E-Marketing Strategies and Impact on Sales

This assignment delves into the world of e-marketing, examining its various strategies and their impact on business growth. It covers social media marketing, online advertising, e-commerce, and more, providing insights into how businesses can effectively use these tools to boost sales and customer engagement. The assignment includes references to relevant studies and research papers in the field.

Marketing Research/
Literature Review

TABLE OF CONTENTS
Section 1 : Research question and objectives .................................................................................1
1.1 Background of research.........................................................................................................1
Section 2 : Literature Review .........................................................................................................3
2.1 Influence of social media on customer loyalty.....................................................................3
2.2 Impact of digital marketing activities on purchasing behaviour of consumer......................4
2.3 Issues associated with applying digital techniques in corporation........................................5
2.4 Different social media tools that are used for doing promotional activities.........................6
Section 3 : Appreciation of methodological issues..........................................................................7
Section 4 : Theory and Practise Compared .....................................................................................8
Section 5 : Conclusion and Recommendation ..............................................................................12
REFERENCES..............................................................................................................................14

TITLE: “To ascertain the impact of digital marketing activities on customer's loyalty and
purchasing behaviour – A case study on ZARA”
SECTION 1: RESEARCH QUESTION AND OBJECTIVES
1.1 Background of research
This is considered as the most significant section for investigation as this is used for
highlighting the overview of complete research. The primal motive is to show the influence of
social media applications on the loyalty of users and the way such techniques help in altering the
buying behaviours of clients (Huang and et. al., 2015). For doing same, some of key research
questions are designed which are going to be answered in accordance with mentioned theme or
report. Zara is a famous Galician fast fashion corporation that mainly deals with clothing and
other accessories associated with it and was established in the year 1975. Amancio Ortega and
Rosalia Mera is known as the founder of this venture. They are having around 2266 stores and
serving people internationally.
This above stated topic is chosen since this is a very hot topic in this era. Each and every
firm needs to emphasis on this theme because without using digital technologies in segment of
commerce, no one can compete from other competitors existing in this current market. In fact,
any of the organisations could not maintain its positioning and as a bad result, they fall down or
not receive success in doing the identical thing. Therefore, it can be said that this is an important
topic and requires to be studied carefully in order to attain the best possible outcomes at last.
Hence, Zara ought to focus on the same subject and enforce modern ways of accomplishing
different chores associated with their business. For instance, they can use various social media
tools or techniques such as Instagram, Facebook, Twitter, YouTube and many more in doing
promotional activities. From this, they can reach to a large number of civilians exited in not only
United Kingdom but also to those who are living in several other countries. Thus, this will assist
them a lot in gaining attention of people especially females and since these groups are more
conscious about fashion industry and wants to keep updated themselves regarding this.
In order to conduct this research, investigator has made certain aim, objectives and
questions which are stated as below:Aim: “To ascertain the impact of digital marketing activities
on customer's loyalty and purchasing behaviour - A case study on ZARA”
Some of the key objectives are framed as below:
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 To identify the effect of modern marketing actions on allegiance of clients of Zara
 To determine the digital marketing tools that can be used for promotion within company
These objectives are playing an important role in this investigation because this will help
team members of research in starting their jobs. In addition to this, they also help in sticking on
correct path that is investigator are easily performing their work without getting deviated towards
any other theme.
There are numerous of questions that are rising in the minds of researcher. Main research
questions are mentioned as follows:
 What is the influence of digital merchandising on customer loyalty of Zara?
 What are the contemporary tools that may be utilised for performing advertisement of
products and services?
Above based questions are taken into consideration since it will give a clear description
about the current theme of project. Newly developed commercialising techniques have been
taken into use by different firms present in the retail sector. This has brought a great competition
in the business world. Due to this reason, consumers have gained so many options and as a
result, negotiating power of buyers is getting higher for Zara. This is creating a large number of
issues for this venture. For example, they have to do various tasks for seeking attention of a large
number of users so that they can increase their sales rate. For doing the same, management and
administration of Zara needs to concentrate on research activities. Thus, this report aids them a
lot in understanding the behaviour of consumers. Besides this, they can take help of answer of
above mentioned question for the similar work. In addition to this, certain issues faced by cited
venture while applying the digital methodologies in context to their business activity. This has
also been discussed in this assignment that needs to be dealt by Zara.
