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DM 3

The document outlines the key components of a digital marketing strategy, emphasizing the importance of aligning digital efforts with business objectives and integrating various marketing channels. It details the structured planning process using frameworks like SOSTAC and RACE, including situation analysis, goal setting, strategy formulation, and performance measurement. Additionally, it discusses market strategies such as penetration, development, product development, and diversification, along with targeting, positioning, and the execution of tactics to achieve measurable business goals.

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0% found this document useful (0 votes)
3 views47 pages

DM 3

The document outlines the key components of a digital marketing strategy, emphasizing the importance of aligning digital efforts with business objectives and integrating various marketing channels. It details the structured planning process using frameworks like SOSTAC and RACE, including situation analysis, goal setting, strategy formulation, and performance measurement. Additionally, it discusses market strategies such as penetration, development, product development, and diversification, along with targeting, positioning, and the execution of tactics to achieve measurable business goals.

Uploaded by

eveelizabeth69
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Implementing Your

Digital Marketing
Strategy
Fatima Sultana Sujala
Department of Marketing, FBS, BUP
What is Digital
Marketing Strategy?
A digital marketing strategy:
• Defines how digital marketing supports business
objectives
• Creates value propositions for customers
• Integrates digital communications
• Aligns marketing technology and infrastructure
• Requires changes to governance, skills and processes.
This is long-term (often 3–5 years).
Digital as a Channel Strategy

Channel Multichannel Omnichsnnel


Marketing Marketing Marketing
Strategy Strategy
A plan for digital channels A plan that explains how Planning and optimizing
specifically — setting channel- different channels support always-on + campaign
specific objectives and deciding each other (online + offline) communication across all
how digital works with based on their strengths. touchpoints to deliver a
traditional channels. Focus: Same brand message, seamless, integrated customer
Focus: Web, mobile, email, coordinated channels, better experience.
social, search — and how each efficiency. Focus: Customer starts in one
supports goals. channel and continues
smoothly in another.
“This model combines SOSTAC and the
RACE framework to show how
digital marketing strategy should be
developed and implemented. It
starts with situation analysis, moves
to objectives, defines strategy,
executes through tactics and action,
and continuously monitors
performance. At the same time, it
supports the full customer lifecycle
from reach to engagement.
Everything revolves around
achieving measurable business
goals.”
Digital strategy must follow a structured
planning process, not random
execution.
SOSTAC connects directly to:
▪ Situation analysis
▪ Goal & objective setting
▪ Strategy formulation
▪ Tactical implementation
▪ Performance measurement & KPIs
It ensures:
▪ Digital channels are integrated
▪ Activities are aligned with business goals
▪ Performance is measurable and
controllable
Digital Marketing Capability Model
Situation Analysis
Where Are We Now?
Before setting objectives or choosing digital tactics, we must
diagnose the current position.
Situation analysis answers:
“Where are we now in terms of performance, capability, and
competitive position?”
It includes:
1️⃣ Internal Analysis
Understanding our current digital performance and resources.
2️⃣ External Analysis
Understanding market dynamics and environmental forces.
3️⃣ Competitor & Marketplace Analysis
How strong are competitors? How saturated is the market?
4️⃣ Performance Review
Are digital channels delivering measurable business value?
Strategy without diagnosis = guessing.
Internal Digital Audit
Business Marketing Digital
Effectiveness Effectiveness Effectiveness
Measures financial impact. Measures customer and brand Measures digital
• Online revenue contribution impact. performance using four
• Profitability from digital channels • Number of qualified leads dimensions:
• Online vs offline sales impact • Customer retention rate Volume. Quality. Value. Cost.
• Cost reduction from digital self- • Customer lifetime value This ensures performance is
service • Brand engagement and awareness not judged by traffic
Example: Example: alone.
A retail brand discovers 28% of An insurance company generates
total revenue now comes from high website traffic but low lead
online sales, but profitability is conversion, indicating marketing
lower due to high paid media effectiveness issues.
costs.
Setting goals and
objectives for Digital
Marketing
Setting goals and objectives in digital marketing
means defining what you want to achieve and
how you will measure success. Clear goals (like
increasing website traffic, generating leads, or
boosting sales) help guide strategies and
campaigns. Objectives should be specific,
measurable, and time-bound so progress can be
tracked effectively.
Strategy
Formulation for
Digital Marketing
Strategy formulation involves the identification of
alternative strategies, a review of the merits of
each of these options and then selecting the
strategy that has the best fit with a company’s
trading environment, its internal resources and
capabilities. Companies should be realistic about
what their strategies can achieve and base digital
strategies on sound logic and analysis.
STRATEGY (Direction & Competitive
1. Market & Product Position)
Strategy 4. Channel
Market penetration (sell Strategy
more to current market) 2. Targeting
Strategy 3. Positioning & Multichannel vs
Market development pureplay
(enter new Segment by: OVP Strategy
Demographics Define Online Value Paid–Owned–
segments/geographies) Earned balance
Product development Lifecycle stage Proposition
Behaviour (RFM) Clarify Always-on +
(digital services, Campaign mix
bundles, subscriptions) Channel preference differentiation:
Select priority Price Social engagement
Diversification (new strategy
products + new segments Speed
markets) Define customer Experience
Example: personas Exclusivity
Fashion brand → Example: Personalization
expands to new country Target high- Example:
via digital-only launch frequency buyers “Same-day delivery
(market development). with early-access + free returns + 24/7
offers. support.”
Market and Product Strategy
A. Market Penetration
● Sell more existing products to existing customers using digital tools.
● This is the lowest-risk strategy.
How digital helps:
● Increase frequency through push notifications
● Run flash sales
● Use retargeting ads
● Personalize offers
● Improve app engagement
Industry Example (Starbucks App):
● Rewards program increases purchase frequency.
● Push notifications remind customers about offers.
● Mobile ordering reduces friction.
● Another Example:
Daraz flash sales → encourage existing users to buy more often.
Strategy thinking:
“We already have customers. Let’s increase basket size and frequency.”
Market and Product Strategy
B. Market Development
Sell existing products in new markets or new segments using digital channels.
● Digital makes this easier because:
● No need for physical stores
● Cross-border ecommerce possible
● Paid ads allow micro-targeting
Industry Example:
● ASOS entering new countries
● Launched country-specific websites.
● Used local influencers.
● Adjusted payment and delivery options.
Another example:
A Bangladeshi clothing brand starts targeting UK diaspora through Facebook ads.
Strategy thinking:
“Our product works. Let’s expand geography or segment digitally.”
Market and Product Strategy
C. Product Development
Develop new digital products or services for existing customers.
Digital enables:
● Subscription models
● Apps
● Premium versions
● Bundles
● Value-added services
Industry Example Nike:
● Sells shoes (physical product)
● Added Nike Training Club app (digital service)
● Builds ecosystem + increases loyalty + brand engagement
Another example:
Food delivery app adds:
● Grocery delivery
● Subscription for free delivery
Strategy thinking: How can we add more value digitally to existing customers?”
Market and Product Strategy

