This document will address the topic of digital marketing, as well as other issues related to it, such as an overview of current marketing trends, how to link technology to the 4 P's of the marketing mix. In the same way, this material includes social networks, which affect in a transcendental way in the development of digital marketing, organizations, whether SMEs or large companies. It is important to note that people's needs are changing and therefore the way to reach them as well, for that reason, this form of marketing that will be developed below should not go unnoticed for the success of a marketing plan in the organizations.
Digital marketing
introduction
In this essay we intend to highlight the new concept of marketing that, supported by modern technologies, often takes the name of digital marketing. Based on the internet, marketing adopts this new concept. And it is that within our daily life the internet is a tool that is part of it, whether we seek to inform ourselves, play, entertain ourselves, or commercialize, therefore if as entrepreneurs of a SME we want to look for a source of success, this is one good option to position ourselves or create customer loyalty with our company.
In the first part of this essay, we will present a generalized idea of the usefulness of the internet in our days and based on this, we will explain how this new concept of marketing arises when combined with technologies.
For the second part, we will show the relationship between digital marketing and the famous marketing mix, or better known as the 4 P's. Which combine a series of strategies necessary to develop a marketing plan. And it is that in many organizations, digital media are still taken as a small part of marketing, when in reality it is not like that because at the rate at which we go, new technologies are becoming part of our business life to a greater degree.
Finally, in the third part, we can offer the reader the relationship between social networks and SMEs, the benefit and use that these networks can provide. Of which a very prominent point is the low costs with a greater impact to publicize the products or services of this. We hope that the material is useful.
II. Background
Within this essay it will be necessary to use the following definitions to better understand the subject, so we have to ¨… marketing is the activity, the set of institutions and the processes to create, communicate, deliver and exchange offers that have value for customers, partners and society in general¨. (Lamb, Hair, JR, & McDaniel, 2011) We agree with these authors, as it is a simple and clear definition.
Another required definition is digital marketing which:
"It is an interactive system within the set of Marketing actions of the company, which uses telematic communication systems to achieve the main objective that marks any marketing activity: To achieve a measurable response to a product and a commercial transaction…" (Vertex, 2010).
We have decided that this is a definition according to the topic because the authors express the meaning of the term in a precise way. Similarly, the traditional marketing concept is defined as one that:
"It is in charge of analyzing the market, defining the strategy and concept of the service and applying the techniques that will allow it to attract customers or users to the company's services: its scope of action is potential customers. It establishes the level and characteristics of the expectations that users and clients have regarding the quality of the service they expect to receive from the company… ”(Mapcal, 1998).
We believe that this definition shows us the complete concept of what traditional marketing is, which in turn allows us to see the difference between this concept and digital marketing.
Finally, we present the concept of the internet, which "is a network of networks, that is, a set of interconnected networks on a global scale with the particularity that each of them is independent and autonomous." (Rodriguez Ávila, 2007)
With the aforementioned definition we can clearly identify that the internet is far beyond a network due to its magnitude and impact.
III. Development
Today the internet is an interactive medium that allows us to develop direct and personalized communication with real and potential clients, without geographical or temporal limitations. Furthermore, through the same channel it is possible to carry out different interactions with customers; advertising and information, presales, order settings, purchases, after-sales services, etc.
The bidirectional mode of the medium makes digital marketing possible (online marketing) and coupled with this, the personalization of strategies with characteristics such as the following:
- “… Presentation of content fully adapted to the needs of each client. Possibility of developing flexible websites, with a structuring of elements and a design, which can be modified according to the preferences expressed by users. Incorporation of recommendation systems within the website, which takes into account the sociodemographic characteristics, habits and profiles of customers. Development of customized products and services: computers, music, information services, etc. Customer participation in product configuration… ”(Díaz Pelayo, López Martínez, González Monroy, & Preciado Ortíz, 2013)
According to the importance that the internet has, it can be combined with marketing so that it is a way to offer the product and make our product public, we can say that digital marketing is a style of marketing related to all digital media that There are, to our knowledge, this style of marketing is much more effective than traditional marketing, with the great advantage of being able to reach an unlimited number of users and being able to interact with them and get closer to what they may need or want.
Digital marketing is becoming increasingly important for small and medium-sized businesses. This is due not only to advances in technology but also to radical changes in consumer behavior, as well as in their lifestyle, where digital media are already part of their daily lives.
Currently, companies have to be where the consumer is and carry out their digital strategies there in a much more planned and structured way to make them more effective.
