Digital Marketing

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A COMPARATIVE ANALYSIS OF TRADITIONAL MARKETING V/S DIGITAL

MARKETING
Research · December 2018

DOI: 10.13140/RG.2.2.30569.83048
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ISSN: 2394-2770, Impact Factor: 4.878, Volume 05 Issue 04, December 2018, Pages: 234-243
A COMPARATIVE ANALYSIS OF TRADITIONAL MARKETING V/S

DIGITAL MARKETING
Raj Sinha
1
(Guest Faculty (MBA, MCA), LNMIEDS, Patna)
Abstract: Throughout centuries, marketing always remained customer centric, the way of delivering services
and product has changed but the strategies remained same. Digital Marketing is also known as E-Marketing.
The objective is to Increase sales, increase leads to the sales team, improve customer retention and brand
awareness and reduce costs. It is the marketing of product or services over the internet. It uses tools such as:
social media marketing, local directory listing, and targeted online promotions. Traditional Marketing is a
common marketing method which require a substantial time and budget to get the desired results. Life Cycle is
based on IPL (International product lifecycle) theory which includes: Layout, Manufacturing, Competitions and
Strategy. The various method of traditional marketing is: Newspaper, Flyers, Radio, Television, Billboard
advertising along roads and highways, Magazine ads, etc. Technologies did bring revolution in all fields and
marketing is no exception, from print media to digital media. The rapid growth of digital marketing is the direct
consequence of penetration of internet and social media sites. Audience can directly interact with organization
ads in digital space in digital marketing whereas in traditional marketing we can convey organization brand
message loud and clear.
Key Words: Newspapers, Marketing, Digital, Traditional, Customer
INTRODUCTION
Digital marketing is a term used to describe the integrated marketing services used to attract, engage and
convert customers online. Digital marketing utilizes multiple channels such as content marketing, influencer
marketing, SEO, social media and online advertising to help brands connect with customers and uncover
performance of marketing programs in real-time. Digital marketing is defined by the use of numerous digital
tactics and channels to connect with customers where they spend much of their time: online. From the website it
to a business's online branding assets -digital advertising, email marketing, online brochures, and beyond -
there's a spectrum of tactics that fall under the umbrella of "digital marketing."
Traditional marketing is a rather broad category that incorporates many forms of advertising and
marketing. It's the most recognizable types of marketing, encompassing the advertisements that we see and hear
every day. Most traditional marketing strategies fall under one of four categories: print, broadcast, direct mail,
and telephone. This marketing strategy is inexpensive when examining the ratio of cost to reach of the target
audience. Also allow customers to research the product conveniently according to their criteria. Importance
include: Digital devices, Digital platforms, Digital media, Digital data and Digital technology. Lifecycle
include: Plan, Reach, and Act, Convert and reach. 4P‟s of marketing is basically business oriented, the 7P‟s of
service marketing and 4 Cs is customer oriented. Additional 8 th P‟s is based on Productivity and Quality The
categories are: Inbound Marketing (SEO, Blog, Webinar, Social Media) and Outbound Marketing (SEM,
Display Ads, Affiliate Programme). Benefits include: Global reach, lower prices, measurable consequences,
personalization, openness, social currency, improved conversion prices, etc.
Objectives: The objective of this study is to focus on different strategy of marketing mix and their importance,
categories, etc.
Traditional marketing
 Identifying the right audience segment
 understanding their behavior
 Providing the proper incentive to get them to buy a product or service location or channel consideration
FIG: 1.0.Objectives of Traditional marketing
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Digital marketing
 To create Brand Awareness
 To generate potential leads through advertising
 To increase engagement amongst the audience related to your domain or business.
 Reducing bounce rate on your website.
 Market segmentations on basis of your product.
 Increasing customer satisfaction and brand loyalty.
 Understanding your consumers‟ needs and connecting with them directly.
 Promote your new services or product launches.
 Surveys your audience to validate your product and its application in long run.
FIG: 1.2. Objectives of Digital Marketing

