Digital Marketing Report (Assessment 2)

Digital Marketing

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
Macro Environmental Analysis...................................................................................................3
PESTLE analysis:........................................................................................................................3
Micro Environmental Analysis...................................................................................................6
STP through digital marketing communication..........................................................................7
Reflection.........................................................................................................................................7
Conclusion.......................................................................................................................................7
References........................................................................................................................................8

Introduction
Micro environment refers to all the small forces of an organisation that affects its
capability to serve its consumers. On the other hand, macro environment refers to large forces
that is affecting micro environment(Taiminen, 2016). While using a new marketing
communication tools it becomes necessary for organisation to segment and target their
customers. The following report is carried upon Dark Woods Coffee company, who are multi-
award-winning speciality coffee roster. In part 1 of assignment digital portfolio for company was
developed. This report consists of macro and micro analysis of potential market segment. Along
with it ways to target segments is also described. At the end the report specifies a reflection on
major skills developed during completion of this report.
Main Body
Macro Environmental Analysis
PESTLE analysis:
Political:
Coffee industry is depended on situations of international trade. Biggest coffee producers across
world are present in South America, Asia and Africa and they are feeling that these drinks are
popular in north America and Europe. dark woods coffee Ltd can be affected by different
international trade agreements to ensure their success in coffee industry.
Environment:
It consist of the external environment conditions and its major impact on the functioning of
business. With the changing environment there has been a complete transformation in the way
organisations are perceiving the changes that are part of environment. In dark woods coffee Ltd.
There are different certifications schemes and rainforest alliances that is creating huge difference
in last 20 years for improvement of environment standards and struggling to keep a pace with
increasing sophistication and complexity of speciality market. There is a shift towards reusable
bags instead of plastic bags (Kolios, Read, and Ioannou, , 2016). There is payment of additional
quality premiums for coffee and funding of development projects at origin that is leading to
reduction of environmental impact on their operations by use of electric vehicles, solar panels.
Such factors have to be highlighted in their digital marketing techniques.
Social:

Social factors are related to the changing needs and demands of people of society. In the present
21st century there has been a change in society's health perspective. There has been shift towards
people becoming more health conscious coffee is a ingredient that is not considered as unhealthy
because of numerous confirmed studies but it Consist of high amount of caffeine that is
somewhere not preferred by people (Aithal, Shailashree and Kumar, 2016). Consumers across
different parts of the world are following a trend of choosing to give up their caffeinated be
beverages as it leads to improve mood, sleep and may such positive impact on their health. This
situation can lead to future reduction of demand for coffee.
Fair trade is also a sociocultural trend that is part of fair trade trend it is a international
movement that is used for compensating farmers who are behind the produce so that there can be
removal of middleman to attain huge profits. Coffee industry has been one of main targets of fair
trade movement of consumers are showing greater demand for fair traded coffee products then
framers will be earning more and middleman can be easily removed. These movements will
support in achievement of higher customer base and better profitability with the present digital
marketing plan.
Technological factors:
There are certain technological trends across coffee industries that is genetic engineering. That
consist of modification of produce of genetic level for improvement of shelf life, taste and yield.
Genetically engineering coffee is quickly growing industry that is allowing earning of extra
profits for various brands (PANFIL, 2017). This aspect will assist in achievement of Present
laod down dogital marketing plan.
Legal factors:
There are certain food standards that are determined to ensure food & drink regulations across all
world jurisdictions. It is subject to wide range of laws on how coffee is brewed, stored and
finally transported. Coffee consist of large amount of caffeine that is subjected to caffeine
standards in some parts of world. For Dark coffee pvt Ltd such standards are becoming more
rigid with time and coffee handling is becoming difficult to handle.
Economic:
Growing of income of consumers across different parts of the world is leading towards beverage
to assume various premium roles that has lead to incremented margins of profits. There are

populations in growing economies that is viewing coffee industry as a luxury item (Aithal,
2017). Dark woods coffee Ltd is present in London, UK they are par of UK that is sixth largest
economy in world but growth of British economy has slowdown since the year 2016 because of
referendum of Brexit. It even contracted further in the second quarter of 2019 that has lead to
GDP only increasing by 1.4 percent in the year 2019 as compared to 1.3 percent in the year
2018. present situation of pandemic COVID-19 has further lead to reduction in purchasing power
of people and there has been complete shift towards fulfilment of necessity demands only.
From the above analysis of Macro environment it can be summarized that there are
several factors that are affecting organisation both in a positive and negative manner (Slavova,
2016). The main aim is to maximise the opportunities and minimize the threats so that there can
be availing of opportunities and aims that are part of present digital marketing plan.
Micro Environmental Analysis
Porter's Five Force
Porter's five force framework was developed in 1979 by Michael E. Porter. The analysis
helps to analyse industry while planing any corporate strategy. In order to use new digital
marketing communication tools Dark Woods Coffee company requires to access its five forces
that are mentioned below:
Potential Entrants: This is the depiction whether it is easy of difficult for new
competitors to enter the market. There are a number of barriers such as high-cost investments,
strong branding and so on. When looking at Dark Woods Coffee company the barrier for entry in
coffee industry is not very high. Companies can easily enter into this market. However the new
digital marketing tools will provide Dark Woods Coffee with benefits over these new entrants.
Suppliers: This is related to the power hat is vested in suppliers to decide the prices of
products they are supplying. Suppliers form an important aspect of micro environment of a
business. The market size and presence of dark woods coffee in market is providing them with a
benefit to switch to other supplier whenever they require. It lowers the bargaining power of
suppliers and provide the company with a competitive edge.
Buyers: It refers to the power that is vested with buyers to bring down prices of product.
When looking at Dark Woods Coffee, company does not have the power to influence their
customers. Due to globalisation and availability of abundance coffee brands the switching cost of
customer. One gets what one orders: Utilisation of digital marketing tools. The Marketing