SECTION 2: LITERATURE REVIEW
2.1 Influence of social media on customer loyalty
According to Huang and et. al. (2015), in current trends, social media plays a huge role in
day to day life of a human being. All the activities in day to day life are revolving around the
technology and fashion industry is not lacking behind. The industry is using different social
media platform for promotion and merchandising practices. Zara is also using different social
media platforms for increasing their brand value as well as faith and loyalty. On the other hand,
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stated that there are different significance of social media on customer loyalty which are as
follows:
Paying attention to customers – Apart from understanding brand sentiment social
media are also used for retention of customers. For example: the organisation must analyse the
type clothes and product the people are talking about, also their complaints and praises about the
type of product and type of content they are chatting about. All these factors are recorded by the
company hence discuss about their product.
Outlining Engagement Plan – Social network helps company to grow customer
relationship. In this, the customer provide information and values which are attached to their
products and wants customers to pay attention to their products and provide feedback which will
help organisation to further values to their products and maintain sales and productivity for the
longer run. Implementing these kind of activity will help Zara to generate core competence in
business market.
Embracing and Identification of Active Advocates – From customer point of view
brand loyalty is attached to the values they get from their relationship with company. Zara must
focus on giving proper and adequate information on social networking sites so that their loyal
customers focus purchasing the product for longer run.
Reachable – The main reason of using social median is it is available in different digital
platform hence it can be accessed easily. So it is one of the best tool for fashion industry to
promote their product easily.
Measurement of response – Main advantage of social networking is that it can measure
the behaviour and responses of customers in market place. By measuring the traffic of different
marketing objectives, they can plan for the future in current scenario or in the future run.
Using Instagram for promotion activity
As per the view point of ZARA focus on using Instagram for effective market practices.
As Instagram is a very popular websites among people all across the globe. Zara used to promote
new brands in Instagram and other social networking sites which prompt their subscriber. With
the outburst of digital market practices it has become a trend in marketing practices. The
company has observed that the cost of living on Asian market is keep on increasing which will
turn out to be a profitable market place so they are investing in digital marketing practices in
these countries. For example India is a fast developing economy most of the people in the
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country are engaged in digital activities so promoting their brand through social media platform
will ultimately boost their sale. Thus, it can be said that social media plays a significant role in
marketing activities as they provide cheaper source and easier reach towards their products in
market.
2.2 Impact of digital marketing activities on purchasing behaviour of consumer
Digital marketing refers to the promotion or marketing of services and products with the
help of digital channel to reach and capture a large numbers of customers. Main objective of
using the digital tool for promotion is to showcase brand through different sorts of digital media.
In the words of Yadavand Arora (2016), they have stated that marketing through digital method
extends on the far side of internet marketing to involve that using of internet is not required.
They observed that internet marketing is different from digital marketing. In the contradiction of
this statement, author depicted that digital tool is not a yet a different channel of marketing. It
needs a new style to marketing and innovative understanding of behaviour of customers. As an
example, it requires a firm to evaluate the values of downloads of apps on technical or mobile
devices, likes of Facebook, tweets on twitters and many more. Other side, in the words of....they
have feels that digital marketing is the utilising the internet, social media, mobile tools, search
engines, showcasing advertisement and more different channels to reach up the buyer and attract
potential customers too. They also stated that digital marketing is more different them internet
and traditional marketing as in also includes SMS services, electronic billboards.
