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Advanced Guide to Digital Marketing

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Area
Leveraging the Web - The way ahead
Dr. Arpan Kumar Kar
Faculty – Indian Institute of Management

Blog: Business Fundas - Lectures by IIM Faculty


http://business-fundas.com

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Agenda

Introduction
Theoretical frameworks

Digital Branding

Digital Marketing Research

Optimizing through Analytics

Promotions & Advertising Channels

Search Engines Optimization

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Introduction

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Understanding digital marketing

Corporate strategy

Marketing strategy

Offline marketing Digital marketing

Strategy formulation Strategy formulation


•Segmentation, Targeting, Positioning •Segmentation, Targeting, Positioning
•Advertising, PR, Events •Managing offering awareness
•Integrated programs and so on ------- •Digital infrastructure and Digital promotion
•Manage user experiences, website offerings
•Managing online traffic and SEO
•Managing user data

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Addressing key concerns

Developing a brand with


intangible offerings

Enhancing Managing
offering consumer
awareness information
(E.G. web visibility)

Advertising and
Promotion channels

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Theoretical Frameworks

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The 7S framework for Digital Marketing (Waterman et al.; McKinsey)

Strategy: Does the strategy fit with the vision and mission of your organization?

Shared values: Does the strategy go hand in hand with the shared values of not only your target customer
segment but also of that of the implementers?

Structure: Does your organizational structure support adaptations to changes in environment in response to
your campaign?

Skill: Do you have the suitable skilled workforce to design the campaign successfully?

Staff: Are your staff equipped to implement your strategy (location wise, access to technical resources)

Style: Does the campaign thematically fit with the style of your other campaigns?

Systems: Do you have systems in place to carry out the campaign? Is there support for your advertising
campaigns and marketing plans?

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


The 7S framework for Digital Marketing (Waterman et al.; McKinsey)
Strategy: The significance of digital marketing in influencing and supporting organisations' strategy
•Gaining appropriate budgets and demonstrating / delivering value and ROI from budgets
•Techniques for using digital marketing to impact organisation strategy
•Techniques for aligning digital strategy with organisational and marketing strategy

Structure: The modification of organizational structure to support digital marketing


•Integration of team with other management, marketing (corporate communications, brand marketing, direct marketing) and IT staff
•Use of cross-functional teams and steering groups
•Insourcing vs. Outsourcing

Systems: The development of specific processes, procedures or information systems to support digital marketing
•Campaign planning approach-integration and managing content quality
•Managing/sharing customer information through a unified reporting of digital marketing effectiveness
•In-house vs. external best-of-breed vs. external integrated technology solutions

Staff: A combination staff with varied domain experience such as IT, Marketing, use of external consultants.
•Insourcing vs. outsourcing
•Achieving senior management buy-in/involvement with digital marketing
•Staff recruitment and retention, virtual teams, staff development and training

Style: Includes how key managers behave to achieve goals


•Relates to role of digital marketing team in influencing strategy
•it is it dynamic and influential or conservative and looking for a voice

Skills: Distinctive capabilities of key staff, but can be interpreted as specific skill-sets of team members
•Staff skills in specific areas like project management, content management, specific e-marketing approaches

Super-Ordinate goals: The guiding concepts to build the digital marketing organization’s culture
•Improving the perception of the importance/effectiveness of digital marketing among senior managers and staff

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Important theories for Digital Marketing

Game Theory
• A mathematical concept that analyzes how strategic interactions between individuals, or agents, produce outcomes based on
the agents' choices
• Companies use this information to guide their decisions in how best to communicate their products' value to consumers

Network Theory
• Study of relationships between people and elements through social network analysis for learning about patterns that develop
within social networks and how they influence behavior
• Digital marketing channels allow marketers to listen to what consumers are saying
• They allow marketers to leverage the power of influential users to spread messages throughout their networks.
• Allow identification of users with the most influence across a number of differentiated networks.

Theory of Collective Intelligence


• The theory of collective intelligence holds that groups are smarter and more productive than the sum of their parts.
• Crowdsourcing allows projects to be broken down into small, individual tasks that are distributed to a large number of
individuals for completion, has collective intelligence at its roots.
• Crowdsourcing allows marketers to engage consumers and make them part of their campaigns.

