Digital Marketing in E- Commerce (pdf)

Digital Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 creating a marketing communication plan that effectively meets communication objectives
for given organisational situation.................................................................................................1
TASK 2............................................................................................................................................3
P2 Determine and evaluate the measurement techniques and performance metrics in digital
marketing.....................................................................................................................................3
P3 Set of actions to improve the performance in digital marketing............................................4
CONCLUSION ...............................................................................................................................5
REFERENCES................................................................................................................................7

INTRODUCTION
Digital marketing refers to doing marketing of goods and services using digital means..
The ever changing technological circumstances has led to several famous brands using this
channel to market their offerings. Using this medium is very effective as every single person has
now access to different digital means. The company which has been taken into consideration for
the report is Loreal, a french cosmetic company founded in the year 1909 by Eugene Schueller.
Its main headquarters is in Clichy france. This organisation is planning to expand in e-commerce,
marketing, leadership, beauty tech etc in order to attain the competitive advantage thus how this
can be achieved is elaborated below in detail. The report covers topics such as creation of
marketing communication plan, determining and evaluating the measurement techniques in
digital marketing along with set of actions that can improve its performance (Alavi, 2016).
TASK 1
P1 creating a marketing communication plan that effectively meets communication objectives
for given organisational situation
E commerce is a lucrative option to further expand business, this has helped many
companies to achieve global status within a short span of time. Therefore Loreal wants to further
achieve growth in this field for this purpose being the digital marketing head it is require to
create a communication marketing plan that can help the organisation in dealing with this
situation. The plan include various aspects which are discussed below in detail:
Problem- The first step is linked to defining the problem, once this is clearly determined
there remains no confusion as to what next is to be done. The situation of loreal is that it wants to
expand its business on digital platforms. This is the purpose because of which plan is being
generated. The company wants to effectively communicate with the customers and generate
sales.
Analysis- The next step involve analysing the conditions of market under which the
business operates and increasing the awareness and viability of the brand. On digital platforms
there are means through customer traffic can be generated some of them are search engine
optimisation, blogging, social networks. These are effective methods that will increase the
popularity of the brand while these were the online techniques, few offline ways that Loreal can
1

adopt such as advertisements, hoardings etc. that contains the informations about company's new
launching on its official website.
Strategy: Under this stage the decisions are taken as to what exactly is the company
wants from its audience. Loreal should identify the actions that are required to be taken. It is
suggested that brand should give complete information on blogs and social pages about the
products and services that are going to offer and by using funnel analysis it should define the
ways that buyers has to go through. This process involves visiting website, registration, allowing
the items to be added in cart and finally purchasing. Loreal should clearly set the objectives that
it wants to achieve. For example There are different ways through which transactions can be
done like cash on delivery, banking and nowadays there is increasing trend of using applications
to make payments. The company should also explained the refund policy under the billing
section so that customers can be guided about what needs to be done to return the items they
don't like (Atwong, 2015).
Lorael should set a certain position in the minds of customer. It can be based on the
prices that are being charged or the quality of the goods and services provided by the brand.
Tactics: Under this step company has to find ways to engage the customers and retain
their interest in the brand. This can be done by actively interacting with them through social
media, emails etc. Establishing long term relationship with is beneficial for the organisation as
trust and loyalty can only be build if they are allowed to communicate about the issues that they
are facing regarding product and services.
Action: Implementing plan is part of this step thus loreal should determine the budget
and time schedule to market the products and services. Managers needs to constantly update the
plan as per the changing dynamics in the market.
In the next section it is explained that how loreal has made marketing communication
plan for the luxury and active division:
Basis Luxury division Active division
Prices In the luxury division plan the
company should set higher
prices for the product. As
producing cosmetics involve
expensive raw material thus
Under the active division
loreal should set medium to
large prices because the
customers under this section
prefer to buy goods and
2

setting high prices will cover
the cost.
services at affordable rates.
There are chances of shifting
to other options in case the
price becomes high
Product In this quality of the goods and
services should be high, thus
loreal should spend on
research and development
department to achieve the
appropriate standards of
quality and increase customer
satisfaction (Shaltoni, 2016).
Loreal can introduce
digitalised product in their
category such as e books.
Place Making products available to
customers at an exclusive
place is the part loreal's
marketing communication
plan.
The place that has been
selected for this division is
digital platforms such as
websites.
Promotion Loreal can use less aggressive
ways to promote the brand
under this division.
Digital vouches can be
distributed to promote the
brand.
TASK 2
P2 Determine and evaluate the measurement techniques and performance metrics in digital
marketing
Metrics to measure the performance in digital marketing: Marketing KPI's are used
by the digital marketers to assess the success of digital marketing, using these methods further
decisions are taken to improve the performance of the brand (Buckingham, 2013).
Overall website traffic: There are various ways through which effectiveness of digital
marketing can be measured one of them is overall website traffic. Google analytics helps in
3

