Impact of International Digital Marketing on Amazon's Performance
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This literature review explores the impact of international digital marketing on the performance of Amazon. It discusses the concept of international digital marketing, its importance for business growth at a global level, and the positive and negative effects on Amazon's performance.
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Table of Contents INTRODUCTION...........................................................................................................................1 Concept of international digital marketing..................................................................................1 Importance of international digital marketing for the growth of business at global level...........2 Impact of international digital marketing on the performance of Amazon at international level3 CONCLUSION................................................................................................................................5 REFERENCES................................................................................................................................6
INTRODUCTION Literature review includes the current knowledgewith essential findings about a particular topic. Current study also describe the importance of literature review by study on particular topic. Further, the current study will helps to describe the concept of digital marketing in this modern era and describe an importance of digital marketingfor the growth of business at global level. Lastly, report will describe both positive as well as negative impact of digital marketing on Amazon performance. Concept of international digital marketing As per the view ofBaltes (2015)digital marketing is the just like nurturing a plan without providing proper air, water and sun. in the same way, digital marketing is much more than website, emailand social media such that it is comprise of contentpublication, mobile optimization and data analytics. In this modern era, every business wants to use digital marketing strategy so that it will help to grab attention of many customers towards it. Among all, social media is consider one of the famous digital marketing concept through which company enhance their customer base. Thus,Chaffey and Ellis-Chadwick, (2019)stated that digital marketing is the broad concept of which refers to promotion of products with the help of digital and advance techniques basically through internet. It is in consider an international advertising strategy which helps to draw attention of many customers towards a firm. So, digital marketing channels are those system which are based upon internet that helps to transfer the products value from producer to terminal consumer using best digital network. The concept of international digital marketing is developed from 1990 to 2000 but now it is completely change the way of brands and business to use advance techniques for marketing. It is so because digital platform are increasingly incorporated into marketing plan and people also uses best digital devices rather that physical stores. To make people aware of using digital techniques, brands are also start introducing marketing campaign which are become more prevalent and efficient as well. On the other side,Chaffe and Smith (2017)critic that search engine optimization, search engine marketing, content marketing, influencer marketing are consider some digital marketing method that helps to reach wide range of public towards it. Digital marketing is also known as online marketing, internet marketing and digital media growth is also estimated at around 4.5 trillion online advertising that helps to grow the overall economy. In addition to this, the increasing portion of advertising system from business which 1
develop best Online Behavioural Advertising to offer best advertising for internet user but in the same time it also raise consumer privacy and data protection issues which affect the overall brand awareness. According toKannan (2017)the main key objectives of digital marketing is to engage customers and also allow them to interact with brand by providing best digital media services. Such that using digital marketing will help to provide information in easy manner which may further access at fast rate as well, such that Facebook, Email, Forum etc. therefore, most of the business uses digital technology through which digital communication is also creates multi- communication channel in which an information may shared quickly around a world. But in the same time, it also creates lack of face to face communication and information which is being spread. Thus, to reach at large customers, almost 99 percent of business man uses digital technology instead of traditional marketing so that it will help to reach large audience in a single way. Importance of international digital marketing for the growth of business at global level According toKingsnorth (2019)international digital marketing reach people where a business may spend their money and time. As per research, it is analysed that in 2019, the average Internet user has at least 7 social media accounts and more than 97% of the adults under the age of 65 are also uses social media at least once in a month. This data shows that using digital technology such as social media, a company may reach to wide range of public and also target their customers as well.Thus, it is clearly states that digital marketing provides a fair opportunities to all kind of business to grow and sustain the brand image at international level. For instance, Amazon is also web based company and it also promote its offers through social media In order to let thousand of people know about new offers and collection. On the other side,Mooney and Slobodian (2016)states that digital marketing is consider more cost effective than other ways of promotion and it also generate better revenue option as well. Such that the role of digital advertising method provide better points of interest and also generate higher return on investment as well. Even,it is also analysed by author that with easy targeting, effective lead generation and better revenue generation using digital marketing system which will also provide 3.3 better chance to raise business. Such that it also open best approaches to enhance its current financial performance.Ryan (2016)argues that significance of digital 2