Theory of Generational Dynamics


• Consumers born of the same generation (10-year period) have common attitudes and behaviors
• The relevance of generational theory to digital marketing is primarily in the ways in which each generation communicates and
the online places where marketers can reach them

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Digital Branding

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Understanding Branding
Brand : A name, logo or symbol to enable an entity identify an offering uniquely

Resonance
Relationship and level of identification with the brand offerings

Judgments and Feelings


Focus on customer’s opinion and emotional response to the brand, from personal and network interaction

Performance and Imagery


Satisfaction from fulfillment of functional and psychological needs
(Remember Maslow’s Hierarchy of needs: Physiological, Safety, Love and belonging, Esteem, Self-actualization and Self-transcendence?)

Salience
Brand awareness / cognition based on feedback

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Digital Branding: Challenges & Drivers

No single model has been holistic enough or sufficient to capture all the drivers

• Popular brand evaluation models are Aaker, Moran, Young & Rubicam, Inter-brand, Brand Finance etc
• Popular measures for evaluating brand equity are Differentiation, Satisfaction, Loyalty, Perceived Quality,
Leadership or Popularity, Perceived Value, Brand Personality, Organizational Associations, Market Share,
Brand Awareness, Distribution Coverage, Relative Market Price, Durability, Relevance, Esteem, Knowledge

Few unique drivers for a good digital brand


• Perceived value derived from tangible and intangible user experiences while consuming the offering
• Also dependent on customer perceptions of other customer’s loyalty to the offering (Customer Network Value)
• Visual brand language driving the offering’s Brand Personality Dimensions (E.G. Sincerity, Excitement,
Competence, Sophistication, Ruggedness)
• Offering’s digital brand extension (e.g. where the offering is advertised, what other offerings are advertised with it)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Digital Branding Process

Extended from theories of Service Branding frameworks

Presented Brand
Core
Brand awareness

External
Brand
Communications Equity
Brand meaning
Customer Network
Experiences

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Challenges in Digital Branding

The Internet makes it more difficult to protect a brand


• Stake-holder dissatisfaction spreads extremely fast through social networks and internet
forums
• Identification of source of negative communication is difficult
• It is not difficult for people to use established brands’ logos on their sites or products illegally
to extend their own branding (e.g. Business-Fundas.com and BusinessFundas.com)
• Dynamicity of the partnering sites which adds to the brand equity
• Lack of legislative infrastructure to protect the brand

So how do organizations address the challenges?


• Companies hire spider-teams to surf the Web and look for instances of spreading customer
dissatisfaction or brand abuse
• Brand monitoring activities can be outsourced to companies (E.G. eWatch and NetCurrents)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Digital Marketing Research

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Comparison with traditional Market Research

Traditional marketing research


• Consists of focus groups, interviews, paper and telephone surveys, questionnaires and
secondary research
• Findings based on analysis of previously collected data
• Cost intensive method

Online Market Research


• Availability of secondary market research data
• Allows relaxed and anonymous setting to collect information on consumer
Demographics and Psychographics
• Use of incentives to collect data from exact target segments
• Lower costs for collection of data
• A lot of the traffic data is collected anonymously (E.G. Google Analytics, Alexa)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Tools for Data Collection for Market Research

• Direct tools
• Online Questionnaires and E-Mails
• Indirect tools
• Data collected anonymously from Web Surfing Behavior (e.g. Proactive
reactions to regular/subliminal advertising on the web)
• Unstructured data analysis of E-Mail exchanges
• Unstructured data analysis of Online Communicating Platforms
• Social network analysis
• Anonymous demographic data (E.G. Alexa, Quantcast, Google Analytics)
• Data collected from “Free” offerings (questionable yet popular tactic)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Optimizing through Analytics

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Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas
Web Analytics and Tools

• Web analytics is the measurement, collection, analysis and reporting of


internet data for purposes of understanding and optimizing web usage
E.G: Timing a post, Deciding a site’s niche, Ranking Key-words, Identifying primary traffic sources

• A tool for business and market research to determine and improve upon
the effectiveness of a web site by enabling a digital marketing strategy

• Three categories of Onsite Web Analytic tools are available:


• Hosted Tools(has a free version): Google Analytics, Webtrends, Yahoo! Analytics,
InstaVista, Bango Mobile Web Analytics, StatCounter, SiteCatalyst, Insight, Webtrekk
• Open-source tools: Piwik, AWStats, CrawlTrack, Analog, W3Perl, Webalizer
• Proprietary tools: Mint, Sawmill, Unica NetInsight, Urchin

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Google analytics: A popular web analytics tool
Functionalities of the free version
• Drill down visibility of traffic based on source, content popularity, type, geography,
demographics, behavior, browser details, speed, etc.
• Also can track advertising and performance of key-words
• Enables SEO through integration of Google Webmaster
• Can drill down to page level analytics in terms of traffic sources, keyword rank, events,
page load speed

