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Introduction to Digital Marketing Student Reference Material Syllabus Version 4.0

DMI PDDM Programme M1 Introduction Student Reference Material

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Page 1: DMI PDDM Programme M1 Introduction Student Reference Material

Introduction to Digital Marketing

Student Reference

Material

Syllabus Version 4.0

Page 2: DMI PDDM Programme M1 Introduction Student Reference Material

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 1

Copyright

All rights reserved worldwide under International copyright agreements. No part of this

document can be reproduced, stored in a retrieval system, or transmitted in any form or

by any means, electronic, mechanical, photocopying, recording, or otherwise without the

prior written permission of Digital Marketing Institute Limited.

This course uses a number of trademarked brand names, symbols, slogans, and logos.

Digital Marketing Institute acknowledges that these works are the property of their

respective owners and maintains no rights to these trademarks. They are presented here

for educational and demonstration purposes only.

Page 3: DMI PDDM Programme M1 Introduction Student Reference Material

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 2

Table of Contents

Copyright ..................................................................................................................... 1 Table of Contents ........................................................................................................ 2 Module Overview ........................................................................................................ 3 What is Digital Marketing? ......................................................................................... 4 Traditional versus Digital Marketing ........................................................................... 5 New Marketing ........................................................................................................... 7 DMI Methodology ....................................................................................................... 9 Framework and Tools ............................................................................................... 14 Laws and Guidelines ................................................................................................. 24 Summary ................................................................................................................... 25 Glossary of Terms ..................................................................................................... 26 Resources and Recommended Reading ................................................................... 31

Page 4: DMI PDDM Programme M1 Introduction Student Reference Material

Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 3

Module Overview

This module will get you started on the road to implementing effective digital marketing

campaigns. The Introduction to Digital Marketing module introduces the foundational aspects of

digital marketing and covers areas including: search, digital display, email marketing, social

media, mobile marketing as well as web analytics. You will learn about the principles and

processes as well as the tools and techniques that underpin the Professional Diploma in Digital

Marketing.

Module Objectives

By the end of this module, you should be able to:

Harness the power of digital marketing as a core driver of the marketing strategy for your

organisation.

Distinguish between traditional and digital marketing.

Apply digital marketing tactics to develop an integrated and effective overall digital

marketing approach across the different digital marketing domains including: search, digital

display, email marketing social media, and mobile marketing.

Appreciate the value of ongoing analysis and measurement as a way of managing and

evaluating your digital marketing efforts and budgetary spend.

Apply the relevant laws and guidelines that pertain to the different aspects of digital

marketing.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 4

What is Digital Marketing?

Digital marketing (also known as online marketing, Internet marketing or web marketing) is a

collective name for marketing activity carried out online, as opposed to traditional marketing

activity which is carried out through print media, live promotions, TV or radio advertisement.

Digital marketing describes how organisations engage consumers through online advertising and

marketing communications by means of the personal digital devices consumers possess and use

every day, such as computers, tablets, smart phones and mobile phones.

Effective digital marketing helps organisations in generating new revenue streams based on a

range of exciting new marketing channels and developing brand awareness. In comparison with

traditional marketing methods, digital marketing offers very realistic cost advantages, as well as

accurate audience targeting and excellent reporting and analysis.

All current innovation in marketing is through digital channels. The Introduction to Digital

Marketing module demonstrates the power of the Internet and how organisations can now

harness new opportunities for customer engagement as the traditional relationship between

organisations and customers evolves and changes.

Digital marketing refers to using digital channels to promote or market products and

services to consumers and business.

-Digital Marketing Institute

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 5

Traditional versus Digital Marketing

Traditional Marketing

Traditional marketing channels include radio, print, TV and outdoor channels (billboards). These

channels have the following characteristics:

Broadcast: Traditional marketing channels are characterised as „broadcast‟ mediums—one

way, „push‟ outbound forms of communication.

Message-driven: Traditional marketing activities are characterised as „message-driven‟ by

brand, features and benefits.

Didactic: Traditional marketing activities are characterised as didactic—tells, explains,

elaborates and instructs.

Constrained: Traditional medium (TV, radio, print) constrains the marketing content to fit in

with programming schedules, print schedules and geographic boundaries.

Calendar and budget bound: Traditional marketing is calendar bound; it has fixed start and

end point, is inflexible, requires upfront commitment on schedule and finishes when time is

elapsed.

Power: Power and influence with traditional media marketing is retained by the media owner

and the advertiser.

Digital Marketing

Digital marketing is an approach based on openness, transparency and engagement with the

consumer. Digital marketing has the following characteristics:

Interactive: Digital marketing is characterised by „push and pull‟ approach—an interactive

engagement-focussed approach to consumers. It involves many-to-many communication.

