Digital Marketing Report: Britain Gas - Traditional vs. Digital

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This report provides an in-depth analysis of Britain Gas's digital marketing strategies. It begins with an introduction to digital marketing and its importance, followed by an examination of Britain Gas's digital platform, including its smart electricity services and online presence. The report then delves into a PESTLE analysis, considering political, economic, social, technological, legal, and environmental factors influencing Britain Gas's digital marketing efforts. The analysis further evaluates the effectiveness of social media advertisement, discussing various platforms like Facebook and YouTube, and their impact on brand awareness and customer engagement. A comparison between traditional and digital marketing methods is also included, highlighting the advantages and disadvantages of each approach. The report concludes with a summary of findings and recommendations for improving Britain Gas's digital marketing strategy.
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Digital Marketing
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BOODY...............................................................................................................................3
TASK 1............................................................................................................................................3
P1:Digital platform of Britain gas...............................................................................................3
P2: PESTLE Analysis..................................................................................................................3
P3: Politics in digital marketing..................................................................................................4
TASK 2............................................................................................................................................5
P1: Social media advertisement...................................................................................................5
P2: Effectiveness of social media advertisement.........................................................................5
P3: Effectiveness of social web...................................................................................................6
TASK 3............................................................................................................................................7
Traditional marketing and Digital marketing..............................................................................7
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................1
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INTRODUCTION
Digital marketing is the marketing process which is done by organizations through the
means of internet and strategies made to improve the effectiveness of digital marketing are called
digital marketing strategy. Britain gas is one of the largest gas and electricity provider of UK,
which gas, electricity and other house appliance services to its customers. Evaluation of micro
and macro environment of digital platform is done in this report with that analysis of
effectiveness of company’s digital platform is done in this report. Evaluation of effectiveness of
implementation of social media marketing is also done in this report. With that evaluation of
difference between traditional and digital marketing is also done in this report.
MAIN BOODY
TASK 1
P1:Digital platform of Britain gas
British gas is an home service provider in UK which provide gas, heating, plumbing and
electrical energy options to its customers. Britain gas Lite is the online digital platform which is
used by Britain gas to provide smart electricity services to medium and small scale enterprises.
This smart digital platform provide high effectiveness over monthly usage analysis such that
customers can efficiently manage their usage and can make payment with much more ease than
compared to traditional process (Bala and Verma, 2018). This new development has made a
significant impact on company’s economical growth because it is able to provide ground
breaking innovative ideas to customers at which they are able to tack their usage which will
provide a better utilization of their services.
P2: PESTLE Analysis
PESTLE analysis is used by organizations to identify the external factors which are having a
direct impact on organizational working in which it comprises of external factors such as
political condition, economical, social, technological, legal and environmental condition of that
geographic location. Now digital marketing is done through the means of internet which is
completely a technological factor but with that there are other factors also which plays an
important role in affecting the digital marketing done by organization (Baltes, 2016). These
factors include political factors which have to consider while promoting product or services. The
social issues also plays an important role in deciding digital marketing because it consist of
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activities such as average age of targeted audience, cultural environment of that targeted
geographic segment, current market trend and lifestyle of customers. These factors are analysed
in detail because through this detailed analysis British gas will be able to identify the
requirement of customer which will empower them to develop strategy such that they are able to
attain high organizational gains which will increase the efficiency of goal achievement for the
organization (Dodson, 2016). Technological factors provide an ability to identify the
effectiveness of advertisement which has to be done by the organization through this high
advertisements can be done in such a way that high output can be achieved at minimum
expenditures. Legal factors consist of legal laws such as governmental policies, taxes payments
and copy right issues these factors are necessary because if the organizational advertisement is
not as per governmental laws or any controversial element then legal actions can be taken against
the advertisement. Thus organization has to follow PESTLE elements even while doing digital
marketing.
P3: Politics in digital marketing
Political factors play an important role in affecting the organizational activities because British
gas has to follow the rule and regulations developed by the governments. This was seen in the
events of BREXIT where UK’s decision of leaving EU has made an negative impact on
company’s working because it has to pay taxes in the areas which were freely available before
the events of BREXIT (Durmaz and Efendioglu, 2016). These factors are also affecting the
digital marketing because geographic reach of organizations is limited and now it has to
improvise its pricing strategy such that it is able to maintain the loyalty of its customer and can
limit the chances of brand switching for which digital marketing is used.
TASK 2
P1: Social media advertisement
With the increment in technological development customers are showing high interest in
communicating with each other through the means of social media. Therefore organizations like
British gas are also using digital advertisement for increasing brand awareness which will result
in increment in organizational sales. Thus social media marketing or digital marketing is much
more cost efficient and much more effective than traditional marketing because company can
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concentrate it advertisement only on targeted audience which will increase the probability of
getting high results.
