Difference between Traditional and Digital Marketing

This report discusses the difference between traditional and digital marketing, customer touchpoints and the omnichannel customer journey, use of analysis of data, and its role in facilitating improvement. It focuses on Netflix as a case study.

Digital
Marketing

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 making the use of internet and other available digital
technologies in the right manner so that the goals and objectives can be achieved effectively
(Confos and Davis, 2016). It use can be made by the organizations nowadays so that they are
able to target various types of customers in a highly effective manner. Netflix is an American
company which provides streaming services to its various customers and clients all over the
world. It has a wide range of content available on its platform in the form of web series, movies
etc. There is a particular importance of Digital Marketing because through its use a company will
be able to target a wide range of customers and earn higher-level of profits. In this report, a
difference between traditional and digital marketing, customer touchpoints and the omnichannel
customer journey, use of analysis of data and use of analysis of data to facilitate improvement
will be covered.
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-
Product-
Digital marketing- In digital marketing, the marketing of the products and services is
done in a digital way (De Pelsmacker, Van Tilburg and Holthof, 2018). Their features can be
displayed by the organizations online. For example- Netflix can display its range of web series
and movies on the internet so that it is able to attract the attention of the customers effectively.
Traditional marketing- In traditional marketing, the marketing of the products and
services is done in a traditional way. The features of the goods and services is displayed
traditionally using mediums like Newspaper, Television etc. For example- Netflix can make the
use of traditional mediums like Newspaper and Television so that it is able to target its customers
with its products and services which it is offering.
Price-
Digital marketing- In digital marketing, there is a perception by the customers that the
prices are low when they do online shopping of the products. Thus in this way it ensures that the
customers are able to get better deals online. For example- Different types of offers can be

offered by Netflix in prices to be able to attract its customers in a highly effective manner and
make sure that they avail its services.
Traditional marketing- In traditional marketing, the customers look for offers related to
lower prices in traditional mediums. For example- When Netflix used to operate as a DVD rental
service it used to offer its discounts on price through the traditional mediums.
Place-
Digital marketing- Through the use of digital marketing there can be a change in the
distribution pattern because the companies can now make sure that they can provide same-day
delivery to their various types of customers. Also it has made sure that the firms can target their
customers all over the world while operating in a particular corner of the world. For example-
Netflix is an American company but has expanded its range all over the world which has been
made possible by digital marketing.
Traditional marketing- In Traditional marketing, there are restrictions on the place
where a business can operate. It can operate only where it has a physical existence. For example-
When Netflix provide DVD rental services it used to operate only in selective areas.
Promotion-
Digital marketing- In Digital marketing, the promotion of the goods and services is done
through making the use of digital mediums like online ads (Diez-Martin, Blanco-Gonzalez and
Prado-Roman, 2019). For example- The use of online ads is made by Netflix so that it is able to
target its various types of customers effectively.
Traditional marketing- In Traditional marketing, the promotion of the goods and
services can be done through the use of traditional mediums. For example- When Netflix used to
operate as a DVD rental service it was able to ensure that it targeted its customers through these
traditional mediums.
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. Netflix runs online advertisement campaigns on
the social media platforms like Facebook, Twitter etc. to popularize its web series and movies so
that the customers are attracted towards it.

Online Advertisement- Online advertisements are an essential element in Digital
marketing. Therefore it becomes quite important for Netflix that they use it so that they can
connect with the customers. Netflix makes the use of online advertisements so that the various
types of customers can be targeted which are within its range. In this way, it will be able to
ensure that it can achieve its marketing goals and objectives.
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. Netflix takes the services of various
types of experts so that an effective digital marketing content can be framed which can attract the
attention of the customers effectively and efficiently.
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. Netflix makes sure that it is able to use these
events to popularize its web series and shows among the customers so that they can subscribe to
it.
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
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. The customers can now
even complain about the services of the company if they feel that they are not according to the
set standards. Also they can stay aware about the new web series and movies which the company
is going to bring which can enhance their overall awareness.
Use of analysis of data
The data is generated by the companies through the use of internet when the customers
make the use of its different services. Netflix analyses its user data through the following
methods-
 Time on a page- This means the time which the customers are spending on a page
(Järvinen, 2016). Thus in this way Netflix is able to ensure that it can identify the time
which its customers are spending on the page. This helps it in identifying the average
time spent by the customers on its portal to watch web series and movies.
 Clickthrough from advertising- This means the way the customers are directed to the
website when they click on the advertisements (Kannan, 2017). Therefore, in this manner
Netflix is able to ensure that it identifies and analyses the data of these customers who are
redirected to its website by clicking on the advertisements.

Use of analysis of data for facilitating improvement
It is used by Netflix as follows-
 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).
 Improvement in interface- Netflix makes use of its feedback mechanism to register the
feedback from the customers (Piñeiro-Otero and Martínez-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.
 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).
 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 Martínez-Rolán, X., 2016. Understanding digital marketing—basics and
actions. In MBA (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/>