(TIỂU LUẬN) DIGITAL MARKETING AND ITS APPLICATIONS IN BUSINESS

HO CHI MINH CITY UNIVERSITY OF FOREIGN LANGUAGES - INFORMATION TECHNOLOGY FACULTY OF BUSINESS ADMINISTRATION -*** SCIENTIFIC RESEARCH REPORT TOPIC: DIGITAL MARKETING AND ITS APPLICATIONS IN BUSINESS Student’s name: Trần Hữu Luân_19DH481080 Trần Vũ Thảo My_19DH480683 Huỳnh Long Nhân_19DH480639 Vũ Thị Diễm Quỳnh_19DH481016 Lê Thị Hoài Thanh_20DH121259 Lê Ngọc Phương Trinh_19DH480933 Class: KN1901 Instructor: Dr Nguyễn Tiến Thông HCMC, October / 2021 Abstract Digital Marketing has always played an important role in the development of a business With the development of media, and the saturation of traditional Marketing, today's businesses are also gradually shifting, emphasizing Digital Marketing strategies Because of the changing times, with the development of social networks, video websites, e-commerce, Digital Marketing strategy is always the solution that businesses and organizations look to, even if it is a small business Or big or just starting The purpose of the study is to give readers an understanding of what is Digital Marketing as well as for readers to learn more about its benefits and applications to businesses The author chooses to use secondary data sources to analyze, evaluate, and then present research results Then, advise on issues for the business to improve and develop more and more Keyword: Digital Marketing, Marketing, Digital marketing strategy Table of Contents Chapter 1: Introduction 1.1 Rationale 1.2 Aims .5 1.3 Scope 1.4 Significance of study 1.5 Structure Chapter 2: Literature Review 2.1 Concepts and definitions 2.2 Theories: 2.2.1 Overview of the theories: 2.2.2 The importance of Digital Marketing .10 2.3 Previous studies 10 Chapter 3: Methodology 11 3.1 Research design: .11 3.1.1 Features of secondary methods 11 3.1.2 Reason for using the secondary research method 11 3.2 Source of data 11 3.3 Data collection 12 3.4 Data analysis .12 Chapter 4: Finding and discussion 13 4.1 Tools used in the application of Digital Marketing .13 4.1.1 Search Engine Optimization (SEO) 13 4.1.2 Pay-per-Click (PPC) 13 4.1.3 Social Media Marketing 13 4.1.4 Content Marketing 14 4.1.5 Email Marketing .15 4.1.6 Mobile Marketing 16 4.2 The Example of Digital Marketing's Applications 16 4.2.1 The Business–to–Business Company (B2B) 16 4.2.2 The Business–to–Customer Company (B2C) 17 4.2.3 Netflix Inc 17 4.2.4 Uber Technologies, Inc .18 Chapter 5: Conclusion and Recommendations 20 5.1 Conclusion 20 5.2 Recommendations .20 Chapter 1: Introduction 1.1 Rationale Digital marketing is becoming more and more popular in all marketing activities of most large and small businesses Digital marketing has become more widely known It includes marketing using technical elements applicable to outdoor advertising, mobile advertising, etc In Vietnam, the internet has become a popular information transmission tool, with the number of users reaching 19,774,809 people With the majority of users being young and knowledgeable, the Internet is becoming a modern and effective marketing promotion tool for businesses Because of the above, the author has realized that Digital Marketing is an interesting, practical, important topic and a very broad, rich, and complex content Therefore, the research paper is necessary and should be approached and studied seriously 1.2 Aims  Easy Consumer Reach: Digital marketing is an effective way of communication that helps companies target many potential customers at the same time Using Internet channels for marketing is a quick approach to target potential consumers all over the world at the same time  Now companies can easily display their ads for products and services across different digital channels A good online responsive advertising strategy is one that effectively utilizes intelligent and flexible advertising tools in a highly competitive marketing environment  Displaying Ads at Perpetually: Digital marketing makes advertising more accessible to target customers at any time or in any place There is no time or location limitation when potential customers visit any website and view an advertisement The ads displayed continuously attract and evoke the desire for potential customers to contact the business and find shopping information for products and services according to their needs  Consumer’s Convenience to Shop Online: Due to the popularity and great possibilities of digital marketing, it is more and more convenient for customers to shop online at any time and anywhere 1.3 Scope The thesis focuses on the research and analysis of the main theories and visions, secondary methods, and previous research papers on digital marketing To confirm the rationale for using secondary research methods, learn about data analysis Due to certain limitations in the process of collecting existing data, the article still has many shortcomings that cannot be discussed in depth 1.4 Significance of the study The article studying the importance of digital marketing and its application in business will help to better understand digital marketing Through this analysis, others will have a clearer and more complete understanding of digitization, which is one of the important business strategies In this study, the author further