Social media advertisement include advertisement through social webs such as facebook,
instagram, etc. These channels play a major role in increasing brand awareness because these
platforms are having large number of active customers which they use for communicating with
each other (Jawaid and Ahmed, 2018). Therefore by advertising itself through the means of
social media British gas increase customer’s engagement with organization which will lead to
high brand value awareness and resulting increment in customer loyalty. With that British gas
can also advertise itself through its own personal website, this website or social web will provide
a clear message of organizational goals which will provide an ability to customer to understand
the organizational objectives.
P2: Effectiveness of social media advertisement
Social media provide a high level of efficient communication between customer and
organization which is used to maintain existing customer count and at the same time attract new
customer towards organization. British gas is using various social media advertisement strategies
for advertising itself to a wide range of customers in which this advertisement consist of
advertising activities such as facebook ads, YouTube ads, etc. This digital advertisement
provides an ability to check the effectiveness of advertisement through the means of insights
which is provided by online platforms. This insight enables organization to understand
customer’s feedbacks (Kayumovich and Annamuradovna, 2020). This is used by British gas to
evaluate of effectiveness of its marketing because customers can efficiently provide feedback
about their experience with the organization. This effective evaluation was not available in
traditional marketing because in that advertisement was done through newspaper making it
difficult to provide there feedbacks.
British gas is also using its application “British Gas Lite” through which it is able to
enhance customer’s engagement with organization in which several creative advertising methods
are used which provide high level of effectiveness over customer usage. This enhancement in
customer usage motivates them to increase their engagement with organization providing them
an ability to achieve its organizational goals. This is effective digital advertisement has provided
British gas an competitive edge over other energy service providers such as Npower. Npower is a
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UK based electricity service provider which provides its services to domestic and commercial
customers. In which Npower uses traditional and digital marketing for advertising itself to wide
range of customers such that it is able to increase its customers count. Npower is showing high
interest in advancing its organizational working by implementing technological developments
and for achieving this it is implementing technologies such as AI by through which is able to
improve customer’s experience with their increasing involvement (Kuberappa and Kumar,
2016). But in case of British gas it is using limited technological development due to which it has
to manually update its application on the basis of customer requirements.
Thus it can be evaluated that even through British gas and Npower, both are electricity
provider but due to variation in social media advertisement both are having differences in their
organizational sales. Therefore British sales must enhance its digital advertisement so it can
achieve a competitive edge over other market competition, by which it will be able to attract new
trendy crowd which will result in improvement in organizational working.
P3: Effectiveness of social web
Organizational strategies are made in such a way that they are able to attract new customers
towards organization, thus organizations have to implement organizational changes such that
they are able to increase their customer which will lead to higher profit margin. Therefore
organizations like British gas have to work according to the changing market trend, such that
they are able to attract large number of customers towards the organization. Therefore company
has to evolve its working strategies as per current market trend, through which company will be
able to attract and customers toward itself and attracting new customers will lead to higher profit
margin (Lawrence, Deshmukh and Navajivan, 2018). Therefore company has to show higher
level of interest in advertising itself through social web or digital marketing because customers
are showing high interest in communicating with each other through the means of social webs
and advertising in social web will lead to higher customer count.
It is important for organisation to maintain the existing customer account because if the
organisation fails to maintain the loyalty of its existing customer then in that case organization
will not be able to enhance it profit margin because profit margin of a company is directly
proportional to the sales which is having. Thus high organizational sales lead to higher profit
margin which will increase the probability of goals achievement but for that higher sale are
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required and hire sale requires addition to customer account for which loyalty of existing is
important. Customer loyalty can be enhanced by improvising communication bridge between
organisation and customer and thus social media is a effective and efficient way to communicate
with customers therefore British gas uses this to modify its communication bridge with the
customers so they will be motivated to maintain their loyalty with the organisation and at the
same time it will also reduce the probabilities of brand switching this will give and hai
competitive edge over other market competition which will be beneficial for organisation in
achieving its organisational goals.
TASK 3
Traditional marketing and Digital marketing
Marketing is the organizational activity for reaching wide range of customer such that
organizational sales can be increased, with the development in technology organizations are
changing the ways of advertising their products and services because customers are changing the
ways of buying products. Thus changing marketing pattern with changes in market trend allow
organizations to compete in the market such that they are able to achieve organizational goals.
With the advancement in technology and introductions to social media customer are showing
high interest in communicating with each other through the means of internet where they can
communicate through text messages, voice messages, images and short videos. This uniqueness
is attracting wide range of customers towards it and because of which social media customer are
increasing in numbers (Ruan and Siau, 2019). So organizations like British gas has evaluated the
condition and are advertising their products and services through social media, by doing so it is
able to increase the brand awareness which has empowered it to attract new customer towards
organization for increasing organizational sales. Social media marketing is much more effective
than traditional marketing because in this advertisement is done through the means of internet
and no tangible item is involved in this activity due to which organizational expenditures are
reduced and advertisement is much more effective.
