Magmic Inc. Case Study: Analysis & Digital Marketing Strategy Plan

This case study examines the challenges faced by Magmic, a mobile gaming company, due to a lack of a formal digital marketing strategy. The report analyzes the company's declining daily active users and revenue, attributing it to increased competition and the evolution of technology. It proposes a SMART digital marketing strategy focused on increasing sales, improving conversion rates, enhancing return visitor percentages, boosting organic traffic volumes, and reducing bounce rates. The strategy emphasizes the importance of SEO, SEM, social media marketing, responsive web design, and content marketing. The report suggests tactics such as acquisition and retention strategies, cross-promotional networks, and experimentation with various digital marketing tools to achieve a competitive advantage and improve Magmic's overall market performance. The ultimate goal is to provide a roadmap for Magmic to revitalize its digital presence, attract more users, and increase revenue through effective digital marketing practices.

Running head: DIGITAL MARKETING PROBLEMS
DIGITAL MARKETING PROBLEMS
Name of the Student
Name of the University
Author Note

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Analysis
In this report the discussion is going to be done based on the Magmic company issue.
Magmic company is a mobile game company that was founded early in 2001by Jake
Crommel and Jeff Oslap. The main objective behind developing this company was to design
a platform for gamers. However they had very minimum knowledge regarding this field. The
organization gained huge responses from different large companies. With the enlargement of
their market the organization gained over 200 employees and around millions of phones has
their games throughout the world. However with the market crash in the year 2008-2009
Magmic faced huge business loss as the growth slowed down. However with the growing
technology the organization has faced several challenges. As the number of smart phones are
increasing the demand for good and user friendly games are also increasing. Thus it is
observed that the daily active users are falling and along with this the total revenue is also
getting effected. As the technology has evolved everyone was able to launch newly
developed games. This made it difficult for the organization to compete with the market.
Moreover the pricing models had also changed over time. This also created a gap for the
organisation. Now the maximum games were offered free of costs. After analysing the count
of active users it was observed that the number of users has reduced to 2, 00,000 from 5, 00,
00. This has affected the revenue over the quarter. This has affected the organizations share
market widely. The reason behind this is that the organization never had any formal
marketing strategy. They never wanted to adapt any formal strategy plan. The main issue that
was faced is to handle the concept related to digital marketing. The organization was not able
to expand their business as per the need of the market. This situation lead to the decrease in
the revenue of the market. The organization should have addressed the situation at earlier
situation so that the problem could have mitigated easily.

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Objectives
The main objective of the organization is to develop a proper digital strategy that will
help in improving the working of the organization. While working for the organization it
becomes important to understand the need of the system. From the case study it can be stated
that the Magmic organization has faced several challenges due to the lack in formal
operational strategy. The digital marketing objective applied should be SMART that is it
should include specific, measurable, achievable, relevant and time related. Apart from this the
organization should adapt a strategy that will give competitive advantages against the
competitors. The five main objectives related to the marketing strategy includes increase
sales, improves the conversion rate, percentage of return visitors and also helps in reducing
the bounce rate. Apart from this organic traffic volumes is another objective that will help in
developing proper strategy for digital marketing within the organization. Digital marketing is
done with the use of SEO, video production, email marketing, content marketing, social
media and branding. Once any organization gets associated with high brand value the market
value of that organization increases. The several objectives offered are as follow:
 Increases sales: increasing sale helps in developing the level of digital marketing.
This helps in improving the revenue and makes it easy to measure. In order to
determine the progress of the organization it is important to use key performance
indicators. This will help in identifying the progress of the system within the
organization.
 Improving conversion rate: this is one of the most useful digital marketing
objectives that can be tracked with the use of Google analytics. Once the organization
sets a particular goal within the analytics the Google analytics will prepare reports
based on the conversions that will help in addressing the traffic sources, campaigns,
keywords and many more.