analyzes the methods and secondary research data Secondary methods have business benefits, such as quick and easy, because data is easier to obtain and study With the rapid development of digital marketing today, a deep understanding of digital marketing will become a necessary condition for business growth 1.5 Structure There are five chapters in this research Chapter one is the introduction, the author has described the basic contents of the research paper such as Rationale, Aims, Scope, Significance of the study Chapter two is the literature review, in this chapter, the author gives readers definitions, theories as well as the importance of Digital Marketing In addition, there are previous research papers on the research topic Chapter three is the methodology; the author gives the selected method and outlines the features of the method as well as its importance At the same time, in this chapter, the author shows the readers the methods used for data collection and data analysis Chapter four is the finding and discussion, in this part, the author introduces readers to the application of the research topic (Digital Marketing) to the operation of the business To indicate the performance and judgment of the author Chapter five is the conclusion and recommendations; the author reaffirms the importance of Digital Marketing as well as the author's suggestions Chapter 2: Literature Review 2.1 Concepts and definitions The development trend of technology has made Digital Marketing an indispensable part of most businesses However, when learning about definitions and concepts related to this area, there are many results with many different opinions and concepts that make it difficult for us to see the most accurate and appropriate way In this article, we will introduce you to some views and concepts about Digital Marketing from famous experts and scholars in the world of Digital Marketing According to Philips Kotler: “Digital marketing, also known as electronic marketing, is the process of products planning, pricing, distribution, and promotion of products, services, and ideas based on electronic media and Internet to meet the requirement of organization and individuals” According to Joel Reedy: “Digital Marketing includes all activities aimed at satisfying the needs and wants of customers through the internet and electronic means” To sum up, it can be understood that digital marketing is activities aimed at reaching customers through digital channels like the internet, websites, mobile apps, social media, search engines, and many other tools 2.2 2.2.1 Theories: Overview of the theories: Information and telecommunications technologies like the internet, mobile phones, and digital televisions have created new marketing channels Customers are more and more using these technologies to reach companies Moreover, the increasing affordability for these technologies allows small company owners to promote their business through media Theories of Digital Marketing must be interpreted on new technologies  The segment of one: Segmentation is a group of digital marketer’s consumers It can be in any form and this marketing segmentation theory can base on this analysis to divide markets among some commonalities like age, gender, location, industry, occupation, buyer status,… So, the Segment of one theory will change marketers from mass marketing to specify a better group of individuals with the same buying behavior and emotions  Customer-Led Positioning: Another theory of Digital Marketing is customer-led positioning theory Through this, marketers can know that customer is the one who will show their needs for products and services Marketers can get insights into product groups by collecting data on pricing, product features, product functionality,… For instance, when customers buy medications, they want to know how the product interacts with their body and how it might combine with other drugs These elements of customer-led positioning theory are more essential than price to medical drug buyers  Three-step: Acquire, Convert, Retain and Grow: By Digital Marketing, your company can acquire new customers This theory is about how to reach customers online through insights Your customers can be in online social media groups or some professional groups related to your products After that, you will need this customer to convert by buying goods and services from your business The digital marketing term, “Conversion”, means the customers are doing what you have set your sights on For instance, if your target is to have 200 products sold out within months and the online customers that, it is called a “conversion” Furthermore, your long-term target is to keep these customers as your loyal customers You need to add their data to your database and use online sales theories to reach within specific periods Finally, to grow your relationship with these customers, you need to send periodic discounts, notifications, and so on to encourage more purchases 2.2.2 The importance of Digital Marketing Cleaning the playing field for small and new businesses A large business-like Walmart covers the city and liquidates hundreds of neighboring specialist business areas The study found that businesses using automation are 