Consumer-driven: Digital marketing is consumer-driven in terms of consumers‟ interests and

preferences.

Listening: Digital marketing involves interactive, „two-way‟ form of communication—

listens, engages and shares. It follows the consumers‟ needs.

Unconstrained: Digital medium liberates from schedules and constraints (publishing or

broadcasting schedules, budgetary or calendar schedules or geographic limitations).

Open-ended: Digital campaign planning process is iterative—launch, review, adjust and re-

launch.

Power: In digital marketing, control and influence is with the consumer.

Table 1.2 summarizes the differences between traditional marketing and digital marketing.

Traditional Marketing Digital Marketing

Broadcast Interactive

Message-driven Consumer-driven

Didactic Listening

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 6

Constrained Unconstrained

Calendar and budget bound Open-ended

Power retained by media owner Power with consumers

Table 1.2: Traditional Marketing versus Digital Marketing

The output of digital marketing is customer engagement at all points along the product

lifecycle—research, design, production, sales, marketing and support. Therefore, marketing

activity within digital marketing includes all departments engaging with the consumer along the

product lifecycle.

Digital marketing has the following implications for marketing departments and their campaign

planning:

Structure: Campaign planning is not all upfront, petering out, but is iterative; it starts small

and gets better.

Budget: Marketing departments start with small budget and invest based on success and cost

of entry. Based on analysis, investment is made in the option that seems to work best.

Calendar: Calendar is organic with no end point for any campaign.

Personnel: Digital marketing involves new work, so requires new skills. As part of marketing

campaign, marketing departments should look at not just the volume of work but also the

type of work that people do.

Beyond marketing: The danger of re-purposing content from a broadcast medium to an

interactive medium must be recognised.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 7

New Marketing

How a business goes to market is often informed by market research—polls, questionnaires,

focus groups, trials and gut instinct. A limitation of market research is that it is hypothetical and

not real. Digital marketing relies on market reality and not just market research.

With digital marketing, the starting point are the consumers themselves and what they are

actually doing. You should start with the consumer and work backwards, as shown in Figure

1.1.

Figure 1.1: Market Research versus Market Reality

To know the market reality (what customers are actually doing online), you can use various tools

such as Search (Keyword Research tools), Social (Listening tools) and Analytics tools across all

digital channels. For example, you can use the Google Keyword Research tool to search volumes

based on location and time. Table 1.2 shows that a search for the keyword “Childcare” resulted

in approximately ten times more results than the search for the keyword “Creche”.

CrecheWorld.co.uk CrecheWorld.co.uk

“Creche” “Childcare”

<20 miles London <20 miles London

6 Months 6 Months

24,650 234,900

Table 1.2: Search Results for “Creche” versus “Childcare”

Figure 1.2 shows Google search trends of “Summer School” and respective pounds spent on the

advertisement.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 8

Figure 1.2: Google Search Trends of “Summer School”

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 9

DMI Methodology

Professional Diploma in Digital Marketing (PDDM) programme and other programmes of

Digital Marketing Institute (DMI) are built on the DMI methodology for digital marketing. DMI

methodology is the principles-based framework for the application of digital marketing to

achieve business goals. This methodology consists of:

DMI 3i Principles: These are the foundation tenets of the DMI methodology for digital

marketing.

DMI Framework: This is the visual scheme used to describe the digital marketing channels

and provides the basis for implementation.

DMI Tools: These refer to the application of relevant digital channels to achieve the business

goal.

DMI Quality Scale of Engagement: This is the formal scheme to reflect audience

engagement with an organisation.

Figure 1.3 shows the DMI methodology.

Figure 1.3: DMI Methodology

The job of a successful digital marketing person is to:

Understand their customer and how they use digital channels.

Recognise their own business goals with regard to digital marketing.

Appreciate how to best apply the different digital marketing tactics.

Let us discuss each component of the DMI methodology in detail.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 10

DMI 3i Principles

Digital technologies are transformative and disruptive and characterised by a shift in power to

the consumer. Therefore, according to the DMI 3i principles, to achieve business goals, you

must:

Initiate: Start with the consumers and work towards your digital strategy.

Iterate: Continually learn from engagement with customers and apply this on an ongoing

basis.

Integrate: Integrate digital channels coherently and in terms of traditional marketing

activities.

Initiate

You must recognise that the principle challenge in business is to take a product into the market to

a target audience. So you should know the customer purchase model and its component

elements—need, search, evaluate, purchase and advocate. You should apply the digital channels

to the customer purchase model.