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 Percentage related to return visitors: this objective includes analysis of the
chances that a new vs. returning visitors. This uses analytics to ensure that what
percentage of people are likely to get associated with the system. This is important to
hold old customers rather than focusing on new customers. Once the service is being
liked by the new customers. The chances increases as they are likely to stay
associated with a brand that offers proper objective towards them.
 Organic traffic volumes: this includes showing the search engineer result pages.
This is considered to be the free traffic and is different from paid traffic. Several
business organization has implemented this objective in their organization to increase
the organic visitor traffic by achieving high search engine ranking with
implementation of search engine optimization. This needs to implement proper
changes within the website that are effective at improving the rankings and also
includes several keywords. Apart from this developing a quality link with website is
another way of implementing proper digital marketing.
 Reduce bounce rate: bounce rate is basically known as the analytics that as defined
by people entering the site and leaves without viewing the page completely. This
helps to measure the site based on the quality. As every organization aims at having a
customer who will complete all the actions while working with the website.
Thus from the above objective it can be stated that SMART objectives will help in proper
running of the organization and will attract more profit. This will help the organization
Magmic to increase their revenue and will attract more active users. Digital marketing
strategy will help in achieving the objectives related to the organization and will also help in
providing proper promotional tactics throughout the people. Apart from this the organization
will be able to choose proper budgets that will ensure proper advantages towards the
organization.

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Strategy
Formerly, Magmic was backdated and inefficient in the implementation of strategical
planning during the earlier phases of the business. The company’s earlier strategy and
marketing was basic and depended on an earlier desktop-based website to converse and
inform the customer about the query and new applications respectively. Obviously, the need
of better strategy was not found important due to the lack of competition in the market.
However, the requirement for strategical planning was found as a prioritizing topic after the
inexperienced Jaden Scott was appointed as the marketing manager. The character was
change initiator while the mobile industry demanded for only changes. According to the
Scott’s realization of the strategical planning, he first focused on making money by basis of
providing importance to two factors, namely-
 Acquisition: The term simply refers to the addition of new customers. Gathering new
consumers involves the offering consumers to purchase a product or service
developed by the company.
 Retention: The term ‘Retention’ or Retention Marketing simply means the method of
marketing to make customers more engaged in a product so that, they visit the store to
shop more often. This is a shift that focuses on acquisition of numerous new
consumers, and also focuses on the profitability of the old consumers.
In the following context, Mr. Scott also had a similar plan which is considered as a great
initiative. The strategy was to acquire new users and keeping the old users too. However, the
process of acquisition became a challenge due to the entrance of new competitors in the
market. Thus, the manager responsibly kept the old users. He, further formulated a cross-
promotional network in the Magmic’s applications to advertise other games while a user is
engaged in one game. Again, the process was still under development stages and needed a lot

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of work for correct implementation. The marketing manager was also informed of SEO and
ASO developments yet experimented none.
Moreover, in the mid 2011’s, the popularity of social media platforms like Facebook and
Twitter was evident. The manager had scope of advertising through the usage of social media
yet they gained nothing. Again, the lack of experimentation had become an issue in the
inferior implementation of a great idea. Digital marketing is a popular platform where success
is achieved by trial and error methods. Mr. Scott was unsure of the stage and was more
focused on the risk factors. Lastly, the CEO of the company was concerned of the vulnerable
situation while digital media was becoming a popular trend among public and Magmic was
unable to efficiently obtain underlying benefits from the platform. To the response of the
criterion asked by the CEO, finally, Mr. Scott realized and expressed his views as he
suggested that creation and execution of digital marketing strategies would be the ideal step
to be inherited by the company for constant financial benefit. The implementation of the
digital marketing strategy is extremely useful as it influences the minds of the consumers and
the cost of implementation is less due to the digital flexibility of the platform rather than a
physical one. The advertisement can also reach all over the world under a hassle-free process.
Tactics
The implementation of different strategies by Mr. Scott has been targeted to an ideal
initiative towards the success of the organization. The idea of adopting the methods of
acquisition and retention is generally regarded as the basic elements to boost the popularity of
the company in the market while being in touch with different consumers. However, during
the reflection on the strategic theories of Magmic, certain criterions should have been
achieved in order to achieve a greater competitive advantage in the market, such as-