133% more likely to send highly relevant content These programs are essential for effective segmentation But for small businesses, are often disproportionately expensive This is another advantage of working with a digital marketing company Best return on investment About 20% of businesses see a return on investment of $ 70 to $ As a small business, profitability is your top priority You need to be able to spread those dollars as you grow your business People prefer companies to reach them The Importance of Digital Marketing for Your Business The modern economy needs digital marketing to be competitive You need to raise your money as you grow your business 2.3 Previous studies There have been many types of research in Digital Marketing in the past There is three research report The first report is "Managing Digital Marketing 2019" (Smartinsights, 2019) through data analysis, the report shows that nearly half (45%) of businesses not have a digital marketing strategy, but they are doing digital marketing The second report is a report between Google and IPS Hong Kong; the revenue of businesses using Digital Marketing; 2.8 times higher than other advertisers Kevin O’Kane: Google's head of SME Asia-Pacific said: “The online market is a “rocket launcher” to help accelerate business performance for small and medium business owners” And the last report is that "A Study on Digital Marketing and its Impact" (P Sathya, 2017), aims to recognize the usefulness of digital marketing in the competitive market and to study the impact of digital marketing on consumers purchase Chapter 3: Methodology 3.1 Research design: The strategy and the overall framework of the research Example: A survey design 3.1.1 Features of secondary methods The selection and gathering of data are crucial in the analysis since it affects both the conclusions and the credibility of a study There are many other forms of research data, but the two most common are primary and secondary data So what is the difference between the primary data and the secondary data? Secondary data is directly searchable data, it is the description or explanation from the primary data source to solve a problem in a study It all has its advantages and disadvantages Secondary data is the preferable option, as it offers benefits such as the convenience of a one-click Internet connection and time savings You may obtain the information you want in a short period, and it is also free or inexpensive It includes a wide range of data from a variety of sources and themes, which is another advantage of secondary data Secondary data can be found on the Websites (Google Scholar, Refseek, etc.), in textbooks, papers, journal articles, etc Furthermore, secondary data has the drawback of being a large data source, making it easy to avoid low-quality data from untrustworthy sources Besides, obsolete information is likewise one of the impediments of auxiliary information 3.1.2 Reason for using the secondary research method Secondary data has a substantial benefit over primary data in that it is easily available and can be pooled and evaluated The training room, for example, can provide information on student learning results There are a variety of other advantages as well The first is to assist us in having a big number of data to compare and filter from in order to minimize the identification of redundant data in order to achieve the study's objectives Second, because the data is derived from a variety of sources, it is simple to locate and gather Finally, and most importantly, secondary data provides cost and time savings 3.2 Source of data Secondary data is widely available with diverse data in many fields We can easily find, access, and collect data in places such as articles, data on live websites, and official websites in libraries, books, newspapers, Internet reports  Book and article: www.sciencedirect.com  The library, ProQuest: https://lib.huflit.edu.vn/  Another online website: Domestic and foreign websites are widely and popularly used by other researchers 3.3 Data collection Because of the Covid-19 epidemic situation, social distancing, as well as saving money and time, the author conducted this research through online tools such as Google tools This tool is commonly used because of benefits such as Easy to search and access web pages, books, articles, and reports To explain the definitions of the problems to be studied and deal with metrics such as sales, revenue 3.4 Data analysis For this research, the author uses the secondary research method First, the author wanted to get and learn about the definitions and theories, the author had to search online websites to help write the research paper Through tables, charts, statistics, and images to display important research information for businesses and organizations to better understand the benefits and effectiveness of the research Chapter 4: Finding and discussion 4.1 4.1.1 Tools used in the application of Digital Marketing Search Engine Optimization (SEO) SEO is an acronym for Search Engine Optimization, which is a fundamental part of Digital Marketing It is a place where every year there are trillions of searches, the main purpose of which is commercial People frequently select the top pages, the