Digital Marketing and the Marketing Mix
Due to the aforementioned, we need to forget the division between traditional marketing, also known as classic marketing, and digital marketing. One of the main problems we face today is trying to tie digital or social media strategies to established plans.
"The key to defining an effective marketing strategy is to identify the ingredients of marketing and know how to combine them in an appropriate way, depending on the market and the type of clientele a particular company is targeting…" (Díaz Pelayo, López Martínez, González Monroy, & Preciado Ortíz, 2013)
We must stop seeing digital or social strategies as the last part of the advertising, sales and product positioning component and establish marketing strategies in conjunction with digital media within our reach.
Now that the internet represents an essential part of the market as a means of communication, information and entertainment for consumers, the 4 P's of traditional marketing “… takes another dimension, uses different strategies and tactics in the new digital media and uses models innovative to achieve their goals. " (Echeverría, 2008)
In this regard, the analysis carried out on the impact of the internet on the marketing mix includes the following:
- “… Product: The Internet can affect product policy in several ways. First you can change the very nature of the product by customizing it to the needs of each customer. This can be done by collecting information on the profile of each client or by offering the possibility that each one of them can select the configuration of the product that interests them the most, thus participating in the manufacturing design itself. Square (Distribution): Three different strategies can be considered:
- Use the internet only to support regular distributors and not as a direct sales channel. In this way, the company will be able to use its web pages to offer its distributors up-to-date information on the characteristics of the products, publicize the changes in the price list, etc., but without competing directly with them. a complementary channel to the existing ones, selling directly through the company's web server. This strategy is somewhat risky if not carefully planned, since it raises possible conflicts with traditional distributors, especially if different rates are applied in prices.Opt for the route of disintermediation, selling directly to the final consumer without resorting to channels usual distribution.This is a strategy that can bring a series of benefits to the company, but it is not without risks… ”(Gómez Vieites, 2006)
The internet applied to the first elements of the marketing mix, that is, the product and the place are very important since the advantages of using it in these strategies are several, as we have seen, as well as that they usually have a greater impact.
- “… Promotion (communication): Communication can be affected in various ways over the internet. By building and launching a corporate website, a company can maintain a direct and permanent presence on the internet, offering information about its products and services. A first application of the presence on the internet would be electronic product catalogs, which present notable advantages over traditional printed ones on paper, since the information can be permanently updated, with significant cost savings for the company, which does not have They print and distribute the catalogs. In this sense, it is worth highlighting the relevance that the internet has acquired in recent years as an advertising medium.You can advertise in this medium by inserting banners and other elements on the pages of the most visited web servers. Price: The price policy is being affected by the internet. Electronic commerce relies on new electronic payment systems that the company must provide to its customers. In addition, in general, the products tend to have significant discounts in this medium, because the disintermediation that is taking place in some sectors reduces the costs of the commercial process… ”(Gómez Vieites, 2006).because the disintermediation that is taking place in some sectors reduces the costs of the commercial process… ”(Gómez Vieites, 2006).because the disintermediation that is taking place in some sectors reduces the costs of the commercial process… ”(Gómez Vieites, 2006).
Once the marketing mix strategies have been applied, another advantage we get from the internet is that “… this medium provides real-time data on the results of the advertising campaign, which allows corrective measures to be taken if the objectives are not met planned. " (Díaz Pelayo, López Martínez, González Monroy, & Preciado Ortíz, 2013)
Social networks as marketing in SMEs
When we hear about social networks we surely visualize the best known such as Facebook or Twitter and it is normal since they are multifunctional web pages that are always under construction and that unite people who share a common identity, the same concerns, needs, tastes and / or problems. They are based on relationships between people as equals.
When planning a strategy in social networks, our company has to identify the social networks in which its potential clients are. If none is detected, the alternative is to assess the convenience of creating one to bring them together. If a network already exists, it would not make sense to drag its members to a new site, but the best thing to do is to take advantage of it.
We must not fall into the temptation of belonging to a social network simply for fashion, or trying to monopolize all existing social networks. We also have to know that when we put our company in a public window, people's opinions can be negative and we must know how to live with them, taking advantage of them to correct our mistakes and produce an authentic and direct dialogue between users and the company.
