There are many benefits for startups in conducting a digital marketing strategy. Digital marketing continues to become a more prevalent component in overall marketing plans and it is imperative that they are ran correctly in order to engage with as many relevant prospective customers as possible, particularly for startups looking to build a solid customer base in the beginning.

Cost-Effective

Low Cost Customer Research

It is important for startups to be savvy with their budget across all fronts of their business, from operations and distribution to direct dealings with customers. Digital marketing provides a unique opportunity to provide quality customer research without the hefty budget attached to many more traditional marketing channels. Digital marketing has the ability to deliver more targeted results for a lower cost if the strategy is optimised correctly.

Allocation on a Budget

For startups that are unlikely to have a swathe of resources and capital, digital marketing campaigns enable small companies to reach a large number of consumers for a comparatively low cost, with the main cost of digital marketing strategies for startups being the time consumption to learn the necessary skills. Specific ads targeted at the right customer is often far more effective than a widescale advertising campaign that reaches those with no interest in your product or service.

Online Visibility

Breaking Geographical and Demographic Barriers

Digital marketing campaigns are an important tool for startups to take advantage of in order to become visible to their potential customers. Compared with traditional marketing techniques which can be effective but limited at local levels, digital marketing campaigns allow startups to break both geographical and demographic barriers, which can be invaluable to a business starting out. It enables the business to become visible to targeted customers for their products in many different areas, as opposed to focusing simply on locality or a particular group.

Presence is Everything

By optimising a digital marketing campaign correctly, even a small startup can appear near the top of relevant google searches, with their links visible to prospective customers that could not have been reached with more traditional methods of marketing. A strong online presence can also lead to greater “word of mouth” spread for startups, which can be a huge advantage in growing the business.

Customer Engagement

Building Relationships

Also linked with increased online visibility is the increase of customer engagement. Digital marketing provides startups with an excellent platform to develop and maintain relationships with customers in a more meaningful manner than would be associated with traditional marketing techniques. Particularly if a startup is beginning sales with a limited number of customers, it is imperative startups foster good relationships with these customers, who can be invaluable in spreading word of the business and its products.

The Power of Social Media

Through both social media and websites, there are opportunities for startups to develop a digital bond with these customers and ensure they are retained for future purchases. Engaging social media campaigns can be used to get customers thinking about products in a positive way, and particularly startups in a position with a small number of customers initially, a more personal customer service experience can be developed through the medium of social media. Content is everything in digital marketing strategies and the right content can assist in drawing in and keeping customers purchasing from your business.

Measurable Results

Metrics are Invaluable

Digital marketing strategies provide startups with the capability to analyse performance in a low-cost manner. Methods such as ROI tracking enable businesses to see how marketing campaigns are performing on an ongoing basis, including who exactly is seeing their ads and who has acted as a result in viewing said ads. Many customers rely on technology when researching products and this can be used to a business’ advantage by monitoring metrics, providing an accurate guide to what in their campaign is working and what isn’t. Given a lack of resources, a startup’s margin for error can often be very small, and metrics enable businesses to ensure resources and capital are being used efficiently, as well as monitoring their SEO score. Read more about improving your local SEO ranking here.

Altering Strategy

It is also relatively easy to make alterations to a digital marketing strategy if it is found that elements of it are not working. They can provide a guide to the behaviours of customers and which demographics they are performing best with. This is an enticing tool for startups that are starting off small and trying to build a solid foundation for their business.

Conclusion

Overall there are evidently numerous ways in which a digital marketing strategy is beneficial for startups. They provide a low cost alternative to more traditional marketing campaigns while also having the potential to attain more targeted results if designed correctly. They increase the visibility of businesses, a factor which can be particularly important for companies only starting out, as well as providing a platform to engage with prospective customers and spread word and news about the business. Finally, metrics can be used to ensure that the strategy is achieving optimal results for the business and not being wasteful of time and resources.

All of these elements are of great importance to startups and a well-designed digital marketing strategy can give them a major advantage in developing, nurturing and growing their young businesses.

References and Links

Ferguson, R. (2015). “Display Advertising: Attribution and Conversion”. https://digitalmarketingblog.org/display-advertisement-attribution-and-conversion/. (Accessed 26/03/21).

Gray, C. (2021). “3 Essential Tips for an Effective Ad Retargeting Campaign”. https://digitalmarketingblog.org/essential-tips-for-effective-ad-retargeting/. (Accessed 26/03/21).

Bullock, L. (2020). “Digital marketing best practices for new start-up businesses”. https://www.smartinsights.com/digital-marketing-strategy/digital-marketing-best-practices-for-new-start-up-businesses/. (Accessed 26/03/21).

O’Raghallaigh, E. (2019). “Improve Your Local SEO Ranking Using Google My Business”. https://digitalmarketingblog.org/improve-your-local-seo-ranking-using-google-my-business/. (Accessed 26/03/21).