results with the most traffic, believing that they are the greatest and most reliable sites So, what are the commercial implications of SEO? SEO helps businesses reach 90% of online users, we will acquire more potential customers every day, and hundreds of consumers per month, as a result of the increased website traffic, and the company's income will increase as a result of this lead conversion In the case of purchasing, for example, you will frequently seek out information and reviews on the thing you wish to purchase beforehand As can be seen, SEO is quite important, especially in the field of digital marketing Because this is a long-term technique, it requires patience and is difficult to replace 4.1.2 Pay-per-Click (PPC) PPC stands for "Pay-Per-Click," meaning that advertisers will be charged for each click on their website or apps (eg Google, Google Ads or Google Shopping Ads, Bing,…) Types of PPC advertising today such as paid search, website banners, social networking sites (Facebook, Instagram, LinkedIn), For example, while utilizing Instagram, a typical trend is for celebrities or key opinion leaders (KOLs) to team up with an advertiser to promote a product they want to sell Each account will normally be labeled as sponsored by firm A When compared to SEO, PPC is a campaign that produces faster results, targets the proper audience, and makes it simpler to generate commercial possibilities and brand awareness Above all, importantly, unlike SEO, it is not reliant on Google's algorithm 4.1.3 Social Media Marketing Social media marketing is the use of social media websites and networks to market a company's products and services Also known as digital marketing or e-marketing, social media marketing has purpose-built data analysis tools that allow marketers to track the success of their efforts How it works:  Build a community group on social networks Building community groups is a meaningful way to connect current and future customers, and social groups have emerged to respond to this  Marketing by influencers continues to grow When celebrity influencer marketing first emerged, many were skeptical that it wouldn't last long  The promotional video will prevail Promotional videos are growing and become more popular in recent years According to Cisco projections, by 2022, 82% of traffic will be this form of marketing  Social networks become operational devices Today's social media product design service makes it easy for users to reach out directly if they have a problem or complaint about a product  The trend of humanization becomes profit Customers now want a more personalized experience because all products are automated the same 4.1.4 Content Marketing Content marketing is considered valuable when it can elicit, stimulate buying behavior and convert into actual orders Marketing today is not just about providing information related to products or services Their ultimate purpose is still to convince customers to use products and services, but they are not too PR-heavy, making the recipients of the information feel unnatural The role of content marketing with businesses:  Support branding The first thing that helps customers know your brand is nothing more than a content marketing network In the process of building a marketing strategy, the step of creating a content marketing network is indispensable  Improve sales To that well, you need to have good marketing content –When content marketing helps customers find solutions to their needs, of course, they never hesitate to buy products or use services  Make your business a professional image If you want your business to become professional in the eyes of your customers, you need to especially invest in content marketing Content marketing costs make up a large part of a marketing campaign Marketing campaigns in the past often conveyed content through leaflets, newspapers, television channels But with current marketing or Digital Marketing, content spreads through distribution channels that are digital platforms 4.1.5 Email Marketing Email marketing is a powerful marketing channel, a form of direct marketing and digital marketing, that uses email to promote your company's products or services How it works: Email marketing is a powerful marketing channel, a form of direct marketing and digital marketing, that uses email to promote your company's products or services You can help customers stay up to date with your latest items or offers by integrating them into your marketing automation efforts A few advantages of email marketing: – Low cost This is one of the most obvious advantages of email marketing, at a lower cost compared to mainstream marketing channels – Help deliver targeted messages and drive revenue for the business – Easily start, measure, share and reach a global audience 4.1.6 Mobile Marketing People are utilizing phones more and more in the 4.0 technology era, and most people spend a lot of time on them According to global data, more than 1.2 billion people use mobile devices, with 119.7 million mobile users in Vietnam alone, In 2020, 5.19 billion individuals throughout the world will be using mobile phones, and they will spend an average of 2.8 hours on them Businesses frequently utilize mobile marketing