Difference between traditional and digital marketing
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This report explores the difference between traditional and digital marketing, focusing on Netflix as a case study. It discusses the customer touchpoints and the omnichannel nature of customer journey for Netflix customers. Additionally, it explains the use of data analysis for digital marketing activities and how it facilitates improvement.
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Contents INTRODUCTION...........................................................................................................................................3 MAIN BODY.................................................................................................................................................3 Difference between traditional and digital marketing.............................................................................3 Customers touchpoints and the omnichannel nature of customer journey of Netflix customers...........4 Use of analysis of data.............................................................................................................................5 Use of analysis of data for facilitating improvement...............................................................................5 CONCLUSION...............................................................................................................................................5 REFERENCES................................................................................................................................................6
INTRODUCTION Digital marketing refers to a form of marketing in which the organizations reach the customers through the use of various types of digital mediums(Confos and Davis, 2016). This report is based on Netflix. It is an American technology and media services provider which provides streaming services to its various customers. In this assignment, focus will be made on differencesbetweentraditionaland digitalmarketing,explanationof touch pointsof the customers and the omnichannel nature of customer journey of Netflix customers. Additionally, specific analysis on use of data for digital marketing activities and explanation of analysis of data will be discussed as a part of this project. MAIN BODY Difference between traditional and digital marketing Digital marketing is an approach through which the emphasis relies primarily on the internet to connect with the target audience through the use of digital marketing channels and platforms (What Is Digital Marketing? Definition, Types, Best Practice with Examples, 2020). There is a lot of difference between traditional and digital marketing. It has been explained as follows- BasisTraditional marketingDigital marketing Target audienceWithitsusethecompanies canreachouttothelocal customers who will purchase the product(De Pelsmacker, VanTilburgandHolthof, 2018).Forexample-Earlier Netflixusedtotargetthe customers who wanted to rent DVDsusingtraditional marketing techniques. Withitsusethecompanies can reach out to the customers all over the world in a highly effectivemanner.For example- Netflix makes use of digitalmarketingtechniques sothattheycanpopularize their streaming services in an effective manner. Marketing approachIn it, the companies rely more oninteractingface-to-face withthecustomersthus facilitatingpersonal interaction.Forexample- Netflixusedthisapproach when it used to operate as a DVD rental service. In it, the companies are not required to ensure the physical presenceofthemarketers (Diez-Martin,Blanco- GonzalezandPrado-Roman, 2019). Thus in this way they can reach out to a wide range ofcustomers.Forexample- Netflixmakesuseofthis approachtopopularizeits streaming services among the
customers. DocumentationHere,ahardcopyofthe documents is provided to the customerssothattheycan storeitaccordingtotheir convenience.Forexample- Earlier,Netflixusedto provide hard copy of bills to thecustomersfortheir services. Here,asoftcopyofthe documents is provided to the customersaccording to their varioustypesofneedsand requirements.Forexample- Nowadays,Netflixprovides softcopyofbillstotheir customers for the use of their services. Consumer interactionHere, very less interaction is therebetweenthemarketers andthecustomers.For example- Earlier, there were verylesswaysforthe customerstoregistertheir complaints and grievances. Here, there is more interaction between the marketers and the customers.Forexample- Nowadays, there are various ways for the customers so that theycanregistertheir complaints and grievances. Customers touchpoints and the omnichannel nature of customer journey of Netflix customers Customer touchpoints refer to those mediums which can be used by the companies in order to facilitate the connection with the customers in a highly effective manner(Girchenko and Kossmann, 2017). The customer touchpoints for Netflix are as follows- Social Media- Through social media the companies are able to find out the needs and requirements of the customers and ensure that the products and services are