D. Diversification
New product + new market (high risk).
● Often supported by digital innovation.
Industry Example (Amazon):
● Started with books
● Expanded into cloud computing (AWS)
● Entered entertainment (Prime Video)
Another example:
Ride-sharing app launches digital wallet service.
Strategy thinking:
“We will use digital capabilities to enter a completely new business
area.”
Targeting Strategy
Step 1: Segment the Market
You can segment by:
1. Demographics Step 2: Select Priority
Step 3: Define Customer
Age, Gender, Income, Location Segments
Persona
Example: Luxury skincare → target women 30–45 in You cannot target
Create a detailed fictional
urban areas. everyone equally.
profile:
2. Lifecycle Stage Strategic decision:
Example Persona:
First-time visitor, Registered user, First-time buyer, Which segment gives
Name: Sarah
Repeat buyer, Inactive customer highest lifetime value?
Age: 26
Example: Send 10% discount only to first-time Which segment is easiest
Income: Middle-upper
buyers. to reach?
Pain point: Wants trendy
3. Behavior (RFM Model) Which segment aligns
clothes but affordable
R = Recency, F = Frequency, M = Monetary value with brand positioning?
Channels: Instagram +
Example: High RFM customers → get VIP early Example:
mobile apps
access sale. Amazon-style recommendation Premium fashion brand
Values: Fast delivery +
engines use behavior heavily. chooses:
easy return
4. Channel Preference Urban working
Strategy becomes clearer
Some customers: professionals over mass
once persona is defined.
Prefer Instagram, Prefer email, Prefer WhatsApp, rural audience.
Prefer app notifications
Example: Gen Z → Instagram + TikTok,
Professionals → LinkedIn + email
Positioning and Online Value
Proposition
Positioning = How you want to exist in the customer’s mind.
OVP = Why should someone choose you online?

What Makes a Strong OVP?