to sell items and provide customer service using methods such as texting (SMS, MMS), similar to how we frequently receive congratulations messages from network operators on holidays and birthdays The second type is videos, which can be found on sites like Facebook, YouTube, Tiktok, and others The third is mobile marketing using apps like Grab, Tiki, Lazada, and others that are popular in Vietnam Using mobile marketing instead of social media, such as television, can help businesses save money Furthermore, it enables businesses to reach clients wherever they are and boost brand recognition for customers, similar to PPC 4.2 The Example of Digital Marketing's Applications 4.2.1 The Business–to–Customer Company (B2C) In general, their B2B counterparts have much higher price points than B2C companies For instance, it can be hard to sell a drill bit for 700,000 VND to a fussy mom To contrary, it is a pretty simple sale for a baby cloth for 500,000 VND However, B2C companies are not trying to sell overpriced products or services, so they not need large sales teams or complex marketing channels All they need to is offer their potential customers suitable products or services and the right message Therefore, the main target of most B2C companies is to get people involved and reach through their marketing channel For instance, if that fussy mom reaches their baby’s clothing website and is offered a great deal, they will have the opportunity that she will buy it today Moreover, B2C companies, not have to focus too much on brand awareness or trust before they can close a deal As a result, B2C companies often receive good effects from more professional marketing channels like social marketing or paid social advertising Through these channels, they will have a, To sum up, it’s always a good idea to add other digital marketing strategies such as paid search or SEO (Search Engine Optimization) However, if you have to choose one of both to get the start, paid social advertising or Social media marketing will be the best choice for B2C chance to introduce their brand to their new potential customers 4.2.2 The Business–to–Business Company (B2B) To contrary, paid search is the best choice for B2B companies B2B companies have very specific target customers that are difficult to reach by social media However, if you sell drills for 700,000 VND and someone searches with the keyword “diamond drill manufacturer”, you want to appear as the first result they see Then, you should pay more for your clicks than with paid social advertising On the other hand, most B2B companies have a sales cycle that is much longer and more involved than B2C companies In B2B companies, if they are selling a drill bit for 700,000 VND, the most customer won’t come to their channel, call them, and say, “I want to buy one” Therefore, long-term strategies like content marketing or email marketing are often needed to close deals The right combination of digital marketing methods will be different from industry to industry and business to business However, by comparing B2C to B2B, you will know how different strategies can work and maybe better for certain businesses Not every strategy is suitable for all businesses, but with the lessons after trial and error, you will be able to consider the method that works well for your company 4.2.3 Netflix Inc Netflix's social media team has cleverly exploited social media, which has become the most popular channel in recent years, to draw attention and stimulate curiosity Sponsored posts are not even funded by their social media staff Instead, they generated original and entertaining posts to publish, which went viral and gained a lot of attention from social media users People are encouraged to discuss Netflix and the material underneath the post because Netflix uses social media strategically and effectively Facebook: They are using innovative media optimization techniques on social Netflix has a Facebook following of almost 61 million people In just one year, the brand's Instagram account grew by 11 million followers Almost all the remaining videos and photographs are posted on Netflix Netflix's Most popular videos Instagram: Netflix has a subscriber base of 19 million people The majority of Netflix's Instagram postings are images, including behind-the-scenes clips and interviews with the performers, as well as sequences from TV shows with catchy comments to create a debate A recent video showcasing a behind-the-scenes look at the film Stranger Things received 1.2 million views and nearly 3,000 comments Netflix takes a straightforward approach to posting, with few if any hashtags 4.2.4 Uber Technologies, Inc Uber has an estimated million Facebook fans Uber uses its Facebook account to notify a vast number of followers about special offers, discounts, new rides, and ride arrangements Uber also uses its Facebook account to handle customer complaints Here's how Uber uses its Facebook page to help customers with their issues Uber customer service representatives will look into complaints made on Facebook and respond with clear instructions and explanations Uber has a large network of drivers and customers who are devoted to the company Uber uses Instagram to introduce new features and