Importance
Traditional marketing: the marketing mix is predominately associated with the 4P‟s of marketing, the
7P‟s of service marketing, Additional 8th P‟s and the 4 Cs theories developed in the 1990s. Traditional
marketing has always been defined by the 4P‟s–Product, Price, Place and Promotion.
4P’s of Traditional marketing: Includes: Product, Price, Place and Promotion
Product: A product is an item that is built or produced to satisfy the needs of a certain group of people. To
develop the right type of product the marketer must do an extensive research on the life cycle of the product that
they are creating. Every product has certain life cycle: growth phase, the maturity phase, and the sales decline
phase.
Customer Touch points – Functionality, Quality, Appearance, Packaging, Brand, Service, Support, and
Warranty.
Price: Price is a very important component of the marketing mix definition. It is also a very important
component of a marketing plan as it determines your firm‟s profit and survival.
Customer Touch points – List Price, Discounts, Financing, Leasing Options, and Allowances.
Place: Placement or distribution is a very important part of the product mix definition. You have to position and
distribute the product in a place that is accessible to potential buyers. There are many distribution strategies,
including:
o Intensive distribution
o Exclusive distribution
o Selective distribution
o Franchising
Customer Touch points: Locations, Logistics, Channel members, Channel Motivation, Market Coverage,
Service Levels, Internet, Mobile.
Promotion: Promotion is a very important component of marketing as it can boost brand recognition and sales.
Promotion is comprised of various elements like:
o Sales Organization
o Public Relations
o Advertising
o Sales Promotion Customer Touch points – Advertising, Public Relations, Message, Direct Sales, Sales,
Media, and Budget.

FIG: 1.3. 4P’S model of Traditional Marketing

7P’s of Traditional marketing: The 7Ps model is a marketing model that modifies the 4Ps model. The 7Ps is
generally used in the service industries. It includes: 4P‟S (Product, Place, Price, Promotion), People, Process and
Physical Environment.
FIG: 1.4. Summarization of 4P’S and 7P’S

Additional 3P‟s description is as below:
People: Those employees which are delivering the service to the customers. In a digital world person handling
customer queries on line, chat, email and call center are important part. Recruiting the right employees for any
organization is the vital part of any company.
Process: How the service is provided in an organization? Indirectly, the sequence of service or step by step
execution of a work, Process is of two types: Manual and Automatic, Manual where you are required to do your
work by yourself. For E.g.: Shopping in a mall, Whereas, Automatic means online system. For E.g.: Online
Shopping.
Physical Environment: This is basically the evidence that service was actually provided with satisfaction level
high among customers. This is basically known in the organization with the help of FEEDBACK strategies. The
evidence may include: web pages, paperwork (such as invoices, tickets, and dispatch notes), brochures,
furnishings, ambiance, signage (such as those on aircraft and retail stores), brand logos, the uniform of
employees, business cards, and the building itself.
FIG: 1.5. 7P’s model of Traditional Marketing

8P’S of Traditional marketing: In some spheres of thinking, there are 8 Ps in the Marketing Mix. The final P
is Productivity and Quality. This came from the old Services Marketing Mix and is folded in to the Extended
Marketing Mix by some marketers. The 8th P of marketing mix is “What Quality of Product an organization is
offering to its customers”?
This Question focuses more on Quality of the service that we are delivering to our customer rather than
productivity for cost management.
FIG: 1.6. Summarization of 4P’S, 7P’S and 8P’S

Importance of 4P’S, 7P’S and 8P’S traditional marketing mix:
 It helps us in identifying the opportunities and helps in product development.
 It acts as a guide for any business to take up the decisions and strategies.
 It makes the organization to differentiate with their competitors.
 It gives the proper direction how a product or service to be reached, final user.
Finally, Marketing mix elements help to benefit both the consumers and organization, whereas consumers
get quality products or services with less price as well as the organization with make more sales and earn a
profit with the margin.
4 Cs theories: Because of its focus on consumers, the 4 C‟s model is mainly used for Niche Marketing.
However, just like the traditional marketing mix, it can also be used for mass markets. The four variables in the
4 C‟s model are
 Consumer: Should be of Prime Focus.
 Cost: It should be planned on the basis of customer.
 Convenience: Most comfortable manner of getting their product to the end consumer.
 Communication: Organizations need to adopt a “listening and learning” approach.
Difference between 4P’s and 4C’s
Criteria 4P’s 4C’s
Prime Focus Product Customer
Produced to satisfy the needs of a certain making products which satisfy their
group of people.. customers..
Cost on the basis of Product on the basis of Customers
Communication Above The Line Below The Line
Segment Undifferentiated segment Targeted segment
Convenience Based on Place Easy for installation and maintenance
Investment High Low
ROI Difficult to be measured Easier to be measured
Use Mass market Smaller market
FIG: 1.7. Summarization of 4P’S and 4C’S

