7 Reasons You Need To Create A Digital Strategy In 2021
What is a digital strategy, and why do you need one? A digital strategy is a direct approach to utilizes digital resources to achieve goals set by a brand.
With every passing day, our lives become more and more digitalized, a result of that is the increased power technology has on businesses today. Now more than ever, customers interact online through channels such as social media, mobile phones, and search engines. Consequently, companies are also increasingly migrating online; therefore, they must create a strategy in which to appease their customers and continue their growth simultaneously. Meaning, like it or not implementing a digital strategy on your business could mean the difference between your brand becoming successful or failing. Below are seven reasons why you should create a digital strategy right now.
A fundamental part of running a business is creating brand awareness. Brand awareness isn't something that can be measured with hard data or statistics; however; it is an essential part of running a business. Brand awareness cultivates trust. Customers having issues research solutions for their concerns. Once they discover a brand that solves their problem, they then proceed to make a purchase, thus creating a connection. A customer who feels connected to a business is more likely to make repetitive purchases.
Creating a notorious perception of your brand allows for more trust to be established with consumers. How you build brand awareness can also sculpt a personality that makes it seem more approachable and relatable.
Benefits of brand awareness are :
Creating associations with your brand
Building brand equity
Corporations such as Google and Mcdonald's have unique color schemes and logos that instantly compose an image in consumers' minds all over the world. A byproduct of this is brand equity. Positive associations create positive brand equity.
Benefits of positive brand equity are:
The increasing market share price
Minimize employee turnover
Foster customer loyalty
A digital strategy is composed of many parts, including analytics and customer services. "Numbers never lie." Analytics provide real-time and real-world data on different aspects of running a business. Analytics are used to interpret data, monitor the market, predict future trends, and much more. Being able to understand data and using that information to grow the brand is a necessary part of running a successful business. It helps brands make more informed decisions, improve overall operations, and generate more revenue.
In the past two decades, consumers have evolved into expecting superb customer service all the time, every time. Failure to do so will result in negative brand association and thus hinder the business's sales and overall operations. The customer service of a company has the responsibility of representing the values, missions, and goals of the said company meaning; it's a direct line between the consumer and the business. Excellent customer service could create a competitive advantage by persuading customers to continue to use your services/ goods over other companies in the same market. It's cheaper to retain customers rather than acquiring new ones.
Social Media Plan:
Social media is becoming the ultimate way to market. Creating a digital strategy includes creating a social media strategy. 71 percent of consumers who have had an excellent social media service experience with a brand is likely to recommend it to others.
E-word of mouth is a type of communication that can affect brands either positively or negatively. eWOM is when one customer (could be current, future, or former) relays their experience with other potential customers through the internet. Common channels that are used to spread eWOM is social media, such as Twitter. eWOM cements the reputation of brands and directly affects their ability to obtain new customers. therefore producing
Social media personalizes the process of company interactions, whereby strengthening the Connection between the customer and brand, thereby increasing the Customer lifetime value metric (CLV). CLV is essential in the long term longevity of the business. The lifetime value of the customer is the future relationship of the customer and the brand; the more clv generated, the higher the probability of succeeding in the long term.
Keeping the brand's goal in focus:
A huge advantage of creating a digital strategy is the ability to maintain focus on the brand, customer, employees set of goals. 86 percent of highly effective organizations have someone steering the direction of their content strategy.
Usually, when creating a digital plan, S.M.A.R.T. ( Specific, measurable, attainable, relevant, timely) goals are used in the long term and the short term. In the short term, it is used for motivational purposes to keep everyone feeling accomplished and working towards the same set of goals, for example, 500 new site visits, 100 new leads, and 10 new customers.
As previously stated above a digital strategy plan can help in predicting certain instances such as trends. Another aspect that can be predicted is a possible industry disruption. Being aware of the negative possibilities allows for brands to prepare for these instances, thus making them more stable if the predictions come to fruition. i.e. a changing market
Return On Investment (ROI):
Return on investment is a measurable metric used to monitor the efficiency of an investment or compare multiple investments to each other. It's easy to calculate the return on investment with the ROI formula (amount gained-amount spent/amount spent)x100.
A way to increase ROI is through conversion optimization. The process of testing hypothesizes on elements of a brand's website with the ultimate goal of increasing the percentage of visitors who take the desired action. Everything stated above plus tracking ROI can be combined to produce a solid digital strategy.
Overall, it's better to start introducing a digital strategy into your brand sooner rather than later. The sooner a digital strategy is formed, the more control you will have over your brand and its possibility of success.