What is Digital Marketing? A Comprehensive Guide

The digitalisation of the world has opened many windows of opportunity for business owners. Digital Marketing is the crux of promoting a business today. Its global popularity will undoubtedly help it stay relevant for a long time and brighten the Future of Digital Marketing. Discover What is Digital Marketing! Explore its importance, strategies, types, and benefits in our blog and elevate your online presence today. 

According to a study by Gartner in 2022, 25.4% of the marketing budget of organisations was chosen to be spent on marketing technology by their leaders. Digital Marketing is the internet marketing process of a product or service. The definition of the term might reflect a trivial concept, but everyday companies invest a lot in this marketing method. Read this blog to learn what Digital Marketing is all about, its strategy, and why you should be knowing it! 

Table of Contents 

1) What is Digital Marketing?  

2) The evolution of Digital Marketing  

3) Why is Digital Marketing important? 

4) Types of Digital Marketing  

5) Benefits of Digital Marketing 

6) Digital Marketing Challenges  

7) How to create Digital Marketing strategy? 

8) Conclusion

What is Digital Marketing? 

Digital Marketing uses digital channels for marketing a product or service, which is currently the most commonly used marketing method. Mobile phones, search engines, and social media are some of the channels used in this method.  

Digital Marketing examples in your daily life can be illustrated in several instances. Receiving emails from clothing stores that remind you of their latest offers is a prime example of Digital Marketing. This method helps you stay updated on the brands you follow as a consumer. As a business owner, it aids in creating a brand personality and reminding consumers about your product/service. 

Learn about planning, creating strategies, and more for Digital Marketing. Understand the basics of online campaign planning as well by signing up for our Digital Marketing Masterclass course now! 

The evolution of Digital Marketing  
 

 

The birth of Digital Marketing can be traced back to the 90s when it was first used. Soon after, the first search engine – Archie – was released. Merely three years later, the world received its first clickable web-ad banner. This was the first time marketing had entered the realm of the virtual world. 

In 1994, the Yahoo search engine was released. The success of Yahoo rippled through various industries and paved the way for carefully crafted websites and more search engines. Companies invested more in creating sites that could secure high rankings on search engines through different types of content. The first blog was published in this same year. Owing to this, more search engines were introduced, fuelling the growth of Digital Marketing.   

Small search engines like Hotbot and Alexa came out in 1996. Two years later, Google was released, and the widespread impact of Google was disastrous to small search engines. By 2000, all small search engines had dropped from the game, and Digital Marketing soon found other channels to explore.   

The first instance of a mobile marketing campaign occurred in 2001, and Universal Music brought it forward. The subsequent development in the marketing industry was the introduction of LinkedIn. It is a social networking platform that focuses on employing people and allows companies to post about their job vacancies.   

Social networking sites were the next step in the evolution of Digital Marketing. MySpace was the first social networking site, and it was released in 2003. The opportunity to market was significantly more prominent than before. Alongside MySpace, another launch that excited people of all ages, especially writers, was WordPress. It is used extensively for blogging and as a tool for content marketing, primarily due to its open-source content management system.  

Email marketing got its breakthrough with the conception of Gmail in 2004, and some of the highest traffic generations come from email marketing even today. Another significant milestone in the journey of Digital Marketing was the advent of Facebook, which is still one of the world's most-used social media sites. It helps you promote businesses via images, text, video, etc.    

2005 and 2006 saw the rise of YouTube and Twitter, which are important marketing mediums today. As the popularity of YouTube rose rapidly, companies waited for a window to advertise their products or services via the platform. 2009 was an excellent year for marketing as Google released the feature for obtaining real-time search engine results.    

Another cardinal marketing medium was introduced around this time. WhatsApp was released in 2010 to make communication easier. WhatsApp marketing is a popular marketing method that is in use today. As organisations realised the power of social media sites, there was a considerable increase in their social media budget.    

Social media and Search Engine Optimisation (SEO) have grown drastically in the past decade, and both are crucial tools that ensure quality Digital Marketing. Social media has grown from a platform to connect with friends and family to one where businesses grow. Influencer marketing and short-form video content (like reels) are a few ways to market your brand.   

Similarly, SEO practices have proven useful for companies as they help them rank high. Google is the most used search engine, so ranking on its platform can be largely beneficial to your company. Google constantly changes its algorithms, so if your company implements the right SEO practices, you are one step ahead of your competitors. 

Why is Digital Marketing important? 

Marketing is a crucial aspect of any business, but in today's world, Digital Marketing has taken the lead due to its convenience and accessibility. With numerous digital channels available, ranging from social media platforms to text messages, businesses can easily reach out to their target audience using the tactics.  

It not only boosts brand visibility but also enables to build online presence. Moreover, Digital Marketing is a cost-effective approach, as it requires minimal upfront costs. It is a boon for small businesses looking to promote their products or services on a tight budget. 

