1. Digital Marketing Essentials
Session 1 Digital Campaign Planning

2. Learning Outcomes
At the end of this session, students should be able to;
Explain the role of digital marketing within the marketing mix
Explain the principles of digital marketing campaigns
Define and explain the digital communication mix
Syllabus references 1.1, 1.2 and 2.1
This session provides an introduction to digital marketing as well as explaining how an organisation can put together a successful digital marketing campaign.
Recommended reading for this session is chapters 1 and 8 in the Chaffey and Ellis-Chadwick core text book.

3. Marketing Defined
‘Marketing is the process by which companies create value for customers and build strong relationships in order to capture value from customers in return’
This definition reminds us that whether it is traditional or digital marketing, the focus should always be on the customer and creating value for them.
Kotler and Armstrong, 2008

4. Chaffey and Ellis-Chadwick, 2012
Digital Definitions
Digital Media: ‘Communications are facilitated through content and interactive services delivered by different digital technology platforms’
Digital Marketing: ‘The application of the Internet and related digital technologies in conjunction with traditional communications to achieve marketing objectives’
Multichannel marketing: ‘Customer communications and product distribution are supported by a combination of digital and traditional channels at different points in the buying cycle’
It’s important to understand the differences between some of the key terms used within digital marketing and this course.
We also talk about traditional or conventional media in this session, which refers to traditional forms of offline media, such as TV, Radio and outdoor advertising.
Chaffey and Ellis-Chadwick, 2012

5. Key Marketing Communication Concepts
Marketing Communications Term
Definition
Examples
Promotional Tools – The communications mix
Combination of five key communication tools
Advertising, sales promotion, PR, direct marketing, personal selling.
Media
‘Channels of communication that convey or deliver messages to target audiences’
6 main classes: broadcast, print, outdoor, digital, in-store, other media
Vehicle
‘an individual medium that can be selected to carry advertising messages’
Coronation Street, X Factor, Classic FM, Heart Radio, The Sunday Times Websites, Search Engines,
It’s also important to familiarise yourself and understand some of the key marketing communications terms too, which are outlined on this slide.
Adapted from Chaffey & Ellis-Chadwick, 2012 and Fill, 2009

6. The Changing Marketing Environment
Fragmenting Media
Accountability
Role of marketing
Diversity and complexity of choice
Converging Technology and Media
Marketing
Development & use of technology
Corporate Social
Responsibility
An organisation’s marketing environment will influence its performance and it is critical that a business constantly monitors its changing environment and understands the likely impact of any changes.
Digital technologies have accelerated changes in the marketing environment and we have considered some of the key challenges now facing marketers on this slide.
Increased data and analytics
Multi-channel and omnichannel
Proliferation of digital media

7. How the Marketing Mix is changing in the Digital Environment
Product:
Digital Value Experiencing the brand
Price:
Transparency
New pricing models
Place:
Representation New Distribution models
Multi-channel buying
Promotion:
Online Vs. Offline Mix
Integration
People:
Resourcing and training
Contact strategies
Physical evidence:
Online physical evidence
integration
Process:
Optimising internal and external processes through the web
Advances in digital technology have also has a significant impact on an organisation’s marketing mix and the tactics they can now implement:
Product – digital technology has enabled organisations to provide additional value to customers through supporting digital products. For example, Nike created an app to support their FuelBand product for customers to track their fitness and movement.
Price – digital advances have made it easier for customers to compare prices, through price comparison sites, which effects how an organisation can price their good and services
Place – digital technology has changed how an organisation can distribute their products or services, with some intermediaries being removed from the supply chain (disintermediation) or some new intermediaries being created online (reintermediation, such as Expedia, Compare the Market). Organisations also now must consider the multiple channels (desktop, mobile, retail outlet, social media, affiliates etc.) consumers may use to communicate and purchase goods and services from them.
Promotion – the rise of digital media means organisations have new opportunities to reach their audience and communicate with them. However, it is important to ensure that all communications are fully integrated and present a consistent image of the organisation.
People – the increase in consumers using digital channels to communicate and buy from organisations has presented changes in the ‘people’ required within an organisation and their skill set. For example, more staff may now be needed in a customer service role via social media.
Physical evidence – this considers the organisation’s online presence, such as their website, app or social media presence. It’s important for organisations to continually monitor the customer journey and optimise it to maximise conversions and customer satisfaction.
Processes – the advances with digital technology has meant organisations need to create new processes to deal with increase in goods or services being sold online and customers communicating with them via online channels.

