individual assignment subject dms301m digital marketing strategy how digital tools are changing marketing mix 4ps

OULINE CONTENT1 Introduction 3Provide an overview of the changing digital landscape and its significance in modernmarketing.Define what the marketing mix 4Ps - Product, Promotion, Price,

INDIVIDUAL ASSIGNMENT

SUBJECT: DMS301m - DIGITAL MARKETING STRATEGY How digital tools are changing marketing mix (4Ps)

OULINE CONTENT

1 Introduction 3 Provide an overview of the changing digital landscape and its significance in modern marketing

Define what the marketing mix (4Ps - Product, Promotion, Price, Place) is and its historical context

Discuss the overarching impact of digital tools on marketing in general

2 How Digital Tools are Changing Marketing Mix

Explain how digital tools have affected product development, customization, and innovation

Provide examples of companies or industries where digital tools have transformed product offerings

Analyze the role of digital tools in promotional strategies, including social media marketing, content marketing, and influencer marketing

Highlight the advantages and disadvantages of digital promotion

Discuss how digital tools have influenced pricing strategies, such as dynamic pricing and online discounts

Provide real-world examples of price optimization through digital tools

Explain the impact of digital tools on distribution channels, including e-commerce, direct-to-consumer models, and online marketplaces

Discuss challenges and opportunities related to digital place strategies

3 Discuss How Companies Can React to the Changing Digital Marketing Environment 9

1/ Introduction

The digital landscape is the collective name for websites, emails, social networks, mobile devices (tablets, iphones, smartphones), videos (YouTube), etc And businesses rely on this technical context to reach customers to carry out production and business activities

Inheriting the achievements of the 4.0 revolution, we have been applying digital technology to many aspects of life People spend a lot of time on digital devices, it can be said that the digital transformation process is happening silently, integrated into our daily activities The outstanding development of digital technology such as the Internet, mobile phones, artificial intelligence has brought people certain wonderful experiences, society has developed and become richer, and life has become easier easier And that digital transformation has a major impact on business models

Today digital technology has played an important role in marketing Digital technology helps businesses know customer needs and their expectations about products At the same time, businesses can evaluate customer behavior Based on the information they receive, companies can adjust their marketing strategies promptly

Additionally, on all kinds of digital platforms, data is generated through all kinds of people's interactions Through digital technology, companies can collect data from digital platforms By processing the data they have collected, companies can gain all kinds of useful information and change their marketing strategies

According to Philip Kotler “Marketing Mix is the set of controllable variables that a company can use to influence buyer response.” Controllable variables in this context refer to the four Ps [product, price, place (distribution) and promotion] Every business strives to build such a 4'P component that can create the highest level of consumer satisfaction while meeting the organization's goals So, this mix is assembled keeping in mind the needs of the target customers, and it varies from one organization to another depending on its available resources and marketing objectives

Product: Product refers to the goods and services provided by the organization The products around us

such as clothes, shoes or books, are all products All of these things are purchased because they satisfy one or more of each of our needs We are paying not for the tangible product but for the benefit it will bring So, in simple terms, products can be described as a set of products benefit that the marketer offers to the consumer at a price

Place: Goods are produced for sale to consumers They must be made available to consumers in a place

where they can make purchases at their convenience For example, a product is manufactured in an industrial park and consumers buy these products at retail stores Therefore, it is essential that the product is available in

distributors, wholesalers and retailers that form a company's distribution network (also called distribution channels) The organization must decide whether to sell directly to retailers or through distributors/wholesalers, etc It may even plan to sell directly to consumers The choice is guided by a series of factors that you will learn about later in this chapter The model below is an example of a distribution channel

Promotion: If the product is produced keeping in mind the needs of the consumer then it is the right

thing to do Priced and offered in stores convenient to customers, but without consumers being informed about price, features, availability, etc., the brand's marketing efforts may not be successful Therefore, promotion is an important component of the marketing mix because it refers to a process of informing, persuading and influencing consumers to choose a product to buy Promotion is carried out through means of personal selling, advertising, propaganda and sales promotion It is done primarily to provide information to potential consumers about the availability, characteristics and uses of the product

Price: Price is the amount paid for a product or service If product, place or promotion bring value to

customers, then price is the only thing that brings benefits to the business, this determines the life of each business Therefore, setting product prices is a difficult job Many factors such as the demand for a product, the costs involved, the consumer's ability to pay, the prices charged by competitors for similar products, government restrictions, etc must be kept in mind while fixing the price

