What is Digital Marketing?

Digital Marketing is a dynamic and constantly evolving field that requires businesses to stay up-to-date on the latest technologies and trends in order to effectively reach and engage with their target audiences. Here we have discussed what is digital marketing and its benefits and scope.

What is Digital Marketing? (Introduction)

Digital marketing refers to the use of digital channels, such as search engines, social media, email, mobile apps, and websites, to promote a brand, product, or service. It involves a range of tactics and techniques designed to attract, engage, and retain customers online.

Digital marketing is a rapidly evolving field, with new technologies and strategies emerging all the time. Some of the key areas of Internet marketing include search engine optimization (SEO), social media marketing, content marketing, email marketing, mobile marketing, and online advertising.

The goal of Internet marketing is to reach a targeted audience through a variety of electronic channels and to persuade them to take a specific action, such as making a purchase, filling out a form, or subscribing to a newsletter.

Internet marketing is particularly effective because it allows businesses to track and analyze the performance of their marketing efforts in real-time, and to make adjustments based on that data.

Digital Marketing Meaning

  • Digital Marketing means the use of digital channels to market products and services in order to reach customers.
  • Digital Marketing is also known as Internet Marketing or Online Marketing.

Definition of Digital Marketing

Digital Marketing can be defined as a promotion of products or brands using different forms of electronic media.

Digital marketing is a marketing approach that utilizes electronic technologies, channels, and platforms to reach target audiences and promote products or services.

  • Online Marketing comprises the same marketing values and concepts as traditional offline marketing except it is marketed through electronic media or on the Internet.
  • Some of these Digital Platforms include Social Media, Search engines, Emails, Websites, Affiliate Portals, and Even display advertisements.

Digital Marketing Definitions by Various Authors

  • Digital Marketing includes the use of the Internet and related digital technologies to achieve marketing goals. – Chaffey (2003)
  • Digital Marketing is a form of communication and interaction between an organization and its customers through digital channels (internet, email, and others) and digital devices. – Kotler (2009)
  • Digital Marketing is defined by the use of numerous digital tactics and channels to connect with customers where they spend much of their time online. – Hubspot

History of Digital Marketing

Digital marketing has its roots in the mid-1980s when the SoftAd Group, now ChannelNet, created advertising campaigns for automobile companies. These campaigns involved people sending in reply cards found in magazines and receiving floppy disks containing multimedia content promoting various cars and offering free test drives.

The term “digital marketing” was first used in the 1990s and has since grown in popularity, with terms such as online marketing, web marketing, and internet marketing often used interchangeably.

In the 2000s and 2010s, the proliferation of devices capable of accessing digital media at almost any given time led to significant growth in digital advertising. Statistics from 2012 and 2013 showed that digital marketing was still a growing field. While the term “online marketing” is prevalent in the USA, “web marketing” is used in Italy, and “digital marketing” has become the most common term in the UK and worldwide, especially after 2013.

The growth of digital media has been significant, with an estimated 4.5 trillion online ads served annually and digital media spending at 48% in 2010. However, the increasing use of online behavioral advertising (OBA) to tailor advertising for Internet users has raised concerns about consumer privacy and data protection.

Objectives of Digital Marketing

  • Increase Brand Awareness
  • Generate Leads and Sales
  • Reduce Cost Price for New Customers
  • Enhance Customer Experience
  • Drive Website Traffic
  • Improve Customer Engagement and Retention
  • Enhance Customer Experience
  • Gather Insights and Analytics

Increase Brand Awareness: By leveraging various digital channels, businesses can increase their visibility and reach more potential customers.

Generate Leads and Sales: Digital marketing tactics such as SEO, content marketing, social media advertising, and email marketing can be used to attract and convert leads into customers.

Reduce Cost Price for New Customers: By offering discounts, promotional offers, or other incentives, businesses can encourage new customers to try their products or services, which can lead to repeat business and increased customer loyalty over time.

Enhance Customer Experience: Gathering customer feedback through surveys and other tools can also help businesses improve their customer experience and address any issues or concerns customers may have. Ultimately, enhancing the customer experience can lead to higher customer retention rates and increased sales.

Drive Website Traffic: Internet marketing can be used to drive more traffic to a website or landing page, which can help increase the number of leads and sales generated.

Improve Customer Engagement and Retention: Internet marketing channels provide an opportunity to engage with customers through personalized messaging, social media interactions, and targeted advertising.

Enhance Customer Experience: Online marketing can be used to improve the customer experience by providing valuable content, responsive customer service, and personalized offers and recommendations.

