How India’s Advertising Industry Is Embracing Digital Marketing
When you think of digital marketing in India, you probably picture Bollywood actors and actresses promoting products on social media, phone numbers plastered all over Google ads, or TV commercials that take up 30 seconds of your already limited attention span. It’s certainly not the future many digital marketers picture. But it turns out the future of digital marketing in India will be more Indian than one might expect. In fact, according to the World Bank, India’s digital advertising market will reach $1 billion by 2020—a 40% increase from 2016—making India the third-largest digital ad market in the world by that time.
Trends and Challenges
Though e-commerce has become more widespread in recent years, a recent KPMG study revealed that only 23 percent of Indian shoppers feel confident shopping online. Part of that is due to worries about online payment, which 50 percent of Indians are hesitant to use. There’s also a lack of trust—58 percent say they need reassurance from other people who have used online retailers before. With all these factors at play, it’s clear that e-commerce still has a ways to go before it catches on nationwide; brands will need to find creative solutions in order to adapt and grow with e-commerce instead of against it. As such, advertising strategies should focus on getting customers comfortable with e-commerce platforms through ad campaigns that educate and inform. In particular, companies should aim to get consumers thinking about how convenient e-commerce can be by advertising convenience features like free shipping or 24/7 customer service. Since there’s still no one way to advertise for every business model, research into different techniques is key for learning what kind of ads work best for your industry. For example, direct response (DR) advertising can help increase sales by letting customers know exactly what products you sell and where they can buy them; DR ads often include price points or coupons as well as easy-to-find contact information so customers can take action immediately after seeing an ad.
What Are The Emerging Opportunities
From e-commerce to mobile marketing, marketers in India are finding new ways to reach customers. Sales of smartphones in India increased more than 150 percent last year, according to comScore. By 2017, eMarketer estimates that more than half of all internet users will be shopping online on their mobile devices—compared with 36 percent last year. And according to PwC, only one-third of Facebook and Twitter users in India are 35 or older; by 2020, that number is expected to decrease to less than a quarter of social media users. These opportunities have been noticed by big names such as Google and Facebook, who have opened offices in Mumbai and Bangalore.
The Future of Ad Networks
It’s Still Too Early to Tell: While ad networks have worked well for advertisers and publishers in other markets, it’s too early to tell if they can work in India. One reason: It’s not clear how different types of users will respond to ads that don’t show up on their phone—and its not just about smartphones. Even high-end smartphones are now plentiful enough that almost a third of all Indian adults use them; more than a fifth access the internet from their tablets at least once a month, according to eMarketer. And almost as many are expected to access from mobile web browsers within two years. That said, there is an audience for mobile advertising in India. In fact, people who watch videos online via their phones spend twice as much time with video ads than desktop viewers do. But even then, they’re less engaged with video advertising than those watching on desktop computers or laptops. So while digital media is growing quickly in India, it remains to be seen whether ad networks will play a role in its development or whether another business model will emerge instead.
Benefits of Native Advertising
According to a recent study by GroupM, digital media advertising was up 54 percent in 2012. Social media played a big role in that growth, and it’s expected to continue contributing significantly to total digital ad spend in 2013. While brands are embracing social, they still tend to be hesitant when it comes to investing in mobile – but not for long. As smartphone penetration continues growing at an astonishing rate, marketers have no choice but to develop strategies for reaching mobile users through mobile ads and landing pages (or m-sites). The way digital marketing works is about to shift dramatically. It’s time for marketers across industries—especially those heavily invested in TV—to pay attention.
How Social Media is Changing the Game
As more and more people start shopping online and social media increasingly become a major part of people’s lives, digital marketing is growing in importance. Smaller businesses will be particularly hard hit by these changes; according to Forrester Research, small companies that don’t adapt to changing market conditions will see a 5% drop in their bottom line in 2016. In fact, online shopping has grown so much that many advertisers now consider it an indispensable tool for promoting goods and services. Online ads account for 70% of all digital marketing activity, leaving little room for other advertising tactics. According to eMarketer, spending on social networks has already surpassed $18 billion annually and is expected to continue rising rapidly.