Review, 16(4), pp.389-404. is low. The digital marketing may help Dark Woods Coffee to
spread awareness about their products and generate loyal customers for them.
Substitutes: There are a number of substitutes or competitors present in market for Dark
Wood Coffee. This makes it necessary for organisation to gain benefits over their competitor's
such as product differentiation, cost leadership and so on. With the help of digital media tool
organisation can successfully build product differentiation to stand in competitive market
(Anjum, Thomas and Prakash, 2020).
Industry: The number of organisations that are present in market help in determining the
strategies for a business. When looking at coffee industry there are a number of industries who
are continuously bringing in new innovations and different ways to attract and retain customers
with them. Therefore, it is necessary for Dark Woods Coffee to bring in new innovations through
their digital media marketing tools.
STP through digital marketing communication
Segmentation: Dark Woods Coffee company effectively segmented its potential
customers based upon their age, gender and occupation. The studies revealed that the choice of
coffee for corporate people and those of unemployed or students are different. Due to high stress
and anxiety in working professionals they prefer coffee containing high caffeine. This helped the
organisation to effectively segment their customers. With the help of it they also used different
digital media tools to attract segmented customers.
Targetting: In order to target the customers who belonged to corporate world company
used Email marketing. They used a number of different social media platforms to target
millennials. In this way company decided on its potential customer based on segmentation that
was done according to age, gender, occupation, geographical location and so on.
Positioning: In order to successfully position themselves into market it is essential for
Dark Woods Coffee to use digital media tools. There are a number of different tools that are used
by company to position themselves in the market (Malar 2016). They are using email marketing
to position themselves in corporate market. In order to become popular between youngsters they
are using social media platforms effectively. They are successfully providing their products to a
number of customers through online market. This is also allowing Dark Woods Coffee to reach a
number of customers.

Reflection
A number of skills were achieved by me during completion of this project. In order to be
successful in one's academic career continuous development of skills and knowledge becomes
necessary for every individual. Digital marketing tools are of great use to businesses today. A
number of businesses are using it in order to enhance their marketing techniques. Research skill
are a major skill set required to complete any project or assignment. While completing this
project I understood that I am lacking in research skills. It was necessary for me to work on them
and successfully develop them. I made sure that I am reading a number of researches and taking
help from my mentors in order to do so. There are also a number of online platforms that provide
information about researches and I deeply looked into them all.
The second skill I worked upon while completion of this project was time management
skill. Time management is an important skill set required by individuals in personal as well as
professional career. If an individual cannot manage their time effectively it becomes difficult for
them to meet deadlines. In order to develop this skill I started making a schedule before every
task I start. I made sure that all my tasks are completed in time and no extra time is wasted upon
the tasks that are not important. This made it easy for me to develop this skill.
While completion of this project I came to understand that my presentation skills are not
up to mark. It is necessary to work on presentation skill to attain success in academic as well as
professional career. In order to work on presentation skills it was necessary to enhance
communication, listening and analytical skills. I came to understand that it is necessary to pay
attention to the audience while presentation. They may have some doubts that can only be
clarified when your listening skills are good.
Along with all the skills mentioned above I worked upon some other skills during
completion of this project which were writing skills, communication skill, self management,
team work and so on. It is necessary for individuals to make sure that they are continuously
working on development of their skills and enhancing it as this is not a one time process.
Conclusion
It can be summarized from the above discussed aspects that there are threats and opportunities
that are present in macro and micro environment of every industry. All such factors have to be
evaluated in detail to achieve the SMART objectives that are laid in the digital marketing plan. If

there can be timely analysis of micro and macro environment that there will be enhancement of
sales, present customer base and overall improvement in profitability margins.

References
Books and Journals
Aithal, P.S., 2017. Industry Analysis–The First Step in Business Management Scholarly
Research. International Journal of Case Studies in Business, IT and Education
(IJCSBE), 1(1), pp.1-13.
PANFIL, G., 2017. PEST Analysis of the Educational System from Romanian Police Academy.
A Focus on Modern Learning Technologies. In Conference proceedings of» eLearning and
Software for Education «(eLSE) (Vol. 1, No. 01, pp. 79-83). ” Carol I” National Defence
University Publishing House.
Aithal, P.S., Shailashree, V. and Kumar, P.M., 2016. ABCD analysis of Stage Model in Higher
Education. International Journal of Management, IT and Engineering, 6(1), pp.11-24.
Kolios, A., Read, G. and Ioannou, A., 2016. Application of multi-criteria decision-making to risk
prioritisation in tidal energy developments. International Journal of Sustainable
Energy, 35(1), pp.59-74.
Taiminen, H., 2016. One gets what one orders: Utilisation of digital marketing tools. The
Marketing Review, 16(4), pp.389-404.
Slavova, M., 2016. Digital Marketing. Ikonomiceski i Sotsialni Alternativi, (3), pp.36-48.
Anjum, A., Thomas, M.R. and Prakash, P.K., 2020. Digital Marketing Strategies: Effectiveness
on Generation Z. SCMS Journal of Indian Management, 17(2), pp.54-69.
Malar, P.J.M.A.J., 2016, March. Innovative digital marketing trends 2016. In 2016 International
Conference on Electrical, Electronics, and Optimization Techniques (ICEEOT) (pp. 4550-
4556). IEEE.