Why digital marketing is important for business? Once upon a time, internet marketing was yet another way to market. It gave rise to a modern type of media in which products and services could be sold. However, in the last few years, the importance of digital marketing has shifted dramatically.
It’s become a crucial part of what a company represents to its customers. It’s no longer sufficient to provide a website or run a scattershot Ads campaign.
Do you have integrated digital marketing tactics that aren’t working for you? As a result, time is working against you. The role of digital marketing is becoming crystal clear as the Internet becomes entwined with everything we do.
Different Types of Digital Marketing:
- Pay-per-click, or PPC, is a marketing approach for attracting paid traffic to your company’s website. Every time their ad is clicked, the advertiser will pay the publisher.
- Social Media Marketing: It includes Facebook, Instagram, and other social media platforms. Businesses use these channels to promote their brands by generating valuable content. It’s also where customers and business owners may communicate.
- SEO: This is a marketing approach that demands companies to concentrate on improving the rating of their websites in order to boost visitors. The higher your website ranks on Google’s search engine results page (SERP), the more opportunities you’ll have to expand your brand.
- Content Marketing: It’s a method that lets organizations to provide helpful material to their customers rather than pitching them on a product. Content marketing focuses on providing value to customers and developing content that will draw them in.
- Video marketing: The most widely used kind of online media. It’s an effective piece of marketing content that will increase the number of people that visit your company. Video marketing can be used in a variety of ways. It can be used to promote a brand or a product, provide behind-the-scenes footage of your company, and share tales and testimonials.
- Email marketing is one of the most conventional kinds of digital marketing with a good return on investment. It entails delivering tailored emails to a certain group of people or prior clients.
Here are some of the reasons why digital marketing will help your company succeed.
Why digital marketing is important for business
1. Reaches People Where They Spend Their Time & Money:
The average Internet user now has at least seven social media accounts. That’s up from three just five years ago. At least once a month, 97 percent of US adults under 65 use social media. The vast majority use it on a daily basis. As a form of customer service, social media is heavily favored.
Despite the fact that companies miss up to 89 percent of consumer messages. Facebook is used by 22% of the world’s population. There are 62 percent of people in the United States who are there.
Every day, 76 percent of Facebook users and 51 percent of Instagram users are active on the platform. When talking about significant events in their lives, 30% of people on social media discuss a particular brand. Millennials are marginally more likely than Gen X to engage with a brand on social media.
The current trend is that the average person spends more than two hours a day on social media. Teenagers work an average of 9 hours a day. From school to work to entertainment to hanging out with friends, social media is ingrained in everything they do. People hang out on social media. Do people, on the other hand, shop there?
One of the top ten reasons people claim they use social media is to purchase goods that have been sold to them. They engage with branded content for about 37% of their social media time. According to 57 percent of Millennials, social media has made advertising more important to them.
A Facebook ad prompted 48 percent of people to make their most recent online purchase. However, only 45% of advertisers believe that their social media activities are paying off. On social media, there are undoubtedly some winners and losers. Getting a profile and posting content every now and then isn’t enough. A social media marketing strategy is needed.
You win big when you know how to optimize your digital marketing ROI. Digital marketing includes social media marketing and advertisements. It is, however, a critical one. We’ll look at a variety of online marketing strategies in this post. This will demonstrate the value of digital marketing to your business.
2. Levels the Playing Field for Small Business:
You’ve seen it before. When a large corporation like Walmart comes to town, it wipes out hundreds of small businesses. When Starbucks expands, mom-and-pop coffee and bagel shops close. With Amazon, we’ve seen the online version of this.
It’s difficult to match their brand image or the millions of dollars they spend on publicity and reputation management. That’s where digital marketing shines brightly as a ray of hope for small businesses. It applies to all types of businesses, including brick and mortar, e-commerce, and personal brands.
Smaller companies can now compete on a national level thanks to digital marketing.
By introducing you to a larger audience with a much smaller advertising budget, digital marketing helps you to compete with your competitors.
Digital marketing allows you to compete with your rivals by exposing you to a wider audience with a much lower advertising budget.
It gives companies laser-focused power of where and how they invest their money when handled properly. You make better decisions when you have this level of control and the evidence to back them up. Continue to learn more about the advantages of digital marketing. It becomes increasingly apparent how it levels the playing field.
3. More Targeted:
When you run a magazine commercial, for example, you almost certainly target your audience. You already know if the publication is read by your target audience.