Digital marketing is also having its some disadvantages such as its limitations. Digital
marketing may reach wide ranges of customers but still this is limited to literate and internet
users due to which is having its limitations. Since only a limited segment of society is educated
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and even more concentrated of them are internet users which are ready to show to high level to
trust on buying products which are not tangible. Therefore this factors is limiting the digital
marketing done by British gas, thus it has to implement a proper integration of traditional and
digital marketing. But in that case organizational expenditures are increasing because it is
showcasing products through two different methods therefore a proper theoretical approach has
to be implemented such that high effectiveness can be achieved at minimum expenditures.
For achieving high level of advertisement productivity at minimum expenditure organization
uses product aging method for developing the type of advertisement which is required for
advertising product and services (Todor, 2016). In product age analysis product’s life span is
divided into three different segments which are new developed product in this high level of
advertisement is done such that high level of brand awareness can be achieved which will lead to
high sales because the customer are assured of getting something new. Thus through high
promotion company aims to fulfil its investments and for that creative advertisements are used
which comprises of activities such as social media promotion and traditional promotions. Social
media promotions are also divided into different segments such as imagery like facebook and
instagram and then video based such as YouTube. Once the advertisement for the initial stage is
done then arises the second advertisement stage at which product reaches maturity in which high
brand awareness is already being spread and product is performing well in market due to which
advertisement is reduced. This is done only to spread the awareness of product such that
customers can be made assured that the product is still available at the market and is still a trendy
product. This reduced advertisement is done to maintain the customer engagement with the
organization, this reduces advertisement is done to attract customer or to maintain the
engagement of customer with the organization.
Since reduced advertisement is required at this stage because of which British gas can eliminate
traditional marketing which will empower it to reduce the expenditures and at the same time
maintain high effectiveness with organizational customers (Zhu and Gao, 2019). Now in the final
stage product reaches saturation stage where it is having a decent sales and customer are showing
interest in buying the product thus digital marketing can also be reduces at this stage because
buyers are already aware to product’s availability. But in order to maintain customer engagement
organization can maintain its connection with customer through the means of organizational
website or through email marketing. This is cost efficient and at the same time is maintaining
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high customer engagement with the organizational activities. Therefore it can be evaluated that
digital marketing and traditional marketing both have some advantages and limitations, thus
through proper implementation of these two marketing strategies organization like British gas
can achieve high level of effectiveness at reduced expenditures because it is implementing a
balanced operation of culture and innovation. This mixed operation is called as creative
marketing where several innovative steps are taken by organizations which generate high interest
in customer’s mind resulting in high involvement this lead to high organizational sales.
CONCLUSION
From the above analysis its can be concluded that organizations have to closely monitor market
condition due to which it will be able to improvise its operational strategy such that high results
can be achieved. Thus due to this creative utilization of resources traditional marketing was
develop and has become an important part of business to become successful at their respective
work place. But due to several technological developments and high customer involvement
organizations are improvising the ways to doing marketing, due to which it is able to attain a
high competitive edge over other market competition.
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REFERENCES
Books and journals
Bala, M. and Verma, D., 2018. A critical review of digital marketing. M. Bala, D. Verma (2018).
A Critical Review of Digital Marketing. International Journal of Management, IT &
Engineering. 8(10). pp.321-339.
Baltes, L.P., 2016. Digital marketing mix specific to the IT Field. Bulletin of the Transilvania
University of Brasov. Economic Sciences. Series V. 9(1). p.33.
Dodson, I., 2016. The art of digital marketing: the definitive guide to creating strategic, targeted,
and measurable online campaigns. John Wiley & Sons.
Durmaz, Y. and Efendioglu, I.H., 2016. Travel from traditional marketing to digital
marketing. Global Journal of Management and Business Research.
Jawaid, M. and Ahmed, S.J., 2018. Pharmaceutical digital marketing and its impact on healthcare
physicians of pakistan: A national survey. Cureus. 10(6).
Kayumovich, K.O. and Annamuradovna, F.S., 2020. The main convenience of internet
marketing from traditional marketing. Academy. (1 (52)).
Kuberappa, Y.V. and Kumar, A.H., 2016. Comparative assessment of digital and traditional
marketing ap-proaches. Biology, Engineering, Medicine and Science. 2(2).
Lawrence, S., Deshmukh, S. and Navajivan, E., 2018. A Comparative Study of Digital
Marketing vs. Traditional Marketing. IIBM'S Journal of Management. pp.112-121.
Ruan, Z. and Siau, K., 2019. Digital Marketing in the Artificial Intelligence and Machine
Learning Age.
Said, N., 2019. Analysing the impact of digital marketing and emerging technologies on Maltese
SMEs (Bachelor's thesis, University of Malta).
Todor, R.D., 2016. Blending traditional and digital marketing. Bulletin of the Transilvania
University of Brasov. Economic Sciences. Series V. 9(1). p.51.
Zhu, G. and Gao, X., 2019. Precision retail marketing strategy based on digital marketing
model. Science Journal of Business and Management. 7(1). pp.33-37.
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