Written Analysis & Communication

Analytical Report

Does digital transformation mean the end of marketing?

Submitted to Prof. Reeta Raina

Submitted by Group 6
Team Members
Arushi Sralech - 163068
Jai Mamnani - 163089
Jagrit Miglani - 163075
Rishab Gupta - 163092
Sanwari Pathak - 163095
Srishti Garg - 163103

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 Acknowledgement

We would like to acknowledge the generous assistance we received from a number of people
while preparing this report. We would like to take this opportunity to extend our warmest
gratitude to all, who spent their valuable time and efforts to encourage us in completion of this
project report.

First of all, we would like to extend our sincere regards to FORE School of Management, New
Delhi for providing us with such opportunities to learn and grow.

Secondly, we thank Prof. Reeta Raina for her timeless assistance and guidance during the
sessions and beyond.

It wouldn’t be fair without thanking our family and colleagues who continuously inspired and
supported us throughout.

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 List of contents

S. No. Particulars Page Numbers

1. Executive Summary 4

2. Introduction 5

3. Objectives 6

4. Literature Review 7

5. Hypothesis 8

6. Methodology 9-14

10. Results 15

11. Conclusion 16

12. References 17

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 Executive summary

Digital transformation is the use of computer-based technologies to the strategies, functions, and
outputs of an organization. Businesses invest in digital transformation to improve the way they
engage with and take care of their customers and workers, which helps them compete.In a world
where technology rules the economy, organizations are better equipped to survive and thrive
when they have a digital transformation strategy. Because of the rapid acceleration of society's
digitization, which started in the late 20th century and continued in the first two decades of the
21st, digital transformation is becoming more and more essential across enterprises.In fact, a lot
of firms think they need to adjust to keep up with the new market demands that digitization has
brought about.

The COVID-19 pandemic accelerated a number of aspects of the digital revolution since it drove
companies in almost every industry to reduce or even halt in-person connections with customers,
employees, partners, and suppliers in favor of virtualizing as many interactions as they could.

According to a survey done by management consulting firm McKinsey & Co. in October 2020,
the epidemic has increased use of advanced operational technology, cloud computing, remote
work, and collaboration.

Market leaders will continue to be at risk of being displaced and disrupted as new business
models, more engaging customer experiences, inventive products and services, and other
breakthroughs are made possible by advancing technologies.

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 Introduction

This report aims to study the impact of digital transformation on the marketing function of a
business. Digital transformation is the process of using digital technologies to create new or
modify existing business processes, culture, and customer experiences to meet changing business
and market requirements. This reimagining of business in the digital age is digital
transformation.

It transcends traditional roles like sales, marketing, and customer service. Instead, digital
transformation begins and ends with how you think about and engage with customers. As we
move from paper to spreadsheets to smart applications for managing our business, we have the
chance to reimagine how we do business and how we engage our customers with digital
technology on our side. Building a 21st century business on stickies and handwritten ledgers just
isn’t sustainable. Thinking, planning, and building digitally sets you up to be agile, flexible, and
ready to grow.

Companies should have a realistic understanding of their capabilities for marketing in the digital
age. Only then can organizations reinforce those capabilities to underpin their actions.
Embracing digital transformation in marketing means growing beyond the prevailing definitions
of what your company is and how it’s perceived. It can allow companies to tap into and create
new profit pools and shift away from low-value actions. Marketing in the digital age can offer
new possibilities and opportunities for growth..

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 Objectives

To investigate the factors that influence modern customers' propensity to buy from online
merchants. Thanks to technology, there are many ways to access the internet now, including
computers, laptops, tablets, cell phones, kiosks, and others. The presence of digital marketing in
Indian marketplaces has exploded due to the quick uptake of these devices, their reach, and the
accessibility of inexpensive data connectivity. Companies are working hard to develop platforms
that will provide more accessible and affordable access to their products.

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 Literature Review

According to the research by Schmitz (2021) the digitization of marketing is making the
digitalization of campaigns and customer journeys increasingly complex. The outcome of the
study highlighted that there is a staggering amount of data now available to marketers, and
mining it all can be difficult without the right strategies, skills and tools. Even when we drill
down, it’s not always easy to know what audiences want beyond rich, personalized online
experiences.