Customers (or consumers) leave a trail; Internet consumers vote by clicking or typing. By their

choices, consumers reveal who they are. Figure 1.4 shows consumer trail. It is access to the

activities in this trail that gives digital marketing its power.

Figure 1.4: Consumer Trail

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 11

Iterate

Effective digital marketing is an iterative process. You should continually learn from

engagement with customers and apply this on an ongoing basis.

Consider email marketing. It is crucial to start email marketing in the correct place. Many

companies initially think of design as the logical starting point, but in email marketing, the

starting point is data because a campaign starts with a list of subscribers. This list is what dictates

all other aspects of the email campaign and is the crucial starting point.

Integrate

According to the DMI 3i principles, you should integrate digital channels coherently and in

terms of traditional marketing activities, as shown in Figure 1.5. Depending on consumption

channel, users apply personal preferences and etiquette and expect marketers to do likewise.

Figure 1.5: Integration of Digital Channels

DMI Framework

The DMI framework is the visual scheme used to describe the digital marketing channels and

provides the basis for implementation, as shown in Figure 1.6. Different digital marketing

channels relate, support and inform to each other.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 12

Figure 1.6: DMI Framework

DMI Tools

DMI tools refer to the application of the relevant digital channel to achieve the business goal.

The primary digital channels within digital marketing are:

Search Optimisation

Search Marketing

Email Marketing

Digital Display Advertising

Social Media Marketing

Mobile Marketing

Analytics

DMI Quality Scale of Engagement

The DMI quality scale of engagement is the formal scheme to reflect audience engagement with

an organisation, as shown in Figure 1.7. In digital marketing, the dynamic is from quantity to

quality.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 13

Figure 1.7: Audience Engagement

Refer to Module 1 of the Student Handbook for a situation analysis activity.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 14

Framework and Tools

Let us learn in detail how various digital channels are used in digital marketing to achieve

business goals.

Search Engine Optimisation (SEO)

SEO means optimising your website so that

it is found on search engines. You should

align your website with the search phrases

of your audience.

You must know where organic and paid

search results display. Pay-per-click (PPC)

ads are placed to the right with some ads

achieving „premium position‟ and sitting

above organic listings, as shown in Figure

1.8. You should know how positioning

affects clicks, and what the proportionality

of clicks between organic and paid ads is.

Figure 1.8: Positioning of Ads

SEO is an ongoing dynamic process with goals, actions, review and iteration, as shown in Figure

1.9.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 15

Figure 1.9: SEO

Search Engine Marketing (SEM)

SEM refers to paid advertising (pay-per-

click) to achieve search placements.

SEM is an on-going dynamic process with

goals, setup, management and review and

iteration, as shown in Figure 1.10.

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DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 16

Figure 1.10: SEM

Email Marketing

Email marketing means communicating with customers via email. You should provide timely

personalised communications to your target audience.

The email marketing process consists of the following steps (also see Figure 1.11):

Data collection: In this step, subscriber lists are created (including their contact details and

email addresses). This information may come from a company‟s CRM or customer database

or from marketing events that gather email information about potential or current clients.

Design: This stage involves creation of the email campaign including layout, structure,

design, content, call to action etc.

Delivery: Delivery refers to the mechanism used for email marketing, which can be a

personal mail client, a company mail server or a feature rich third-party Electronic Mail

Delivery and Management System.

Reporting: Reporting involves tracking and analysis of the recipients‟ interaction with the

emails, including topics such as delivery rates, open rates and click-through rates.

Figure 1.11: Email Marketing

You should recognise standard reporting features with email marketing packages and report

campaign snapshot, as shown in Figure 1.12.

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Module 1: Introduction to Digital Marketing

DMI PDDM Programme Student Reference Material: Developed by NIIT Limited Copyright © 2012 Digital Marketing Institute 17

Figure 1.12: Campaign Snapshot

Digital Display Marketing

Display advertising refers to advertising via

a common set of ad formats on the Internet.

You should place graphically rich relevant

advertising on the sites your customers visit.

Figure 1.13 shows standard ad formats for

Breaking Dawn campaign in the

Entertainment Section of the MSN.com

website.

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Figure 1.13: Standard Ad Formats

Effective digital display marketing is an iterative process, as shown in Figure 1.14.

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Figure 1.14: Digital Display Marketing

Mobile Marketing

Mobile marketing refers to applying a range

of digital marketing activities through

mobile devices. You should connect with

your customers irrespective of their location.

Mobile provides a means of convergence.

Functionality such as SMS, camera, music,

phone, browser, GPS, email, office

applications, social media and gaming, all

begin to come together in one device, as

shown in Figure 1.15.

