Digital

Marketing
Management
DMM - Session 1
Who am I?
Google search “Nirmana Jayatunge”
That’s the easiest way to find out about a
person
How we go ahead?
How has Digital Marketing Transformed Marketing?

• Digital media and technology have fundamentally transformed

marketing over the past few decades.
• Sir Tim Berners Lee's creation of the World Wide Web marked the
beginning of this transformation, which has since evolved
significantly.
• Today, with over 5.3 billion people regularly engaging with online
services, consumer behaviour and marketing strategies have
undergone dramatic changes.
Importance of Digital Marketing
• Digital marketing includes a wide range of audience interactions
beyond just websites.
• To understand its significance, we must grasp the various types of
audience interactions, collectively known as the '5Ds of managing
digital marketing interactions'.
• These 5Ds play a crucial role in achieving marketing goals and driving
business success.
Digital marketing
is about:
• Audiences
• Digital devices
• Digital platforms
• Digital media
• Digital data
• Digital technology
Digital Devices
• Audiences interact with businesses using a multitude of
digital devices, including smartphones, tablets, laptops,
desktop computers, TVs, gaming devices, and IoT devices.
• Each device offers unique opportunities for businesses to
engage with their target audience across different
touchpoints.
Digital Platforms
• Interactions on digital devices primarily occur through major online
platforms and services such as Facebook, Google, Twitter, LinkedIn,
Apple, Amazon, and Microsoft.
• These platforms provide businesses with diverse channels to connect
with their audience through browsers or dedicated apps.
Digital Media
• Digital media includes various
communication channels for reaching and
engaging audiences, including advertising,
email, messaging, search engines, and
social networks.
• Each channel offers unique opportunities
for businesses to deliver targeted
messages and content to their audience.
Digital Data
• Businesses collect valuable insights about their audience profiles and
interactions, which must be protected by law in most countries.
• Proper management and analysis of digital data enable businesses to
understand their audience better and tailor marketing strategies
accordingly.
Digital Technology
• Digital technology, also known as marketing technology or martech,
refers to the tools and platforms used by businesses to create
interactive experiences.
• From websites and mobile apps to in-store kiosks and email
campaigns, digital technology plays a vital role in enhancing customer
engagement and driving marketing effectiveness.
RACE – Reach, Act, Convert, Engage
RACE – Rach, Act, Convert, Engage
Digital disruptors
• Digital disruptors are innovations in digital media, data and marketing
technology.
• They enable a change to a new basis for competition in a market or
across markets.
• Disruptors are also used to refer to startup or existing companies
that, through their agility, are good examples of impacting
competitors through disruption.
Digital marketing can be defined as:
• Achieving marketing objectives through applying digital media data
and technology
• In practice, digital marketing focuses on managing different forms of
online company presence, such as;
• company websites
• mobile apps
• social media company pages
• All above integrated with online communications techniques
Multichannel (omnichannel) marketing
• Customer communications and product distribution are supported by
a combination of digital and traditional channels at different points in
the buying cycle or ‘path to purchase’.
• With the range of mobile and IoT touchpoints, some have expanded
the term to omnichannel marketing.
Paid, owned and earned media
Media that is bought, involving investment to pay for visitors, reach, or conversions
Paid Media through search, display ad networks, or affiliate marketing. Offline examples include
traditional media such as print, TV advertising, and direct mail.

Media owned by the brand, including a company’s own websites, blogs, email lists,
Owned Media mobile apps, or social presence on platforms like Facebook, LinkedIn, or Twitter.
Offline examples may include brochures or retail stores.

Traditionally generated through PR efforts targeting influencers to increase brand

