Digital Marketing: Definition and Explanation

Aug 22, 2017 | Blog

The term Digital Marketing is used a lot these days, and for good reason too. Digital Marketing has exploded over the last decade and a half, in line with the large adoption of the internet and increase in web users. Anyone, from online businesses like e-commerce sites, to offline organisations, like window installers, builders and seamstresses, can benefit from marketing their company online.

So, what is “Digital Marketing?
Investopdia gives the following definition: “Digital marketing is a subcategory of marketing that uses digital technology to place and sell
products.” And it goes on to explain that “promotion is done, not only on the internet, but also via Short Message Service (SMS), Simple Notification Service (SNS), search engine optimization (SEO), electronic or interactive billboards and other online ads (such as banner ads).”

What does that mean for business?
Digital Marketing, when done correctly, gives businesses the opportunity to connect with the customers and prospects through an entirely unique means. Digital Marketing is more than just a new channel to use, where traditional marketing methods can be applied to a new medium. The Financial Times notes that digital “requires a new approach to marketing and a new understanding
of customer behaviour.”

Digital Marketing allows companies to identify key demographics and reach out to them through the platforms that these demographics use most often. This leads to more targeted and accurate marketing campaigns and which in turn can drive both online and offline business.

Examples of Digital Marketing Activities
Social Media Marketing – using popular social media platforms to engage with customers.
Email Marketing – Directly email interesting and relevant content to existing and potential customers.
Online Advertising – Advertising an organisation and its offerings through websites, banner ads and search engine advertising.
Search Engine Optimisation – Getting highly ranked on popular in search engines, which increase online exposure and ability to drive visitors to your website.

Benefits of Digital Marketing
There are MANY benefits of Digital Marketing. Some of the clearest benefits include:

Cost effective – When compared to other mediums, Digital Marketing offers some of the most cost effective solutions for advertising and marketing. Some solutions, like creating content (videos, blogs, etc.) are free. While other online advertising methods can be done at
a fraction of the cost of ‘traditional’ advertising. For example, a national newspaper in Ireland, charges 6 times as much for a 1 page colour ad in its print edition, as to take over the entire homepage of its website.
Reach a Larger Audience – As internet usage across the world sores, effective Digital Marketing strategies allow companies to extend the reach of their marketing efforts. This enables organisations to reach new audiences and markets in previously inaccessible
Easily Measurable – Digital Marketing methods allow businesses to assess which efforts are most effective through using advanced feedback and analytical tools. Businesses can monitor Click-through rates, content views/shares/downloads, website traffic, as well as
other metrics and KPIs. This not only indicates how effective a particular campaign is, but also accurately determines what the Return on Investment.
Highly Adaptable – Digital Marketing allows companies to react quickly and respond to events as they unfold.

In short, Digital Marketing offers a plethora of benefits. It allows organisations to portray their products, services and value proposition, as well as their personality, in a way that is highly engaging and interactive.

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