In accordance with Kumar and Reinartz (2016), they have said that purchasing power is
based on the strength of person's financial capability. Hence, they belief that personalities make
purchase if their pocket let them allowed so that they can be able to buy some product. Other
side buyers have unpredicted nature in the grounds of buying anything. If stuffs come on the
favour of digital marketing then it is strong and powerful that mark effects on the buying
behaviour and they also feels that larger number of customers are come in favour of digital
media. In the contradiction of above stated statement author side that, marketing and promotion
through the help of digital media is effective to cater more of numbers of buyers but cause all the
product and service is not tangible and just visualised on the screen of any digital tool. This will
make customers dissatisfied cause traditionally, it is a human nature that they does not trust on
the anything until they check the reliability of product prominently in which they spent money.
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According to West, Ford and Ibrahim (2015), they said that using digital medial creates
revolutionary act in the entire nation and across the globe hence it will helps in increase the level
of standards of nation's citizen. It also facilitates employment opportunity in the country so that
more of persons get job and it will make growth in total GDP or economy of nation. In their
words, they have stated that through digital media persons will have more information about
certain products and services accordance to their need. It is the prominent manner of making
comparison between desired product and available goods. Like if buyer wished to have any
services and product then with the help of digital media they can go through with several
websites and make comparison among them.
2.3 Issues associated with applying digital techniques in corporation
According to Chang and et. al., (2015) Digital marketing is a process that use to build
values for an organisation to attain higher business advantages easily. This is a promotional tool
that build values for an organisation in effective manner and increase their values easily. Digital
technology is easy to use but hard to maintain or manage effectively in organisation. For this
process a firm need to build an experienced workforce who understand each and every element
of digital marketing that need to attain effective success and desired growth easily. For this
process some organisations need to build effective strategy that build values of this advance
technology in their working approaches. In it, some issues also associated that applying with
digital techniques in corporation. There are some risk factors are given below such as -
Increased security risk – Although it has been seen that mostly information is being
shared by online ways and therefore the hackers are such which has various ways to get to know
the security part. Moreover everyone has a security sites like, good firewall and having HTTPS
thing and although also have a very good antivirus as well which can be used in better manner.
Normally, security team is to have identification of various weakness of the various websites and
also looking forward to create in measurement to reduce and minimise the risk too.
Cluttered market – Moreover, there are billions number of niches and SEO is just a way
which help in raising towards top and it is being said that it’s not enough. Although it is required
to find the better ways to provide the unique and also valuable content as well.
Less focus on key words – In earlier times the keywords are used as bread and butter of
SEO and also find out the various right keywords and also looking forward to use such in correct
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format as well to shoot it to top of search results in right context too which help in getting you
more of traffic and having much more of exposure as well.
2.4 Different social media tools that are used for doing promotional activities
According to Das (2015), Social media marketing is a form of internet marketing which
determines creating and sharing content irrespective industry on social media platforms for
achieve desired marketing goals and targets for enhancing brand value in competitive market.
This SMM (Social Media Marketing) is a powerful tool for enhancing businesses of all
categories irrespective of any viable or non-viable field. Through this platform it's very easy and
viable for reaching a large section of society in a very less amount of time means at a same time,
reaching towards millions peoples are possible in an efficient and effective manner. It is a
speciality of this platform that connect directly with your audience or customers through social
media platforms or different tools and interact with all of them at a same time as well as maintain
customer satisfaction rate. Social media marketing platforms determines different activities like
texting, audio and videos, share ideas, promote brand, exchange views, spread awareness to a
large people, and many other things can be done like paid media advertising also.
There are tremendous social media platforms or tools available in market nowadays for
promotion or promoting products and services:
Social Networks: Facebook, Twitter and LinkedIn are used to connect with different
variety of peoples and brands at a same time through online for help peoples as well as
organisation to share and display information and ideas about their products and services. In
today's modern tech world, especially in the era of mobile internet these social media networks
tools are now became hub of transforming lives of citizens of a world in a very healthy and
fruitful manner. Nowadays nearly each and every aspect of today's modern life from reading
news feeds to sharing pics and moments, spreading awareness to exchanging views, to
promoting their brands products and services to finding job opportunities and many more are
done in a very simplified and systematic manner.
