Digital Marketing Suggestions for Companies

Digital Marketing Suggestions for Companies

Oya Eru (Bolu Abant Izzet Baysal University, Turkey)
Copyright: © 2020 |Pages: 22
DOI: 10.4018/978-1-5225-9416-1.ch006

Abstract

The use of the internet in the business world, changes in communication technologies, digitalization in business processes, and adapting Industry 4.0 require enterprises to keep up with this transformation. Digitalization of enterprises will affect all processes of enterprises from production processes to accounting activities, from financial activities to marketing activities. Businesses that want to step into the digital world in Industry 4.0 should first determine their basic goals and strategies. With the transition to Industry 4.0, the price and promotional activities in manufacturing processes, supply chain, and distribution systems make it inevitable for businesses to adapt their marketing activities to the digital environment and Industry 4.0. This chapter includes strategies that can be used for digital marketing strategies for businesses.
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Introduction

Due to the great transformation that has taken place in the area of communication technologies and with the advent of the internet, it can be stated that both individuals and companies have found themselves in a new world. This world, which can be called as the digital world, has deeply affected the daily lives of individuals and the flow processes of companies.

With digitalization, people able to have the opportunity to interact with one another and also with companies. Also, with digitalization, usage of the internet both daily life and in trade affects all business models and consumer behavior intensely. Nowadays, people do not buy any products or services without searching the internet. Therefore, this clearly shows how important it is for companies to take part in the digital world and create their own platforms in order to reach more people.

To take a look at the revolution in industry and marketing from past to present can give a hint to explain why the internet and technological developments are essential to companies and marketers.

In the 18th century, industrialization, which started with the participation of machines in production processes and the increase of railways, can be expressed as the first industrial revolution. Moreover, the production capacity of the devices as a result of the change of the energies used in the means of production and thus the beginning of the mass production can be named as the second industrial revolution. Also, the digitalization of production by using automation and computer technologies is defined as the third industrial revolution.

Finally, the industrial revolution, defined by the fact that machines become intelligent and coordinate self-managed production facilities through the internet and inter-machine communication, can be expressed as industry 4.0.

Industry 4.0 will lead to considerable changes in both production processes and future business strategies of companies. With industry 4.0, factors such as cyber-physical systems, the internet of things and the Internet of services will enable companies to step into a new world. Industry 4.0 will provide digitalization of not only a production line or a realized activity, but also will digitalize the whole operation and processes of the company. Moreover, Industry 4.0 is defined as a period in which the interconnected processes are in communication, communicating over the internet, collecting data and completely changing the production process, highlighting the interaction of machines with people. And besides, Industry 4.0 promises a system supported by self-regulating solutions through extensive network communication based on the autonomous production systems and the Internet of objects. Industry 4.0 is a system that directs businesses to integrate with each other and with their customers through the internet and artificial intelligence (Yazıcı, 2010; Toffler, 2008;TOBB, 2016, Gür, 2017).

Considering these characteristics and innovations brought about by industry 4.0, it can be stated that companies that want to adapt themselves to this new system should carry out also a transformation in their marketing activities for effective competition. The reason why companies should adjust their marketing activities to this world can be explained by the evolving of marketing from the past to the present. According to Kotler et al. (2017), marketing has undergone a significant shift since its early days, from being product-driven (Marketing 1.0) to customer-centric marketing (Marketing 2.0) and ultimately, human-centric marketing (Marketing 3.0). And nowadays, it is discussed about marketing 4.0. Marketing 4.0 can be described as the sequel to our widely-recognized concept of Marketing 3.0, which calls for brands to touch the human spirit. Marketing 4.0 is based on intricate observation and analysis of the paradoxes because of the digital technology era. Thus, at this point of view, companies have to realize that digital transformation is essential for them and begin to prepare all the processes for digital transformation. One of the most critical processes in the digital transformation of companies is the adaptation of marketing activities to the digital world.

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