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The Impact Of Digitalization On International Marketing

Written by Johannes Danielmeyer

Paper category

Term Paper

Subject

Business Administration>Marketing & Sales

Year

2020

Abstract

Term Paper: The impact of digitalization may seem infeasible, but the undiscussed impact is huge. The greatest evidence of its huge impact is the naming of the current historical period, the "digital age". Digitization can achieve higher efficiency (for example, sending messages without paper belts), show great productivity opportunities (for example, digital error analysis in production facilities), and enable better connections with others (for example, digital video on multiple occasions) Meeting). Therefore, almost everything nowadays is designed to be done digitally. Especially for companies, this has some implications. Digital technology has changed the way companies interact with customers and suppliers, and how general business is carried out (Elding&Morris 2018). With the development of digitization, many new possibilities have been developed, and alternative methods to solve existing problems are being sought. Due to the advantages of technical efficiency in resource allocation and lower costs, digital transformation is crucial to maintaining competitiveness. Without digital transformation, the company will not be able to maintain its market position in the long run. The most used digital technology is the Internet. By 2019, more than 4.1 billion people will actively use the Internet, with a growth rate of approximately 5% (J. Clement 2020). As digital products, procedures, and entire business models become obsolete, there is no future prospect. Only due to demographic differences (for example, different technological capabilities) and high switching costs (from a consumer perspective), outdated business models, products, and procedures still generate sales. As digitalization has changed people's lifestyles, business operations must be adjusted to meet the needs of consumers. The following will discuss the adaptation and specific application of these international marketing from the meaning of the product, then the meaning of the process, and finally the meaning of the business model brought by digitization. 2. Products Although the impact of products may be the most feasible for consumers because they have the greatest impact on daily life, for companies and international marketing departments, they can only achieve better organization (such as remote work) And standardization of internal operations. They are used to allocate and control projects, monitor marketing efforts and internal communication suggestions. Applied to the international marketing mix, through the information from the headquarters, each marketing department can be standardized and adapted. Without digitization, beneficial standardization will be difficult to achieve, and there will be communication barriers, taking into account time differences (phone calls), delivery delays (letters and documents), language barriers (no automatic translation options) and lack of understanding (knowledge transfer methods) cannot be used ). 3. The process flow may have the greatest impact and the greatest impact on international marketing. Holistic digitization provides a way to create new touch points and interact with customers. Through digital marketing, the number of marketing channels increases, which increases the flexibility of marketing decision makers and enables better positioning at lower conversion prices. Before the advent of digital marketing, people had to use conservative methods such as radio and television to learn about new products, new features, or other aspects or press. Marketing communication today is a mixture of offline and online digital methods. Only using numbers recommendations may also apply depending on the target group. Low conversion prices and little management time and cost allocation attract small businesses to use this channel, leading to higher competition. Through digitization, companies can operate independently locally. There are no specific subsidiaries or other offline contact points in an area. Companies can successfully sell products to a region, relying solely on digital marketing methods. In general, with the opportunity to resolve customers online, the marketing funnel becomes easier to understand and more transparent. You can use accurate clicks (leads) and conversion rate (easy to trace) to analyze and optimize a marketing operation. The trend of social media and continuous information exchange has increased the importance of corporate public relations and good performance on social media pages. Corporate image is becoming more and more important. Community management and the management of social media pages are becoming more and more important because it shows more and more factors in the purchase decision of potential customers. Management requires capacity allocation and becomes more intensive, the greater the impact a company can gain. Certain topics (such as sustainability) are widely discussed on social media, forcing companies to include them in their strategic direction. One of the biggest marketing opportunities brought by digitization is the storage of personal data from various Internet activities. Collect data such as visit time, previously visited websites, click trips, personal preferences, etc. Using HTTP cookies (Internet "tags"), interested users can relocate products or services for which they have shown interest. The data collected through the digital process can be archived for personal goals, and specific needs can be met in different ways (for example, using a login page). Through digital analysis tools, you can evaluate the best advertising mix (which method provides the most potential customers and the best conversion rate). Since people use search engines (mainly Google) in many situations, performing SEO (search engine optimization) and SEA (search engine advertising) are essential for promoting business operations in today's digital marketing world. Read Less