8. Growth in Digital Media
In 2002 less than £200 million was spent on UK internet advertising – in 2013, digital advertising spend has crossed the £6 billion mark
In 2013 digital advertising increased by 15% on 2012 with mobile now accounting for 16% of all digital advertising spend compared to only 1.1% in 2009.
While, display advertising representing 30% share of digital ad spend in 2013.
Paid-for search marketing increased 14% from 2012 into 2013.
PWC and IAB conduct an annual Adspend report and these figures have been taken from the most recent report (covering all of 2013).
Read the research highlights here:
Here is an interesting infographic that charts the history of the internet:
IABUK.net, 2014

9. Comparison of Traditional and Digital Media
Traditional Media
Digital Media
One-to-many
One-to-one and many-to-many
Greater monologue
Greater dialogue
Mass marketing
Individualised marketing
General need
Personalised
Branding
Information
Segmentation
Communities
There is a large variety of media that can be used to convey messages to target audiences and these are usually categorised into six main classes:
Broadcast – TV, Radio
Print – Newspapers, Magazines
Outdoor – Billboards, Transit (buses, trains)
In-store – Point-of purchase, Packaging
Other media – Exhibitions, Cinema
Digital media – Search Marketing, Display etc.
This slide considers the key differences and capabilities between traditional media and digital media.
Conventional media promotes one message to many consumers, whereas digital media offers the opportunity for organisations to communicate on a one-to-one basis (for example, through social media). Furthermore, digital media enables dialogue between an organisation and it’s customers through it’s interactive nature.
Digital media enables personalisation of communications and content through the use of technology (for example, personalisation of search results or newsletters)
Traditionally, advertisers tend to emphasise the emotional rather than informational aspect, particularly with low-involvement products/services. While branding is becoming increasingly more important in the digital space; the focus is often more on information provision.
Fill, 2013

10. Benefits of Digital Media – Six I’s
Interactivity
Customer initiated contact. Dialogue not monologue.
Intelligence
Ability to collect low-cost marketing research.
Individualisation
Personalisation of communications.
Integration
Allows further scope for integrated marketing communications (IMC)
Industry restructuring
Disintermediation and reintermediation and the effects on communication with intermediaries.
Independence of location
Increasing reach of communications to global market.
Digital marketing communications differs significantly from conventional marketing communications because digital media enables new forms of interactions. The 6 I’s of the digital marketing mix is a useful way of understanding the differences between digital media and conventional media.
Notice the terms ‘disintermediation’ and ‘reintermediation’ on this slide. These can be defined as:
“Disintermediation is the removal of intermediaries such as distributors or brokers that formally linked a company to its customers” (Chaffey & Ellis-Chadwick, 2012). Digital technologies have provided businesses new opportunities to reach their customer directly. A good example of disintermediation is the increase in consumers who book their flights directly with the airline, rather than choosing to book with a travel agent.
“Reintermediation is the creation of new intermediaries between customers and suppliers providing services such as a supplier search and product evaluation” (Chaffey & Ellis-Chadwick, 2012). The internet has given rise to new intermediaries – for example, online travel agents (like Expedia) or comparison engines.
Chaffey & Ellis-Chadwick, 2012

11. Reasons for Increased Significance of Digital in the Media Mix
Extended reach
Flattening frequency distribution (if audience viewing TV ads are exposed to too many, it may decrease returns)
To reach different kinds of audiences
To provide unique advantages in stressing different benefits based on different characteristics of each medium
To add gross impressions if the other media is cost efficient
Reinforce message by using different creative stimuli
We can see from the previous statistics in this session that organisations are continuing to increase their spend in digital marketing. This slide suggests some of the reasons why digital media is an attractive proposition to reach customers and prospects.

12. Using Digital Media to Support Business Objectives
Reach
Build awareness on other sites and in offline media and drive to web presence
Engage
Build customer and fan relationships through time to achieve retention goals
Act
Engage audience with brand on its website or other online presence
This slide outlines the main business objectives that an organisation is likely to have for its digital marketing activities. RACE consists of four steps designed to help engage prospects, customers and fans with brands through the customer lifecycle - from making them aware of the brand, encouraging them to act, convert and finally retaining them. This framework encourages organisations to select the most appropriate digital media channels to meet their digital marketing campaign objectives.
Convert
Achieve conversion to marketing goals such as fans, leads or sales on web presences and offline
Smartinsights.com, 2010, cited in Chaffey & Ellis-Chadwick, 2012