Digital marketing: Is based to understand and manage our clients. It‟s more than website or email interaction.
It involves managing and harnessing these „5Ds of Digital‟ which are listed below:
 Digital devices
 Digital platforms
 Digital media
 Digital data
 Digital technology
Digital devices: audiences experience brands as they interact with business websites and mobile apps typically
through a combination of connected devices including smartphones, tablets, desktop computers, TVs and
gaming devices.
Digital platforms: most interactions on these devices are through a browser or apps from the major platforms or
services, that‟s Facebook (and Instagram), Google (and YouTube), Twitter and LinkedIn.
Digital media: different paid, owned and earned communications channels for reaching and engaging audiences
including advertising email and messaging, search engines and social networks.
Digital data: the insight businesses collect about their audience profiles and their interactions with businesses,
which now needs to be protected by law in most countries.
Digital technology: the marketing technology or martech stack that businesses use to create interactive
experiences from websites and mobile apps to in-store kiosks and email campaigns.
Digital devices Digital platforms Digital media Digital data Digital technology
FIG: 1.8. Importance of Digital Marketing

Life Cycle
Traditional Marketing: International product lifecycle (IPL) is one of the phenomenon of “how a
company evolves over time and across national borders”. It includes:
 Economic principles
 Standards: market development, economies of scale
This theory shows the development of a company‟s marketing program on both domestic and foreign
platforms.
The 4 key elements of the IPL theory are −
 Layout: demand for the product
 Manufacturing: Product
 Competitions: International Market
 Strategy: Marketing plans (introduction, growth, maturity, saturation, and decline).
FIG: 1.9. Strategy of IPL Theory

SALES
TIME
FIG: 1.10 Traditional Marketing Strategy

Digital Marketing
Plan - Use a data-driven approach to review your current digital marketing effectiveness, customize analytics,
set up KPI dashboards and SMART objectives (Opportunity, Strategy and Action) create a strategy of
prioritized improvements to how you deploy digital marketing media, technology and data to increase leads and
sales
Reach - Build awareness using the 6 key online marketing techniques which will drive visits to your site.
Act - Encourage interactions on your website or social media to help you generate leads for future
Convert - Use retargeting, nurturing and conversion rate optimization to remind and persuade your audience to
buy online or offline if phone and face-to-face channels if these are important to you.
Engage - Increase sales from existing customers by improving personalized communications using web, email
and social media marketing
FIG: 1.11 Digital Marketing Strategies

Categories
Traditional marketing
Print: Includes advertisements in newspapers, newsletters, magazines, brochures, and other printed material for
distribution
Broadcast: Includes radio and television commercials, as well as specialized forms like on-screen movie theatre
advertising
Direct mail: Includes fliers, postcards, brochures, letters, catalogues, and other material that is printed and
mailed directly to consumers
Telemarketing: Includes requested calling and cold calling of consumers over the phone

Print Broadcast Direct Mail Telemarketing
FIG: 1.12 Categories of Traditional Marketing

