Why is important to use digital marketing in your

business to create more loyalty and feedback?

Scientific Research Methodology and Research

Project 1

By:
David Roberto Arriaga Garcia

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 INDEX

Scientific Problem2
Research Purpose & Goal2
Introduction..2
Digital Marketing Definition3
Importance3
Companies in Digital Media.........4
Loyalty..6
Loyalty Measurement Tools.6
Feedback...7
Conclusion8
Resources..9

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Scientific Problems:
1. WHY AND HOW CAN AID DIGITAL MARKETING CREATING LOYALTY?

2. WHY AND HOW CAN DIGITAL MARKETING HELP US TO IMPROVE

FEEDBACK?

Research Purpose & Goal

PURPOSE:

Analyze and understand which are the different tools to implement in Digital Marketing to
improve loyalty and feedback.

GOAL:

Using Digital Marketing tools to develop loyalty and feedback data.

Introduction
Nowadays the use of technologies is growing rapidly and that is why companies are starting to
be into digital world. With the information we will analyze here we can understand the
importance of digital marketing and see how it directly influences the areas of creating loyalty
with the client and obtaining feedback.

There is a wide variety of tools and methods that can be implemented in business to enhance the
benefits of the company depending on the turn of the company and the market it is focused on.
That is why there is no precise formula to know which or how much budget to allocate to create
a digital marketing strategy.

Also here we can take into account what may be the advantages and disadvantages of starting to
use digital marketing and which are the most used by companies.

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Digital Marketing Definition
Digital Marketing is the development of marketing and promotion strategies within digital
media, where the areas and strategies used in offline marketing are also used and translated to the
online world, but within which the use of new tools such as; Google, social networks and the
possibility of digital measures of profitability of each of the used strategies.

Digital marketing can be implemented Web positioning in search engines, network management
in the community manager, in electronic commerce (e-commerce), online advertising, and also
includes advertising by mobile phone, advertising on digital screens or by any other digital
medium.

Importance
A study conducted to managers of various companies, revealed that 56% of them classified as
extremely important the use of digital media for commercial purposes.

Social networks offer many advantages, for example, the firm Ainscough and Luckett (1996)
argued that " The web can be used for publishing, online sales, market research, and customer
support. Others like firm Whitla (2009) argued Web can assist in brand building, generating
word-of-mouth communication among consumers, buzz marketing, and crowd sourcing.

In addition to helping with the execution of marketing strategies, the Internet may improve the
firm's overall performance (Eid & El-Gohary, 2011).

Digital Marketing in addition to contributing to the development market strategies also helps to
position the brand (since in the study 82% of managers classified it as extremely important, it
also contributes to increase knowledge (78% of managers) it also helps increase the flow in
communication (70% of managers).

In the following table we can see in order of importance those in which aspect contributes more
the use of digital tools, according to the managers surveyed in our study:

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Companies in Digital Media

Companies are quickly learning what the benefits of introducing digital technology are and
social networks and the most important factor for the use of companies in digital media in the
low investment required in comparison with traditional marketing. However, 18% of the
surveyed companies affirm that they plan to increase the budget destined for digital marketing
and surprisingly 45% have planned to increase their personnel in this area.

But o standard formula exists to determine how much a company should invest in digital social
networks; various company-specific features, including the internal digital infrastructure, media
choices and customer preferences: affect investment decisions, agued (Weinberg & Pehlivan,
2011).

In the following table we can compare how many small companies are using already Facebook
platform and how many percentage of them have intentions to expand in digital ways to others.

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In the following table we see a task considering the percentage of money spend in Facebook
Adds considering 1,200 small companies:

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Loyalty
Loyalty is one of the most critical and constructive points of marketing. This causes the client to
intend to reacquire the same brand. Studies conducted also indicate that the customer can be
loyal to more than one brand.

As we know, customers go through different stages in the purchase process starting with
consideration, familiarity, consideration, evaluation and purchase. And if consumers consistently
receive value when buying a brand, it is too likely that customers will return and become loyal
customers.

In the case of an off-line purchase, the process becomes extremely extensive, especially in the
consideration and evaluation stages. Whereas in digital environments these stages of purchase
can be compromised or included in some cases eliminated.

In a digital environment, the client can gather information by researching in the search engines,
forums, and online stores and read the comments of other clients on sites that are not controlled
by the seller.

The demand of the purchase can be created just by seeing a publication in a social network;
therefore the clients can advance to the making of a fundamental decision in a much shorter
period of time.

Loyally Measurement Tool:

To measure CLI (Customer Loyalty Index) we can do by the next formula:

Three questions to comprise this index:

1. Overall satisfaction.
2. percentage that would repeat purchase
3. percentage that would recommend

Formula: CLI: Customers Satisfaction X Repeat Purchase X Customers Recommendations

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Feedback
Nowadays to get feedback through using Digital Marketing is easy, directly, and faster in
comparison with the traditional methods like bills, letters or interviews face to face with a trained
personnel, and with a highly cost.

Now the technological advances have progressed considerably there are a variety of applications
and devices to obtain feedback. Anyone has a Smartphone or can access platforms, websites
where you can get some type of feedback.

There are also other advantages in the use of Digital Marketing in comparison to the use of
human persuaders. For example:

- They can be highly persistent.

-They guarantee greater anonymity

- You can get information in more intimate areas that would be difficult to deal with personally.

On the other hand there are also some disadvantages:

-It is much easier to ignore technology than personal messages delivered.

-There are some people who distrust giving information over the internet

-There are also many people who still do not have access to the internet.

However, it is notable that there are more advantages than disadvantages in obtaining comments
with the use of digital marketing.

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CONCLUSIONS
1) Digital Marketing is a good tool to complement the process of the marketing area which
has much more advantages than disadvantages, since the manages are realizing their
importance and each time they are assigning more financial and personal resources, and
the strategy has to adapt to the type of company where it is wanted to be implemented.

Using feedback through digital technology to disrupt and change habitual behavior: A critical
review of current literature.

S. Hermsen , J. Frost, R. Jan Renes, P. Kerkhof (VU University Amsterdam, The Netherlands)

2) The use of digital marketing is extremely important, it has been a quarter of a century
since the Internet commerce, and has already emerged large corporations with a frenetic
growth, such as Google, Facebook, Uber, Amazon, Alibaba, eBay.

In addition, the emergence of new technologies such as mobile devices, smart devices,
artificial intelligence, and more, is facilitating the propagation and implementation of
new strategies.

Online sales have also increased considerably, which is why companies are beginning to
highlight the importance of creating "digital relationships" with customers.

Digital marketing: A framework, review and research agenda, P.K. Kannan, Hongshuang
Alice Li

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RESOURCES

-Using feedback through digital technology to disrupt and change habitual

behavior: A critical review of current literature. S. Hermsen , J. Frost, R. Jan
Renes, P. Kerkhof
-Digital marketing: A framework, review and research agenda, P.K. Kannan,
Hongshuang Alice Li
- New trends in information search and their influence on destination loyalty:
Digital destinations and relationship marketing. A. Almeida, S. Moreno.
- Digital marketing and social media:
Why bother? M. T. Pinheiro Melo Borges, J. M. Cristovao
-C. Anderson, The Long Tail 2010

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