Types of Digital Marketing 

Digital Marketing has come a long way since its birth in the 90s. As the popularity of Digital Marketing grew, it had to be branched off into different types that could cater to different forms of content to produce the best results. Following are some of the major types of Digital Marketing: 

Search Engine Optimisation (SEO) 
 

 

Search Engine Optimisation or SEO is optimising your website to obtain a high rank in search engines. Doing so shall increase the traffic driven to your website, which is a sign of effective Digital Marketing. Blogs and websites are a few of the channels that benefit from SEO. SEO is an elaborate process that is broken down into four broad steps:  

a) Keyword research: Identifying the keywords that will go into your content is the first step of the SEO practice. The idea is to find the words commonly entered in search engines while searching for a particular topic. Including these words in your website or content will help your website rank higher.   

b) Creating content: The next step is to generate engaging content using the newly obtained keywords. The content you add to your website and blogs will be detected for keywords, and both can contribute to ranking. Keyword placement in the proper manner is an essential factor in ranking better.   

c) Optimise titles: It starts with creating a valuable title and including the keyword. This is the most critical location that must contain your keyword. Restricting the title to a 55–60-character window and having only one main headline are the other factors to be considered.   

d) Add links: Two links can help drive traffic to your website– external links and internal links. External links direct your user or reader to another site of the same topic, which has a high domain authority. Internal links redirect readers to other blogs on your site. 

Understand how to choose, collect, and use relevant keywords with the help of tools in our SEO Masterclass! 

Search Engine Marketing (SEM)  

SEM refers to using paid advertisements to market businesses on Search Engine Results Pages (SERPs). The advertisements are known as pay-per-click ads, which can be text-based or Product Listing Ads (PLAs). PLAs are the ones that attract more readers as they are more visually appealing and offer vital information.    

Advertisers put themselves through an ad auction, where they bid on specific keywords. They reveal the amount they intend to spend per click to align their ads with that keyword's results. Google considers posting you on SERPs based on your maximum bid and quality score of ads.    

Crafting a beneficial SEM strategy is essential for succeeding in posting paid ads. It is an integral step in ensuring quality Digital Marketing. You must consider the following factors while preparing the SEM strategy:  

a) Keyword research: Selecting the right keywords is the first and more important step of a Pay-Per-Click or PPC strategy. Much research goes into determining the keywords you wish to bid on.    

b) Keyword volume: Most of the time, a high volume of keywords in your content can help you bring in more competition. One of the best ways to rank better is to mix high-volume and low-competition keywords.    

c) Keyword cost: It is crucial to determine your budget according to the amount you are willing to spend for each click. The keywords with the higher competition will cost more, but it is effective as the low-cost ones won't be visible.    

d) Quality content: Once your keywords are set, the next step is to produce meaningful and engaging ads. A quality ad copy will have the required keywords in the right amount and Call-To-Actions (CTAs).   

e) SEM tools: SEM tools like HubSpot's ad tracking software can be employed to track the performance of ads. You can use its analysis to determine what worked and didn't to create a better ad strategy for the next time. 

Content Marketing 

Have you ever come across blogs published under a company's name? If yes, then you have been on the receiving end of content marketing. It is a type of Digital Marketing which refers to content creation that aids in promoting brand identity, generating leads, gaining customers, and more. Content can be developed in various forms like blogs, infographics, social media posts, etc.   

Content marketing focuses on creating engaging and valuable content that attracts new customers and retains existing ones. Content strategies are a great way to generate traffic to your website, as Digital Marketing is all about good strategies. For instance, formulating a high-quality blog with the necessary keywords and informative yet engaging content can help you rank high on search engines. This eventually increases brand visibility and, thus, garners more attention.   

Knowing your audience is the first step to having the perfect content strategy. If you know what your target audience requires, you can shape content accordingly to create awareness for your brand. Once you have established your presence, releasing an amalgam of informative and marketing-centred content is helpful. The final step is to choose an effective channel to distribute the content on, like social media, emails, etc. 

Pay-Per-Click (PPC) 

Pay-Per-Click advertising is an effective form of Digital Marketing that enables you to pay only when someone clicks on your ad. This means that you can be sure that your advertising budget is being spent only on those who are interested in your product or service, making it a cost-effective way of reaching your target audience.  

PPC is like Search Engine Marketing that can be executed on social media platforms, providing additional opportunities to connect with potential customers. With PPC, you have complete control over your advertising campaign, from the budget to the target audience. This ensures that you get the best possible results. 

Google Ads dominates PPC advertising on search engines. However, it is essential to pay attention to the value of Bing Ads, which holds the second spot in terms of popularity. In addition to these search engine giants, platforms such as Facebook Ads, YouTube Ads, and Amazon Ads offer unique opportunities for PPC advertising.  