According to the research by Danise (2021) automation will underpin marketing’s digital
transformation. It’s the only way to increase efficiency while maintaining a steady stream of
fresh, yet targeted, communications to the growing number of consumers across countless
platforms. With the right technology tools, behaviour-defined “rules” and content strategy,
customers can be guided through the marketing funnel and toward sales channels without a
person managing every move in real time. Customer behaviour must be monitored to ensure the
digital strategy is effective and refinements may be needed to ensure customers are being served
content that aligns with their interests and leads to conversions. That’s where analytics
automation becomes most valuable. Instead of spending weeks compiling data, companies can
log in each day to see what’s working and what’s not and reallocate their time to investigate why
something is or isn’t working. Companies must learn how to build, manage and maximize their
own digital platforms, such as their websites. They aren’t just digitized versions of brochures and
spec sheets anymore. They are thought leadership hubs, resource libraries and the way by which
brands build trust with entire industries and market segments. However, before talking about
specific digital marketing techniques we need to digitally transform our marketing mindset and
tool set.

According to research by Carroll (2021) digital transformation in marketing refers to the shift
from digital complacency to the active pursuit of digital excellence through the proper usage and
optimization of digital channels. More specifically, this means refining your digital channels to
gain deeper insights that inform your approach and improve the customer journey. Digital
transformation is a continuous process and companies must continue to improve upon their
marketing engine as a whole in order to maintain a world-class digital presence. Companies must
also stay up to date with the latest marketing trends and regularly dabble in new practices in
order to keep their brand at the forefront of digital.

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 Hypothesis

Based on the results, it is possible to conclude that the research conducted thus far has been of a
modest demographic type, identifying shifts in marketing patterns brought on by the arrival of
digital transformation. This study demonstrates how the digital revolution has altered not only
the marketing paradigm but also how consumers see brands and the quality of marketing in
general.

Ho: Digital Transformation does not lead to the end of marketing activities.

Ha: Digital Transformation leads to the end of marketing activities.

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 Methodology

Research Design

The purpose of this review is two-fold. First, we aim to assess how digital transformation is
being studied in various domains, examining how it is conceptualized in various domains, and
identifying key similarities and differences. The reason for taking an interdisciplinary approach,
rather than focusing on contributions within a single research area, is that a broad phenomenon
like the digital transformation with wide implications for firms and society implications for
business and society cannot be fully understood by only studying it. Concepts that exist at the
intersection of different disciplines should be studied with an integrative approach rather than
relying on a single discipline.

The second goal of this review is to assess different phases of digital transformation. Various
concepts are used as alternatives or complements when theorizing about a company's digital
transformation, such as: Using e-business to describe digital transformation. As such, we will
analyze the final series of papers thematically and assess key issues in digital transformation.
Therefore, this review assesses how digital transformation is being studied across fields to
identify their similarities and differences.

Step 1: Selection of fields of interest: The first decision in the literature review is to select
relevant fields of interest to conceptualize digital transformation. The study focuses on company-
level analysis, excluding areas specific to individual, group or industry levels such as the
organizational behavior or entrepreneurship literature. Hence, a key criterion to include fields is
that studies are conducted to a significant extent at firm level. Specifically, we focus on the
following five business research fields: information systems, strategic management, marketing,
innovation, and operations management.

Step 2: Selection of timeframe: We selected a timeframe that included papers published between
January 2000 and October 2018. The reason we use 2000 as our reference date is that it was the
year the dot-com bubble burst, the year companies like Google, Amazon, and eBay survived,
which had a huge impact on our understanding of digital transformation today. Moreover, this
timeframe is in line with other recently published reviews about digital in general.

Step 3: Selection of academic sources: To determine which sources are included, we decided to
include a broad set of 42 leading journals in each of the selected fields.

In the IS field, we included MIS Quarterly, Information Systems Research, European Journal of
Information Systems, Information Systems Journal, Journal of AIS, Journal of Information

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Technology, Journal of MIS, Journal of Strategic Information Systems, Decision Support
Systems and Information & Management.

In the innovation filed, we included Journal of Product and Innovation Management, Research
Policy, Technological Forecasting and Social Change and Technovation.

In the marketing field, we included the International Journal of Research in Marketing, Journal
of Marketing, Journal of Marketing Research, Marketing Science, Industrial Marketing
Management, International Journal of Electronic Commerce and Journal of the Academy of
Marketing Science.

In the operations management field, we included Journal of Operations Management,

Manufacturing and Service Operations Management, Production and Operations Management,
IIE Transactions, International Journal of Operations and Production Management,
International Journal of Production Research, Supply Chain Management: An International
Journal and Transportation Science.

