Literature Review on Digital Marketing



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Literature ReviewMeasuring Social Marketing The often-unanswerable prediction is whether online marketing campaigns will be effective in the short and long terms (Oracle, 2008). Online marketing is difficult to execute successfully and measure adequately (Ranaweera & Prabhu, 2003). The quest for reliable metrics means that some marketers will shy away from implementing online tactics that draw only short-term attention to tactics that actually allow for prospect identification and capture of behavioural data (Riegner, 2011). Based on Trusov, Bucklin and Pauwels (2009), much of what happens in social marketing are little more than experimental, or simply about “insights” rather than metrics. Many marketers feel the need to “tick” the social media box and demonstrate how cutting edge they are, while the primary drivers of their campaign remain embedded in traditional media (Guba & Lincoln, 1991). There is a need to affect a paradigm shift from a traditional “more is better” approach. While many social marketers fixate on volume metrics (website traffic, hit rates, clicktroughs, time spent on-line, postings etc.), successful social marketing often depends more on qualitative metrics for desirable signs of the tone, quality and customer benefit of the interaction (Cronin, Brady & Hult, 2000; Fisher, 2009). Such metrics not only measure whether people are engaged, but how they are engaging (Keller & Berry, 2006). However, such metrics often need to be customized for individual campaigns and need to be considered in the pre-launch phase, ideally incorporated in message testing (Robey, 2011). Baker (2009) stated that consumers learn about brands through social media. Harridge and Quinton (2012) estimated that consumers generated more than 500 billion impressions about products and services through social media in 2011, approximately one-quarter of the number of impressions created through all forms of online advertising. Those earned media impressions help people learn about products. Steinfield & Lampe. Social media has advanced from simply providing a platform for individuals to stay in touch with their family and friends. there are some basic features necessary for a website to meet the requirements as a social network website: the site must contain user profiles. 2007. Marketers and retailers are utilizing these sites as another way to reach consumers and provide a new way to shop. Consumers increasingly consult social media as they purchase. For instance. a method that permits users to connect with each other and post comments on each other’s pages. the percentage of consumers who use ratings and reviews to inform their decisions about online purchases increased from 12% in 2009 to 57% in 2011. Thus. The phrase social networking sites’ is often used interchangeably with social media. “Technology related developments such as the rise of powerful search engines. 2007. social media is the environment in which social networking takes place and has altered the way in which consumers gather information and make buying decisions.” Sinclaire and Vogus (2011. content. Winder. Riegner (2011) found that Facebook users are over 50% more likely to recall an ad when their friends are featured in it. 2007 as cited in Cox 2010). 2005.In a recent study. social media is different because it allows participants to unite by generating personal information profiles and inviting friends and colleagues to have access to those profiles (Kaplan and Haenlein 2010). Now it is a place where consumers can learn more about their favourite companies and the products they sell. and join virtual groups based on common interests such as fashion or politics. Ellison. and allow the creation and exchange of user generated content. Kaplan and Haenlein (2010) they define social media as “a group of Internet based applications that build on the ideological and technological foundations of Web 2. (Gross & Acquisti. Boyd & Ellison. advanced mobile devices and . Lenhart & Madden.0. 2007.” However. 294) cite O’Reilly’s (2005) definition: “social media is a broad term that describes software tools that create user generated content that can be shared. However. 2003. and online social networks have extended marketers’ ability to reach shoppers through new touch points” (Shankar et al. Palmer and Lewis are correlating the performance of these traditional channels to the rise of social media in marketing and brand management. . twitter etc. Palmer and Lewis (2009) Social media has gained a lot of popularity over the past few years and as a result of this popularity. It is therefore imperative for marketers to find suitable platforms to suite their marketing objectives. (2003) describe internet marketing as the application of the Internet and related digital technologies to achieve marketing objectives (Chaffey et al. First. other traditional Media have experienced decline in both business and popularity. Chaffey et al. A good marketing objective enables marketers to acquire new customers. David M. Social media networking platforms serve as a tool for marketers (Qualman. companies have tightened their budgets especially advertising budgets which have shifted to online channels. peer-to-peer communication vehicles. This implies that Facebook. Today’s buyers are tech savvy and social media maniacs. 1). while retaining the already existing ones through customer satisfaction. the researcher will define social media and then outline those networks that are driving the debate. and Cooperstein. 2011). As a result of completion and tough economic environment. 