Before new technologies led to the digital disruption we are experiencing today, marketing efforts were heavily focused on advertising, which offered little room for cost savings. Modern business strategies can only be successful if they continuously improve the customer experience using digital marketing.
Important Marketing Goals Your Small Business Can Achieve with Digital Transformation
Digital transformation can particularly help you achieve the following goals:
Reduce customer churn, strengthen loyalty and customer retention
Strengthening the return on digital activities
Creating digital experiences that give your business a competitive advantage
Expanding marketing opportunities through digital innovations
You can achieve these goals by focusing on people, processes and technology. It is no longer enough to rely on traditional performance metrics such as return on advertising spend.
Top Destinations for Social Marketing Professionals
Top Goals for Social Marketing Professionals ( Source )
In order to strengthen customer loyalty, your company must engage with its target groups much more intensively than before the digital transformation. You must understand exactly who your target groups are and how you can retain them.
CRM software with integrated data analytics can help you do this. For example, it can help you find the best digital marketing strategies and the best team members for content development and social media management to improve your brand's digital interactions with existing and potential customers.
How is the ROI of digital marketing measured?
Many companies find it difficult to set a budget for digital marketing because they are unsure how to measure the return on investment of a new business model with a digital transformation strategy.
For example, if only 20% of your total marketing budget is reserved for social media advertising, but social media ads bring in 50% of new customers, it is worth increasing investment in this area.
If investing in marketing activities outside of advertising yields a small but steadily growing return, you can reduce your advertising spend by expanding those activities.
To create a digital customer experience, you need to understand how technologies like mobile apps and social media impact the customer experience – and what exactly your customers want.
Where does she look for information and how does she most often interact with your brand?
Successful and innovative marketing efforts bring all of the above together to reach prospects in new ways and provide them with value that wasn't available before. With the right digital marketing tools, your business can take full advantage of these opportunities.
For example, if analytics indicate that your customers prefer to have questions answered by a chatbot rather than by phone or email, it's worth increasing your budget for chat tools, even if you don't see a direct return on investment.
In the digital age, it's not much use measuring ROI only for direct sales activities like prospecting calls. Any touchpoint that could improve the customer experience is worth investing in. In the image below, you'll find an overview of the marketing channels that offer the best ROI for companies like yours:
As is well known, large companies have a very large budget for advertising and customer acquisition - uk telegram data Coca-Cola spends billions on advertising - but that alone is not enough. The companies also have an entire system to strengthen customer loyalty in the long term.
One example is Jeff Bezos with his famous “obsession” with customer satisfaction:
"If you make customers unhappy in the physical world, they tell six friends. If you make customers unhappy online, they tell six thousand."
So you should not forget that while you can quickly attract a thousand new customers to your small business with a Google or Facebook ad, you will lose them just as quickly if your digital marketing strategy does not focus on customer satisfaction.
The key to success: people, processes and technologies
People, processes and technology are key to digital transformation and long-term digital marketing success. You can't outsource digital transformation: part of it is changing how you think about your customers, workflows and digital marketing resources.