In the management field, we included Academy of Management Journal, Academy of

Management Review, Administrative Science Quarterly, Journal of Management, Journal of
Management Studies, Management Science, Strategic Management Journal, Journal of Business
Research, Organization Science, Academy of Management Annals, Academy of Management
Review, California Management Review, Harvard Business Review and MIT Sloan Management
Review.

To ensure that we did not miss any relevant papers published in other journals, we amended this
search by using the Web of Science database.

Step 4: Selection of keywords: The next step was to conduct a preliminary search using various
databases and articles to identify a set of keywords to guide our search. In order to cover the
broad meaning of digital transformation and reflect different focus areas, the keywords
“digitization”, “digital transformation”, “digitization” and “IT” or “IS” in combination with
“transformation”.

Step 5: Identification and screening: The search process generated over 8500 articles matching
the selected keywords. This high number is mainly due to broad keywords. Papers were first
scanned by title. Papers deemed relevant to the research objectives were reviewed by reading
abstracts. In total, we viewed abstracts from 760 submissions. From this list of articles, a
preliminary group was derived by including for further consideration those articles deemed most
suitable for research purposes. We excluded 605 papers, leaving a preliminary sample of 155
papers.

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Step 6: Eligibility: We checked 155 articles for relevance and excluded irrelevant studies. We
apply three criteria to ensure that the selected papers are of high relevance and quality.

1. Papers should use digital transformation-related concepts as major constructs. Papers were
excluded when the digital transformation was only included in the keywords, abstract or
introduction. Furthermore, papers were excluded when mentioning digital transformation only as
a possible implication of other research done.

2. Papers should include some theoretical notions for digital transformation; either by providing
a theoretical notion based on earlier work, or by developing a notion of what is exactly meant
with digital transformation. Papers that did not provide at least a conceptual or operational
meaning were excluded.

3. Papers should use the concepts related to digital transformation in the core of the theoretical
section to make sure that digital transformation played a key role in the development of the
paper.

Step 7: Coding of articles: The selection process resulted in the final selection of 84 papers that
met all three criteria. This paper was identified, verified, and coded by a single coder.

Step 8: Thematic representation: Thematic analysis was applied to the selected papers to find out
how different terms are used and if their meaning is comparable or different across fields.

Below provided image is the results of coding across disciplines:

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Sampling

We employed primary research and performed a poll of around 350-400 persons from various
client groups, 30% of whom work in offices, 30% in business workers, 30% homemakers, and
the remainder teens and children. We asked how much they are influenced by ads in the poll. Do
people learn about new products and services rapidly through marketing or social media?

We attempted to comprehend their social media usage preferences, which enabled us to

comprehend the amount of time they spent on social media on a regular basis. This assisted us in
determining if consumers are impacted by commercials, banners, or other forms of marketing, or
whether the digital transformation has taken over marketing.

Data collection

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The data collection was based on primary research. We utilized surveys to obtain data for the
data collecting section and approached people from diverse sectors such as office employees,
business workers, homemakers, teenagers, and children. The data spread among them after they
were given questions via a Google form.

Statistical Technique

Statistical analysis is a powerful tool that businesses and organizations use to understand data
and guide decision making. There are many different types of statistical analysis techniques that
can be applied to different data, industries, and applications. Knowing the different statistical
analysis methods and how to use them can help to explore data, spot patterns, and spot market
trends.

Statistical analysis or statistics involves collecting, organizing, and analyzing data based on
established principles to identify patterns and trends. It is a broad field with applications in
science, economics, social sciences, genetics, population studies, engineering, and several other
fields. Statistical analysis has several functions. It can be used to make predictions, run
simulations, build models, mitigate risk, and identify trends.

To make sense of their data, businesses rely on statistical analysis techniques to organize the data
and turn that information into tools for accurate decision-making and long-term forecasting.
Statistical analysis enables data owners to perform business intelligence functions to enhance
competitive advantage, improve efficiency, and optimize resources for maximum profit.

Here are four common methods for performing statistical analysis:

1. Mean

One can calculate the mean or average by summing a list of numbers and dividing the answer by
the number of items in the list. This is the simplest form of statistical analysis and allows the user
to determine the midpoint of the dataset. The formula for calculating the average is:

Mean = Set of numbers / Number of items in the set

2. Standard deviation

Standard deviation (SD) is used to determine the dispersion of data points. This is a statistical
analysis method that can be used to determine how the data are distributed around the mean. A

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high standard deviation means that the data are far from the mean. A low standard deviation
indicates that most of the data are close to the mean.