Because in social networks the people who are integrated intend to act in different areas simultaneously, for the company, social networks as they are:
- "… Interactive communication: Since they function as a public square, a" digital agora "in which a continuous public conversation is maintained. Communities: Since they group individuals by their profiles, activities, lifestyles, tastes, interests, opinions, etc. that share and provide them with a shared identity Cooperative networks: Since mutual relationships of trust, relationship, exchange, etc. are established Media of opinion and communication: Since they emit messages and opinions that everyone can hear and see. Since they can influence, give their opinion and recommend or dissuade potential users or clients of our products or services. Sales channels: since they can often be recipients of a company's products and services by constituting a specific segment of consumers or users… " (Anetcom, Valenciana,& European, 2010)
Therefore, social networks tend to generate several advantages in companies, which facilitates the recognition of their brand and continuous improvement in their products at the same time that they would increase their sales at a certain time.
"… Social networks can also be tools that help companies to know what their customers value, what they need, why they decide to buy their products or believe in their brands, why they decide to go to the competition, etc…" (Hatch Dorantes, 2014)
In the case of SMEs “… if they develop a coherent marketing strategy through social networks, they can, with respect to their clients:
- Listen to them in a different and close way Dialogue and talk with them Understand what they want and what they don't Know their expectations to try to satisfy them Create new products or services based on their creative or critical participation Improve current products and services attending to their complaints Improve the visibility of the company by placing it in the virtual world Improve the participatory culture of the company by involving employees and customers in an interactive, collaborative and dynamic way Take advantage of the experience of the relationship between the customer and the company or among the clients themselves. Have more efficiency in advertising and communication, with greater response and dissemination capacity. " (Anetcom, Valenciana, & Europea, 2010)
Especially, for companies that are just consolidating, the use of social networks and the internet can bring them short-term or immediate benefits that perhaps they could obtain commonly and outside of the digital at a higher price in other media. That is why it is important to think, analyze and plan what the SME wants to achieve and develop the best strategy in terms of benefit and cost.
IV. Conclusions
The internet has become an excellent option for SMEs because it is usually within the reach of most people, which makes it easier to focus on different types of customers or market segments. This tool is now part of the lives of real and potential clients so you can get to know them better. In addition, one as a company can improve the product or service that it offers thanks to that two-way interaction between the client (user) and the organization.
Today's digital technology allows us to carry out marketing tasks that were previously only in traditional use or reserved for traditional marketing. Currently, with the appearances of this, it has to be taken as a new style of marketing and not just the last part of it. For this, it is necessary to know how to combine it depending on the market and the type of clientele we have. Everything is a matter of landing well the objectives that are pursued and investing with strategy, for this we can use the same and well-known 4P's, which can provide us with those necessary ways to improve our product or image, the service that is provided, the prices as well as the discounts that can be made to customers, the way to get the products to customers,either by distributors or using disintermediation, and of course the way to make ourselves known to more people. It should not be ruled out that these are just some aspects that can be taken into account using this new digital modality, each company according to its economic capacity and needs will carry out the corresponding strategies.
Finally, the social networks to use can be the common ones such as Facebook or Twitter, otherwise you can establish your own, however if in our role as SME we want to make ourselves known since it is just positioning itself in the market, a good option would be the one where more people have access for example Facebook. As a result of taking advantage of technology, SMEs can improve that relationship with customers, design new products, build customer loyalty, improve the company's position, increase sales, among others.
V. References
- Anetcom, Valenciana, G., & Europea, U. (2010). Digital marketing strategies for SMEs. Madrid, Spain: Anetcom. Díaz Pelayo, CA, López Martínez, EF, González Monroy, R., & Preciado Ortíz, CL (2013). Digital Marketing and Online Advertising (1 ed.). DF, Mexico: Editorial Universitaria Echeverría, G. (2008). Internet Marketing (1 ed.). Buenos Aires, Argentina: Gradi.Gómez Vieites, Á. (2006). Direct and interactive relationship marketing. Madrid, Spain: Ra-Ma Editorial. Hatch Dorantes, H. (April 27, 2014). Merca2.0. Retrieved June 8, 2014, from Merca2.0: http://www.merca20.com/3-pilares-basicos-del-marketing-digital-para-pymes/Lamb, CW, Hair, JR, JF, & McDaniel, C. (2011). Marketing (11 ed.). (J. Reyes Martínez, Ed., G. Meza Staines, & ME Mauri Hernández, Trads.) DF, Mexico:Cengage Learning.Mapcal. (1998). New management tools. (ED Santos, Ed.) Madrid, Spain: Ediciones Díaz de Santos.Rodriguez Ávila, A. (2007). Initiation to the internet network: Concept, operation, services and internet applications. (1 ed.). Madrid, Spain: Ideaspropias Editorial.Vértice, E. (2010). Digital marketing. (Vértice, Ed.) Madrid, Spain: Vértice.