provide special deals and discounts Uber has 433k Instagram followers thanks to a stunning ad One of the most important stories of the twenty-first century is Uber Uber has had a lot of success in this area Uber introduced a new review system in 2016 to provide positive comments on your trip Uber gains vital information about the marketability of its services via positive user experience comments Uber used this information to develop a YouTube campaign highlighting Uber's great experience Uber employs social media and digital marketing to disseminate good, inclusive sentiments across the internet Chapter 5: Conclusion and Recommendations 5.1 Conclusion This article aims to learn about Digital Marketing and its applications in businesses The author has chosen this topic to find out the importance and tools that businesses can understand and apply to their businesses Besides, the report gives some challenges of using Digital Marketing Digital Marketing has an extremely important role for businesses not only for a certain department but also for the image of a business A business that knows how to apply Digital Marketing well will give the business a widely popular image and reputation That has contributed a very important part to the development of the business This article focuses on explaining to businesses and people what Digital Marketing is and its importance Followed by a research paper that proposes to everyone the tools to be used in the application However, this article has some limitations while the author is doing the research The author used secondary data to obtain other definitions and hypotheses related to Digital Marketing The author chooses the primary secondary data method because it saves time and resources Besides, secondary data also makes it difficult to determine the quality and reliability of the data source 5.2 Recommendations The boom of the market economy, especially e-commerce activities, has helped businesses in the process of building brands, expanding markets, and diversifying products to earn revenue, profits and create other values for the business And we young generations are living in the 4.0 era, the age of technology, we need to learn new knowledge to keep up with the times If you only apply traditional marketing techniques, you will forever lag behind those who are eager to learn This topic only focuses on Digital Marketing and its application to businesses, with the main content being to help businesses understand the importance of Digital Marketing today So I think that for the better, in the future, other authors can focus on other areas of Digital Marketing For example, go into a deeper and more specific understanding of a business that has successfully applied Digital Marketing References Chapter 1: Introduction – https://toc.123docz.net/document/22757-chuong-1-co-so-ly-luan-ve-digitalmarketing.htm – https://vi.wikipedia.org/wiki/Ti%E1%BA%BFp_th%E1%BB%8B_k%E1%BB %B9_thu%E1%BA%ADt_s%E1%BB%91#C%C6%A1_h%E1%BB%99i_c%E1%BB %A7a_Ti%E1%BA%BFp_th%E1%BB%8B_k%E1%BB%B9_thu%E1%BA%ADt_s %E1%BB%91 – https://www.bitbybitbook.com/vi/1st-ed/ethics/principles/beneficence/ – https://www.smartinsights.com/digital-marketing-strategy/digital-strategydevelopment/10-reasons-for-digital-marketing-strategy/ Chapter 2: Literature Review – https://www.ijsr.net/archive/v6i2/ART2017664.pdf – https://dtmconsulting.vn/100-bao-cao-thong-ke-du-lieu-ve-digital-marketing-quantrong-nam-2019/ – https://a1digihub.com/?p=17172 Chapter 3: Methodology – https://www.library.unsw.edu.au/using-the-library/information-resources/primaryand-secondary-sources – https://www.intellspot.com/secondary-data/ – https://www.iwh.on.ca/what-researchers-mean-by/primary-data-and-secondary-data – https://www.managementstudyguide.com/secondary_data.htm – https://www.formpl.us/blog/primary-secondary-data Chapter 4: Finding and discussion – https://gtvseo.com/seo-la-gi/ – https://leading.vn/faqs/quang-cao-ppc-la-gi/ – https://hatechange.org/tiep-thi-xa-hoi/ – http://www.businessownerspace.com/vi/manage-grow/grow-your-business1/marketing-advertising/social-media-marketing-tactics/ – https://vi.wikipedia.org/wiki/Truy%E1%BB%81n_th%C3%B4ng_ti%E1%BA %BFp_th%E1%BB%8B – https://vietmoz.net/content-marketing-la-gi/ – https://kdigimind.com/content-marketing-la-gi/ – https://mailchimp.com/marketing-glossary/emailmarketing/#Advantages_of_email_marketing – https://www.pure360.com/10-benefits-of-email-marketing/ – https://nef.vn/mobile-marketing/ – https://blog.tomorrowmarketers.org/mobile-marketing-manh-ghep-khong-the-thieucua-digital-marketing/ – https://aimacademy.vn/vi/news/8-xu-huong-mobile-marketing-ban-khong-the-ngo-lo – ... on Digital Marketing and its application to businesses, with the main content being to help businesses understand the importance of Digital Marketing today So I think that for the better, in. .. that businesses can understand and apply to their businesses Besides, the report gives some challenges of using Digital Marketing Digital Marketing has an extremely important role for businesses... helped businesses in the process of building brands, expanding markets, and diversifying products to earn revenue, profits and create other values for the business And we young generations are living