One application of SD is to test whether survey respondents have asked similar questions. If the
majority of respondents' responses are similar, it means that the standard deviation is low and the
responses can be applied to a larger population. To calculate standard deviation, use the
following formula:

σ2 = Σ(x − μ)2/n

● σ represents standard deviation

● Σ represents the sum of the data
● x represents the value of the dataset
● μ represents the mean of the data
● n represents the number of data points in the population

3. Regression

Regression is a statistical technique used to find relationships between dependent and

independent variables. It helps you track how changes in one variable affect changes in another,
or the impact of one variable on another. Regression can show whether the relationship between
two variables is weak, strong, or changes over time. The regression equation is:

Y = a + b(x)

● Y represents the independent variable, or the data used to predict the dependent variable
● x represents the dependent variable which is the variable you want to measure
● a represents the y-intercept or the value of y when x equals zero
● b represents the slope of the regression graph

4. Hypothesis testing

Hypothesis testing is used to test whether a conclusion is valid for a particular set of data by
comparing the data with a particular hypothesis. The result of the test can invalidate the
hypothesis, called the null hypothesis or hypothesis 0. Anything that violates the null hypothesis
is called the first hypothesis or hypothesis 1.

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 Results

The data were gathered via a self-administered online survey between the last week of November
and the first two weeks of December 2022. The responders were contacted by email distribution.
One reminder was sent out three days later.

The final sample consisted of all Cognizant consultants who took part in the poll. The bulk of
them were from the US, India, Germany, and the UK, and they represented 20 different
countries. They displayed an average level of experience in the digital transformation of 5.14 out
of 7. Between respondents with expertise ratings of four and higher and those with ratings lower
than four, there were no differences in the outcomes.

The ordinal scales of the survey use the measure's mean values to reflect the magnitude of the
shift. A substantial fall is indicated by the range of 1.00 to 1.99, a moderate decline by 2.00 to
2.99, a little decrease by 3.00 to 3.99, an increase by 4.00 to 4.99, a sizable rise by 5.00 to 5.99,

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and a robust increase by 6.00 to 7.00. For each measurement, the p-value is displayed. If a
measure has a p value of 0.05 and a change is expected, it statistically departs from no change
(response "4"). The p-value is calculated using a t-test for normally distributed data and a
Wilcoxon rank test for non-normally distributed data. An asterisk is used to denote information
that is thought to be delivered frequently.

A modest increase in important partners' cooperation and shared accountability as well as a little
rise in the number of suppliers and complementary vendors are anticipated as a result of digital
transformation. It is anticipated that there will be no statistically significant change in the number
of channel intermediates.

Conclusion

Digital transformation is one of the most significant components of today's environment. To

adjust to a changing world, this is done. A business can grow to new heights with effective use of
digital marketing. A business must first comprehend the purchasing behaviors of its clients for
efficient implementation. The goal of this study was to learn more about how monthly income,
social media, blogs, and websites affect consumer purchase decisions. Customers that choose to
shop online over in-store are the main focus of the study. The availability of e-commerce
platforms, digital channels, social media, and other platforms affects customers' purchase
decisions.

According to the report, e-commerce sites and social media have a big influence on what
consumers decide to buy. Customers typically conduct more online shopping during

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In almost all business models, at least one element is projected to change little or dramatically as
a result of the digital revolution, according to studies. The most impacted areas for firms are their
value offer, the client categories they may identify and serve, how they connect with their
customers, and the resources they use. This analysis predicts a variety of modifications for
different business model components. Customers are the segment that benefits most from all the
improvements. When we take the value proposition's outcomes into account, the value for the
money that clients receive dramatically increases. Prices are predicted to moderately fall but the
personalisation, functionality, accessibility, and convenience of goods and services are predicted
to increase.

Furthermore, by pinpointing the specific predicted changes of the digital transition, this research
should help businesses create and support digital strategies.

Making business arguments more persuasive and precise encourages factual and reliable
investment choices. Only 25% of businesses compute KPIs, and of those, only 50% create
business cases for their digital transformation initiatives. This makes it crucial.

References

Schmitz, Jeff (2021)What Does Digital Transformation Mean For Marketers?, Forbes Journal,
2-6

Danise, Anna (2021) Marketing and Digital Transformation, International Marketing Journal,
12-20

Carrol, Ali (2022) What is Digital Transformation in Marketing, Boston Digital, 1-4

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https://www2.deloitte.com/us/en/pages/chief-marketing-officer/articles/digital-transformation-in-
marketing.html as on 20.12.2022

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