Digital marketing
Search Engine Optimization (SEO): Is the practice of increasing the number and quality of visitors to a
website by improving rankings in the algorithmic search engine results. For E.g.: websites on the first page of
Google receive almost 95% of clicks.
Search Engine Marketing: Is the process of gaining website traffic by purchasing ads on search engines.
Pay per Click Advertising (PPC): Here, we bid for advertising space for certain keywords which are most
popular on search engines.
Social Media Marketing: It includes Facebook, Twitter, Instagram, Snapchat, and YouTube to market product
brand to an increasingly large audience.
Influencer Marketing: Provides a large and direct platform to use influencers’ reputations to sell your
products by tagged in FB post.
Public Relations Content: People are more convinced by others who complement your products or services
rather than by your own advertising.
Email marketing: Provide updates, exciting news, reminders, etc. to your customers in a matter of minutes. At
the same time, you can use these newsletters as printable, direct mail pieces or even flyers. Customizable email
is also use to promote business.
Mobile Marketing: AdWords allows for mobile-specific marketing campaigns, which are likely to perform
noticeably better than more general campaigns.
Brand Journalism: Brand journalism involves creating content that your audience finds interesting, with less
aggressive calls-to-action supplementing this content. Generally, the content is targeted at your business or
brand’s target audience, covering their interests rather than just your products. Also known (Content
Marketing)
Video Marketing: By combining words and imagery into an intuitive package, video catches the eye of online
users.
Audio Marketing: Audio advertisements on these platforms are an effective way to market your products and
services but not as fruitful as Video Marketing.
Affiliate Marketing: Process of earning a commission by promoting other people’s (or company’s) products.
You find a product you like, promote it to others (usually through your blog), and earn a piece of the profit for
each sale that you make.
Native Advertising: It involves advertisements that are positioned organically within articles and websites,
rather than distractingly in sidebars that pull attention away from the content of the webpage.
Live Chat: Marketing is not only about getting people to your site; it is also about ensuring that a purchase
takes place. It’s a very helpful medium to clear doubts amongst customer who purchase product.
Augmented/Virtual Reality Marketing: Augmented Reality is as an ideal way of delivering persuasive
messages to a technological minded audience. Advantages includes: Personalization, Socialization, Novelty and
Accessible. Virtual Reality Marketing is all about immersion-a strong feeling of being physically present in a
virtual world.
Frequently Asked Questions (FAQs): It’s basically help to get customer into our site and thereby increase the
sale of a product by solving their queries online.
Instant Messaging Marketing: People use instant messaging apps such as WhatsApp and Facebook Messenger
to post relevant information about product.

FIG: 1.13 Categories of Digital Marketing
FIG: 1.14. Summarization of Techniques of Digital Marketing
Category Digital marketing Traditional marketing

Level Playing field Any Kind of company could Smaller Size Company could
compete. Company don‟t have to compete. Virtual expansion does not
worry about the size of business require large number of real people
and staff to reach the maximum handling things.
potential of online presence and
advertising.
Minimized Price Internet Marketing Approach Highly paid advertising channels:
Telephone, Print media, ads, etc.
Basic to gauge Google Analytics tools are used Trending approach: Outdoor, Radio,
to measure out company rise and newspaper and marketing. What‟s
downfall and take adaptive organization minimum sensible
measures ahead. business?
Live Outcomes Wins again owing to its quick wait for weeks, sometimes even
results. We can see everything in months before the boosts start to turn
real time including: Number of up
visitors, most active time of the
day, Conversion rates and
Bounce rates.
Improvement of your strategy Expensive (Reported and Refine Improves techniques anytime and see
for better results). Statistics help any possibilities for further refinement.
you find out what is working for a host of negative feedback won‟t
company and what is not. We get bother you much because your
the online statistics almost business might already have gone

instantly via Google Analytics down the drain by the time you receive
and make the necessary them. Would be too late to make any
readjustments. concrete strategy refinement on time.
Done on time. Late Process.
Brand Advancement Social media channels. A well Print media channels. Limited space
maintained site with quality and frequency of advertisements for
content targeting the demands E.g.: Column on a newspaper page.
and including value to your target
audience. space and frequency of
advertisements is unlimited.
Far higher direct exposure Long lasting return on company Business can be seen throughout from
financial investment as well as one marketing project. Here, expense
low costing to maintain project. is Considerable.
Reaches(Unlimited) out to the limited to a certain locality
entire world
Viral Online making use of social Offline making use of print media,
networks. Instant publicity. television. No scope to deliver in this
reach a new audience and earn a regard. Slow publicity.
new visitor every nanosecond
with the help of share and
comments tools.
Not Intrusive Market segmentation, People buying the newspaper do not
customized marketing. This buy it for the ads in it. People listen to
marketing seems to be the the radio for music and the weather
candidate that will know how to forecast. So, it is safe to say,
intrigue people and not annoy traditional advertising mostly goes
them. ignored.
Greater Engagement Urge potential customers to visit cannot really interact with your target
web site, check out services and audience. Wait out for the responses to
products, price then, acquire them come in before Company can plan next
and supply comments which step. This is a long and tedious
shows product market. Engage process.
audience in real time.
Non Interruptive online marketing will offer you A television commercial comes up on
the choice of time and media. repeat cutting right through a really
Audience can choose to skip Ads interesting plot twist of your favorite
TV show.
FIG: 1.16 Comparison of Traditional Vs. Digital Marketing