Figure 1.15: Convergence

Effective mobile marketing is an iterative process, as shown in Figure 1.16.

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Figure 1.16: Mobile Marketing

Social Media Marketing

Social media marketing refers to

engagement with your target audience

through social networks. You should build

relationship with your customer using social

media and know the opportunities.

The evolution of the online interaction and

web places the user centre stage and

increasingly in control, as shown in Figure

1.17.

Figure 1.17: Evolution of Online Interaction

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Figure 1.18 shows the iterative process of effective social media marketing.

Figure 1.18: Social Media Marketing

Analytics

Analytics refers to measuring and

monitoring customer activities on any of the

digital marketing channels or campaigns.

You should have the ability to gain key

insights into the volume and type of actions

that customers carry out online.

Google Analytics Dashboard provides a configurable opening screen for Analytics Management,

as shown in Figure 1.19.

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Figure 1.19: Google Analytics Dashboard

Figure 1.20 shows the on-going dynamic process of analytics with goals, setup, management

and review and iteration.

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Figure 1.20: Analytics

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Laws and Guidelines

As a digital marketing professional, you should be aware of the issues and policies related to

privacy, data protection, copyright and accessibility with regard to digital marketing.

Some of the common electronic privacy characteristics include:

Opt out at collection point

Subscriber told why information is being gathered

Emails only about a similar product

Option to opt out on every mail

Opt in only valid for 12 months

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Summary

Digital marketing refers to using digital channels to promote or market products and services

to consumers and business.

Marketing activity within digital marketing includes all departments engaging with the

consumer along the product lifecycle.

Digital marketing relies on market reality and not just market research.

DMI methodology is the principles-based framework for the application of digital marketing

to achieve business goals. This methodology consists of:

o 3i Principles

o Framework

o Tools

o Quality Scale Management

According to the DMI 3i principles, to achieve business goals, you must initiate, iterate and

integrate.

The primary digital channels within digital marketing are:

o Search Optimisation

o Search Marketing

o Email Marketing

o Digital Display Advertising

o Social Media Marketing

o Mobile Marketing

o Analytics

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Glossary of Terms

Ad An marketing communications message conveyed to the consumer.

Ad impression Each instance a consumer is exposed to an online ad.

Ad click A Click on an ad impression served in the period being measured.

Advertiser

An organisation that wants to get its message to the right audience,

efficiently and effectively.

Analytics

The technology and measurement systems used to understand what is

working within a digital marketing campaign and what is not, based on

data collected during the campaign.

App

An app is a mobile application. App is short for "application". It is

typically a small, specialised program which is downloaded onto the

mobile device. Apps can be downloaded from an app store which is

centralised repository of mobile applications. These include: Apple App

Store, Android Marketplace, the Blackberry App World and Google Play

Store.

Banner ad

A mobile ad unit that employs simple creative assets and hyperlinks.

Blog A website with regular entries of commentary, description of events, and

other embedded multimedia content such as graphics, videos,

presentations.

Conversion

tracking

Conversion tracking gives advertisers visibility into how consumers are

interacting with their brand throughout the marketing funnel. Advertisers

can define traceable events on mobile websites or within apps to assess

consumer engagement or the impact of direct response campaigns.

Click If a customer sees your ad and clicks on it to learn more or to do business

with you, it's recorded in your account as a click.

Click through Click through rate (CTR) is the number of clicks your ad receives divided

by the number of times your ad is shown (impressions).

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Conversion A conversion occurs when a user completes an action on your site, such as

buying something or requesting more information.

Cookie A text file placed on a web user's hard drive by a website to remember data

about the website's user.

Digital Display

Advertising

Digital Display Advertising is a form of digital marketing, which uses

display adverts appearing on web pages as a means of communicating

relevant commercial messages to a specific audience based on their

profile.

Direct

Marketing

Direct marketing is a channel-agnostic form of advertising that allows

businesses and nonprofit organisations to communicate straight to the

customer, with advertising techniques such as mobile messaging, email,

interactive consumer websites, online display ads, fliers, catalogue

distribution, promotional letters, and outdoor advertising.

Email

Marketing

Email marketing is a form of permission based direct marketing, which

uses electronic mail as a means of communicating relevant commercial

messages to a specific audience based on their profile.

Followers Non-mutual connections where data and updates are subscribed to.

Forum A Web site that allows the exchange of ideas and other

information between users which is usually monitored by a moderator.

Friends Mutual connections made on Social Networks where data and updates are

exchanged.

Hashtag A dominant feature of Twitter, a hashtag is a clickable keyword that sums

up the content of a tweet.