awareness. Includes word-of-mouth stimulated through viral and social media
Earned Media marketing, conversations in social networks, blogs, and other communities. Also
covers the sharing of engaging content developed through partners such as
publishers, bloggers, influencers, and customer advocates.
Paid, Owned &
Earned media
Marketing technology landscape
Key Features of Digital Marketing Strategy
• Interaction and integration between digital and traditional channels
are crucial.
• Digital strategy aligns with business goals and focuses on clear
objectives.
• It targets specific customer segments and communicates a compelling
value proposition.
• Utilizes a mix of online and offline communication tools to attract and
engage customers.
• Supports the customer journey from attraction to retention and
growth.
Components of Effective Digital Marketing
Strategy
• Aligns with Business Strategy: Integrates with long-term plans and sets annual
priorities.
• Sets Clear Objectives: Defines objectives for business and brand development.
• Targets Audience Effectively: Identifies and targets customers through digital
channels.
• Communicates Value Proposition: Develops and communicates a differentiated
value proposition.
• Specifies Communication Mix: Determines the mix of online and offline tools for
engagement.
• Supports Customer Journey: Guides customers through the buying process
across channels.
• Manages Online Customer Lifecycle: Attracts, converts, and retains customers
effectively.
Applications of Digital Marketing
• Digital media offer various opportunities for marketing products and
services across the purchase cycle.
• Example: Low-cost airlines utilize digital media and technologies in
several ways:
• Advertising Medium: Display ads on publisher sites or social
networks create brand awareness and drive demand.
• Direct-Response Medium: Targeted search advertising drives visits to
the site when consumers show intent to purchase.
Applications of Digital Marketing
• Platform for Sales Transactions: Online flight booking is the most
common method for both consumers and business travellers.
• Lead-Generation Method: Tools help identify and follow up on
corporate flight purchases.
• Distribution Channel: Airlines sell additional services like insurance
digitally.
• Customer Service Mechanism: Self-service options, such as reviewing
FAQs, are cost-effective.
• Relationship-Building Medium: Interacting with customers via email
newsletters and tailored alerts promotes repeat bookings.
Benefits of Digital Marketing
• Lets look at the CIM definition of marketing:
Marketing is the management process responsible for identifying, anticipating and satisfying
customer requirements profitably.

• Identifying. The Internet can be used for marketing research to find out customers’ needs and
wants

• 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

• 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?
Ansoff
Matrix
Ansoff Matrix in Digital World
• Market penetration: The Internet can be used to sell more existing
products into existing markets.
• Market development: Here the Internet is used to sell into new
geographical markets, taking advantage of the low cost of advertising
internationally without the necessity for a supporting sales
infrastructure in the customers’ countries.
• Product development: New products or services are developed that
can be delivered by the Internet. These are typically digital products.
• Diversification: In this sector, the Internet supports selling new
products, which are developed and sold into new markets.
Another perspective
• Geyskens et al. (2002) suggested an alternative perspective
• 3 main forms of demand expansion for an existing company when it
adopts direct Internet channels
• Market expansion. This occurs when new segments of customers are
reached who did not previously buy
• Brand switching. This is done by winning customers from competitors.
• Relationship deepening. This is selling more to existing customers.
5-S of Digital Marketing Goals
Alternative Digital Business Models
Electronic commerce (e-commerce)
• All financial and informational electronically mediated exchanges
between an organisation and its external stakeholders.
• So e-commerce involves management not only of online sales
transactions, but also of non-financial transactions such as inbound
customer service enquiries and outbound email broadcasts, so you
can argue that e-commerce is open to all online organisations.
Sell side E-Commerce & Buy Side E-Commerce
Different forms of functionality of digital presence

1. Transactional e-commerce - enables purchase of products or services

online
2. Services-orientated relationship-building for lead-building and support
- provides information to stimulate purchase and build relationships
3. Brand-building - main focus is to support the brand by developing an
online experience of the brand and it is typically used for FMCG brands
4. Publisher or media site - provides news, entertainment or information or
news about a range of topics and typically has an advertising or affiliate
revenue model
5. Social network or community -These sites or parts of sites C2C model
Challenges of managing DM (based on research)
• Planning. Nearly half (44 per cent) of businesses surveyed do not have a defined digital
plan or strategy although they are active in digital marketing, while nearly half (49 per
cent) also don’t have a defined marketing plan in the business against which to align
strategy.
• Organisational capabilities. Many businesses either already have introduced (30 per cent)
or were planning to introduce (33 per cent) a digital transformation programme,
although a substantial number (37 percent) of businesses don’t think it’s relevant for
them.
• Integration of digital channels into marketing. Only a fifth of companies (20 per cent)
were happy with their level of integration of digital marketing and traditional
communications. The main barriers to integration are: lack of integrated strategy and
plans; teams structured in silos; and lack of skills in integrated communications.
• ROI evaluation. A significant proportion (39 per cent) see opportunities from digital
marketing, but find ROI measurement challenging – a key area for managers to address.
7 S Model for Digital Marketing
Strategic framework for
developing a digital
strategy

Altimeter produced a visual proposing

enablers and barriers to digital
transformation. It shows how disruptive
digital technologies such as social media,
mobile platforms and real-time marketing
should be harnessed to create an effective
digital customer experience.
A generic
DM strategy
development
process
Homework !
• https://datareportal.com/reports/digital-2024-global-overview-report
• https://datareportal.com/reports/digital-2024-sri-lanka
• Download and read 1st Chapter