designed in order to fulfill them effectively and efficiently. Netflix makes the use of social media so that it can connect with its customers in the right manner. OnlineAdvertisement- Onlineadvertisementsarean essentialelementinDigital marketing. Therefore it becomes quite important for Netflix that they use it so that they can connect with the customers. Digital marketing content- Using digital marketing content, the firms ensure that they can connect in an appropriate manner with their customers by reaching them. Thus it is crucial for Netflix to use this medium in an appropriate manner. Company events- Company events are attended by a lot of customers and thus it is important for the organizations to organize them to connect effectively with the customers. Thus Netflix can use them to connect with its customers. Omnichannel journey of Netflix customers- Earlier, the customers of Netflix used to connect with the company using the traditional methods of marketing(Herhausen and et.al., 2020). However, now the customers of Netflix
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connect with the company by making use of multiple channels because the company now uses multiple mediums to facilitate the desired interaction with the customers. Use of analysis of data It is explained as follows- ď‚·Recommendation of content to the users- Depending upon the way the users watch content at Netflix, its analytical system automatically recommends the right content to them which is according to their preferences(Järvinen, 2016). ď‚·Selection of content in the future- Netflix’s analytical system analyzes the content which is preferred to be watched by its customers and thus in this way is able to provide them with the recommendations to select the appropriate content to be shown to the customers in the future(Kannan, 2017). Use of analysis of data for facilitating improvement It is used by Netflix as follows- ď‚·Selection of good content- By analyzing the history of content which has been viewed by its different types of viewers Netflix can make sure that it can select good content for the users to view(Key, 2017). ď‚·Improvement in interface- Netflix makes use of its feedback mechanism to register the feedback from the customers(Piñeiro-Otero and MartĂnez-Rolán, 2016). Thus in this way it is able to make sure that the right improvements are facilitated in an effective manner in its interface which can ensure that the company is able to attract the customers. ď‚·Innovation- Netflix ensures that it can make the right use of data so that it can bring out innovations which help it in remaining competitive as compared to other streaming platforms which are also operating within the market(Saura, Palos-Sánchez and Cerdá Suárez, 2017). ď‚·Improvement in quality of services- Through the data analytics system, Netflix finds out whether it needs to improve considerably in its quality of services. Thus in this manner the company ensures that it provides a fine quality content for its customers to use so that they receive the right value for price paid. CONCLUSION From the above report, it can be concluded that digital marketing is a very useful medium for the companies to connect in an effective manner with the customers. Therefore by using it the companies can ensure connectivity with the customers and facilitate the desired improvements.
REFERENCES Books and Journals: Confos, N. and Davis, T., 2016. Young consumer-brand relationship building potential using digital marketing.European Journal of Marketing. De Pelsmacker, P., Van Tilburg, S. and Holthof, C., 2018. Digital marketing strategies, online reviews and hotel performance.International Journal of Hospitality Management.72. pp.47-55. Diez-Martin, F., Blanco-Gonzalez, A. and Prado-Roman, C., 2019. Research challenges in digital marketing: sustainability.Sustainability.11(10). p.2839. Girchenko, T. and Kossmann, R., 2017. Implementation and development of digital marketing in modern banking business.European Cooperation.12(19). pp.68-85. Herhausen, D. and et.al., 2020. The digital marketing capabilities gap.Industrial Marketing Management.90. pp.276-290. Järvinen, J., 2016. The use of digital analytics for measuring and optimizing digital marketing performance.Jyväskylä studies in business and economics. (170). Kannan, P. K., 2017. Digital marketing: A framework, review and research agenda.International Journal of Research in Marketing.34(1). pp.22-45. Key, T. M., 2017. Domains of digital marketing channels in the sharing economy.Journal of Marketing Channels.24(1-2). pp.27-38. Piñeiro-Otero, T. and MartĂnez-Rolán, X., 2016. Understanding digital marketing—basics and actions. InMBA(pp. 37-74). Springer, Cham. Saura, J. R., Palos-Sánchez, P. and Cerdá Suárez, L. M., 2017. Understanding the digital marketing environment with KPIs and web analytics.Future Internet.9(4). p.76. Online What Is Digital Marketing? Definition, Types, Best Practice with Examples. 2020. [Online]. Available through:< https://www.toolbox.com/marketing/content-marketing/articles/what-is- digital-marketing-definition-types-best-practices-with-examples/>