13. Principles of Digital Marketing Campaigns
Campaign (customer and market) insight
Goal setting and tracking
Segmentation and Targeting
Offer message and development
Budgeting and selecting the digital media mix
Integration into overall media schedule and plan
This slide outlines a structure that can be used for putting together successful digital marketing campaigns:
Campaign (customer and market) insight – which data about customer and competitor behaviour is available to inform our decision?
Goal setting and tracking – Which specific goals should be set for online campaigns and how do we measure success? What response mechanisms will be most effective?
Segmentation and Targeting – how can we target and reach our different audiences?
Offer message and development – how do we specify our offer and key message?
Budgeting and selecting the digital media mix – how should we set the budget and invest in different forms of digital media?
Integration into overall media schedule and plan – how should we plan the media schedule which incorporates different waves of online and offline communications?
Chaffey & Ellis-Chadwick, 2012

14. Customer and Market Insights for Digital Campaigns
Examples of the types of customer and market insight from third-party research sources include:
Site audience reach and composition – breakdown of audiences on different sites (Nielsen Netratings, Comscore, Hitwise. Alexa)
Online buyer behaviour and preferences
Customer media consumption – usage of different offline and online media for different audiences (Hitwise)
Customer search behaviour – keywords research (Google Adwords tool)
Competitor campaign activity – current advertising campaign and previous seasonal campaigns (Ebiquity)
Competitor performance – reach and composition of competitor sites (Hitwise)
The first stage of any digital marketing campaign involves gathering relevant data about customers and their current digital media consumption habits as well as what digital media competitors are also currently using. This research will assist in making suitable decisions for the proposed campaign.
There are a variety of data sources that an organisation can use and this slide provides some examples of these. Not all these tools are free but there are some relevant free alternatives.

15. Goals of Digital Marketing Campaigns
Traffic building goals
Conversion and engagement goals
Third-party site reach goals
Multichannel marketing goals
Chaffey and Ellis-Chadwick suggest there are four key goals of digital marketing campaigns:
Traffic building goals
Use online media and offline promotion to drive traffic to a website which convert to required outcomes (sales, leads etc.)
Conversion and engagement goals
Use on-site communications to deliver an effective, relevant message to the visitor which helps shape customer perceptions or achieve required marketing outcome.
Third-party site reach goals
Reach, influence and engage with prospective customers on third-party media sites
Multichannel marketing goals
Integrate all communications channels to help achieve multichannel marketing objectives by supporting mix-mode buying
Chaffey & Ellis-Chadwick, 2012

16. Objective Setting: The 5 S’s
Benefit of Digital Channel
How benefit is delivered
Typical Objectives
Sell – Grow Sales
Achieved through wider distribution to customers can’t serve offline
Increase online sales for product by 20% in year
Increase conversion rate by 5% in 6 months
Serve – Add Value
Achieved through giving customers extra benefits online
Increase dwell time duration by 10% by 2015
Increase no. of customers using online services by 30% by 2015
Speak – Get closer to customers
Creating a two-way dialogue through digital channels, gather research & information
Increase social media followers/fans by 25% by 2015
Save – Save costs
Through using digital technology (communications, sales, service transactions etc.)
Increase web self-service to 40% of all service enquiries by 2015
Sizzle – Extend the brand online
Achieved through providing a new proposition and experience online
Improve branding metrics such as brand awareness, reach, brand favourability
Chaffey and Smith (2012), suggest a starting point for setting digital marketing objectives is to consider the benefits of digital as a channel, so these benefits can be converted into objectives. The slide outlines how this can be applied.
Chaffey & Smith, 2012

17. Objective Setting: Acquisition, Conversion and Retention
Generate awareness of product/service/brand and encouraging trial
Converting the consumer to a customer and to on site outcomes
Encouraging customer loyalty and product/service/brand advocacy
Objectives can also be stated in terms of acquisition, conversion or retention of customers through digital channels.
Search Engine Marketing
Banner Advertising
Digital PR
Partnerships/Affiliates
Online sales promotions
Social media
Reviews
Social media
Sales promotions

18. Segmentation and Targeting Approaches for a Digital Campaign
Relationship with company
Demographic segmentation
Psychographic or attitudinal segmentation
Value
Lifecycle stage
Behaviour
Once the campaign objectives have been set, the organisation needs to select it’s target audience for the campaign. This slide considers some of the ways in which an organisations can segment its audience and therefore, select it’s target audience for the campaign. Examples of these are listed below.
Relationship with company – Prospects, existing customers, lapsed customers
Demographic segmentation – B2C: Age, gender, geographic location. B2B: company size, industry served
Psychographic or attitudinal segmentation – attitudes to risk and value when buying (early adopter, brand loyal)
Value – current or historical and future value
Lifecycle stage – position in lifecycle, related to value and behaviour
Behaviour – search terms used, responsiveness to different types of offers, channel preference.
Chaffey & Ellis-Chadwick, 2012

