DIGITAL MARKETING

BY-SHALVI SHARMA

K04086

“Digital (Internet) Marketing is the process of building & maintaining customer relationships, through online activities to facilitate the exchange of ideas, products & services that satisfy the goals of both the parties”

CHANGING DIGITAL SCENARIO

Source : International Telecommunication Union

Source : International Telecommunication Union

Source : International Telecommunication Union

TRADITIONALV/S

DIGITALMARKETING

““The digital world has NOT changed the principles of marketing but rather has

magnified everything we know to be true about building a

great brand.”

6 C’s of Consumer

Motivation

4 E model

KEY ELEMENTS OF PRODUCT IN DIGITAL

MARKETING

• Faster discovery of customer needs

• Greater customization of the products

• Faster product testing

• Shorter product lifecycles

Opportunity to enable offering additional services such as interactivity or more information about the company’s core product

On the Internet, a picture or description will replace the physical product offered in the traditional marketplace or in stores.

Crucial to provide a complete and relevant product information is crucial in order for the customers to get a realistic picture of the product and to make the product offered more attractive.

Since customers can not touch, feel or try the products chosen on Internet, companies that have online shops should offer warranties for products sold

PRICE IN DIGITAL = “MONETIZE”

Monetization Models - “JUST FREE”

• “Just free” is a legitimate business model, though not a sustainable one

• Many startups charge nothing in order to get a critical mass of users and word of mouth before figuring out how to profit e.g Twitter in early years

• Simply free may also be a way to drive sales in another channel

• The subscription model is common for all types of digital content – software, gaming, newspaper, magazine, telco services and streaming content

• Many of these types of content use paywalls. Paywalls may be presented immediately, after a free trial, or be “metered,” appearing after a certain number of page views or content views/listens

• Subscription verticals like gaming, software and media are thriving, disrupting the old model of ownership of physical products

Monetization Models - SUBSCRIPTION

• Micro transactions are what they sound, piece-meal access to digital content and applications, being either pay-to-play (streaming content, time-limited access to content) or pay-to-own (download a track, movie, article, image, etc.)

• iTunes is a prime example of a micro transaction model

Monetization Models – MICROTRANSACTIONS

Monetization Models - FREEMIUM

• With free services, users can test & become familiar with an unknown product

• If they later become interested in the advanced features they have the option to upgrade to a premium / paid version

• There are variations in this model.• Free and paid version (e.g. lite use

and power use, personal vs. business use, ad-supported vs. ad- free, etc.

• Free with in-product transactions (e.g. virtual goods and currency in- game)

• Free and premium with microtransactions (buy ad-free Angry Birds, buy levels and goods within the game)

NOTABLE TRENDS IN DIGITAL MARKETING