Potential benefits for a web-master (say for a blogger)


• Optimize post timing and promotion channels
• Optimize website to meet user requirements
• Aligning STP with ‘Actual Competencies’ by unraveling target preferences
• Align revenue from advertisements with SEO
• And so much more…

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Screenshot of Google Analytics dashboard

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Promotions & Advertising Channels

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Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas
Digital Promotion Channels

• Social networking sites


• Graphical and Text banner ads
• Paid search engine adwords (e.g. Google adwords)
• Inline text links, sponsored backlinks
• Pop-up and pop-under advertisements
• Paid review articles in web-blogs
• E-mail subscription updates
• Advertisement on e-mail feeds, RSS feeds
• Sponsored web-casts and pod-casts
• Regular/Subliminal advertising on popular web media (like Videos)
• Subscription based benefits (e.g. Points-based promos, loyalty programs, freebies, Online coupons)
• Direct e-mail marketing

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Pricing schemes in promotional channels

Popular pricing schemes for the advertiser are Cost-per-click , Cost-per-view, Cost-per-
lead/Call, Cost-per-sale, Fixed cost

Exchanging banners/links/meta-press with partner sites directly or through a third party (E.G.
LinkExchange)

Paid review articles are priced based on Page rank, Alexa rank, Google Index, E-Mail
subscriber count and Views/Day from target audience for the website.

Other criteria for deciding the price of promotional content are number of do-follow / no-
follow back-links in the content, key-word density and total words in content.

Specialized advertisement agencies facilitate contacts with advertiser and publisher, for a
small fee (fixed/percentage of transaction) (E.G. ValueClick, AdSmart)

Auction based pricing models where a third party platform provides infrastructure for
auctions based on the publishers choice of pricing scheme (E.G. BitVertize)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Banner Advertising

• Banner type/size (Panel, Side widget, Leaderboard, etc)


• Determining the best position (Header, Footer, Widgets)
• Text vs Graphic banners
Factors to decide • Animated vs Static banners
upon while
• Color schemas which ensure better visibility
designing a banner

• Identifying the website which will provide targeted segment from visits
• Deciding the type of banner, the position on the site
Issues for the • Deciding the content of banner vis-à-vis website layout
Advertiser to
deliberate

• Web sites cluttered with advertisements annoy visitors


• Potential ‘churn’ of visits from your page to your client’s page from clicks
• Page loading slows down, in turn affects search engine visibility, and reduces search traffic
Issues for the • Banner size (in KB). Website bandwidth is costly in peak hours.
Publisher to
deliberate • Banner code evaluation (virus, malware)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Embedded Advertising and major issues

Redirecting landing pages


• Visitor dissent and churn from click away

Inline text links


• Lowering of Page Ranks due to excessive outbound links, hence anti-SEO measure for the publisher
• Churn from click away

Pop-up and Pop-under advertisements


• Highest payout in contrast to other ads
• Slower page loading, hence anti-SEO measure for the publisher
• Pop under advertising is considered least obtrusive
• Prone to infection from virus / malware in scripts

Floating advertisements
• High visitor dissent
• Slower page loading, hence anti-SEO measure for the publisher
• High clicks but low conversion rate from click

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Media-Rich Advertising (Webcasting / Podcasting)

Involves using streaming video/audio to broadcast an event


• Can be done directly or through third parties (E.G. ResourceMarketing, Navisite, ClearDigital)
• Media can be recorded for subsequent re-runs

Issues to deliberate for the broadcaster


• Media data density is critical for success
• Deciding the bandwidth of the broadcasting channel
• Media format such that it is accessible from various devices (E.G. I-Pad, Smart-phones)
• Pure media vs Cross-media advertising (hybrid advertising)
• Enabling degree of interaction with attendees during broadcasting

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Search Engine Optimization

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Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas
Introduction to Search Engine Optimization (SEO)
staying up
to date

market keyword
research research

adjusting
Search Engine Optimization on -page
was first used by John Audette optimization
(Multimedia Marketing Group)
in 1997, heralding the birth of
the Digital Marketing era

viral
site structure
marketing

schematic
brand link building
building

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Why is SEO important?