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 SEO: This is the most important aspect in digital marketing. Search Engine
Optimization makes the visibility of the website above all of its competitors. With the
appropriate implementation, SEO increases a website’s visibility, conversion rate,
user traffic and ROI. Thus, the use of SEO would be a great option for better
efficiency and global reach.
 SEM: Search Engine Marketing is a literally ‘Bang for one’s buck’ for any
organization. The process generalizes the online advertisement which is found an
essential element to be added in today’s competitive market. One of the great things
about SEM is that it offers the advertisement team an opportunity to place their ads
straight to the customers who are ready to purchase the item at the same moment.
None of the advertisement mediums are capable of doing this.
 Social Media Marketing: Social media platforms are gaining popularity every day
and are always on trending topics around the world. The number of users are also
growing sequentially. To understand the part of digital marketing in the same
platform, the data of an individual can be gathered easily as it is already available in
their profiles, and products can be categorized according to their obtained preferences.
This is really a bright area of marketing. Another positive side is that the promotion is
free on the social media stage.
 Responsive Web Design: People use mobiles, desktops, smart TV and more,
alternatives to browse a particular website. Building a website that can conform to any
of the platforms is regarded as one of the essential areas of digital marketing. Hence,
responsive web design gains significant importance.
 Content Marketing: This is an extra added bonus to the digital marketing. In the
modern world, the focus of a customer is always on the content as if it clarifies their

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requirements or not. The content should be relevant, valuable and consistent to
negotiate the time of those consuming it.
Further, more tactical steps like native advertising, marketing automation and
influencer marketing can be executed in the Magmic’s marketing department for added
benefits. While, the organization can opt for better results, deep scrutiny is required to
evaluate the tactics properly in the competitive market. Lastly, the experimentation ideas of
Mr. Jaden Scott were bright yet lacked proper implementation. Maintenance of the mentioned
tactical methods are certain to produce a better future than now.
Implementation
With the growing technology it becomes important to ensure that proper
implementation for improving the technology. The digital marketing will ensure that the
market has evolved as per the need of the market. The business strategy that is developed
should be findable online so that the user can easily search for the site and get associated with
the organization. Before implementing the strategy the organization needs to know the need
of the organization and the objective associated with the business. As the organisation aims at
providing better gaming facility towards the users. Thus it is important to develop games that
will run smoothly on every type of interface. The organization should discuss the objective
goals in such a way that it gets fit into the digital marketing plan. Apart from this the
organization should focus on the past mistakes that will help in a development of better
future. Digital marketing helps in providing promotion of the products with the help of
electronic media. This differs widely from traditional marketing as there is no involvement of
channels for providing promotions. However it becomes very much important for the

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organization to follow the following steps before implementing digital marketing within their
organization. This are as follows:
 Conducting research based on the market need: the organization needs to research
the vital target of the organization. According to the target the suitable channel will be
selected by the organization. This will help to reach maximum customers. Market
research and proper surveys will help in updating the information that will help
throughout the digital marketing process.
 Developing the strategies for digital marketing: the organization should remember
that the special occasions are the ones that helps in attracting the maximum
customers. Thus proper customer gets attracted by this festive offers. The
organization needs to expand their business with the help of online promotions. This
also includes providing multiple type of channels for choosing the proper marketing
strategies. The different type of strategies that are used for the purpose of digital
marketing includes email marketing, search marketing, mobile marketing and affiliate
marketing.
Advantages offered with the implementation of digital channels
The most effective way of achieving the marketing goals includes email marketing,
search marketing and evaluate marketing. Email marketing strategy is one of the effective
ways to reach to the audience. This also helps the user to make tool with better design and
content in such a way that will attract a large group of people. However the business should
create effective emails that will attract more peoples. On the other hand search marketing is
used to determine the key words that will help in creating visibility more effective. The user
will be able to search for the products more quickly. Mobile marketing is another marketing

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that helps in discussing the use of mobile devices for performing searches. This is an
effective way of marketing and helps in reaching to maximum effective users.
Apart from all this the organization needs to evaluate proper method with
effectiveness towards the digital marketing strategies. The organization should ensure that
proper communication is done between the marketing team and the sales team so that the
proper analysis of the market can be done with less efforts. Business organization should
always follow a proper profile that will help in the growth of the organization. Proper setup
will help the organization to manage their revenue properly.

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