TRANSFORMATION IN MARKETING (IMPACT OF DIGITISATION

ON MARKETING AND RESULTING OPPORTUNITIES)

Digital revolution has twisted today’s marketing and advertising strategies. The advent and advances
of the internet have changed media formats and consumption patterns. While digital technology has
increased speed, it has also increased internet accessibility and reach. As a result, digital marketing
has significantly revolutionized firms' marketing reasoning and methods, and it has become the new
buzzword. On the other way, digitalization has paved the way for digital marketing to become the new
standard, and there is no getting around it.

For in-depth understanding of the digital transformation in marketing, shows that it refers to the shift
of marketing from digital complacency to the active pursuit of digital excellence through optimum
utilization of digital channels. This includes refining digital channels to get deeper information that will
inform strategy and improve the customer experience.

Let us understand the impact of digital transformation in marketing with the help of the
below table:

Example of Digital Transformation in Marketing

Example 1, Use of Predictive Analytics to serve personalized recommendations by

Starbucks (AI in Marketing): Starbucks uses loyalty card and mobile application to collect and
analyze customer data. The app records the details of purchases, including the location, date and
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time. Starbucks uses predictive analytics to process this data and serve customers with customized
marketing messages. The message usually consists of suggestions for customers when they are
approaching Starbucks along with the offers that are aimed at increasing the customer’s average
order value.

Example 2, Sephora Chatbots (AI & Machine Learning in Marketing): Sephora’s Chatbots help
customers to show their product preference through online platform. It is useful for the cosmetic
industry, where various options are available and hence it is difficult to purchase without product
testing in personal. Sephora noticed enough engagement of the customers and gained valuable
insights from chatbot.

We can conclude that, digitalization has compelled companies of all categories to migrate online. As
online shopping becomes more popular, companies and businesses can no longer rely on brick-and-
mortar to generate money. Customers are no longer looking for hard-copy catalogs or company
profiles to determine a company's or brand's worthiness. The need for companies to recognize the
possibilities of digital marketing has never been more critical or urgent. The reason for this is because
digitalization is an omnichannel tool - whether it's through social media, emails, videos, audio, text, or
graphics, there's no shortage of mediums that companies can utilize to boost their marketing efforts.

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