Media Sharing Networks: For sharing, identifying as well as displaying pics, video, live
videos, 360 degree videos, moments ,spread awareness through audio or videos and many other
thing are done through YouTube, Snapchat and Instagram online media platforms. YouTube and
Vimeo social media tool uses primary video as mode of communication whereas Instagram and
Snapchat mode of communication is texts, post on networks, video or image or captions.
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Discussion Forums: There platforms are used for finding, discussing and sharing
information and opinions through various different discussions platforms like reddit, Quora,
Blogs and Digg. These platforms are the foremost resources for research, deep knowledge and
promoting their products and services. Through these social online platforms, experts and
researchers feels free to express and share their views on different brands products and services
as well as on different issues. At these social networks platforms, people read and share expert’s
point of views and in comment section they also share their views regarding relevant topics
which is considered by experts or researchers.
SECTION 3: APPRECIATION OF METHODOLOGICAL ISSUES
Secondary research method contains data through large scale surveys as well as data is
collected as a part of personal research or investigation. While secondary data is the data which
is available already and collected by third party. Generally in secondary investigation, data is
collected from different platforms like data through government agencies or from their websites,
censuses, data from independent non-profit as well as non-government organisation, previous
years records of corporate companies and many more other records or data which are requires as
well as collected for research work or studies in order to deal with different reasons or purpose.
There are various advantages and disadvantages of this research methodology formerly
known as secondary data research or analysis which are used or applied in various studies of
research or investigation. Secondary data research is cost and time effective as well as feasibility
of both longitudinal and international comparative studies whereas there is a fresh concern
regarding data confidentiality and security.
Issue in Secondary Data Analysis:
Concern about secondary data use largely revolve around potential harm for specific
study or research. Secondary information varies in terms of magnitude of identifying data in it.
If the collected data has no characteristic information or it completely absent of information or it
may be in coded or encrypted form so that researchers would not access these encrypt data or
codes then it return no reviews process by ethical board member's or authorised authority. The
authorised board needs to confirm that data is anonymous or not. However, if collected data
contains identifying information on customers or information which is linked to identify
participants,then a complete review process of proposal is formulated by board authorities. And
researchers will also have to explain why it is inevitable to identifying information regarding the
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answers about investigation questions and it must also indicate about confidentiality and privacy
of data of participants will be secured and protected. If the above explained concerned are
satisfactorily addressed then the researcher might request for a waiver of permission.
If the required data which is freely available or not on internet, book, magazines or
websites requires explicit written permission for further use and analysis process by another
research team. However, the data which is obtained and used by seeker must be adequate and
relevant but not to be excessive. In secondary data investigation, the original or fresh data was
not gathered to answer or reply present research questions. Thus this information should be
evaluate for specific criteria's like methodologies of data gathering or collecting, time period of
data gather and intention for which it was collected as well as content of the data. Collected data
must be kept secured and protected as well as safe from unauthorised access and secured from
unplanned loss or destruction of data. It is the responsibility of research team that collected data
which is in form of hard copy should be kept secured and protected in lockers whereas soft
copies must be kept in encrypted form in desktops or computers. In addition to this, research
team conduct secondary investigation to ensure further analysis of collected information is
appropriate.
SECTION 4: THEORY AND PRACTISE COMPARED
Social media have effective impact on the activities of the customer. From promotion to
sales activities digital platform has captured the market drastically. It is being observed that
fashion industry is using different social media platform in for their business activity. Some of
the famous platforms are like Facebook, whataspp and Instagram have become one of the best
platform for the marketers. It has become area of discussion between different experts they have
different views on these type of activity.
Paying attention to the customers – In this type the fashion industry is able to reach out
to many people in business market. According to Chae and Ko (2016) this activity will help the
fashion industry to reach out to more and more customer in easier way but it is also termed as
wastage by some expert. Though it is available to many customer across the globe but many
people cannot afford this. There are some countries where poor people find very difficult to
sustain their lives then how come they afford the international brand like Zara.
