As we now live in a digital age, digital marketing or online marketing as it’s also referred to, has become increasingly important, especially if we take into consideration that as of January 2022, there were 23.6 million internet users in Australia (an increase of +3.4% between 2021 and 2022 according to Kepios). Whilst, social media users in the country increased by 950 thousand (+4.6%), in the same period, to 21.45 million.
If you want to see the importance of targeted social media advertising, Here is how a social media campaign generated 8000 campaign clicks and over 1,200 visitors to the restaurant on its opening day.
There are many ways to use digital marketing tactics to communicate with your target audience, from social media to email marketing. Digital marketing has minimal upfront costs, making it a cost-effective marketing technique for any business.
If you are still looking for the importance of having a digital marketing strategy next year, here are 8 reasons why you should invest in digital marketing for your business next year. It doesn’t matter if you are a big business with a global audience or a small local business, everyone benefits from a digital marketing strategy.
- Your current digital marketing isn’t achieving the desired results. So you have a website, a social media presence, and occasionally, put some money into Google Ads. Those are not enough to be called a strategy. You have to have a clear-cut plan based on set goals, detailed action plans, and ways to measure the results. Otherwise, you are just wasting your time, money and resources. You are missing opportunities to get to know your customers better and gain new ones.
- Your current content marketing plan is directionless. Content marketing aims to attract leads and convert them into customers. You do this by offering your target market value for free through blog posts, e-books, newsletters, whitepapers, infographics, etc. If you don’t have a strategy, your focus might only be quantity, not quality. Quality content is content not only written for people but for search engines as well. It should be helpful, compelling, and valuable content that targets specific keywords, so it ranks on the first page of search engines like Google. In digital marketing SEO (Search Engine Optimisation) is the tactic that brings results.
- You are having a hard time converting prospects into buyers. Most traditional marketing is like a shot in the dark in terms of reaching a particular demographic or controlling who sees your ad or content. In comparison, digital marketing allows you to focus your efforts on only the prospects most likely to purchase your product or service. One way of doing it is to take advantage of social media’s targeting features to show ads to a specific audience based on variables such as age, gender, location, interests, networks, or behaviours. This is more effective and efficient.
- You are having difficulty catching up or staying ahead of the competition. Digital marketing evens the playing field within your industry and allows you to compete with more prominent brands. All you need are strategic digital marketing initiatives like identifying certain long-tail keywords that relate to your product or service and creating high-quality content to help you rank on search engines for those keywords. Search engines prioritise content that resonates best with the target audience.
- You want to be able to adapt and change your marketing strategy along the way. Generally, you will follow through with a marketing activity until completion, allow it to take effect, and evaluate its results. But what if halfway through it, you realise that a calculation was off, an assumption was incorrect, or an audience did not react how they were expected to? With digital marketing, you can pivot or adjust your strategy along the way if you are not getting the desired results without having to start over completely. For example, if an online ad isn’t delivering as expected, you can quickly adjust it or pause it to execute a new plan.
- You want to reach a wider audience at a lower cost. The internet has created a global marketplace where businesses can extend their reach and access customers from across the globe. Therefore, if you want to go global, only digital marketing can offer the best solutions at costs significantly lower than what you will spend if you do traditional marketing. Reaching international audiences is also faster when you engage them online. Best of all, digital marketing is effective in all industries.
- You are not optimising your online presence. When was the last time you checked your website’s analytics? Most businesses don’t fully utilise the information they get from their site visitors. Once your digital channel strategy enables you to get the basics right, then you can progress to the continuous improvement of key aspects like brand building, site user experience, and lead nurturing.
- It makes perfect sense. A digital marketing strategy is necessary if you want to reach your target audience in a place where they spend most of their time – online. Businesses benefit greatly from different digital marketing services, particularly in the retail industry. Consumers’ buying behaviours have changed dramatically, with people going online to explore, research, and plan more of their purchases. Moreover, according to Google, 9 in 10 retail dollars spent offline were influenced by digital over the busiest shopping period. More than half of retail searches in Australia and New Zealand happen outside 9 am-5 pm.
How much are you willing to spend on your planned digital marketing activities? Knowing how to allocate a budget for digital marketing initiatives is important in setting your business up for success. When you have a budget set aside for the right campaigns and initiatives, you can simultaneously hit your goals and achieve a high ROI.
There are countless suggestions on the exact percentages that should go to digital marketing. But, typically, if you want to maintain your place in the market, you should spend roughly 2-5% of your revenue on digital marketing. However, if you want to increase your presence and pursue a more aggressive strategy, you will need to spend more, possibly up to 15% of your revenue.
But honestly, how marketing funds are ultimately allocated is driven by the nature of the business, the competitive marketplace, and how target customers behave through the buying funnel. So take these numbers with a grain of salt. Better yet, talk to an expert.
Our expert marketing consultants are here to help you fine-tune your digital marketing strategy for the future. Call us discuss how we can help you plan for a successful 2023. Get Smarter Marketing today!