As a paid advertising strategy, Pay-Per-Click (PPC) requires a meticulous approach to campaign optimisation to maximise your budget. By implementing best practices such as optimising ad copy, targeting the right audience, and monitoring key metrics, you can ensure that your PPC ads are performing exceptionally well and generating a high return on investment (ROI). 

To enhance the quality of your ads in Google Ads, it is essential to optimise your Quality Score. A critical factor in achieving this is to create advertisements that address your target audience. Optimising the quality of your landing pages is also crucial. Using innovative bidding strategies can be helpful in bidding an appropriate amount - not too much and not too little. 

Pay-Per-Click (PPC) advertising can yield quick results, but it comes with inherent risks. The cost of ads can fluctuate significantly, and without a well-defined strategy and expertise, PPC campaigns can quickly become costly and ineffective. It is crucial to comprehend the intricacies of bidding on your chosen PPC platform and to monitor the appropriate metrics to guarantee a favourable Return on Investment (ROI). By doing so, you can make the most of PPC advertising and achieve your desired conversion rates. 

Social Media Marketing 

Social media marketing is marketing a business via social media channels like Instagram, Facebook, etc. Have you ever encountered an ad while skipping past your friends' stories on Instagram? This is one of the ways brands make use of the platform to market their product or service.   

It is a highly cost-effective method in Digital Marketing. The standard channels used for social media marketing include Facebook, Instagram, Twitter, LinkedIn, Pinterest, and Snapchat. Since social media has many users, the potential to increase brand awareness on it is vast. You can increase engagement on your posts via likes, saves, shares, etc.  

Additionally, brands can utilise social media to establish themselves as creative leaders in the Digital Marketing sector and their industry. For example, UberEats has established itself as the leading consumer service provider that uses social media for marketing its new initiatives in a compelling and fun way. Brands that follow this marketing pattern can leave a long-lasting image on their target audience. 

Affiliate Marketing 




 

Affiliate marketing is a Digital Marketing method that entails a business or affiliate receiving a commission for promoting another brand’s products or services. The three parties involved in this advertising strategy are the seller, the affiliate, and the consumer.  

There are three types of affiliate marketing based on the connection between the seller and the affiliate – unattached, related, and involved. Let’s understand this marketing method better by differentiating between the three types: 

a) Unattached: Unattached affiliate marketing is a business model where the seller and affiliate are not connected. The affiliate won’t have any similarities with the product or service of the seller. This means that they lack a comprehensive ad strategy for the seller and are most likely to run PPC marketing campaigns. 

b) Related: The related type of affiliate marketing refers to a partial connection between the seller and the affiliate. It is used to target consumers that do not use the seller’s products or services but are related to the niche audience. 

c) Involved: Involved affiliate marketing occurs between parties that are tightly related to each other’s product or service. Since the affiliate will be well-informed about the product or service, they can create engagement strategies to help the ad fare well. 

Email Marketing 

Email marketing is a Digital Marketing tactic that sends newsletters, brand offers, and more via mail to a target audience. It follows a subtle approach to educating the audience about the brand and what it can offer. It helps in lead generation and cultivating long-lasting relationships with customers.   

A single email can make a lasting impact. If a user gets intrigued by an ad and signs up for the brand, they have already made it to the client database, receiving all related emails about updates, offers, et. It is an essential branch of Digital Marketing.  

E-commerce brands like Nykaa is an excellent example of a brand that follows email marketing. Every new product release or offer on their products is communicated attractively via emails. Nykaa designs its emails in a vibrant way which promotes its brand personality and retains customers. 

Video Marketing 

Digital Marketing can be implemented in various ways. Video marketing refers to the use of content in video format for promoting business. It is a highly effective marketing strategy because people always respond to visual cues over text. Brands can grow by creating videos and releasing them on the right channel.Instagram is one of the useful platforms to grow on, especially for small-business owners. Posting engaging reels about your product or service helps create brand awareness. For instance, newly opened bakeries establish their presence on Instagram using videos showcasing their process of baking cakes, cookies, etc. Even high-end brands like Calvin Klein release videos of their latest collection with globally renowned celebrities that fit their brand personality. These strategies help attract new customers and retain the existing ones. 

Benefits of Digital Marketing 

The significance of using Digital Marketing to boost your business is recognised globally. Thus, it is implemented in the marketing strategy of almost every product or service across industries. Following are some other benefits of using it:  

a) Cost-effective: Unlike other marketing methods, Digital Marketing lets you choose the channel you wish to market on. Since it's possible to determine which medium works best for your company, you can invest in that channel alone, thereby saving time and money. For instance, you can pick the best channel if you run a clothing brand and are trying to get the word out about a new collection.  