Outlining engagement planning – customer use social media to reach out to their
customers. Several experts like Kozlenkova and et. al., (2015), says that it will help people to
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analyse the clothes and prices and plan accordingly but on the other hand it is opposed by
traditional thinkers. Some thinkers like they says that it is better to do shopping directly by
observing the cloth and do bargaining.
Identification of brand loyalty – By analysing the activities of users the firm can observe
that what percentage of people are interested in products of Zara. By the comments of, this is
regarded as an easier tool to identify types and choices of customers by analysing the traffic of
people. Some other researchers and thinkers thinks that it will not be an adequate ideas for
analysing the market.
Reachable - It is about reaching out to employees. Researchers like Zhou and Amin,
(2011), conclude that it is one of the cheaper medium to reach out to people and establish the
business but they have different view, according to his opinion it is difficult to convince older
aged people in developing countries as they will prefer traditional way of shopping.
Measurement of responsibilities – According to uaneda-Ayensa, Mosquera and Sierra
Murillo, (2011), all the activities of customers are accountable, all of their activities are saved in
internet databases. So Zara can easily use this activity to analyse their business and type of
customers and make planning accordingly. But has different view, he thinks that it will not give
adequate information or data about the activities of people. According to several survey there are
still more than 60% people who do not believe in online practice. Shopping using online practice
is a bigger area of debate among the researchers. It has both positive and negative effect but in
the changing business market it will term out to be an effective source of doing business. The
researchers must analyse further activities and factors so that the debate comes out to be
productive.
Kim and et. al. (2014) stated that with evolution of technology, digital marketing has
benefit people to enquire about various aspects in according to their need and wants. As, through
internet and social sites such as Google, Facebook, Twitter and other online websites to keep
public update. This help in transfer of information quickly by making people get adequate
content through online sites. Digital media help firms to communicate appropriate data through
email, social network and internet advertisement. This is also advantage to establish greater
reach. As, digital marketing has connected different countries together. This had helped in
making coordination diverse between people. Through social network and internet
advertisement, customers are able to compare brands and make appropriate decisions.
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On the other hand Lemon and Verhoef (2016) says that there are various limitation along
with the benefits which can reduce the impact of such activities. Current business environment
face the problem related to digitalisation. Some important issues are as follows:
Creditability of information: On internet, various product’s information is available and
so, customers are misguided with irrelevant information and data. Which create negative impact
on customer's experience and overall company image.
Traffic on social media sites: Several company post advertisement on social media site
thus create hug traffic on internet.
More demanding customers: On internet, customers have several options of products
and services. So that, they demand more features in goods which almost impossible for an
organisation to full fill clients all demand in an effective manner.
The decision related to purchase of products and services are fourth steps while making
buying decision. As the Zara focus over consumer attention while marketing through digital
media. There are numerous consumer who have been accumulated or gained by company
through the help of this.
Kotler (2015) thought that Zara though is using different channels for meeting different
segments of buyers. This has been stated after the comparison that adults are more influenced
from Instagram, Snapchat and YouTube for increasing potential teenage or adult buyers. On the
other hand, senior citizens can be met through twitter, Facebook and other medium. Also Google
Adwords and other search engine ads are becoming more popular nowadays. Mostly people are
preferring online shopping in comparison to store shopping. Thus, Zara has developed their own
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Illustration 1: Increase in sales through e-marketing, 2017

application for consumer rendering various aspects and options to consumer. Effective
advertisement reach and influencing message can lead to achievement of targeted people or
group. Persuasion is most opted techniques which online advertisement aiming as this is more
entertaining and effective medium that can help in meeting consumer. After the various variables
and obstruction, this is essential to control and manage these barrier to meet the outcome in
better way.