You have some influence over the size and placement. Under some publisher rules, you have control over the post. This advertisement has the potential to hit a million or more people. But what percentage of this million is your actual goal? A fashion magazine’s demographic could be 59 percent female between the ages of 35 and 55. They may have a college diploma. And you know they’re interested in the fashion seen in the journal. However, this is a sizable demographic.
One of the benefits of digital marketing is the opportunity to segment large demographic groups. Reduce them to small groups to become hyper-focused on a single type of individual. Who’s that person? It’s the person most likely to purchase what you sell. When you do this level of targeting, you end up with an ad that is highly important to your target market.
It interacts on a level that more general ads can’t because it’s so important. It has the potential to influence decisions because of this relation. You do so without the use of obnoxious conventional marketing tactics. You aren’t running the same ad thousands of times over the course of a month. Or repeatedly interrupting someone’s programme.
So, with digital marketing, what kind of targeting is possible? You’ll most likely be shocked.
Consider the case of search ads. This includes Google AdWords. You target people who are searching on Google with this form of digital marketing.
Search engine results now account for roughly 64% of all website traffic on the Internet.
As much as 80% of traffic comes from search results for companies that have placed a heavy emphasis on SEO (search engine optimization). PPC (pay per click) advertisement, also known as search advertising, allows you to appear at the top of search results. Even if it isn’t where the website will naturally show up.
You can use search ads to reach people who are looking for something specific:
- Education level
- Buying behavior
- And more
Bid on search queries that reflect these unique goals to accomplish this. To transform the traffic, create advertisements and landing pages around them.
Similarly, social media ads helps you to target a specific audience. Make use of the information they’ve gathered about their users.
Tell Facebook, for example, that your ad can only be shown to people who have engaged in very particular recent activity, have a specific interest, are in a specific area, or have other identifiers.
You don’t spend tens of thousands of dollars on a single advertisement. You can also keep running ads forever. As a result, you can easily change the ad to appeal to different demographics.
For any other type of marketing, you don’t have this degree of influence over who sees your ad.
4. Can Be Hyper-Personalized:
We’ve just scratched the surface of the value of digital marketing in terms of targeting. You can target almost down to the person level with email marketing, another critical aspect of digital marketing. This is referred to as “segmentation.”
You may get down to the person level in some situations. This is referred to as “personalization” by marketers. Consumers prefer businesses to communicate with them via email 72 percent of the time. This gives customers a sense of power, making them more likely to sign up for your newsletters and make purchases.
They can simply unsubscribe if they don’t like what you give them. When you give them highly relevant material, however, they stay on your list and buy from you again and again. You can see how a repeat lifetime customer plays a role in the importance of digital marketing. There are simple programmes that will allow you to automatically add a person’s name or other information to an email.
But we’re talking about a much more mature strategy that has shown the ability to deliver results for our clients, as shown by the changes shown in the graph below. Email segmentation, automation, and personalization are all examples of email segmentation. You collect data about each email subscriber using segmentation. You use this information to segment the list based on those characteristics or habits discovered through analytics.
Send content that is most applicable to each segment to each segment once it has been divided.
You don’t give it to them if it isn’t necessary. And you can reach more people by making small adjustments to a piece of content to make it more applicable to a particular segment. Automation enables you to submit the content at the most opportune moment to achieve the desired outcome. It eliminates the monotony of the operation. Your data collection process helps you figure out what the best time is. This time might be right now.
It may be a certain time of day. It could be sending one message before another. Finally, there’s the element of personalization. On a personal level, you recognize an individual. Since you know their purchasing experience, you can recommend the right items to them.
You remember them from their recent visit to your website, where they abandoned their shopping cart. You address them by their first names. They get the impression that you value their uniqueness. Although these are three distinct objects, when they are combined, they produce results.
Power of Segmentation, Automation, and Personalization:
Subscribers are 14 percent more likely to open segmented emails, according to MailChimp’s comprehensive results.
They’re 101 percent more likely to click on an email’s call to action. Bounce concentrations are reduced by 5% with segmentation. In email marketing, that’s a lot. It lowers the rate of unsubscription by around 10%. But what about income and sales? Segmentation appears to be a time-consuming process. Is there a return on investment to justify it?
The Aberdeen Research Firm discovered that segmentation increases conversion rates by 10%. Not only are conversion rates higher, but they’re still higher. People who receive segmented emails are more likely to spend more. Thanks to segmentation, marketers saw a 760 percent rise in sales. Businesses who use automation to deliver these emails at the right time see a 50 percent rise in conversion rates. Automated emails have a 70% higher open rate and a 50% higher click-through rate than manual emails.