Social Media will be the most effective digital channel if the target audience is the youth. You can determine the effectiveness of channels as Digital Marketing helps track their daily performance. It is easier to spot the performing poorly channels and, thus, use the ones that bring the most traffic. All this proves that it can be measured, and one of its primary examples is website traffic.   

b) Website Traffic: Digital Marketing has a clear upper hand compared to offline marketing. While offline marketing results are difficult to devise, Digital Marketing or online marketing has access to the number of users that have viewed your product/service. It can track the number of users visiting your website using digital analytics software. When you have information regarding the exact parts of your brand that users are interested in, you can prioritise your marketing goals. This includes choosing the channel with the most traffic or deciding which website page requires the most attention regarding content and design.  

c) Levels the playing field: Digital Marketing's primary feature is that it is a very approachable method. Anybody can put up their brand on the internet and increase its awareness. This is an instrumental quality that helps small or comparatively unpopular brands to market themselves. It allows them to level the playing field and compete against established companies that invest a lot in marketing methods. Young companies would only have a small sum initially to use for marketing purposes. To increase engagement, they would have to resort to producing quality content that gets recognised by search engines and ranks high.  

c) Helps establish a recurring customer base: The objective of marketing in the first place is to attract potential customers and retain existing ones. Digital Marketing is the perfect companion for building a memorable brand personality. Once your brand personality is established, the next step is releasing engaging and helpful content that reflects the relevance of your brand and keeps pushing its necessity in your customers’ lives. Consistent exposure to media regarding your brand can invoke a recurring need to use your product/service.  




 

Digital Marketing challenges 

In Digital Marketing, there are unique challenges that marketers must face. With the rapid expansion of digital channels, it can be challenging to keep up with the latest trends and understand how users are interacting with these channels. Marketers require a comprehensive understanding of how to effectively utilise these channels to promote their products or services to their target audience. 

With the rise of Digital Advertising, it has become a daunting task to grab the attention of potential customers as they are constantly bombarded with numerous ads vying for their attention. Digital Marketers face the challenge of effectively analysing the enormous amount of data they collect and then utilising this information to create more effective marketing campaigns. 

In order to succeed in Digital Marketing, it is crucial to have a thorough understanding of consumer behaviour. This involves using various techniques, such as website heatmaps, to gain insights into the customer journey and identify emerging patterns of consumer behaviour. By effectively capturing and utilising data, companies can enhance their marketing techniques and better meet the needs of their target audience. 

How to create a Digital Marketing strategy? 

Starting with Digital Marketing for small businesses and beginner marketers can be a challenging task that requires considerable time and effort. With a well-planned and effectively executed the strategy, it is possible to achieve a significant increase in brand awareness, customer engagement, and sales. To get started, consider the following steps as your foundation for building a successful Digital Marketing campaign. 

Set SMART goals 

As you plan your Marketing strategy, it is important to specify goals that are specific, measurable, achievable relevant, and time-bound. These SMART goals provide a roadmap for your Marketing efforts and help you stay focused on the things that will drive your business forward. By prioritising the goals that will have the most significant impact on your system and avoiding those that could lead to stagnation, you can ensure that your Marketing efforts are always moving in the right direction. 

Identify your audience 

It is important to determine your target audience beforehand to ensure the success of your Marketing campaign. Your target audience is the specific group of individuals that you aim to reach through your campaign. This group can be determined based on several factors, such as age, gender, demographics, and purchasing behaviour. An understanding of your audience can help you strategically select appropriate Digital Marketing channels and craft personalised messaging that will resonate with your audience and boost engagement. 

Create a budget 

Have you ever found yourself spending money on Digital Marketing channels that do not provide the desired results? That's where a budget comes in handy. By drafting a budget, you can ensure that you are spending your money effectively towards your goals. To create a budget, consider your SMART objectives and the specific digital channel you plan to use. This will help you to distribute your resources in the most efficient way possible and make the most out of your Digital Marketing efforts. 

Select your Digital Marketing channels 

To promote your brand online, there are various Digital Marketing channels at your disposal. From content marketing to Pay-Per-Click advertising and beyond, the choice of channels you opt for largely depends on your specific objectives, target audience, and financial resources. By carefully selecting the most suitable channels, you can increase brand visibility and ultimately drive conversions. 

Refine your Marketing efforts 

After your campaign has ended, it is crucial to analyse the data to determine what worked well and where improvements can be made. This analysis will help you create even more effective campaigns in the future. Thanks to digital technologies and software, you can easily access this data through an intuitive dashboard that presents the information clearly and concisely. By leveraging this data, you can optimise your Marketing strategies. 

Conclusion 

Digital Marketing is the perfect companion for business growth in today's world. Unlike offline marketing, Digital Marketing provides windows of improvement without investing too much time and money. Therefore, it is important to understand What is Digital Marketing. We hope this blog has equipped you with some powerful insights on Digital Marketing. 

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