2010).J. They argued that the main stream media channels have faced many challenges in recent times that have led to closure with TV facing down turn in their profits levels. found that companies (brands) are gradually shifting their advertising priorities to align better with today's buyers.interfaces. Therefore it is the proliferation of the social media network services in brand management and marketing that bring us to the attention of social media networks. Dernoga M. According to Forrester research study (2011) by Ernst. These marketing objectives can be realized by use of social media networks which is a subset of internet application. are means of accomplishing marketing strategies through the internet. This information can be shared with other members of the social media website. Web 2. Social media are the websites which are build upon the technological foundations of web 2.0 is a platform where content is continuously altered by all operators in a sharing and collaborative way. and allow the creation and exchange of user generated content. Both of the organizations and consumers are free to generate content on the web pages. co-create. 2011). Media sharing sites (i. This process is interactive where other members can also respond in different ways. forums or social networks to name a few. each of them has different functional attributes and caters to different sections of society. YouTube.0. Mangold and Faulds (2009) describe ―social media as the set of online word of mouth forums which includes blogs. which further leads to conversations and discussion. This technology allows a user to create and publish the content on the social media networks.e. discussion boards. social media creates highly interactive platforms by bringing together individuals and creating communities. Internet has a lot of websites. Social media has equipped the organization to establish an direct relationship with the consumers. who are connected with the user. discuss and modify user –generated content.0 that help a user to create use generated contents that can be shared. wordpress) are also members of this ecosystem called social media (Kietzmann et al.Kaplan and Haenlein (2010) define social media as “a group of Internet based applications that build on the ideological and technological foundations of Web 2.. Picassa and Flickr) or blogging platforms (i. Using all mobile and web-based technologies.” According to Kaplan and Haenlein (2010) web 2.0 is a web based technology which helps to create highly interactive platforms through which individuals and communities share. Websites like facebook are for general masses but LinkedIn is focused on professional networking. Organization on one end are provided with an opportunity to share their information with a large base of customers and on the other end consumers are also free to publish any content whether positive or negative regarding the information . blogspot.e. where building relations with the potential consumers is the key to repeated purchases and enhanced brand loyalty. Social Media is an innovative tool that organizations use for creating a very strong public relation with the customers on the virtual networks (Jan & Khan. And making connection with consumers using social media is only some clicks away. then social media is the only way-out. 2009). launch of the new model or product and latest news about the organization through social media applications. So if we keep it simple.Weinberg (2009) defined social media marketing is a new marketing strategy which almost every business is adopting to reach their consumers on the virtual networks. Maintaining public relations through social media has become easy because a large number of potential consumers are available on the virtual networks. Exploiting the opportunities provided by the social media communication channels is important for every organization Social media have increased popularity . social media marketing is the process where organizations use social media websites to build rush on their company official websites. If you have an idea and you want it to reach millions. therefore. Gordhamer (2009) has related social media marketing to the relationship marketing where firms need to shift from “trying to sell” to “making connections” with the consumers. or services through online social channels and tap into a much larger community that may not have been available via traditional channels. Forums at any time (Gordhamer. companies should be reachable and available in every social media communication channel such as Face book. It does not stop here but organizations also inform the potential customers of happenings in the organization. Today’s customers are more powerful and busy. Blogs. Weinberg (2009) has defined social media marketing as the process that empowers individuals to promote their websites. Twitter. Entertainment companies were the first to adopt the social media as a promotional tool. This explanations of social media marketing takes us to the other side of marketing. at a very little cost. 2014). products. at a global level. For instance. & Pauwels. Bucklin. . social networking sites and social media have increased in popularity.In recent years.facebook. Facebook is said to have more than a billion active users (as of 2012) since its beginning in 2004 (www.com). 2009). Social networking sites can be described as networks of friends for social or professional interactions (Trusov. to encourage an increased sense of intimacy of the customer relationship. 2012).g. 2011). Donovan & Henley suggest that an influence on upstream decisions that impact on involuntary audience behaviours is appropriate and a legitimate use of social marketing. reducing harmful gambling or smoking behaviours versus purchasing products such as a can of coke or a bike). The number and nature of relationships can be far more . and Calder (2010) Social media websites provide an opportunity for companies to engage and interact with potential and current consumers. 