showing insights of websites like who are the regular customers based on the number of people
who are viewing the website. The main aim of every organisation is to build an audience, on
digital medians understanding how to attract large number of people without personally
interacting with them is difficult.
Traffic by source: These matrix shows the complete profile of customers this can help
the Loreal in creating effective content for their customers. As with detailed like what are
sources that are mainly interested in the offerings of brand.
New visitors vs returning visitors: As per this technique relevancy of content can be
determined. When a content is released on the websites it analysis the number of new people
who have visited along with the old one. Using this techniques loreal can identify the new
potential prospective and develop strategy to retain their interest.
Sessions: This system counts the visits made on the websites, every time customer opens
website in a day, session is generated through which their activities can be tracked. Loreal can
check that how many times the customers visit their websites.
Average session duration: This matrix is based on evaluating the time spent by the
customers on the site. It depends on how easier it is to access the website whether the products or
the services are available that customers are looking for or if its is worth it to review the content
made by the owner (Scheinbaum, 2016).
Page views: This matrix gets triggered when a particular page is visited again and again.
Using this Loreal can determine the amount of times same page is viewed by the viewers in
particular time period. Through the brand can take further actions to improve the effectiveness of
the valuable page.
Cost per lead generated: Identifying the cost of attaining the new prospect is very
essential, this metrics evaluates the time, money and resources spent on different activities. later
these are inputs are compared with outcomes based on the leads that are being generated. Loreal
can use software to understand this aspect (Pagani and Pardo, 2017).
Retention rate: It shows the amount of time products are being purchased by the
particular customers. With the help of this technique Loreal can build an effective customer
support based system in order to maintain customer loyalty (Dickey and Lewis, 2012).
4

P3 Set of actions to improve the performance in digital marketing
With right marketing strategy Loreal can improve its performance in digital marketing,
the marketers to should be aware of the technicalities of E-commerce that are affecting the
performance of business. There are ways through improvement can be made in digital marketing
they are explained below in detail:
Assess the tech- The first and foremost task is that marketers should determine what was
the budget and gaps that are needed to be covered. Loreal should set particular message which
will be delivered on different platforms. Cosmetics brand have large women audience, social
media blogging can be used as channels to promote the products. In order to monitor the and
ensure customer engagement different platforms such as marketing automation and content
management.
Optimise SEO- Performance can be improved if the SEO is optimised efficiently, in
order to ensure that content is optimised focus is given to specific keywords. This will help in
increasing the customer traffic. Though there are tools that can be used for this purpose but Pay
per click is appropriate mean through which traffic can be increased on website, it is linked to the
search engine optimisation. It is a common tool under which advertisers pays for making user
click on specific advertisements (Dwivedi, Kapoor and Chen, 2015).
Track social channels: Increasing use of social media has given ample space to the
companies to expand their business online. Loreal can improve the performance by ensuring that
channels like Instagram, YouTube, twitter are to be used to increase the brand awareness. Once
the customers become aware about the offerings of the organisation it becomes easier to convert
the attention into sales. Thus the company has to ensure that shares, reposts and likes on post are
higher.
Measuring the content reach- This is very important part of achieving the effective
standards of performance. Under this reach of the brand both on internal as well as external basis
is assessed. Mouth publicity is an outcome of reaching large number of people. Thus brand has
to come up with interesting concepts to engage and enhance their customers base. Software that
are being developed for this purpose should be used so that decisions regarding whether to
change the platform or not can be taken (Hennigs, Wiedmann and Klarmann, 2012).
5

CONCLUSION
From the above report it has been concluded that digital marketing is lucrative way to
expand the business. In order to achieve the success in this area developing marketing
communication plan is vital. Different companies plan on the basis of the market conditions
under which the business prevails. PASTA model can be used to set the objectives,
communication tool, targeting and segmenting and developing an action plan to communicate
with customers on digital mediums. For the purpose of measuring the performance of digital
marketing different matrices and techniques such cost leads generated, retention rate, overall
website traffic is used. At the end an analysis is also made on how actions like optimising SEO,
and measuring the content reach can improve the performance level.
6

REFERENCES
Books and Journal
Alavi, S., 2016. New paradigm of digital marketing in emerging markets: from social media to
social customer relationship management. International Journal of Management
Practice. 9(1). pp.56-73.
Atwong, C.T., 2015. A social media practicum: An action-learning approach to social media
marketing and analytics. Marketing Education Review. 25(1). pp.27-31.
Buckingham, D., 2013. Is there a digital generation?. In Digital generations (pp. 13-26).
Routledge.
Dickey, I.J. and Lewis, W.F., 2012. An overview of digital media and advertising. In E-
marketing: Concepts, methodologies, tools, and applications (pp. 31-61). IGI Global.
Dwivedi, Y.K., Kapoor, K.K. and Chen, H., 2015. Social media marketing and advertising. The
Marketing Review. 15(3). pp.289-309.
Hennigs, N., Wiedmann, K.P. and Klarmann, C., 2012. Luxury brands in the digital age–
exclusivity versus ubiquity. Marketing Review St. Gallen. 29(1). pp.30-35.
Pagani, M. and Pardo, C., 2017. The impact of digital technology on relationships in a business
network. Industrial Marketing Management. 67. pp.185-192.
Scheinbaum, A.C., 2016. Digital Engagement: Opportunities and Risks for Sponsors: Consumer-
Viewpoint and Practical Considerations For Marketing via Mobile and Digital
Platforms. Journal of Advertising Research. 56(4). pp.341-345.
Shaltoni, A.M., 2016. E-marketing education in transition: An analysis of international courses
and programs. The International Journal of Management Education. 14(2). pp.212-218.
7