There are three ways to spread product / service offering awareness


• Direct marketing
• Direct advertising
• Leveraging Search Engine visibility

Only SEO is somewhat persistent after investment on marketing is minimized

• SEO helps to increase Web Page Visibility on Search Engines


• SEO ensures all the Web pages have been indexed on the Web and linked correctly
• Many of the SEO activities (e.g. Permalink building) have almost permanent
impact
• Increases offering credibility and hence facilitates lead conversion to actual sales
• A good Search Engine position for keywords can catapult sales, and save massive
investment on advertising

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Broad Classification of SEO Tactics

White Hat SEO


• Involves legitimate SEO Tactics
• Never indulge in Keyword spamming, Link spamming or Content spamming

Black Hat SEO


• Involves illegal SEO tactics, which may result in penalty if tracked
• Some of the Black Hat SEO are as follows:
• Automatically generated doorway pages
• Cloaking and false redirects (Hoogle.com -> hypocrisy.com)
• Keyword stuffing
• Hidden text or hidden links
• Pages loaded with irrelevant words
• Duplicated content on multiple pages (E.G. Massive content on Footer/Header)
• Misspelling of well-known web sites (gogle.com, foogle.com)
• Unrelated and centralized link farms

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Popularity of Search Engines in 2011

1. Google: 900,000,000 - Estimated Unique Monthly Visitors | 1 - Compete Rank | 1 - Quantcast Rank | 1 - Alexa Rank.
2. Bing :165,000,000 - Estimated Unique Monthly Visitors | 13 - Compete Rank | 16 - Quantcast Rank | 22 - Alexa Rank.
3. Yahoo! Search: 160,000,000 - Estimated Unique Monthly Visitors | *8* - Compete Rank | *28* - Quantcast Rank | NA - Alexa Rank.
4. Ask: 125,000,000 - Estimated Unique Monthly Visitors | 11 - Compete Rank | 14 - Quantcast Rank | 52 - Alexa Rank.
5. Aol Search: 33,000,000 - Estimated Unique Monthly Visitors | *336* - Compete Rank | *240* - Quantcast Rank | NA - Alexa Rank.
6. MyWebSearch: 19,000,000 - Estimated Unique Monthly Visitors | *65* - Compete Rank | 409 - Quantcast Rank | 225 - Alexa Rank.
7. Lycos: 4,300,000 - Estimated Unique Monthly Visitors | 837 - Compete Rank | 347 - Quantcast Rank | 2,097 - Alexa Rank.
8. Dogpile: 2,900,000 - Estimated Unique Monthly Visitors | 700 - Compete Rank | 876 - Quantcast Rank | 3,545 - Alexa Rank.
9. WebCrawler: 2,700,000 - Estimated Unique Monthly Visitors | 128 - Compete Rank | 1,281 - Quantcast Rank | 4,507 - Alexa Rank
10. Info: 2,600,000 - Estimated Unique Monthly Visitors | 371 - Compete Rank | 286 - Quantcast Rank | 5,283 - Alexa Rank

Reports by searchenginewatch.com

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Search-Engine Registration

• Submission keywords and a description of the website to SEs


• Search engine will add the information to its database
• Registering increases the possibility that a site will make an appearance in
search-engine results
• Most search engines do not charge a fee for registering
 However, some search engines require a back-link for inclusion (activesearchresults)

• Facilitates inclusion in Meta-Search engine indexes


 Aggregate results from a variety of search engines (E.G. Metacrawler, FrameSearch)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Creation of META Tags

What is a META tag


• An HTML tag that contains information about a Web page
• Does not change how Web page is displayed
• Contain description of page, keywords and title of page
• There are plug-ins / codes which generate Meta-Tags automatically

Most search engines rank your site by sending out a spider to inspect the site
• The spider reads the META tags, determines the relevance of the Web page’s information
and keywords and ranks the site according to that visit’s findings
• Meta tags are also used as snippets by SEs as website / webpage description
• Meta tag for web-pages ideally should belong to the website meta-tag classification
• Meta tags should not be repetitive

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Link building

Search engines prioritize pages based on the number of back-links to the page
• No-Follow is an HTML attribute value used to instruct some search engines that a hyperlink
should not influence the link target’s ranking in the search engine’s index.
• Normal links are automatically Do-follow
• Blogging platforms are mostly No-Follow to reduce spamming comments
• Google accepts only Do-Follow links, while most other SEs accepts all back-links
• Relevance of the back-links to the page is also important
• Link building improves Page Rank / SERPs

Paid link building services are available (E.G. linkmarket, PRweb)


• Not favored by Search Engines if detected
• However, paid listing is acceptable in website listing hubs (E.G. DMoz)
• Hidden spurious links from other websites can also negatively impact your site if not reported

