Four Ways to get value from Digital Marketing

 digital-marketing-banner1Since the dawn of the internet, marketers have regarded  it as a vast laboratory , launching experiment after experiment  to find ways to generate  sales and customer loyalty. Customers on the other hand have adopted digital marketing in ways that suit them  and in the process have changed the ways companies market their good and services.

Researchers at Mckinsey and Company  has found that the most successful digital marketers focus on managing four core values  as they increase  the percentage of  marketing and channel spending that is directed to digital activities.

The Digital- Marketing Difference

Even though marketers know that customers go through a multi-stage journey when making purchases, they  have tended to  concentrate  on two, that is.. brand marketing and promotions.

Digital marketing is changing all that  by making companies  part of the conversation with their customers. Companies are moving away from one way conversations driven by sales mentality to  two way relationships with consumers. According to Mckinsey  and Company, companies  should be more strategic in their digital marketing efforts.

Core value 1: Orchestrate an integrated consumer experience

Today’s customers are continuously interacting with brands on- line. In order not to miss the opportunity presented by on-line customers, brands  need to unify  their digital efforts across different channels . While it is not easy to coordinate content across the entire consumer experience, but the waste from failing to do so should be harder to face. Companies therefore need to use their IT departments to create customer  applications that interface with on-line channels ,making it easier for customers to communicate with them. Marketers also need to create content that is accessed across mobile applications and the internet, creating seamless brand messages on and off line.

Core value 2: Inspire consumers to help you stretch your marketing budget

Traditional marketers tend to spend 60% of their budgets on  “working media”, 20% on creating content and the balance on employees and agencies. Digital channels reverse this by focusing on a smaller core of engaged people who  can spread positive word of mouth  and share information with a broader  audience. By making the right investment, digital  marketers  can spend  significantly less on marketing as a percentage of sales. By creating content that consumers want to share, brands make it easy for customers to willingly share information about them, thus enabling you to get a bigger share of word of mouth on a smaller budget.

Core value 3: Adopt a publisher’s discipline to curb costs.

In order to support your consumers’ decision journey , you are required to have a vast  and growing range of content , beyond advertising. As competition increases  and companies chase customers, they are increasingly  using difference types of online content from static to multimedia . On the other hand, customers are pulling content “on demand” such as Google alerts  and they expect your content to be relevant and on time. Marketers who fail to adopt  the discipline of a multimedia  publisher don’t realising that deep within their operations, they are facing rapid escalating products costs, unnecessary duplication , inconsistent  quality of content and second  rate interaction with customers. There are few things worse that company websites that go for long periods un-updates and social network sites that have old and tired content.

Switching perspectives from a traditional advertiser to a  disciplined  personalized  publisher helps you to cut costs by thousands if not millions of dollars.

Core value 4: Use intelligence wisely to drive performance

When on-line conversations start to trash your brand, no response can be fast enough and when you need  to optimise  your search and  other media spending , there is no time to waste. Savvy marketers are mastering  intelligence  gathering tools and processes that analyse what customers are seeing. Clever marketers are analysing customers’ online  behaviour , interpreting what  they are saying and soliciting for feedback. Marketers need the ability to assess and utilize  intelligence in real-time in order  to drive  performance. Brand should have clear processes  to act upon insights , track results and follow up with action.

Companies should take a different view  to developing new products launch plans, budget  for content creation and decide how to balance  traditional media and digital marketing. Technology and Marketing departments need to work together more closely to make relevant applications as well as analysis of data easier, and beneficial to the organisation.

Hitting the reset button on marketing begins by accepting a new perspective on what marketing needs to accomplish. It requires marketing executives to step up to a broader, cross-functional coordination role, armed with deep insights about the decision journey consumers are undertaking and the tools needed to guide it.

Reference: David C Edelman, “Four ways to get more value from digital marketing” Mckinsey Quarterly.

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About chipomaps

A brand reputation, marketing and new media trainer and consultant. Constantly curious, constantly learning.
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