CONCLUSION
Digital marketing is a general term for any the effort by a company to connect with customers through
electronic technology, including email, geolocation and mobile marketing, social media, online customer

communities, webinars and other video-based content. Traditional marketing encompasses so many different
strategies, nearly every company selling a product or service uses one or more types of traditional marketing as
part of an overall advertising strategy. For the most part, this form of advertising depends on the company's
available marketing budget. Traditional marketing campaigns often have the advantage of staying power. They
can become iconic, and instantly familiar to millions of people. The top five memorable campaigns of the 20 th
century, according to network television powerhouse NBC, are:
1. McDonalds: “You deserve a break today”
2. Nike: “Just Do It”
3. Marlboro's “Marlboro Man”
4. Coca-Cola: “The pause that refreshes”
5. Volkswagen: “Think Small”.
Traditional marketing is very expensive compared to digital. There is no choice to target relevant set of
customers, it‟s a mass communication. Company‟s end up pumping the budget to mass crowd. It‟s promotes
products or services through TV, Radio, Print media, PR activity, door to door marketing, telemarketing, etc.
Tracking of results is difficult or next to impossible. Digital marketing is cost effective than traditional. Easy to
find the target customers with analytics and other source of tools. Based on the relevant customers the budget
can be planned and optimally utilized. It promotes the product over the internet with social media, smart phones,
google Ads, etc. Tracking of result is easy and thereby improvement of campaigns based on results.
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 Afrina Yasmin, Sadia Tasneem,Kaniz Fatema Effectiveness of digital marketing in the challenging age: An
Empirical study on International journal of management science and business administration.
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 Eriksen, K. and C. Hemmingsen (2014). Online Marketing; New models of advertising? Aalborg
University.
 Fundamentals of Digital Marketing by Pearson-by Puneet Singh Bhatia (Author)
 Hamed Taherdoost, Neda Jalaliyoon, Marketing Vs E-Marketing-International Journal Of Academic
Research In Management (IJARM) Vol.3,No. 4,2014 , Page:335-340, ISSN:2296-1739
 Marketing 4.0, Moving from Traditional to Digital Hardcover by Philip Kotler (Author), Hermawan
Kartajaya (Author), Iwan Setiawan (Author)
 Onishi, H. (2011). Traditional Marketing, Online Communication and Market Outcomes. Michigan,
University of Michigan. PhD.
 Taherdoost, H., S. Sahibuddin, et al. (2012a). Classification of Internet Products and Evaluation of
Application Utilization Based on the Product Fulfillment Process 3rd European Conference of Computer
Science Paris, France, Recent Advances in Computer Engineering Series, WSEAS Press, 160 – 164
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International journal of software and hardware research in engineering. ISSN No: 2347-4890 Volume 2,
Issue 8, August 2018.
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A COMPARATIVE ANALYSIS OF TRADITIONAL MARKETING V/S DIGITAL

Research · December 2018

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A COMPARATIVE ANALYSIS OF TRADITIONAL MARKETING V/S

FIG: 1.0.Objectives of Traditional marketing

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FIG: 1.2. Objectives of Digital Marketing

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FIG: 1.3. 4P’S model of Traditional Marketing

FIG: 1.4. Summarization of 4P’S and 7P’S

FIG: 1.5. 7P’s model of Traditional Marketing

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FIG: 1.6. Summarization of 4P’S, 7P’S and 8P’S

FIG: 1.7. Summarization of 4P’S and 4C’S

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FIG: 1.8. Importance of Digital Marketing

FIG: 1.9. Strategy of IPL Theory

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FIG: 1.10 Traditional Marketing Strategy

FIG: 1.11 Digital Marketing Strategies

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Print Broadcast Direct Mail Telemarketing

FIG: 1.12 Categories of Traditional Marketing

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FIG: 1.13 Categories of Digital Marketing

FIG: 1.14. Summarization of Techniques of Digital Marketing

Category Digital marketing Traditional marketing

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FIG: 1.16 Comparison of Traditional Vs. Digital Marketing

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