ROI Through Digital Marketing – Digital Leadership Summit Mumbai

  • Divya Premkumar
  • |
  • Published Date : 7 January , 2019
  • |
  • Updated Date : 8 March , 2019
  • |
    • 5 min read

The second edition of our Digital Leadership Summit was a grand success with key insights shared by industry leaders from across India. Among the interesting topics discussed, one of the panel discussions was on ROI through digital marketing videos. The panel was moderated by Vikas Chawla and our panellists included Pradeep Nidamarthi of Reliance Capital, Monish Ghatalia of Focus Communications and Prashin Jhobalia from the House of Hiranandani. They discussed the industry-wide approach to digital marketing.

Key takeaways from the panel discussion:

  • Adopt digital marketing as a vehicle and understand the digital behaviour of a person
  • In the real estate industry, identify the individual, their needs and reach out to them at the appropriate time
  • Digital marketing gives businesses the ability to show numbers as proof and justify spends
  • Focus on the number of leads and not just the number of impressions.
  • Don’t spend 99% of the budget for leads to covert, a sizeable amount is enough to achieve brand loyalty
  • There is no one secret sauce to digital marketing, the solution lies with the marketer. Understand your objectives and use relevant information to remarket to customers
  • People are going to become more aware of privacy so digital marketers need to err on the side of caution when using customer’s data
  • Although everything about marketing will change in the next five years, the way a customer thinks will not. Use that to leverage your business’ position in the market.

How has digital marketing impacted your business?

According to Pradeep Nidamarthi of Reliance Capital, the impact of digital marketing can vary from each organisation as they have a different outlook on its success. Some people in the organisation view it as a long-term strategy where the payoff occurs over time while others have a short-term view and look at digital marketing as something that should bring them value on a quarterly basis.

He says that the success metrics depend on the discovery, conversion and repurchase components of the main cycle. The impact of discovery on digital marketing is often hard to measure, so companies usually look at their engagement and conversion rates as the major success metrics.

Monish Ghatalia of Focus Communications said that one of the key metrics of the business is to understand the digital behaviour of the person. That is how they behave when they watch a commercial on TV vs when they watch an advert on Youtube. As customer behaviour changes, the mindset of the company has to change as well. Additionally, this shift from traditional to digital marketing can also affect various sectors of the business as they start thinking digitally. Statistics show that 5-10 per cent to 15-20 per cent of a business' marketing budget is used towards digital marketing when acquiring a new client.

“For the real estate industry, many companies are not as marketing savvy as they would like to be,” said Prashin Jhobalia of the House of Hiranandani. “This is because they find it a challenge to segregate their customers into different buckets.” However, the impact of digital marketing in the business is its ability to put up numbers as proof. This helps them understand what the money is put towards to justify spends and measure return on investment.

How has attribution changed the business?

Real estate needs depend on the need of the client and the stage of life they are currently in. Jhobalia believes that a business is able to market its brand to the company if they are able to identify this individual and reach out to them at the appropriate time.

“The customer journey is different for each business,” said Nidamarthi. For example, with Reliance Capital’s general insurance policy, if a person has decided that they want to buy insurance, they have already done the research on the different policies available before approaching Reliance. At this stage of purchase, there is not much the company can do to change the customer’s mind other than the price. Therefore, digital marketing does not have an impact if the customer is already aware of the product. But for products like mutual funds, digital marketing has an impact as the discovery process is longer. He adds that brands should not just spend money on impressions but should also give importance to the visits that lead to your digital property and the interaction with the customer.

What is the secret sauce of digital marketing?

Monish Ghatalia says that the fundamentals of marketing believe that more is more (that is, more budgets, more people). However, with digital marketing, the mindset has shifted to less is more. Digital allows us to build the core customer base and because we live in a sharing economy, we can convert this customer base as well. He believes that if 100 core customers are acquired and nurtured, they can lead a business to its next 1000 customers. Therefore, the secret sauce for the business is in its approach to acquiring clients and adopting the framework of the current digital marketing industry. Additionally, businesses should aim to move their customers from conversion to brand loyalty. Instead of spending 99% of the budget on lead conversion, they should spend only a  particular amount of the budget to go beyond just conversion and encourage customers to become loyal to the brand.

In the real estate industry, Jhobalia says that the secret sauce lies with the marketer and there is no single solution to success. The business needs to understand its objectives and use relevant information to remarket the brand to the customers.

All businesses have a digital marketing funnel and it is the duty of the companies to either drive people through the funnel or improve conversion through the funnel. Take a look at our in-depth video on full-funnel marketing here for more information.

Alternatively, the business needs to drive the right people into the funnel at the right time. According to  Nidamarthi of Reliance Capital, there are 4 steps that all companies need to use to maximise their digital marketing strategy:

Collate

Collect and collate your data from all the sources available. This can help you build the user journey from discovery to repurchase.

System

Once you have collected all the data, you should have a master view of all the channels used by the business. That is the channel used to promote a good or service and the frequency at which the ad is shown.

Process

The CRM process needs to be streamlined and constantly updated.

People

You need to have employees who are native to the digital world. They should have a good understanding of how digital marketing impacts the customer journey.

Having a good understanding of all these four components can help a business master their business digital marketing strategy.

Overcoming key challenges

Reliance Capital has numerous lines of businesses and each of them is in different stages of digital marketing with different regulators across the board. The biggest challenge for the companies over the next three to four years is that the common man will become more aware of privacy and will interpret it differently. When it comes to the use of data and systems, companies need to be more careful about how they use customer’s personal data and err on the side of caution.

According to Ghatalia, the biggest challenge faced by businesses is their ability to converge traditional marketing, digital marketing, technology, Artificial Intelligence and data. Companies need to understand that although these components will change in the next four to five years, the way a customer thinks will not. As a future marketer, they need to leverage this idea and be able to marry vehicle one (digital) to anything else in the digital market.

In the real estate industry, Prashin Jhobalia says that the ability of companies to recreate traditional content for digital media is a challenge. Another problem is the overpopulation of ads that creates competition within the industry. The developer might create an ad to target their customers while the distributors and brokers create different ads to target the same customers, this self-inflicted competition can create a lot of confusion in the industry. In order to overcome this challenge, businesses need to understand and react to the customer’s changing needs in a timely and efficient manner. One way of doing so is making use of vernacular ads.

The panel ended with a discussion with the audience, the panellists provided numerous thought-provoking ideas on the the future of digital marketing and improving ROI.




Thank you for submitting your form!
WE MEAN GOOD BUSINESS