2009) and patterns of Internet usage (Ross et al. The unique aspects of social media and its immense popularity have revolutionized marketing practices such as advertising and promotion (Hanna. Social marketing is often more complex than commercial and not-for-profit marketing. service. Malthouse. & Crittenden. which can additionally have online propagation of their unfortunate encounter with a particular product.. online social networks have profoundly changed the propagation of information by making it incredibly easy to share and digest information on the internet (Akrimi & Khemakhem.. Rohm. brand or company Donovan & Henley’s (2003) A key distinction separating Donovan & Henley’s (2003) definition of social marketing from most other definitions is the notion of supporting involuntary behaviour changes amongst target audiences. The issues are likely to be far more complex (e. 2012) Mersey. 2009. and build all important meaningful relationships with consumers especially in today’s business environment when consumer loyalty can vanish at the smallest mistake. Social media has also influenced consumer behaviour from information acquisition to post-purchase behaviour such as dissatisfaction statements or behaviours (Mangold & Faulds.Indeed. Laroche et al. while in a non-traditional sense it enables customers to talk directly to one another.g. buying shelf space in a supermarket compared to negotiating with politicians.complex (e. 2005) Business Horizons (2009) the emergence of Internet-based social media has made it possible for one person to communicate with hundreds or even thousands of other people about products and the companies that provide them. TrackMaven examined full-year 2015 social media follower data for 26. particularly where it adversely affects their bottom line) and the competition can be particularly challenging (e. Instagram. managers must learn to shape consumer discussions in a manner that is consistent with the organization's mission and performance goals. Thus. This stands in contrast to the traditional integrated marketing communications paradigm whereby a high degree of control is present.965 brands across a wide range of industries. LinkedIn. timing. Government agencies. and frequency of the social media-based conversations occurring between consumers are outside managers’ direct control. This article argues that social media is a hybrid element of the promotion mix because in a traditional sense it enables companies to talk to their customers. trying to get industry to restrict products that can contribute to harmful behaviours. overcoming ingrained behaviours and values (Donovan and McDermott et al. Methods by which this can be accomplished are delineated herein. a requirement for increased consumer involvement and effort (having to turn up to regular appointments). trying to manage global multi-billion dollar industries). Therefore. and using blogs. social media tools. The researchers determined the median monthly follower growth percentage per brand on Facebook. and Pinterest. General Practitioners and service providers to fund and deliver specific services.g. The content. the impact of consumer-to-consumer communications has been greatly magnified in the marketplace. Twitter. They include providing consumers with networking platforms. Brands' . and promotional tools to engage customers Ayaz Nanji (2016) to find out. and that allow the creation and exchange of usergenerated content.0 technologies on the Social Web permit two-way conversations with consumers enabling brands to listen to consumers and respond (Fournier & Avery. respectively). 2011). Ignoring such user-generated content is not an option. Consumers and organizations alike are increasingly using the web to discuss. both positive and negative. Twitter. The smallest annual follower growth rate occurred on Pinterest (20%) Kaplan and Haenlein (2010) they describe social media as “a group of Internet based applications that build on the ideological and technological foundations of Web 2. Companies must be able to monitor and respond to conversation. Put another way: a typical.” Companies are limited in the amount of control they have over the content and distribution of information. that companies can influence discussions in a way that is consistent with the organization’s mission. 2010). with the median number of followers increasing 6-8% month over month. Twitter. and Pinterest combined at the end of 2015 than it did the beginning of the year.0.” Web 2. and 24% median annual follower growth. There are ways however. surrounding the brand. 23%. LinkedIn. Annually. The highest growth rate was for Instagram. share. and LinkedIn audiences by nearly a quarter last year (23%. They argue that “social media combines characteristics of traditional IMC tools (companies talking to customers) with a highly magnified form of wordof-mouth (customers talking to one another) whereby marketing managers cannot control the content and frequency of such information. Brands grew their Facebook. middle-of-the-road brand had 42% more followers on Facebook. and collaborate (Jones. brands' median growth in number of followers was 100% on Instagram in 2015.median annual follower growth was 42% last year across the five major social networks examined. Mangold and Faulds (2009) social media has caused a significant change in the strategies and tools companies use for communicating with customers. Instagram. Social media marketing enables companies to achieve . 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