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marketing mainly lies in the ability to attract and also engage the audience who are interest to purchase the item. For instance, in the case of Amazon, the company build trust and also ensure that it develop powerful relationship with their customers so that it helps to maintain loyal customers during their entire journey. As per the view ofStephen (2016)digital marketing helps the firm to increase visibility of a business and also connect with customers. Social media as an international digital marketing allow the company to connect with customers at wide range and it also update customers with new and latest features offered by company. Even an organization also publicise about products and services in which company describe about products through which it can attract new customersintheirfuture.Further,TaiminenandKarjaluoto(2015)examinethatdigital marketing strategy also helps to cope up with competition and therefore, purchasing a wide range of goods from online with the help of internet that also raise high revenue within market.No only this, digital marketing techniques also assist to facilitate with target audience In which company interact and also engage customers within firm in order to develop or improve future relationship as well. In addition to this, this also leads to increase customer retention and targeting better audience which helps to increase customer satisfaction as well as experience. At interactional level, using digital techniques helps to build brand reputation and also deliver better relationship with target audience as well. Such that when customer pay to purchase any product, they become loyal customers and as a result, it leads to brand ambassadors as well. Therefore, it reflect using international digital marketing will help to grow business at global level.Baltes (2015)argues that digital marketing helps to make customer ready to buy things on internet and also interconnected with business as well. For example, in Amazon, when company provides a range of advertisement in social media, it leads to draw attention of many customers and force them to buy things through internet. As a result, It provide easy shopping experience to their customers and also leads to generate revenue as well. Overall, digital marketing helps to make use of different strategies and techniques that helps to attract more traffic as well as deliver best results in order to make sure about survival of a business. Impact of international digital marketing on the performance of Amazon at international level According toChaffey and Ellis-Chadwick, (2019)international digital marketing strategy creates both positive as well as negative impact upon business performance such that it lower 3
down the entry barrier. Traditional marketing method such as radio, television and billboards that all require a huge money for their investment. While on the other side, digital marketing allow the company to reach audience at lower cost and also develop better opportunities that further helps to strongly sustain the brand image at international level. Thus, it is analysed that it is consider more affordable method rather than traditional method that helps to reach wide range of audience. But on the other side,Chaffe and Smith (2017)argues that international digital marketing strategy also creates negative impact upon business performance such that if a firm is unaware of a movement than it did not likely to comply with the competition. Thus, it affect the performance in opposite way and company did not stay aheadin the competition in a market. In addition to this, it is also examined byKannan (2017)that adopting digital marketing techniques within a business firm will also force firm to be innovative and also take initiatives in order to bring something new in a market so that it will help to engage with customers with range of newconcept, services and technologies, as a result, it helps to leads a business towards competition. Not only this, it also allow company to keep transparency between customers and brand which will further help users to know about brand so that they keep interacting within a brand, for example,in the season time, when Amazon offer discount at their products and services, thus, through digital marketing, it let people know about this, will further assist business to generate new source of income and increases its financial performance as well (Positive and negative impact of Digital Marketing,2018). Therefore, it shows that adopting new and advance technologies will helps to generate positive impact upon company's performance. On the other side,Kingsnorth (2019)critically analysed that while introducing digital technology into the business area will also creates negative impact such that company have to introduce new skills and training option for their company's employees. Such that there is a need to make sure company have right staff who may have enough knowledge that helps to make digital marketing strategy successful. Though it is time consuming option because it takes too much time while optimising advertisement campaigns as well as creating marketing content but generate better result as well. That is why, most of the company did not prefer to invest on such things.Mooney and Slobodian (2016)stated thatadopting international digital marketing strategy will also allow the firm to respond customers and also make any adjustment quickly. Such that Amazon may easily solve complaints and queries of many customers through email, even it also adds regular online customer satisfaction survey that helps to identify whether 4
customers are happy with products offering or there is a need to develop any strategy which will assist to attract more customers towards it. Thus, it reflect using digital media will deliver fast results and sales, also provide business to reach at further level of success. Moreover,Stephen (2016)stated that adopting digital marketing strategy will also generate positive impact upon company such that it aid company to reach globally such that Amazon uses digital techniques which further allow a firm to get access to a larger and global audience. Further, it also allow company to find new market option in order to reach customers. Therefore, it is critically analysed that international digital marketing have both positive and negative impact upon business performance but it depend upon business how it measures the result in order to sustain brand image at global level. CONCLUSION By summing up above, it has been concluded that digital marketing strategy helps a business to present its global presence. Such that Amazon is a web based firm that also uses variety of digital technologies in order to draw attention of many customers. In addition to this, report also concluded that digital technology helps to foster intimacy and reach at global level. But on the other side, report critically analysed that international digital marketing strategy also creates negative impact upon business such that it consumes a lot of time and as a result, most of the MNC did not uses, while it helps to generate more revenue options as well. 5
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REFERENCES Books and Journals Baltes, L. P., 2015. Content marketing-the fundamental tool of digital marketing.Bulletin of the Transilvania University of Brasov. Economic Sciences. Series V.8(2).p.111. Chaffey, D. and Ellis-Chadwick, F., 2019.Digital marketing. Pearson UK. Chaffey, D. and Smith, P. R., 2017.Digital marketing excellence: planning, optimizing and integrating online marketing. Taylor & Francis. Kannan, P. K., 2017. Digital marketing: A framework, review and research agenda.International Journal of Research in Marketing.34(1).pp.22-45. Kingsnorth, S., 2019.Digital marketing strategy: an integrated approach to online marketing. Kogan Page Publishers. Mooney, M. and Slobodian, S., 2016. Seeing the wood for the trees: Fixing large undefined problems in digital marketing.Journal of Digital & Social Media Marketing.3(4).pp.294- 303. Ryan, D., 2016.Understanding digital marketing: marketing strategies for engaging the digital generation. Kogan Page Publishers. Stephen,A.T.,2016.Theroleofdigitalandsocialmediamarketinginconsumer behavior.Current Opinion in Psychology.10.pp.17-21. Taiminen,H.M.andKarjaluoto,H.,2015.Theusageofdigitalmarketingchannelsin SMEs.Journal of Small Business and Enterprise Development.22(4).pp.633-651. Online PositiveandnegativeimpactofDigitalMarketing.2018.[Online].Availablethrough: <https://smallbusiness.chron.com/positive-negative-impact-digital-media-business- 20910.html>.