Lecture slides introducing the field of Digital Marketing

1. Digital Marketing Communications Management:An Introduction 5A3150 DMCM David Edmundson-Bird

2. A53150 DMCM: Introduction Introduction to the subject Outline the progression of the unit Introduction to the subject Define the scope of digital marketing communications Explore & Discuss the digital marketing & relationship stages Examine guidelines for success

3. Introduction The Scope and Impact of DigiMarcomms A Seven-Stage Cycle of DigiMarcomms Four Key Relationship Stages Guidelines for Digital Marketing Success

4. Where does Digital Marketing have an impact? Where do you allocate your marketing resources? Marketing in theReal World Marketing in the Digital World We use traditional real-world marketing to market our B&M business We use digital marketing to market our B&M business Traditional Bricks-and- Mortar Business It has an impact here Where does your revenue come from? We use digital marketing to market our Digital Business proposition We use traditional real-world marketing to market our Digital Business proposition The eBusinessproposition It has an impact here It has an impact here

5. Propaganda & Misinformation about Digital Marketing Propaganda Response to Propaganda Response 1: Organisations must gauge the degree of interactivity to which their audience will most likely respond Misinformation 1: Customers behave in the digital world in the same way as they do in the real world Misinformation 2: You don’t need to segment customers in the digital world Response 2: Segmentation does matter; the digital world opens new ways to segment customers Response 3: Digital personalization does matter, but only if it enhances the user experience and drives the business results Misinformation 3: Digital personalization is a waste of resources and effort

6. A Seven-Stage Cycle of Digital Marketing 2 Creating the Digital Marketing Strategy 3 Designing the Customer Experience 1 Identifying the Digital Market Opportunity 4 Creating the Customer Interface 7 Evaluating the Digital Marketing Programme 5 Designing the Digital Marketing Programme 6 Leveraging Customer Information Through Technology

8. Identify Unmet and Underserved Need(s)

9. Identify Target Segment(s)

10. Declare Company’s Resource-Based Opportunity for Advantage

11. Assess Competitive, Technological, and Financial Opportunity Attractiveness

13. The 4 Key Customer Relationship Stages Acquisition Conversion Retention Dissolution

14. The 4 Key Customer Relationship Stages Acquisition Conversion Retention Dissolution and level of intensity of interaction with organisation Level of Intensity and Degree of Relationship Intensity Level of Intensity ofinteractionwithorganisation Acquisition Conversion Retention Dissolution Stages of Customer Relationships

15. Digital Marketing Mix PRODUCT PRICING COMMUNICATION SOCIAL NETWORK CHANNEL BRANDING

16. What has an impact on the Digital Marketing Mix? PRODUCT PRICING COMMUNICATION SOCIAL NETWORK CHANNEL BRANDING interactivity personalisation

17. Digital Marketing Matrix customer relationship stages ACQUISITION CONVERSION RETENTION DISSOLUTION PRODUCT Branding can heighten (or lower) the leverage impact of the levers in each box PRICING Interactivity & Personalisation should influence the design of activity within each of the these boxes COMMUNICATION where the leverage is applied SOCIAL NETWORK CHANNEL BRANDING

18. Is there a difference between old Marketing & Digital Marketing? Digital Marketing Digital marketing means we can deliver the promise of one-to-one marketing Everything becomes buyer rather than supplier driven pull-marketing not push) pull levers (e.g. virtual communities) Old Marketing Differences in the digital marketing world are overstated Segmentation is still at the core of marketing — “clusters” of consumers will emerge that share behaviour It is most efficient to aggregate consumers into segments to reduce costs Successful marketing programmes include mixing different marketing levers, both new and old: the “master-mixer” concept still remains

19. 10 New Rules for The Digital Marketing World Target segments of one and create/get involved in social networks Design for customer-led positioning. Expand the role of branding in the global portfolio. Get power from consumers as co-producers through customization. Use creative pricing Create 24/7-anyplace distribution and integrated supply chains (become an eBusiness). Reinvent advertising as interactive and integrated marketing, communication, education, and entertainment. Redesign market research and modelling as knowledge creation and dissemination. Experiment and adapt as needs become known. Rethink strategy and consider adapting the organisation around the opportunity

20. How can we succeed in the Digital Marketing World? Need to understand what customers really want, be on their side, add value they want to each interaction View the customer and your organisation as “one” Strike a balance between 1-2-1 marketing and mass marketing and know what’s right for when Change the status quo, break the rules, do something different Be able manage marketing in an uncertain world, take risks, look where no one has gone before

21. The Unit in a Nutshell 2 Creating the Digital Marketing Strategy 3 Designing the Customer Experience 1 Identifying the Digital Market Opportunity 4 Creating the Customer Interface 7 Evaluating the Digital Marketing Programme 5 Designing the Digital Marketing Programme 6 Leveraging Customer Information Through Technology Customer relationships Product Pricing Communication Social Network Channel Branding Analytics

22. What we’ve covered today “Old” marketing methods are still highly relevant in the digital world But we must think about new digital marketing methods Compared to one-way mass push marketing, Digital marketing helps us reach and interact with the individual in individualized dialogues Personalisation and Interactivity are two drivers that make digital marketing different to old marketing Digital Marketing, and the electronic relationships it creates, should be considered in the context of particular processes and stages