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The Impact of Digital Marketing on Consumer Behavior

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1. Introduction to Digital Marketing

According to Kaplan and Haenlein, digital marketing is the use of the internet, social media, mobile applications, and other forms of non-linear media for marketing purposes. Companies started to create websites and began to create an online presence for themselves in the mid-90s. Gradually, companies started to learn about digital marketing and discovered the benefits related to the cost, speed, and flexibility associated with it. With the advent of technology, the internet has dramatically altered the landscape of consumer behavior. Consumers today are digital people—they communicate and socialize over the Internet. Hence, it is important for organizations to also adapt and maintain their presence online (or at least where their target audience is).

Digital marketing has transformed the industry, especially in the aspect of consumer behavior. Companies are now able to reach a larger audience than they ever have thanks to the various digital marketing tools available. This research seeks to analyze consumer behavior by targeting a market of college students. The primary aim was to consider how students could be influenced by digital marketing in the online environment. This paper will create a better understanding of the process of e-marketing via online shopping and the digital marketing tools which are involved in the buying process.

2. Understanding Consumer Behavior

For technologies to grow, they need to satisfy the requirements of all stakeholders, in particular potential consumers. Therefore, it is important for current actors to interact with the target population and find innovative ways to study the consumers of tomorrow. The utilization of modern digital marketing can satisfy the specific desires of millennials. A new digital marketing technique has started to grow in the form of influence marketing. Influencer marketing expands the classical model of marketing from a marketer and consumer framework into a multistage model where different parties engage. This theory expands the connection between consumers away from a direct dominant retailer-consumer connection to a multiparticipant series of communications which includes role-playing musketeers. Indeed, one stakeholder in the process (the influencer), takes a role within the marketing function to lead another stakeholder (the customer) in the purchase behavior.

This key part of marketing involves identifying, meeting, satisfying or exceeding customer needs. Research on consumer behavior focuses mainly on the factors that determine the behavior of consumers. Essentially, consultants use this information to perceive the strategies that will enable retailers to satisfy their demands. In a digital era, marketing appears to have shifted from an early emphasis on the existence of features and services that satisfy consumer needs for the idea of big data to discover consumers’ behavior patterns. Today, many approaches are used to influence consumer behavior, such as micro marketing and affective marketing. The idea has grown in importance and some professionals argue that it is the second most important marketing growth, after relationship farming. The shift towards an emphasis on technology and relationship marketing reflects broader developments in the marketplace and its models.

Understanding consumer behavior is an important aspect of marketing as it is the study of consumer types and the cycles of the consumer market. One of the main objectives of marketing is to both attract and retain consumers. To achieve this, businesses must satisfy the needs and wants of consumers as marketing directly deals with consumers and its players. Consumer behavior involves the use and disposition of commodities as well as the role played by consumers in directing and shaping several types of production processes. This is triangular as production either produces for consumption or produces goods from semi-manufactured goods and then moves to consumption. Businesses cannot exist without consumers who represent the business source of income.

3. Key Strategies in Digital Marketing

Within the market, the role of digital marketing improves the performance of the business’ operations. There are essentially two groups of persuasive digital strategies that begin with interactive and uninterrupted visual messages. Digital advertising, display advertising, internet research, online classified marketing, link to social network marketing, mobile marketing, in-game or in case the game, email advertising, and so many more ways are illustrations of different forms of communication marketing. Digital marketing also relies on intuitive internet marketing that thrives in duet with the direct promotion of the framework. The email promotion, the affiliating weaving together of influence or partnership promotion, campaigns for SEOs, blog optimization, promoting blogs, giving restriction payments incentives, creating word-of-mouth (WOM) to name just a few at that. The other uses all electronic means and techniques to boost internet advertisements and a host of initiatives to promote interconnectivity. They include software, welcome applications, and web technology within the firm such as e-organizations, which normally stimulates the business clients.

Digital marketing is essential not only because of its rapid growth, but also because it is essentially the future of marketing. The launch of the digital era has added tremendously to digital marketing. It still offers customers as well as businesses a number of advantages that will help the company build a brand with the assistance of successful marketing. Some of the most notable characteristics and methods of growth from electronic marketing include the creation of e-commerce and e-business prospects, an increase in global exchanges, reservations and appointments through touch, research, or online consultancies, an increase in customer awareness, and adjustments in measures.

4. Case Studies and Examples

The first case is about the digital advertising business of a leading digital marketing firm that changes not only practices but user expectations towards online advertisements. The firm’s business approach totally relies on uniqueness creating solutions. The second case is about an innovative digital marketing effort that aims to enhance brand experience and interactiveness expectations of the consumers. The case presents the digital advertisement and social media campaign of a large e-commerce firm. Recommending a personified imaginary character to the position of the star of advertisements, the firm also launched Twitter and Facebook profiles of the imaginary person to interact with its customers.

To build support for the theoretical discussion on the impact of digital marketing on various stages of consumer behavior, two illustrative cases are presented. These cases are exemplary illustrations of how innovations in digital marketing are influential in consumer behavior creation as well. It is expected that these cases exhibit the rationale of the proposed conceptual framework. Empirical study would include consumer cases to have a comprehensive understanding of consumer attitudes and perceptions.

5. Future Trends in Digital Marketing

Future trends could be summarized in the following statements: further net market analysis based on internet able to describe different consumer behaviour (substantially different behaviour to do direct purchases, or to search for different kind of products versus generally searches for); future convergence channels selectively integrated (new forms of Offline/Online coupons redemption); identify the gap between high projection consumer number of uses of a particular hypothetical application offered by small collaborating SMEs, and its current products and services used to decide: whether the high speed cost of implementing broadband infrastructure can be afforded whether content, inverse search engines, advanced digital and interactive media can be effectively offered as shared service, with a cost charged per use of the platform, sub contract or shared services business models with SMEs.

To conclude, it is not difficult to predict future trends in digital marketing because this kind of phenomenon is both happening now or will happen, granted enough time. Future trends could be summarized in the following statements: increase benefits of digital interactive marketing thanks to synergy from integration; future media habits of potential customers (time spent using the traditional media versus new media); fully integrated use of mobile (or PDA) to call physical places and contexts which just surfed (examples are fast food, tourism); digital printed advertising directly targeted (hybrid use of e-mail and new laser color printer); interactive e-advertising to converge advertising; 3g, UMTS market; short message value for providing useful and smart information; online click fraud and easy solution to measure real online campaign selling performance; different strategic control use in new product category; secure electronic payment with passive authentication to avoid dynamic passwords inserted by the customer.

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