For more than 50 years, the "4Ps" - price, product, promotion and place - have been the foundation of a successful marketing plan Behind that success are certainly big reasons Even as consumers' online activities change the way we deliver messages and interact with audiences, it still makes sense to focus on price, product,

must focus on using technology to nurture relevant experiences According to a survey conducted by Rothstein Tauber, a marketing research firm based in Stamford, Conn., 81% of shoppers conduct online research before entering a store, and the average Consumers spend 79 days gathering information before making big purchases

As a marketer, the development of marketing mix is a problem that you need to solve, and it is also a great opportunity for marketers to approach and develop

2/ How Digital Tools are Changing Marketing Mix

The rapid development of technology has had a strong impact on marketers as well as marketing mix strategies The strong development of digital tools also requires marketers to update trends and transform themselves to keep up with the times

These factors that impact digital tools on marketing in general can include elements of customer analytics, digital transformation that allows companies to collect and analyze customer data in real time, creating better, more personalized marketing campaigns Besides, it also impacts multi-channel marketing: The rise of diverse digital channels brings more opportunities to reach customers more effectively, changing traditional marketing methods Also impacts social media outreach: Social media networks provide automated communication, promote direct marketing, and keep a finger on the pulse of customers on social media Also automation and AI: Tools like CRM, AI chatbots, email automation, etc is leading the shift from manual customer service to automation and personalization

2.1/ Product

With the development of digital tools, businesses invite customers to contribute ideas or select potential new product ideas for the business, this is called co-creation Because brands will know that customer contributions can support brand initiatives

Due to the explosive development of technology, the gap between consumers and brands is increasingly narrowing, so businesses are trying to take advantage of this by asking consumers to evaluate new product lines about to be released Consumers today can support brands in creating and growing their own products beyond simply being buyers

customer co-creation shows how this partnership can help create new communities of fans around the world The LEGO Ideas initiative has also attracted a lot of media attention and built customer loyalty

The 4.0 digital revolution has enhanced connectivity between individuals An illustration of linkage is the sharing economy The sharing economy model is a technology-enabled platform that provides users with temporary access to community-sourced resources

For example, Grab is an automatic navigation application used to order and dispatch taxis on smartphones, aiming to improve the local taxi market with a simple start, saving costs for both providers ( service provider (transportation company) and bridge (passenger) With this technology, the car sharing service will optimize the connection process between taxi companies and passengers

2.2/ Promotion

The growth of digital tools offers marketers a new source of content: user-generated content (UGC) User-generated content is a model in which the person directly producing online content about a brand or product is the customer This content can be presented in any format Customers tend to trust other customers more than brands A survey shows that the majority of internet users trust reviews, comments, and photos posted by other customers more than those posted by the brand itself It is this psychology that brands have used to develop UGC as a tactic to elevate their brands UGC turns loyal customers into brand ambassadors for the brand and builds engagement within their community with the product The simple idea behind UGC is to use images and comments from loyal customers to turn them into buying advice with greater conviction and conviction

With UGC, digital media channels play a very important role in the current social context Cost savings

is the first advantage we can see, using digital channels reduces costs compared to traditional channels Besides using digital marketing channels to increase customer reach, customers will also often participate in

that users can create diverse content, campaigns using user content can take advantage of the creativity of the community, creating many types of content diverse forms such as images, videos, articles, and many other forms Digital advertising also creates a strong influence When users participate in creating content, they can become influencers with large audiences on social networks, helping the campaign spread widely

For example, with Monsoon - a fashion brand, Monsoon's strategy is simply to call on customers to take and share product photos as a social post, with the hashtag #MyMonsoon Monsoon will then gather all the posts into a collection, which functions as a digital showroom There, customers see real images of the product, used by real people (not models), real light (not lights), real life (not a studio)

Doppelganger Brand Image (DBI) is a collection of anti-brand or defamatory actions that have been disseminated through stories, images, and other loosely organized formats

For example, fast fashion retailer H&M saw a wave of boycotts when, under strong pressure from China, they changed their online map to include the "cow tongue line" being banned This action caused a wave of outrage and boycott among the Vietnamese people

DBI frequently focuses on famous brands that are perceived to lack authenticity or are seeking to manipulate consumer emotions through the actions of their parent company It takes a lot of effort to develop an excessive and sustained series of anti-brand actions These initiatives often stem from an impression of the brand's nature – lacking authenticity Next, as mentioned, DBI focuses on famous companies because they have

a high level of awareness and attract more individuals Today, the majority of DBIs were founded and discovered as a means of private protest and often exist on personal accounts

therefore, consumers frequently switch to competitor brands DBI can also change the timing to react to changes in the market Because of the inherent risks, using DBI as a weapon to attack the opposition is considered inappropriate