One of Google’s big digital marketing growth engines is dynamic ads. This technology allows businesses to personalize ads so they appear in front of relevant audiences, no matter what they search for or what device they use. So, a teen may see an ad on Snapchat that targets her love of music festivals and a woman might see an ad on Google Home that relates to her recent trip to Paris. It sounds like something out of science fiction but it’s quickly becoming science fact as brands around the world start adopting and embracing dynamic ads because of their potential to drive conversions and sales. (Source: AdWeek)
Online Video Sharing Sites
Do you have a digital product to sell, but don’t know how to market it effectively? The most popular online video sharing sites are YouTube and Vimeo. Both of these sites allow you to create an account, upload your video, and add a call-to-action link to your website. This is a cost-effective way to showcase your product with visual appeal. However, there are some things that you should keep in mind while using video marketing: timing and frequency matter. Although videos can be watched at any time, in any place, advertising plays on an emotional level; so if a viewer is bored or distracted at first sight of your product and moves on without watching it until later (or never), then what was that ad for again?
Future of Search Engine Optimization (SEO)
Some years ago, search engine optimization (SEO) was one of your few online marketing options. Today, it remains an option that many companies look to but other strategies have surpassed SEO in terms of popularity. Google used to list a ton of elements that would impact how high or low you ranked on SERPs (search engine results pages). However, as they grew bigger and bigger they got better at tracking user preferences in order to generate better search results. That means you need to work harder than ever before in order to get noticed by Google. The first step is creating a website filled with well-written content about topics your potential customers are searching for online.
Trends for 2022
e-Commerce: The digital marketing future in India seems quite bright and promising. Most of brands are investing their valuable time and money to promote their product or services through different digital marketing strategies. Brands such as Apple, Google, Microsoft and so on have already started showing interest to do business in e-commerce as they realize that it is an emerging trend in digital marketing. Many more companies will venture into e-commerce world in next few years. As smartphones become cheaper, people will be able to buy products online even while on go via smartphone; thus making it a one stop shop solution for buyers too. To reach out larger audience, you should focus on making your website friendly for mobile users as well, which can help you increase traffic flow and sales conversion rate significantly..
Conclusion – What All Marketers Need to Know about Digital Marketing
All marketers, regardless of their industry, need to be leveraging digital marketing. It is a fact that e-commerce will continue to rise in India and other developing markets. Use digital platforms to reach new customers in areas you may not have been able to before. Digital marketing is here to stay, so embrace it as a tool for your business. To ensure your company stays on top of its game, get in touch with an experienced marketing firm to help you expand your online presence! If a picture is worth a thousand words, then digital advertising must be worth millions. It’s hard to imagine that we ever lived in a world without it, and it will continue to evolve and grow at an exponential rate—but what do today’s marketers need to know about digital marketing for their e-commerce companies? Here are some trends every marketer should keep in mind 1) Social Media Isn’t Going Anywhere: Whether or not you like social media, chances are good that if you’re involved in e-commerce marketing, you probably have accounts set up on multiple platforms. The popularity of social media has only grown over time, which means more and more people can be reached through these sites. Not only does social media allow brands to interact directly with consumers, but it also offers a unique opportunity to create brand awareness by getting users to share content across their own networks. 2) Mobile Optimization Will Continue to Grow: In 2018, mobile devices accounted for 55% of all e-commerce traffic; by 2019, that number is expected to climb above 60%. This trend shows no signs of slowing down anytime soon—in fact, it’s estimated that mobile traffic will account for 74% of all e-commerce traffic by 2021. 3) Voice Search Will Become More Popular Than Ever: While voice search isn’t new (people have been using Google voice search since 2011), its popularity has exploded in recent years.