Most consumers shop across multiple channels – in fact, a whopping 72% want to connect and engage with brands through digital channels. Most businesses have made or are beginning to make the transition to better engage today’s digital consumers. Offline must be integrated with online methods, consumer data must be collected across all touch points, and marketers understand that personalized digital experiences will drive success.
Ever wonder just how much of an impact do digital marketing strategies really make? Or are you considering switching up some of your marketing spend? Take a look at these 5 compelling reasons why you should seriously think about ramping up your digital presence.
1. Consumers Use Multiple Channels Before They Buy
80% of consumer use online channels to research products and services before they make a purchase decision. Furthermore, they use an average of 6 channels.
Be sure your customers and prospects can find you during this critical phase of the shopper journey. According to a recent survey by MarketingCharts.com, digital dominates the biggest increase in marketing spend for 2015. Marketers plan significant increases in spend for email marketing, social media, mobile marketing, search (both organic and paid), and online display advertising.
With so much new spend on digital marketing, businesses must be sure they know their customers and prospects and which digital channels and sites will be most appealing. The world of digital promises big opportunities, but just following the trends without actionable intelligence can be a revenue hemorrhage.
For example, which sites do your prospects use most frequently for research? Which social media sites? What types of incentives will drive the most conversions? Integrating all points of customer interaction and analyzing your marketing database to create a best customer profile will ensure the success of your digital efforts.
2. Customers Who Use Multiple Channels Spend More
Consumers who engage with a brand through multiple channels spend more by as much as 4 times. Two-thirds of shoppers reported using more than one channel during the shopping process.
Focusing on multi-channel shoppers is well worth the effort – not only do they spend more but they tend to be more brand loyal and value conscious. However, while using a mix of digital and traditional channels is important, these consumers will leave a brand if they have a poor customer experience. Be sure you analyze your data to understand what makes your customers tick and use this information to deliver exceptional customer experiences.
3. Mobile Marketing Continues to Rise
Mobile marketing accounts for 34% of all organic site traffic, and up to 78% of mobile searches resulting in a purchase. The digital market is slowly being overtaken by mobile. Messages are increasingly being viewed on smart phones and tablets in comparison to desktops. As more and more consumers view messages and sites on mobile sites, simplicity is key. Large pictures and fluff will detract from your message – keep it simple and to the point.
As personalized marketing also continues to dominate and drive higher conversions, an up-to-date marketing database is key to engaging interactions. Rather than focusing on simply using the recipient’s name, personalized messaging should focus on the person’s location, preferences, and other interests.
4. Consumers Are Continually Looking For Content
Today’s consumers are knowledge driven. They want answers before they walk into your store, reach out to your sales department, talk with channel partners, or purchase from your website. Consumers will spend 23% of their on-line time researching content to get information to help them in their purchase decision. And this number is even larger among today’s younger millennial generation who are the largest population using digital channels.
Content marketing – frequent blogs, posts, article, and social media sharing, keeps fresh content in front of your prospects and customers. Data is also playing an increasingly important role in content marketing. Beyond just writing great content, marketers must analyze the data to understand how to reach and engage the right audience.
5. The Facts: Integrated Digital Marketing Campaigns Deliver Higher ROI
Many companies are still hesitant to invest huge amounts in newer digital channels. It’s all about the ROI and traditional means of marketing and advertising have worked in the past. So how much of a difference can digital marketing really make on the bottom line?
Here are some great studies compiled by marketing agency, BarnRaisers:
- CADBURY: Cadbury’s “Chocolate Charmer” online advertising campaign provided ROI almost 4X higher than their TV campaign. The chocolate brand ran a cross-media campaign for its Dairy Milk brand, covering TV, online ads and YouTube promoted videos. Despite only investing 7% of its budget in online, the brand saw the sector generate 20% of the sales.
- COMSCORE (KELLOGG): Kellogg uses marketing mix models to assess the effectiveness of the various elements of its marketing mix. Results from two Brand Market Mix Models show an increase in ROI of 5x and 6x for digital advertising since Kellogg began using comScore advertising effectiveness services to improve the delivery of its media plans. As Kellogg adds viewability measurement* to its optimization processes, it is expected that these ROI numbers will increase further.
- GOOGLE AND DOVE: Google and Dove worked together to explore the impact of online advertising on in-store sales. The study found that the inclusion of online advertising resulted in a 6% overall sales uplift. Online advertising was most effective when used in synergy with national TV, a combination that led to a 11% sales uplift. Most interestingly, it was found that although the campaign advertised a single product, it was effective in generating sales over the whole range.
The digital marketing landscape is continually evolving and more companies are embracing digital channels. In order to differentiate your company from the competition, data should be at the heart of your digital marketing decisions. Consumers want transparency, personalization, and relevant messaging. They are savvier and driven by information and will ignore the fluff. Let data lead the way as you ramp up your digital presence – there are many compelling reasons to do so.
Download our Marketing Data Solutions Guide to learn how to better understand your customer and prospects in today’s digital age.