Digital advertising brings huge opportunities to marketers while also posing many potential shortcomings In terms of quality management, not all of the content we create is of the quality we would like Campaigns must ensure quality management to avoid content that is poor quality or could damage the brand The second problem may be copyright issues, content used for business activities may be violated or pirated if not strictly controlled It is difficult to control because of the power of digital, information can be broadcast everywhere and if the information and images deviate from the brand's directions, it can cause unpredictable consequences

2.3/ Price

The Pay What You Want (PWYW) pricing strategy is to allow customers to price the product themselves and pay an amount they feel is appropriate for the product or brand A characteristic of this pricing model is that customers tend to pay more when they see an image of the product, brand or simply know more about it, than if they have never heard of the product , that brand, they will pay a lower price

For example, in October 2007, the British band Radiohead released their latest album – In Rainbows –

on the Internet The music group allows fans to download albums for free and make offers, to support the group, people can pay any amount they want The group then revealed downloads of their new album generated more profit than all their previous albums combined

Another attractive form of payment is Freemium It allows customers to try out some features of a product or service before paying to unlock full functionality For example, Canva is a website that helps you create fun and ready-made templates, you can use them for free, but if you want to use more advanced functions, you have to pay a small fee to get it Or like Youtube, we can still use it completely, but when using

it, ads will appear, and if you want the ads to not appear, you have to pay a fee

2.4/ Place

New retail is a set of strategies (both physical and digital) that are how physical retailers respond to adapt to the challenges posed in the digital world According to a survey, people living in small towns are more likely to shop online than those living in urban areas due to the fact that residents in city centers have access to stores It's actually easier than it is for residents of small towns A lot of retailers are trying to merge their physical and digital components To optimize customer touchpoints, many retailers are trying to merge both digital and physical components

And digital tools are a great opportunity for the development of online sales channels Digital tools help optimize processes, using digital for site management can help optimize manufacturing, transportation, and

experience, digital location technologies can improve customer experience by providing information about nearby locations and services, facilitating shopping or sightseeing An important point is that digital systems have the ability to collect data from physical locations, helping businesses better understand customer behavior and optimize business strategies Digitalization opens up a huge market for each brand by creating intuitive experiences and engaging customers from afar

But besides the development of digital tools, there are also many challenges that need to be resolved such as data security issues, the challenge lies in ensuring information security and avoiding the risk of being violated Legal Challenges Complying with legal regulations regarding ownership, privacy and use of digital venues can be a complex challenge Skills and people: To implement and manage digital location strategies, people with the right technical skills and knowledge are needed This may require training or hiring new employees

Desktop manufacturing is the ability to produce physical items from desktop computers Another meaning is the ability of humans to self-produce in applying digital tools to create products For example, when mentioning Desktop Manufacturing, we must mention 3DPrinting technology 3D printers are considered a new industrial revolution and will significantly change the future economy, with important implications for the way products are distributed in the market 3D printing is not only applied in the production of furniture or weapons,

it is even breaking down design barriers in the culinary arts Using a plastic 3D printer, users can actually print chocolates based on digital designs from 3D software or 3D print edible foods using fresh cream, flour, etc Some features include being faster than many other manual methods, not taking much time, not wasting materials, or being low cost, and also saving many other costs: rental costs workshop, delivery costs, labor wages, and no setup costs Because 3D printers are all pre-set up, for difficult designs, users do not need to worry too much because the printer can still do that task well However, 3D Printing can have some negative effects on retailers

3/ Discuss How Companies Can React to the Changing Digital Marketing Environment

a/ Product

The more people who contribute to a product, the more creative ideas the company has Companies and brands that adopt this Customer Co-Creation strategy should offer financial incentives or let users be recognized, so they feel more respected and contribute To increase the authenticity of customer opinions, the company can let customers choose among the opinions themselves, and at the same time coordinate with the R&D department to check before choosing to increase authenticity as well as enhance credibility company's reputation in the minds of customers A typical example of a company that successfully applied a customer co-founder strategy is Apple Inc Steve Jobs and Steve Wozniak, the two founders of Apple, created an incredibly successful technology corporation based on the philosophy of putting customers first They always