Businesses that use automation are 133 percent more likely to send out highly relevant content, according to a survey. In a traditional email campaign, the segmented component of the campaign generates 75% of the revenue. The remainder is derived from general emails. This significance is what generates these kinds of outcomes, demonstrating the value of digital marketing to a business. 81 percent of people who receive a personalised email based on previous purchases make another order.
Segmentation and automation, on the other hand, aren’t something that any small company can do on their own. These do necessitate an investment in advanced tools that automate much of the tedious, routine, and time-consuming job. These programmes are needed for successful segmentation to take place. However, they are frequently prohibitively expensive for a small company.
Working with a digital marketing firm has yet another advantage. It will cover the costs while allowing you to take advantage of these cutting-edge technologies. Businesses that excel are increasingly relying on segmentation, automation, and personalization to achieve their goals.
5. More Advanced Analytics
What do you really know about the effectiveness of a television commercial? If you do any research, you can decide the best times for the ad to air and the best frequency. To delve deeper into the results, you might form a focus group.
However, you usually only know its scope based on the organisation and whether it improved buzz, revenue, or fulfilled another marketing objective.
Let’s compare the relevance of digital marketing to that of traditional marketing.
You will learn the following things about your advertising and users thanks to digital marketing:
- Whether or not they saw it. You don’t know much about TV commercials. They could have been in the kitchen or the TV could have been turned off.
- Whether or not they communicated with it
- If they enjoyed it,
- If they lingered on it, it would be a waste of time.
- If they told a friend about it,
- If it prompted you to take another action,
- If it resulted in a sale later on, it was a win-win situation (this is important when deciding how to best spend money)
You also hear a lot more about the people who are responding to the advertisement:
- Who is most interested in your advertisements?
- What are their characteristics?
- What causes them to be more likely to act?
- Who is the most straightforward to convert?
- Who spends the most?
- What do they do on the internet?
- What search words do they use to locate you on the internet?
- Which websites do they go to before they come to yours?
With free analytics tools like Google Analytics, you can keep track of all of this. You can also use paid software to gain even more insight. Use what you’ve learned to cut costs in areas where you’re not getting a return on your investment. Where you get the best results, increase your spending and efforts.
To improve your performance, continue to streamline your campaigns. You would also want to spend money on conventional ads. Many companies want to have a diverse marketing strategy. In that case, the value of digital marketing is the amount of information you gain about your consumers that you can apply to other marketing strategies.
6. Easy to Scale & Adapt
To get traffic flowing, as with any marketing, an initial investment is needed. When you see how easy it is to scale and change as your company expands, the value of digital marketing for small businesses becomes very evident. You may set a regular budget for social media promotions, display advertising, and search ads, for example.
You already know how far the campaign would set you back. Now you’re starting to see some incredible results. To keep an ad going, you don’t have to go in and renegotiate an ad spot. Your ad will continue to run indefinitely. You simply increase your daily spend and profits as you continue to transform the traffic. It’s just as simple to scale back if you received a large order from a client and need to avoid being backlogged.
You don’t have to wait for your ad deal to expire if anything isn’t working in your marketing. You don’t have to start from the beginning. You’ve got the upper hand. Simply make the minor adjustment and re-launch the ad. The value of digital marketing lies in the ability to obtain immediate results. Analyze data and make adjustments quickly to cut down on ad waste and revenue loss.
This raises the question of how affordable digital marketing can be for a small company.
MUST READ: Top 10 of the best marketing strategies.
7. Best ROI:
Email marketing has the highest return on investment of any marketing strategy…period. It has a 3800 percent return potential. For every $1 you spend, you’ll earn $38 in revenue. Around 20% of businesses see a return on investment of $70 for every $1 invested. Email marketing is a powerful conversion tool. However, you will need to find a way to develop your email list of high-quality subscribers.
Then submit highly appropriate content to the inbox of a subscriber. Most of the time, this is achieved by combining social media marketing and content marketing. Most of the time, this is achieved by combining social media marketing and content marketing.
These marketing strategies, on the other hand, have a very high return on investment. Content marketing can produce 3X the number of leads for just 62% of the cost of conventional marketing. Of course, we’re not just talking about website traffic when we say “lead.”
There are people who are very likely to purchase your goods and become loyal customers if the partnership is nurtured properly. The return on investment from social media can be indirect at times.
According to a Forbes survey, businesses that use social media outsell businesses that don’t use it by 78 percent. According to IBM, a lead generated via social media is 7X more likely to convert into a paying customer.