Gather Insights and Analytics: Internet marketing allows businesses to gather data on customer behavior, engagement, and conversion rates, which can be used to optimize marketing campaigns and improve overall performance.

Nature and Characteristics of Digital Marketing

Here are some of the nature and characteristics of digital marketing:

  • Data-Driven
  • Multi-Channel
  • Interactive
  • Real-Time
  • Cost-Effective
  • Global Reach


Digital marketing relies heavily on data analytics and insights to identify target audiences, track consumer behavior, and measure campaign performance. Internet marketing channels such as social media, search engines, and email marketing provide valuable data on customer interactions and engagement.


Online marketing utilizes multiple channels and platforms such as social media, email, mobile apps, search engines, and websites to reach and engage with target audiences. This allows for greater flexibility and adaptability in marketing strategies.


Internet marketing allows for two-way communication and interaction between businesses and consumers. This can include social media engagement, chatbots, email marketing, and website interactions, among others.


Digital marketing allows for real-time tracking and measurement of campaign performance. This allows businesses to quickly adjust their strategies and optimize their campaigns based on real-time data.


Digital marketing can be more cost-effective than traditional marketing methods. This is because Internet marketing channels can be targeted more precisely to specific audiences, reducing wasted ad spend and improving the return on investment.

Global Reach

Online marketing has the potential to reach a global audience, making it easier for businesses to expand their customer base beyond their physical location.

Scope of Digital Marketing

  • Search Engine Optimization (SEO)
  • Pay-per-click Advertising (PPC)
  • Content Marketing
  • Social Media Marketing (SMM)
  • Search Engine Marketing (SEM)
  • Affiliate Marketing
  • Email Marketing
  • Mobile Marketing
  • Analytics and Data Analysis
  • Inbound Marketing

Benefits of Digital Marketing (Advantages) 

Internet marketing offers a wide range of benefits and advantages for businesses of all sizes. Here are some of the top advantages and benefits of digital marketing:

  • Increased Reach
  • Targeted Advertising
  • Cost-Effective
  • Increased Customer Engagement
  • Better ROI
  • Improved Customer Experience

Increased Reach: Digital marketing allows businesses to reach a wider audience than traditional marketing methods, as it can be used to target customers locally, nationally, and even globally.

Targeted Advertising: Online marketing provides the ability to target specific audiences based on demographics, interests, behaviors, and other factors. This allows for more effective and efficient advertising campaigns, as businesses can focus their marketing efforts on those most likely to be interested in their products or services.

Cost-Effective: Internet marketing can be more cost-effective than traditional marketing methods, as it typically requires less investment in physical materials and has lower distribution costs. In addition, Internet marketing channels allow businesses to track and analyze campaign performance in real time, making it easier to adjust strategies and optimize spending.

Increased Customer Engagement: Internet marketing channels such as social media and email allow for two-way communication between businesses and customers, increasing customer engagement and building brand loyalty.

Better ROI: Online marketing channels can be measured and analyzed to determine the return on investment (ROI) of marketing campaigns. This allows businesses to focus on the most effective strategies and optimize their marketing spend.

Improved Customer Experience: Internet marketing provides opportunities to create personalized and engaging customer experiences through channels such as social media, email, and mobile apps. This can lead to increased customer satisfaction, loyalty, and advocacy.

Limitations of Digital Marketing

While Online marketing offers many advantages, there are also some disadvantages that businesses should be aware of. Here are some of the top limitations of digital marketing:

  • Dependence on Technology
  • Ad Blindness
  • Privacy Concerns
  • Limited Reach
  • Difficulty Measuring ROI

Dependence on Technology: Digital marketing requires a reliable and up-to-date technology infrastructure to operate effectively. This includes everything from websites and social media accounts to email marketing platforms and online advertising networks. Any disruptions or technical issues can result in decreased effectiveness of Internet marketing efforts.

Ad Blindness: With the abundance of digital ads across various platforms, customers have developed ad blindness, where they tend to ignore or tune out ads altogether. This can make it difficult for businesses to effectively reach their target audience.

Privacy Concerns: As Online marketing relies heavily on the collection and use of customer data, there are concerns about privacy and data protection. Customers are increasingly aware of these concerns, and businesses must be transparent about their data collection and usage practices to maintain trust.

Limited Reach: While Internet marketing can reach a wide audience, there are still some demographics and segments that may not be effectively reached through digital channels. This can be especially true for older or rural populations that may have limited internet access or use.

Difficulty Measuring ROI: While Online marketing channels provide more detailed data and analytics than traditional methods, measuring the return on investment (ROI) of Online marketing efforts can still be challenging. This is especially true when there are multiple touchpoints and channels involved in the customer journey.

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