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Marketing

Prof. Elena Bellio

(c) Elena Bellio 2023 - for teaching purposes only

Principles of Marketing
Nineteenth Edition, Global Edition

Chapter 17
Digital Marketing
The Digital Marketing Process
Figure 17.1 The Digital Marketing Process
Understanding Digital
Marketing (1 of 4)
Digital marketing
The use of technology-intensive platforms such as the
internet, mobile networks and devices, and social media to
engage directly with carefully targeted individual consumers,
consumer communities, and businesses.
Understanding Digital
Marketing (2 of 4)

The New Digital Marketing Model

Digital marketing serves as a complete business model.

Netflix has built a global

entertainment empire based on
digital content that is self-
produced, developed by
independent producers, or
licensed from film studios.
Understanding Digital
Marketing (3 of 4)
Digital real-time marketing:
Benefits of Digital Marketing Fast-food marketer Wendy’s is
to Buyers and Sellers known for its skillful use of
 Convenience social media to spark an
 Buyers benefit from ongoing real-time dialogue with
increased price competition the brand’s fans.
 Brand engagement and
community
 Interactive and immediate

Deutschlandreform/Shutterstock; Gary Armstrong

Digital real-time marketing

(c) Elena Bellio 2023 - for teaching purposes only

Real time marketing

9
Understanding Digital
Marketing (4 of 4)
Benefits of Digital Marketing—Sellers
 Tool to build customer relationships
 Low-cost, efficient, fast alternative to reach markets
 Flexible
 Access to buyers not reachable through other channels
 Opportunities for real-time marketing
 Linking brands to important moments and trending events
 Preparing for a Digital Marketing
Campaign (1 of 3)
Knowing the Digital Consumer Figure 17.2 A Digital
Digital consumer personas— Consumer Persona
detailed, nuanced, and tangible
representations of prototypical
consumers to be targeted by the
digital campaign.

Shawna’s persona captures her coffee and

food ordering and consumption
preferences. But more, it highlights the role
that coffee and energizing foods play in her
life, how her day typically unfolds, and javi_indy/Shutterstoc
other demographic and behavioral details k
that will help the startup effectively target
the consumer segment that Shawna A DAY IN SHAWNA’S LIFE
represents.
Preparing for a Digital Marketing
Campaign (2 of 3)
Understanding Consumer Omni-Channel Navigation
Behavior
Consumer omni-channel navigation behavior
The consumer’s use of multiple marketing channels, both digital
and nondigital, across stages of the consumer buying decision
process.
Omni-channel navigation
behavior: To effectively market
to consumers with the right
marketing content at the right
place and time, marketers must
understand which channels
consumers are using at each
stage of the customer journey. Milkovasa/Shutterstock
Preparing for a Digital Marketing
Campaign (3 of 3)
Using Experimentation to Understand What Works

Digital marketing is very friendly

to experimentation. Netflix
constantly uses A/B testing to
assess the effectiveness of
different online presentation
formats across user segments.

sitthiphong/Shutterstock
Employing Digital Channels in an
Omni-Channel Strategy (1 of 4)
Online Marketing
Online marketing is marketing via the internet using
company websites, online ads and promotions, email, online
video, and blogs.
Marketing Websites engage consumers to move them
closer to a direct purchase or other marketing outcome.
Branded Community Websites present brand content that
engages consumers and creates customer community
around a brand.
Employing Digital Channels in an
Omni-Channel Strategy (2 of 4)
Online Marketing
Online advertising is advertising that appears while consumers
are browsing online and includes display ads, search-related ads,
online classifieds, and other forms.
 Online display ads are digital ads that appear anywhere on an
internet or mobile user’s screen and are often related to the
information being viewed.
 Search-related advertising Text- and image-based ads and
links that appear atop or alongside search engine results on
sites such as Google, Yahoo!, and Bing.
Email marketing involves sending highly targeted, highly
personalized, relationship-building marketing messages via email.
Spam is unsolicited, unwanted commercial email messages.
Employing Digital Channels in an
Omni-Channel Strategy (3 of 4)
Online Marketing
Online video marketing involves posting digital video content on
brand websites or social media sites such as YouTube, Facebook,
and others.
Viral marketing is the digital version of word-of-mouth marketing:
videos, ads, and other marketing content that are so infectious
that customers will seek them out and pass them along to friends.
Viral marketing: Many marketers
work to create videos, ads, and
other marketing content that are
so infectious that customers will
seek them out and pass them
along to their friends.
Rido/Shutterstock
Viral marketing