19. Campaign Response Mechanisms
Digital Media Creative
Home Page
Microsite/landing page
Company social media presence
Personal (chat or call back)
Offline: post, phone, store
Mobile site/app
An important decision in any digital marketing campaign is where the target audience will be diverted to from the selected digital media. This slides provides some of the options available; however, this choice made will depend on the campaign objectives as well as the audience being targeted.
Chaffey & Ellis-Chadwick, 2012

20. Using Traditional Media To Drive Traffic To A Site
Range of response mechanisms for offline media:
Home page
Microsite of landing page
Microsite/campaign URLS (CURLs)
Social media pages
Within an integrated communications campaign, an organisation may choose to include offline media to assist in achieving their digital marketing campaign objectives. There are a range of options as to where traffic can be driven to from offline media, these include:
Home page – easiest and likely to be most memorable, but can be hard to track ROI
Microsite of landing page – directing consumers to a landing page on the site (such as . Can help measure responses, but can be difficult to remember)
Microsite/campaign URLS (CURLs) – using specific campaign URLs, such as which can be easy to remember
Social media pages – for example, driving customers to their Facebook page (Smirnoff Vodka has used this approach in the past).

21. The 6 Key Digital Media Channels
3. Online Partnership
Affiliate marketing
Sponsorship
Co-branding
Link building
Widget marketing
1. Search Marketing
Search engine optimisation (SEO)
Paid search (PPC)
Paid for inclusion feeds
2. Online PR
Publisher outreach
Community participation
Media alerting
Brand protection
Offline communications
Advertising
Personal selling PR
Sales Promotion
Sponsorship
Offline communications
6. Direct mail
7. Exhibitions
8. Merchandising
9. Packaging
10. Word-of-mouth
Websites & Social Presences
Once the the target audience have been identified, the organisation needs to select an appropriate digital media mix to meet the needs of the audience and the state campaign objectives. This slide outlines the options available and we will discuss how these can be used within an integrated digital campaigns over the next few sessions.
4. Interactive Ads
Site-specific media buys
Ad networks
Contra-deals
Sponsorship
Behavioural targeting
5. Opt-in
House list
Cold (rented lists)
Co-branded
Ads in third party newsletters
6. Social media marketing
Audience participation
Managing social presence
Viral campaigns
Customer feedback
Chaffey & Ellis-Chadwick, 2012
Online Communications
Offline Communications

22. Benefits of Using Offline Communications
Offline communications are most effective in achieving four critical things:
Reach
Brand awareness
Emotional connection with the brand
Explanation of the online value proposition
Offline communications tools can still provide numerous advantages and can be extremely effective when combined and integrated with digital media. These benefits include:
Reach – offline media offers the ability for brands to reach mass audiences, for example, through TV advertising or national press
Brand awareness – offline media has the ability to create brand awareness through generating images, pictures and short messages to inform and differentiate the brand.
Emotional connection with the brand – as we have discussed earlier in the session, digital media focuses more often on providing information, compared to offline communications tools, which focuses on providing more of an emotional connection with the brand
Explanation of the online value proposition – offline media can assist in differentiating the brand from it’s competitors and also differentiating it’s online proposition from its offline proposition (if required). For example, Argos may use TV advertising to advertise it’s ‘Click and Collect’ service

23. Issues in Using Offline Communications to Encourage Online Usage
Higher cost
Higher wastage
Poor
Poorer accountability
Less personalised
Less interactive experience
There are some issues in using offline communications to encourage users to visit the organisation’s web presence, these include:
Higher cost – ROI for online tends to be higher than offline methods.
Higher wastage – online marketing can be effectively tracked to give a true picture of ROI
Poor targeting – targeting by behaviour, location, time and keyword, site content is readily possible online but not always offline (except with direct marketing)
Poorer accountability – can be more difficult and expensive to track responses
Less personalised – compared to digital media as the user cannot be identified individually.
Less interactive experience – most offline communications are one-way, but interaction is possible online.

24. Test your understanding
For an organisation of your choice, assess the effectiveness of the integration between the traditional communications and digital media channels that the organisation currently utilises.

25. Bibliography
Brassington, F and Pettitt, S (2008) ‘Principles of Marketing’, Fourth Edition, Prentice Hall
Chaffey, D and Ellis-Chadwick, F (2012) “Digital Marketing: Strategy, Implementation and Practice”, Fifth Edition, Prentice Hall.
IAB UK (2013) ‘UK digital ad spend up 12.5% to almost £5.5bn’, IABUK.net, [accessed 11 April 13]
Gay, R, Charlesworth, A and Esen, R (2007) ‘Online Marketing – A Customer-led Approach’, First Edition, Oxford University Press
Fill, C (2013) ‘Marketing Communications’, Sixth Edition, Pearson.
Kotler, P and Armstrong, G (2008), “Principles of Marketing”, Twelfth edition, Pearson