Technology innovation and development have led to the emergence of the new economy in the 21st century.
A brief examination of the characteristics and features of the old economy is essential in understanding the new one and predicting the outcome of marketing in an informed manner.
The industrial revolution started the old economy, which focused on producing tons of generic products. Mass production was necessary for cost reduction and satisfying a large consumer base.
As production grew, companies expanded into new markets, different categories emerged, and newer challenges surfaced.
In contrast, the digital revolution has led to an all-time-high buying power for the new economy. Information on all kinds of products and services is now at consumers' fingertips.
In addition, standardization is replaced with more customization, which has led to a dramatic increase in product offerings.
Online shopping has altered the purchasing experience, with products being delivered at home or the office 24/7.
However, the world has changed, and modern marketing is about delivering a great customer experience.
With higher disposable income, less time, and more choices, future consumers will have new purchasing habits based on their age, location, and wealth.
In addition, in today's cross-category marketplace, customers want an experience, not just a product.
Many of the current offerings don't impress them either. According to Bain & Company's survey of 362 companies, 80% evaluated their customers' experience as "superior."
On the other hand, customers told a very different tale; only 8% of companies were delivering.
Because of the rapidly changing preferences of consumers, the evolving market dynamics, and cut-throat competition, earning higher marketing degrees for entrepreneurs and marketing professionals is a must for running a business successfully nowadays.
Digital marketing, the next big thing
Businesses now need to combine traditional and digital marketing channels to promote their products and services.
Until recently, organizations had no options to reach their target customers other than newspapers, television, flyers, and the radio.
A mass marketing campaign was started to raise awareness within the intended audience and encourage possible customers to purchase.
After the arrival of the internet, marketing became inbound instead of outbound. Through search engines and social media platforms, emails, and content strategies, inbound marketing facilitates two-way interactive communication between organizations and customers.
Let's take a look at how marketing works these days and why businesses need to incorporate it if they want to thrive.
SMM Social Media Marketing
Contrary to the past, today's generations are dependent on social media for information and interaction. Therefore, if a company wishes to succeed, they need to develop a solid social media marketing strategy.
To interact with target audiences and influence their behavior, organizations should use social networking sites like Facebook, Twitter, LinkedIn, and Instagram extensively.
Sharing opinions and buying experiences via social media has become a thing, making it easy for organizations to spread positive reviews and increase conversions with marketing campaigns that channel ideas and purchase experiences.
Low cost and high response rates make social media marketing suitable for companies.
Customized Email Marketing
Digital platforms enable marketers to add value to their customers by educating and entertaining them. Customers can be persuaded to purchase using email marketing by sending personalized messages.
Email marketing campaigns are executed by organizations using opt-in email lists. People who have expressed interest in services or products offered by an organization are included in an opt-in email list.
The Data and Marketing Association reports that organizations earn $42 for every $1 they spend on email marketing.
As of 2019, nearly 87% of organizations use emails to send personalized promotional messages to clients.
The number speaks for itself; if you want to amp up your marketing game, you need to invest in the right email marketing strategy.
Strategic Content Marketing
Marketers in the 21st century know that content is king. Search engine marketing techniques are used extensively by small and medium-sized companies to reach their target customers online.
A website must have unique, high-quality content to rank highly on search engines.
Content marketing aims to inspire brand loyalty, drive consumer behavior, and develop brand identity by engaging customers and persuading them to make purchases.
Marketing Strategies That Work
Businesses must close the gap between products and customers to achieve their revenue targets. Putting customers first is critical. To do this, follow these steps:
Create
The key to designing the right propositions for the right customers is to know who they are. In most cases, companies are proficient in traditional market research, segmentation, and product design.
The problem is that many companies fail to connect customers with their products.
To differentiate your offer from the rest, it's crucial to consider customer experience and product features.
Moreover, customer experience should be your top priority. So, you need to be aware of how customers interact with different parts of the organization at various touchpoints, from buying to billing and service to support.
Likewise, incorporating tools and techniques that now focus far more on customer experience is vital.
Deliverance
Ensure that the entire company focuses on these propositions to deliver them at the lowest system cost possible.
When customers turn against companies, the fault often rests with the way products are delivered, the creation of those products, and bad customer service.
Treat every customer interaction as if it were a precious resource. A company's service is ultimately judged by its feedback from customers.
Motivate employees across departments, from marketing to supply chain management, to deliver a cohesive, seamless experience across all aspects of the customer journey
Implement
Learn to do it over and over again. Companies that delight their customers build processes to maintain dialogue.
Your company must establish capabilities that encourage ongoing, systematic improvements and feedback loops that identify shifts in customer attitudes.
Ask your customers: "Would you recommend us to a friend or colleague? Surveys can be conducted often enough to provide management with granular, timely, accurate data.
NPS (Net Promoter Score) compares the percentage of unhappy customers (ranked 0-6 out of 10) to the rate of loyal customers (ranked 9 or 10).
Final Verdict
Marketing dynamics have indeed evolved a lot over time. For businesses to compete, they must rethink their marketing strategies.