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Google’s Page Rank

• Ranking of a web-page from 0 to 10, based on its ‘importance’


from ‘citation’ and ‘back-links’
• Google’s Page Rank is the most popular metric used to estimate
search engine visibility of a website
• One of the most important criteria for advertisement pricing
• Classic Page Rank Algorithm of Google
• PR(A) = (1 – d)/N + d × ∑N{PR(Vi)}/L(Vi)
• PR(K) = Page Rank of Web page K
• d = Damping factor for the website (mostly 0.85)

• Note: Increasing importance of SERP Rank in getting higher position in Search


Engines

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


SERP Rank (Search Engine Results Page)

 The SERP consists of a list of links to web pages with text snippets
 High number of quality back-links increase SERP rank
 Quality is determined by relevance, indexing, and SERP rank of the linked pages
 High SERP rank gets you higher revenue from advertising (Needs SERP Reports)

Popular Tools Useful feature Additional features Price (cheapest plans)


SEMrush report,
First 30 days free for 1 domain, 15
Raven SEO tools Extremely high flexibility Wordtracker keyword
keywords
suggestions, etc
$24/month
Authority Labs Keyword history graphs Keyword suggestions
(up to 100 keywords, up to 10 domains)
First 30 days free for 1 domain
Search Comparison with Progressive Graphs and
15 keywords. Then up to 100 phrases
Commander competitors Client User Accounts
with 10 domains @ $24.99 per month
Free for 3 months (100 keywords; 100
Sheer SEO Keyword history graphs Social media rankings
URLs); 7$/month (20 keywords, 20 URLs)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


The latest SEO buzz: Google Panda

• Introduced in Feb 2011, to weed out “content farms” and low quality sites
• Based on an AI algorithm which looks for similarities between websites
people found to be high quality and low quality, based on surfing behavior
• Probable usage of Image Analysis with Text Analysis to identify original
content
• High importance to content recency

• Criticism of Google Panda


• Sometimes renowned websites had “scraped” content and yet the original lesser known
site was penalized
• Appears to impact an entire site's ranking or specific section, rather than just the
individual pages on a site
• Adversely impacted sites where most of the traffic came from “ever popular” content but
were of smaller scale (e.g. Websites with niche content, Personal blogs)

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Negative Pointers as per Google Panda

• A high percentage of duplicate content. This might apply both to a page or a complete site
• A low amount of original content on a page or site
• A high percentage of pages with a low amount of original content
• A high amount of inappropriate adverts, especially high on the page
• Page content and page title tag not matching the search queries a page does well for
• Unnatural language on a page including over-optimization of SEO
• High bounce rate on page or site
• Low visit time on pages or site, less than 30 seconds
• Low percentage of users returning to a site, without search
• Low click-through percentage from Google’s results pages (for page or site)
• High percentage of boilerplate content (similar static content)
• Low or no quality inbound links to a page or site (by count or percentage)
• Low or no mentions or links to a page or site in social media and from other sites.

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Good SEO Practices
1. Use keywords in Title and URL / Domain name
2. Use Keywords in Description meta tag, Keyword meta tag, body text (1 -
6% per key-word, 5-20% overall) and in phrases if it matches search
sequences
3. DON’T USE garbled text without meaning in Links
4. Use an efficient tree-like structure and high inter-links to ensure every
page is reachable from any page within the site (sitemaps are helpful)
5. Link only to good sites and not to link farms. Dead links are detrimental.
6. Avoid "Link Churn“. This is noticed as paid link building efforts.
7. Try not to exceed 100K page size, ideally around 40K
8. Use less than 8 filler symbols in a single URL ( e.g. - _ % )
9. Freshness of content vis-à-vis total over-all content
10. Keep URL length less than 100 characters as much as possible, lesser is
better

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


Good SEO Practices
11. Old is gold. Newer pages linked from an older site/page will get indexed
faster
12. Never redirect through refresh meta-tags to other pages before the
visitor spends less than 30 seconds on your site
13. Important to have substantial text in each page. Ideally Text : Html ratio
should be higher than 25%. Avoid excessive Javascript
14. Avoid vile languages. Spiders recognize and mark websites with abusive
content.
15. Avoid excessive cross-linking with partner sites (less than 10 inter-links in a page)
16. Accelerated link popularity is noticed as spam / paid link boosting
17. Site listing in directories like DMOZ are considered extremely beneficial
18. High Click-Through Rate within the site is considered very good
19. Never use scripts in the page for advertising unless sure of its quality
20. Always keep updating broken links lists for spiders

Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas


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Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas
Thank You

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Lecture Presentation by Dr. Arpan Kumar Kar | © Business Fundas

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