Chapter 1

Slide 1.
Part 1
Digital marketing fundamentals
Chapter 1
Introducing digital marketing
Chaffey et al., Digital Marketing: Strategy, Implementation and Practice, 5th edition © Pearson Education Limited 2013
Slide 1.2
Questions for marketers
• What are the options for digital marketing to

grow our business?
• What are the key benefits of digital marketing?
• What differences do the digital media introduce
compared to existing marketing communications
models?
Slide 1.3
Definitions - warning
• Which definition is used isn’t so important, within

a company definitions help:
– Scope the digital marketing activities that need to
be managed
– Explain opportunities for new marketing
approaches – digital transformation
– Highlights some risks to be managed
Slide 1.4
What is it?
Introducing the scope of digital marketing
• “Achieving marketing objectives through

applying digital technologies”
– How?
• Marketing is the management process
responsible for identifying, anticipating and
satisfying customer requirements profitably.
Chartered Institute of Marketing
– How?
Slide 1.5
Figure 1.3 The intersection of the three key online media types
Slide 1.6
How do digital technologies contribute to

marketing?
• The definition of marketing by the Chartered Institute

of Marketing (http://www.cim.co.uk/) is:
• Marketing is the management process responsible
for identifying, anticipating and satisfying customer
requirements profitability
• Give examples of how the Internet (web and e-mail)
achieves these?
Slide 1.7
How do digital technologies

support marketing
• Identifying – the Internet can be used for marketing research
to find out customers’ needs and wants (Chapters 7 and 10).
• Anticipating – the Internet provides an additional channel by
which customers can access information and make
purchases – evaluating this demand is key to governing
resource allocation to e-marketing as explained in Chapters
2, 3 and 4.
• Satisfying – a key success factor in e-marketing is achieving
customer satisfaction through the electronic channel, which
raises issues such as: is the site easy to use, does it perform
adequately, what is the standard of associated customer
service and how are physical products dispatched? These
issues of customer relationship management are discussed
further in Chapters 6 and 7.
Slide 1.8
Benefits of digital marketing – The 5Ss
Table 1.2 The 5 Ss of Internet marketing

Source: Chaffey and Smith, 2008
Slide 1.9
Applications of digital marketing

• An advertising medium
• A direct-response medium
• A platform for sales transactions
• A lead-generation method
• A distribution channel
• A customer service mechanism
• A relationship-building medium
Slide 1.10
E-business and e-commerce

• You are attending an interview for a job in an
E-commerce department. You are asked to:
…
• Define e-commerce
• Explain the relationship between

e-commerce and e-business?
Slide 1.11
Figure 1.7 The distinction between buy-side and sell-side e-commerce
Slide 1.12
What are the challenges

of managing strategy!
• Unclear responsibilities for digital
• Setting objectives
• Lack of budget
• Budget wasted through experiments/duplication
• Developing new propositions and campaigns to
compete
• Lack of measurement
– i.e. No plan!
Slide 1.13
Why is a digital strategy needed?
• To set clear goals for digital channels

• To align with business strategy (avoid ad-hoc
approaches)
• Create a specific online value proposition (OVP)
• Specify communications tools to drive visitors
• Integrate digital and traditional channels
• Manage customer lifecycle (e.g. through email
marketing)
Slide 1.14
Figure 1.8 A generic digital marketing strategy development process
Slide 1.15
Figure 1.9 RACE: Reach-Act (Interact)-Convert-Engage.

Source: Smart Insights (2010)
Slide 1.16
Table 1.4 Key marketing communications concepts
Slide 1.17
Six categories of e-communications tools or media channels

Figure 1.10
(Chaffey and Smith, 2008)
Slide 1.18
Figure 1.11 Social Media Marketing Radar (Chaffey, SmartInsights.com, 2011)
Slide 1.19
Figure 1.12 Evolution of web technologies

Source: Adapted from Spivack (2007)
Slide 1.20
Differences of digital media
• Split into groups

• For each of 1.13 to 1.16 students summarise
differences between traditional media and digital
media and how they can be used to advantage
by companies
Slide 1.21
Figure 1.13 Summary of communication models for (a) traditional media, (b) new
media
Slide 1.22
Summary of degree of individualisation for: (a) traditional media

Figure 1.14
(same message); (b) new media (unique messages and more information exchange between
customers)
Slide 1.23
Figure 1.15 Channels requiring integration as part of integrated e-marketing strategy
Slide 1.24
Figure 1.16 The role of mixed-mode buying in Internet marketing
Slide 1.25
Table 1.5 An interpretation of the differences between the old and digital media
Slide 1.26
Figure 1.17 Travel Republic (www.travelrepublic.co.uk)
Slide 1.27
Fundamental digital
marketing concepts
• Customer engagement:
– “Repeated interactions that strengthen the emotional,
psychological or physical investment a customer has
in a brand” cScape
– “the level of involvement, interaction, intimacy, and
inﬂuence an individual has with a brand over time”
Forrester
• Permission marketing:
– A value exchange in return for communications and
profiling, e.g. Email opt-in, Like of brand on Facebook
Slide 1.28
Content marketing activities
• Define content engagement value

• Create content media / assets
• Content syndication (influencer outreach)
• Content participation
• Content access platform
Slide 1.29
Content marketing approaches
All available from: http://pinterest.com/smartinsights/our-infographics/

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Slide 1.

Questions for marketers

• What are the options for digital marketing to

• Which definition is used isn’t so important, within

• “Achieving marketing objectives through

How do digital technologies contribute to

• The definition of marketing by the Chartered Institute

How do digital technologies

Benefits of digital marketing – The 5Ss

Table 1.2 The 5 Ss of Internet marketing

Applications of digital marketing

E-business and e-commerce

• Explain the relationship between

Figure 1.7 The distinction between buy-side and sell-side e-commerce

What are the challenges

Why is a digital strategy needed?

• To set clear goals for digital channels

Figure 1.8 A generic digital marketing strategy development process

Figure 1.9 RACE: Reach-Act (Interact)-Convert-Engage.

Table 1.4 Key marketing communications concepts

Six categories of e-communications tools or media channels

(Chaffey and Smith, 2008)

Figure 1.11 Social Media Marketing Radar (Chaffey, SmartInsights.com, 2011)

Figure 1.12 Evolution of web technologies

Differences of digital media

• Split into groups

Summary of degree of individualisation for: (a) traditional media

Figure 1.15 Channels requiring integration as part of integrated e-marketing strategy

Figure 1.16 The role of mixed-mode buying in Internet marketing

Figure 1.17 Travel Republic (www.travelrepublic.co.uk)

Content marketing activities

• Define content engagement value

Content marketing approaches

All available from: http://pinterest.com/smartinsights/our-infographics/

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