It clearly communicates:
• Benefit
• Differentiation
• Proof
Positioning and Online Value
Proposition
Price Speed
Shein → ultra low-cost Food panda → “30-
fashion minute delivery
guarantee”

Experience Exclusivity
Apple website → clean Spotify/YouTube
design + seamless Premium benefits: ad-
checkout free + special features
(membership
Personalization privilege)
Netflix → personalized
recommendations
Channel Strategy
Multichannel VS Pureplay
Dimension Pureplay (Clicks-Only) Multichannel (Clicks + Bricks)
Operates entirely online (website/app). No physical
Definition Operates both online and physical retail locations.
stores.
Example Brands ASOS, Shein, Netflix Nike, Uniqlo, Zara, Daraz (pickup points)

Cost Structure Lower fixed costs (no rent, utilities, store staff). Higher fixed costs (stores, staff, logistics).

Speed of Expansion Faster scaling globally (digital-first launch). Slower expansion (store setup required).

Data Advantage Strong digital-first data collection and analytics. Data split between offline & online; integration needed.
Must build trust digitally (reviews, returns,
Customer Trust Higher perceived trust due to physical presence.
guarantees).
Customer
Fully digital experience (UX, personalization). Hybrid experience (touch product offline + buy online).
Experience
Convenience 24/7 access; delivery-based model. Click & collect, in-store returns, showrooming.

Logistics Model Centralized warehouse distribution. Distributed inventory (store + warehouse).

Brand Interaction Social media, app engagement, digital content. Physical store experience + digital engagement.
Higher risk if digital performance declines (single-
Risk Level More resilient (multiple revenue streams).
channel dependency).
Ecosystem Strong digital ecosystem (app, subscriptions,
Strong omnichannel ecosystem (store + app + loyalty).
Potential automation).
Channel Strategy
Paid-Owned-Earned Balance
Channel Strategy
Always-on VS campaign mix

Always Campaign
On based
Continuous activities: Seasonal or launch-driven:
• SEO • Eid sale
• Email flows • Black Friday
• Social content • New product launch
• Retargeting Example (Daraz):
Always-on SEO
Campaign-based 11.11 mega sale
Channel Strategy
Social Engagement Campaign

Not just posting — building community.


Questions:
● Which platform?
● What tone?
● What content type?
● How frequently?
● Who manages engagement?
Example Gymshark:
● Influencers
● UGC
● Community challenges
Strong engagement lowers customer
acquisition cost over time.
Tactics
(How the strategy is executed using marketing
tools)
If strategy = direction,
then tactics = tools used to win in
that direction.
Actions
(Operational execution)
Now we go from tactic to step-by-step execution.
Executions of the tools
✓ SEO Growth Strategy
Strategy:
Increase organic traffic by 30%. ✓ Conversion Strategy
Tactics: Strategy:
Content marketing + technical SEO. Increase conversion from 2.5% → 3.5%.
Actions Explained: Actions Explained:
● Conduct keyword research (find 50 ● Install heatmap tool (see where users
high-intent keywords) click)
● Analyze competitors’ ranking ● Identify drop-off points
● Create content calendar ● Test different headlines
● Publish 4 blogs/month ● Simplify checkout
● Optimize page speed ● Add trust badges
● Add internal links ● Enable guest checkout
● Submit sitemap to Google ● Create automated cart recovery
● Build backlinks through guest posting emails
● This is real operational work. ● Launch retargeting ads for cart
abandoners
● Each action is measurable.
Executions of the tools
✓ Retention Strategy
Strategy:
Increase repeat purchase by 20%.
Actions:
● Use CRM to segment RFM
● Create 5-email welcome flow ✓ Organizational Actions (7S
● Send post-purchase guide Implementation)
● Send 30-day reorder reminder ● These are structural changes.
● Offer loyalty tier system ● Hire digital performance manager
● Track repeat purchase % ● Train marketing team in analytics
● Retention is data-driven. ● Upgrade CRM
● Integrate IT + marketing
● Create weekly dashboard review
● Develop content governance system
● Without these, tactics fail.
Control
(Measurement, Monitoring & Optimization)
Control ensures that marketing is data-
driven, profitable, and
continuously improving.
✓ Leading Indicators (Predict Future Performance)
These are early signals that suggest where results are
heading.
Examples:
Search share → Brand demand is increasing
Engagement rate → Content quality and audience interest
are strong
Customer satisfaction score → Loyalty likely to improve
Email open rate → Messaging relevance is high
Example:
If email open rate rises from 18% → 28%, future sales
are likely to increase.

✓ Lagging Indicators (Show Past Performance)


These confirm what has already happened.
Examples:
Revenue → Money earned
Profit → Real business success
Market share → Competitive position
Sales volume → Units sold
Thanks!
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