According to Ngai and et. al. (2015) the industry on digital marketing is changing at a
very rapid phase which is making difficult for organisations to compete with the same. The
people are continuously redefining manner in which communication takes place online. Ad fraud
is one of biggest issue which a business is exposed too while venturing into digital platforms. It
has been calculated that over $7 billion which have been spent by businesses have resulted in
fraud. Such circumstances led business to opt for less risky mediums of advertising such as
mobile apps and email marketing.
There are various issues which emerge while using tools of internet marketing as the
major promotional activities. Another major difficulty which is identified is that marketers rely
heavily on collecting data related to customers. The directing of efforts and resources into data
collection goes in vain as they fail to apply ideally to attain improved revenue based outcomes.
Therefore it is essential to opt for technology that automates data collection and implementation.
It is difficult for organisation to opt for digital platforms due to complexities in using software's
which are designed for it. It is essential to provide with user friendly interface so that more and
more organisation are able to opt for it. The major disadvantage is that digital market is cluttered
with presence of millions of websites and platforms. Therefore it gets very difficult to build a
website that stands out from the crowd. To stand out, it is essential to offer them with solution
not just products. They should be appealed on emotional level by approaching them in an
innovative manner. Therefore it can be concluded from the above report that Zara have to make
sure that mentioned obstacles are countered with appropriate digital marketing strategy. By
emphasizing on security front it has become necessary to build a marketing action plan so that
better results could be achieved.
According to Kumar and et. al., (2016) after the evaluation and study it can state that
there are various tools of social media which can be used for promotion that can help a company
to groom and develop their business activities. Through there are different uses according their
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users and availability among clients or users. Though Facebook is most utilised medium from
age 19-50 where Instagram is majorly used between the ages of 15-35. On the other hand, there
are various other mediums such as streaming video app, audio app like YouTube etc. These uses
differs accordingly but it has an ability to attract consumer and services user in most effective
and efficient manner.
SECTION 5: CONCLUSION AND RECOMMENDATIONS
Recommendations
This is such which is being given so that firm can improve their working scenario and
product with services as well in right context. Therefore this help them to satisfy their customer
in proper way too. Some of the recommendation are as follows:
 Market also does change with time scenario and thus ZARA has to use technology
according to time and produce quality product with services in right manner too.
 Social networking is hat which increases and improves customer relation with company
so, firm has to utilise the social media in proper manner and does not make any awful
activity.
 Customers are mainly influenced by marketing although ZARA has to use marketing
concept in better manner as well.
 It is required to show the strength side of company to loyal customers so that they can be
existing consumers for longer period.
 Moreover, company can also provide discount and better offers to customer in right
format so that they can make them satisfy.
 ZARA has to make research in better manner and has to make a market segment so that
they can focus on particular thing which can help in bringing best of work out of it.
 Thus organisation can also go with having advertisement on Mobiles as well.
 Hence, firm can also go with having Life cycle campaign in compact form too.
 Go with questionnaire and see whether customers are preferring product and services in
better manner or not and if they are not then bringing some innovation and creativity in
goods and services so that they can make them satisfied too.
 A better strategies by top executive can convert ZARA to compete in market and make
themselves stable for longer period.
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Therefore, suggestion has to be given in right format so that such can be used in
development of organisation and thus ZARA is already an established firm and they need to
bring many innovation and creativity with technology and marketing for having great working
and such make them to earn higher profitability.
Conclusion
From the above report, it can be stated that digital marketing is having a huge impact on
customer loyalty and purchasing behaviour of customers and thus, ZARA uses the marketing
concept in creative and innovation manner so that they can attract many more customers.
Marketing is that which as many implication on consumers like they are influenced with social
media and marketing does change the buying criteria of consumers in great manner. Therefore,
the marketing team of company plays with mind-set of people and manipulate them to purchase
product of ZARA. Hence, organisations also use various promotional tools to make millions of
people aware about the products and services available in market. Although, research team also
found many problems in making research in better manner and thus collected information and
data was used by firm in right context. Moreover some recommendation were also provided to
entity so that they can bring their management and functions together in correct format and to
utilise the marketing concept in better manner as well.
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