You’ll spend less money trying to convert people who will never become paying customers if they’re more likely to convert. As a small business owner, cost-effectiveness is paramount. You must be able to extend the dollars as your company expands. Every dollar you spend is important. You must be certain that it will yield a profit.
That is why digital marketing is so important for small businesses.
8. Aligns with How People Today Shop
Online reviews are considered an essential part of the purchasing decision by 88 percent of people.
After reading a positive review, 23% of people will come to your company.
Every week, the average American spends more than 24 hours online. Every day, 8 billion videos are viewed on Facebook, the majority of which are from companies. In reality, most customers nowadays choose to search for goods, services, or anything else they need on the internet. The majority of them are also impatient and can only look at the first five pages of search results. As a result, having an online presence isn’t enough.
You must be one step ahead of your rivals. This is how SEO benefits your business.
If your website is well-optimized, users will be able to find it easily when searching for a keyword related to your brand. The modern sales process begins online, and it includes everything from restaurants to physicians to bookkeeping software to goods.
It might be something a friend posted on social media or the product of a Google search. It all begins with an email newsletter they got in their inbox.
The easier it is to develop your company, the more connected it is with the online experience of your customers. To be important to the vast majority of consumers, you must have an online presence. The value of digital marketing is that it establishes a presence for you.
How to Be Relevant Online
To be important in today’s online world, you must:
- In today’s online world, you must be able to:
- Invest in SEO to ensure that you show up in search results for specific keywords.
- Have at least one active social media profile where customers can interact with you.
- AdWords, Instagram, and Promoted Tweets are examples of paid ads. It’s nearly impossible to be found online without some kind of paying advertising.
- Management of one’s reputation. Be aware of what others are thinking about you. Solicit more feedback.
When asked to write a review, the majority of people write a good one. Only dissatisfied people write reviews when they aren’t asked. Touchpoints that are all linked. All of your online accounts can communicate with one another.
If you have a brick-and-mortar store, engage your target customers both online and in person.
9. How People Prefer that Businesses Reach Them:
Traditional advertisement has worn out its welcome. They discovered they have an option. An ad blocker is used by 20% of 16 to 34-year-olds online. People generally avoid websites that greet them with obnoxious invitations and advertisements when they first arrive.
They are opting for media that does not need them to watch commercials. It seems to be cliched. People, on the other hand, seek recognition. They want someone to give them knowledge that will enable them to make educated decisions.
They want to buy from companies that share their values. They want you to participate in their discussions. The beauty of digital marketing is that it allows you to market to people in ways that demonstrate your regard for them as people.
10. Integrates Marketing with Mobile Technology
According to IBM report, mobile transactions are growing at a blistering rate of 35 percent year over year. But it’s not just the buying and selling that’s taking place on mobile. People are constantly using their smartphones as virtual reality overlays on businesses.
While in your shop, they’re looking at reviews and product details. They may be placing an order online or talking with customer service while on the road.
A selfie they take in your shop becomes a chance for you to promote yourself. Before they leave your office, they can write a summary for you. Make the mobile experience as seamless as possible with the physical experience. The more you do, the more your company will be able to capitalise on these opportunities.
When they walk down the aisle, send an alert to let them know what they’re interested in is on sale. Use their phone to monitor their physical store activity (with permission, of course). Send more important deals with it. When geo-location indicates that they are in the city, invite them to visit the shop.
11. Your Competitors are doing it:
It’s something your competitors are doing. They’re also making a name for themselves online and increasing traffic to their website.
You can observe and note what your competitors are doing. You may use what you’ve learned to develop a more effective plan for attracting more visitors to your website than your competition.
Marketing experts employ digital marketing tools for their online marketing platforms, which are available online. Some of these tools will aid businesses in monitoring on their competitors. You’ll learn about all of the techniques they’re doing to promote their brand.
12. Cost-effective & fast:
Traditional marketing is more expensive than digital marketing. Spending money on traditional advertising isn’t enough if you’re a small firm with limited resources. Even the necessity of printing flyers for your company is costly and time-consuming.
But with digital marketing, your small business can start the process immediately. You only need to conduct some studies and then try any of the types of digital marketing mentioned above.
As you can see, digital marketing is critical to today’s organization’s existence. If you want your business to grow, you must expose your brand to a larger audience. Digital marketing may appear intimidating at first, but once you learn more about it, you’ll find that it has a lot of potential to help your business grow.
You comprehend the significance of digital marketing. But that doesn’t make it any easier to put plans in place that will give you the results you want. Find out how we can assist you in using digital marketing to expand your company. To schedule a consultation, please contact us.