HTML HTML refers to HyperText Markup Language, which is the set of

commands used by Web browsers to interpret and display page content

to Users.

HTML 5

HTML 5 is an emerging standard markup language for presenting and

structuring information on the web, including the mobile web. Most

modern mobile and desktop browsers support HTML 5.

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Instant

messaging

Messages sent between two connections in real time through a Social

Media Network or Email platform. Examples of instant messaging exist on

Facebook, Google +, Skype, MSN.

Impression

The number of times an advertisement is displayed.

Keyword The keywords you choose are the terms or phrases you want to "trigger"

your ad to appear.

Landing page The page that a user lands on when they click on a link in a search engine

result page.

Link building Process of actively cultivating incoming links to a site.

Permission

based

marketing

Permission-based marketing refers to any marketing efforts where the

recipient of the marketing has opted in or given their permission to the

marketer to send them information.

Natural search

results

Search engine results which are not sponsored, or paid for in any way.

Paid search

results

Search engine results which are sponsored, or paid for in some way.

Mobile

Marketing

Mobile marketing is marketing using mobile devices in order to

disseminate promotional or advertising messages to targeted customers

through ubiquitous wireless networks.

Page

Impression

A request for a page of a site's content made by a User of that site in the

period being measured.

Quality Score Quality Score is a measure of relevance for your ad, keyword, or webpage.

Rich media Interactive media normally refers to products and services on digital

computer-based systems which respond to the user‟s actions by presenting

content such as text, graphics, animation, video, audio etc

Rich media

A broad range of interactive and engaging ad formats, including

expandable banners, embedded audio and video.

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SEO

SEO (Search engine optimization) is the process of improving the

visibility of a website or a web page in a search engine's "natural," or un-

paid ("organic") search results.

Site map A page or structured group of pages which link to every user accessible

page on a website.

SMS

Stands for "short mobile service". Generally used to describe text

messages sent to a mobile device. The original SMS specification limited

messages to 160 characters in length. If multimedia elements are

associated with a message, it's referred to as an MMS.

Smartphone

Is a mobile phone built on a mobile computing platform, with more

advanced computing and connectivity than a feature phone, e.g.: portable

media players, low-end compact digital cameras, pocket video cameras,

and GPS navigation units.

Social Media Social Media is a catch-all term used to describe the tools and technologies

that facilitate social interaction over the Internet.

Social Media

Marketing

The process of gaining traffic or attention through social media sites.

Social Network A Web based platform which allows users to construct a personal or

professional profile from which to share news and data and connect and

communicate with other users.

Targeting The ability to aggregate inventory by demographic, contextual and

behavioural traits in order to reach a particular group of prospects.

Tweet Tweets come from the Twitter micro-blogging service that enables users to

send and read text-based messages of up to 140 characters.

Unique user A unique device (e.g. a computer or mobile phone) that has made requests

for content to the site in the period being measured

Visit The total number of times that a User (a device) has engaged in a single

burst of activity with less than 30 minutes between requests for content. A

new visit when the gap between requests for content is at least 30 minutes.

URL Uniform Resource Locator or Web Address

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Search Engine

Marketing

Advertising on a search engine in a bid to drive traffic to a website, only

paying on a when someone clicks on your ad.

Targeting Involves channeling marketing efforts and resources to specific market

segments that have the highest payoff potential.

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Resources and Recommended Reading

For the most up to date information on Introduction to Digital Marketing please see the

following online resources

See also the following publications for further analysis of the topics covered in this programme:

Anselmo, Donna. Marketing Demystified. McGraw-Hill, 2010.

Godin, Seth. All Marketers are Liars. Portfolio Hardcover, 2009.

Halligan, Brian, and David Meerman Scott. Marketing Lessons from the Grateful Dead.

Wiley, 2010.

Chaffey, Dave, and Fiona Ellis-Chadwick, Digital Marketing: Strategy, Implementation

and Practice, Prentice Hall, 2006

Middleton, Simon. Build a Brand in 30 Days. Capstone , 2010.

Meerman Scott, David, The New Rules of Marketing & PR, Wiley, 2011

Peters, Paula. The Ultimate Marketing Toolkit. Adams Media, 2009.

Ryan, Damian, and Calvin Jones, Understanding Digital Marketing: Marketing

Strategies for Engaging the Digital Generation,, Kogan Page Ltd. 2012

Social Media Examiner http://www.socialmediaexaminer.com/

Facebook https://www.facebook.com/facebook

Twitter http://blog.twitter.com

LinkedIn http://blog.linkedin.com

YouTube help http://support.google.com/youtube

Google+ Help http://support.google.com/plus