What is the importance of digital marketing?

1. Because Digital Marketing Levels the Online Playing
Field.

Gone are the days when business owners still welcome the notion that Digital Marketing is only for the
likes of multinationals and large corporations that have the sufficient resources required to mount an
online marketing campaign. Digital Marketing actually levels the playing field, providing small and
medium enterprises with the chance to compete against the big boys and attract their share of targeted traffic.
What is the importance of digital marketing? small companies now have the resources to perform sales and marketing processes that were previously available only to large corporations. Without a call centre, small businesses can engage effectively with multiple customers, even to customers from any parts of the world even if they don’t have physical stores or branches in these locations.

2. Because Digital Marketing Is More Cost-Effective than
Traditional Marketing.

Small businesses have very little resources and even capitalization. This is why Digital Marketing
provides them with a better and much more cost-effective marketing channel that delivers results.
Gartner’s Digital Marketing Spend Report highlighted that up to 40% of respondents claimed to get
considerable savings by using digital marketing methods of promotion for their products and services.
That is why according to the Gartner survey, 28% of business owners surveyed will shift marketing
budget allocations from traditional media channels and invest them into digital online marketing tools and techniques. HubSpot confirms this as shown in the chart below that confirms how digital marketers get better Cost-Per-Lead (CPL) compared to other marketing channels.
social media and email delivery lower average CPLs

3. Because Digital Marketing Delivers Conversion

Businesses marketing products and services online measure success by the percentage rate of incoming traffic gets converted into leads, subscribers, or sales, depending on the intended purposes of your website.
Without conversion, all your traffic would mean nothing and all your marketing efforts will simply go to
waste. That is why business owners are streamlining their digital marketing campaigns towards
conversion optimization, making it a top priority above everything else.
Top Priorities for Digital Marketers in 2013
There are several tools and techniques that you can use for your digital marketing campaign such as
Search Engine Optimization, social media marketing, and email marketing. As seen from the chart below
from HubSpot’s 2013 State of Inbound Marketing Report, these three that generate quick and effective
communication and interaction with targeted audiences will deliver better-than-average results in terms of
higher conversion rates.
social media and search above-average lead conversion

4. Because Digital Marketing Helps Generate Better
Revenues.

Higher conversion rates generated by effective digital marketing techniques will deliver loads of
profitable benefits for you and your business in terms of better and higher revenues. Google confirms this
in a study with IPSOS Hong Kong, claiming 2.8 times better revenue growth expectancy for companies
using digital marketing strategies to those who do not.
With better revenue growth expectancy, small and medium enterprises using digital marketing techniques will have 3.3 times better chances of expanding their workforce and business – opening their doors to better, larger, and farther reaching markets both locally and abroad. Google’s Asia-Pacific Head of SME
Kevin O’Kane describes the Internet as rocket fuel for growth for small and medium enterprises.

5. Because Digital Marketing Facilitates Interaction with
Targeted Audiences.

One of the reasons why digital marketing is taking over traditional marketing channels is the ability of
Internet marketing tools to interact with targeted audiences in real-time. Engagement in any form is what
your customers expect to receive when interacting with your brand or business. How your business
handles such engagements and interactions will spell the difference between business success and failure
– just like what eMarketer’s report Key Digital Trends for 2014 is saying as shown below.
real-time marketing stats
Interacting and providing your customers with proper engagement points can give you an insight into what
your targeted audiences want. This vital information will steer you towards making the right set of next
moves, provide your customers with an even better experience, develop good relationships with them – gaining their loyalty and trust that you will need when your business begins to grow.