17
Viral marketing

18
Employing Digital Channels in an
Omni-Channel Strategy (4 of 4)
Online Marketing
Blogs are online journals where people and companies post
their thoughts and other content, usually related to narrowly
defined topics.
Company blogs: Rather than
promoting products and sales,
Patagonia’s blog, The
Cleanest Line, shares stories
about the environment, tells
where the company stands on
key issues, and spreads the
brand’s “save our home Courtesy of Patagonia

planet” message.
Social Media Marketing (1 of 3)
Social media: Independent and commercial online social networks
where people congregate to socialize and share messages, opinions,
pictures, videos, and other content
Social Media Marketing Advantages
 Targeted and personal
 Interactive
 Immediate and timely
 Cost effective
 Engagement and social sharing
capabilities

JetBlue
Social Media Marketing (2 of 3)
Image and Video Platforms Using social media: Starbucks
Messaging Platforms uses creative Instagram Stories
Blogs/Microblogs to immerse Instagrammers in
brand-related videos and photos
Location Platforms
on everything from menu tips,
Wikis explaining the basics of espresso,
Reviews and Ratings Platforms and its stand on social issues to
Livestreaming Platforms teaching people how to ask for their
Metaverse Platforms favorite menu items.

Jaap Arriens/NurPhoto via Getty Images

Social Media Marketing (3 of 3)
Metaverse Platforms The metaverse is in its infancy but
growing explosively. It seems like almost every big brand is
diving in with immersive metaverse spaces and experiences
that foster strong engagement and a sense of community
among brand fans.

The metaverse is an immersive digital

environment, often using virtual- or
augmented-reality technology, where
virtual avatars representing real people
work, play, learn, socialize, shop, and
generally communicate with one another.

Lightspring/Shutterstock
Mobile Marketing
Mobile marketing delivers messages, promotions, and other
content to on-the-go consumers through mobile phones,
smartphones, tablets, and other mobile devices.
For consumers, a smartphone or tablet can be a handy shopping
companion. As a result, mobile advertising spending is surging.
Mobile marketing: TripAdvisor’s
mobile app—“your ultimate
travel companion”—gives users
as-they-travel access to crowd-
sourced information about
hotels, restaurants, places to
go, and things to see worldwide.
And booking options are always
just a tap away.
BigTunaOnline/Shutterstock
Mobile…
The mobile revolution
Rethink what a phone can do
Sensing: local Content and Sensing Discovery

Seeing: augmented Reality, 3D, in building navigation

Interacting: connection Manager

Knows: you and what is around you

Learns: what you like

Discovers: things relevant to you

Filters: out the irrelevant

Creating an Integrated Omni-
Channel Strategy (1 of 2)
Omni-channel marketing: Creating a seamless cross-
channel buying experience that integrates in-store, online,
and mobile shopping.
Omni-channel strategies:
Home Depot adopted what it
calls a “One Home Depot”
strategy designed to create
“an interconnected,
frictionless shopping
experience that enables our
customers to seamlessly THE HOME DEPOT name and logo are trademarks of
blend the digital and Home Depot Product Authority, LLC, used under license.

physical worlds.”
Creating an Integrated Omni-
Channel Strategy (2 of 2)
Overcoming the Challenges to Omni-Channel Marketing
Aligning Omni-Channel Marketing and the Overall Business
Model
Aligning Organizational Incentives and Structures
Aligning the Marketing Mix
Public Policy Issues in Digital
Marketing (1 of 4)
 Irritation includes annoying and offending customers.
 Unfairness includes taking unfair advantage of impulsive
or less-sophisticated buyers.
 Deception includes “heat merchants” who design mailers
and write copy designed to mislead consumers.
 Fraud includes identity theft and financial scams.
 Consumer privacy involves concerns that marketers may
have too much information and use it to take unfair
advantage.
Public Policy Issues in Digital
Marketing (2 of 4)
Consumer Privacy
Consumer privacy: Critics
worry that marketers who
know too much about
consumers’ lives may exploit
them. Consider what Google,
Facebook, Amazon, and
other companies alone likely T Y Lim/Shutterstock
know about their customers
and account holders.
Public Policy Issues in Digital
Marketing (3 of 4)
Irritation Deception and
Fraud
Consumer privacy: The ad
industry has issued a set of
online and mobile
advertising principles
through the Digital Advertising
Alliance that call for digital
marketers to provide
transparency and choice to
consumers if online data are
collected or used for targeting
Sam72/Shutterstock; Eyal Dayan Photography
interest-based advertising.
Public Policy Issues in Digital
Marketing (4 of 4)
Data Integrity and Security
Antitrust Concerns
A Need for Action
 General Data Protection Regulation (GD PR)
 Children’s Online Privacy Protection Act (CO PPA)