRODUCT

PLACE

PRICE

PROMOTION

Traditional Marketing Approaches

http://www.youtube.com/watch?v=u7jO6LkqoPc

Customer Centric Digital Marketing


Put the customer at the centre
Use
Digital technologies
To
Create and retain customers
By
Delivering products & services
that meet their needs

Market Innovation
Doing the same thing Better
Retail

B2B Marketplaces

Directory and portals

Social networks

Online Auctions

Open Encyclopaedia

Search engines

P2P web telephony

Web based mail

Video sharing

PPC search marketing

Web TV

Search Engines

Photo sharing

Online Publishing

Government 2 Citizen

Digital Innovators

Why have these services become so


successful?

What did they do differently?

Traditional Marketing Approaches


The 5th P of Marketing

PLACE

PRODUCT

CUSTOMER

PRICE

PROMOTION

How the Internet supports


Digital Marketing
Identifying Customers needs and wants through Market

Research
Anticipating Customer demands
Satisfying Customer needs, wants and demands

Managing the relationship with the Customer (CRM)

5 Core Marketing Concepts


NEEDS, WANTS &
DEMANDS

A state of felt deprivation

PRODUCT OR
SERVICE

Provides a solution

VALUE &
SATISFACTION

What the customer gets


What the customer pays

BUILDING
RELATIONSHIPS

Retain the customer by adding value and


increasing loyalty

MARKET

Monitor characteristics and trends

Alternate Marketing Concepts


PRODUCTION
CONCEPT

Concentrates on production
and distribution efficiency.

Fine as long as the customer


wants what is produced.

PRODUCT
CONCEPT

Focuses on performance
and innovative features

Costs money to be at the


cutting edge. Easy to forget
customer needs

SELLING
CONCEPT

Focus on upgrades and


upselling

People dont like being sold


to. They like buying

MARKETING
CONCEPT

Understand customer needs


and create competitive
products

Retain the customer by


adding value and increasing
loyalty

SOCIETAL
MARKETING
CONCEPT

Monitor characteristics and


trends

Monitor characteristics and


trends

EXERCISE: In groups of 5 or more

Create a fictional product / service

Identify how you would apply the 5 core marketing

concepts to your product or service


Which alternate marketing concept would serve you

best?

Inside-Out Marketing

http://www.youtube.com/watch?v=qp0HIF3SfI4

WEB 2.0 The Democratisation of the web


Horizontal Revolution: Today information doesnt just

flow down from companies to customers. It flows


between people and permeates geographical and social
boundaries
Social Media: Digital interaction. An online means of

communication, collaboration and cultivation among


interconnected people, communities and organizations.

WEB 2.0 Characteristics


Web services & interactive applications hosted on the

web e.g. Flickr.com, Google maps...


Supporting participation - Community
UGC User Generated Content
Enabling rating of content
Data exchange between sites
Facilitates the use of rich media and creation of more
interactive experience
Rapid application development

Web 3.0
Next Generation: Cloud Computing
high speed connectivity, complex cross community interactions
and an intelligent web where automated applications can access
data from different online services.... e.g. www.dropbox.com

How businesses communicate is


different now too

http://www.youtube.com/watch?v=wg5jVrdCv68

How businesses communicate is


different now too

http://mashable.com/2012/06/26/usergenerated-content-campaign/

New Channels to Communicate


Website

SEO
Paid Ads
Social Media
Blog
Vlog
E-Mail Marketing
Viral content
Mobile Content

Research for next week


Choose a current digital marketing campaign and comment
on:
The Need / Want / Demand that it targeted
How the campaign utilised digital channels
The effectiveness of the campaign
< 500 words is sufficient
Upload to Moodle (Link TBC)

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