In festive season, Big marketers and brands are likely to spend more money on digital platforms this year than last year. Continued growth of the Indian digital economy, increasing popularity of online shopping among consumers, increasing sophistication of digital marketing tools and platforms and need for brands to reach their target audience where they are spending their time online, are top among many reasons behind the new trend.
According to exchange4media, brands are going all out on digital spends. Various brands have also roped in influencers to spread the word on social media and other platforms. This year, consumers will be back to buying beauty products and branded clothes, experts from the industry suggest. Retailers and beauty brands are not holding back on spending to emerge as the top choice for consumers in their category. According to ratings agency ICRA’s latest findings, ad spending by retailers and fashion companies has not slowed down and is expected to continue growing for FY2024.
Marketers concede that this year’s festive season is a highly competitive time for brands, both online and offline. Brands are increasingly spending more money on digital marketing to reach their target audience.
The cost of digital advertising is on the rise, especially during the festive season. This can make it difficult for smaller brands to compete with larger brands that have bigger budgets.
Brands often engage in cut throat bidding wars to secure the top ad spots during the festive season. This can drive up the cost of advertising even further.
Digital marketers need to be aware of fraudulent traffic, which can skew their campaign results and waste their marketing budget.
Consumers are bombarded with marketing messages during the festive season. This can lead to consumer fatigue, making it difficult for brands to stand out.
4 best tips to overcome challenges?
In order to meet challenges Digital marketers can overcome the challenges should focus on personalised marketing campaigns that resonate with their target audience. Tools like data and analytics can help marketers and brands to segment their audience and deliver targeted messages.
Brands need to use innovative marketing formats to stand out from the competition. They should use interactive content, immersive experiences, or social media challenges.
Brands should collaborate with influencers to reach their target audience and build trust. This is especially important for brands that are new to the market or that are launching new products.
Brands should look at the results of their campaigns and revise their strategies accordingly. This will help them get the best possible return on their investment.
According to Exchange4media, Influencer marketing and social media are top choices for retailers this festive season.Tabby Bhatia, Director at Brune & Bareskin by Voganow, says, “There has been a strategic adjustment in our media mix this year. While we continue to invest in traditional media like magazines and print, we have significantly increased our digital advertising spend to adapt to changing consumer behaviour. The digital space allows us to precisely target our audience, and we are leveraging social media, search engine marketing, and online marketplaces to connect with our customers.”
Background
Brands have revised their marketing strategies in the last decade or so. During Covid, brands focussed their energy on digital platform. The online audience grew by leap and bound. With the increasing penetration of the internet and smartphones in the country, brands are recognizing the potential of reaching out to consumers through digital channels.
India has witnessed a digital revolution in the past decade. The widespread availability of affordable smartphones and affordable data plans has brought millions of Indians online. In September 2021, India had over 624 million internet users, making it the second-largest online market in the world. This number has likely continued to grow, further emphasizing the importance of the online audience.
Today’s consumers are more connected than ever, spending a significant portion of their time on social media, e-commerce platforms, and content streaming services. This shift in consumer behavior presents a unique opportunity for brands to engage with their target audience in a more personalized and interactive way.
With the entry of platforms like Amazon, Flipkart, and numerous homegrown e-commerce sites, consumers are increasingly turning to online shopping for convenience and variety. Brands are quick to recognize the potential of selling their products and services through these platforms, leading to a surge in digital marketing efforts.
Social media platforms, such as Facebook, Instagram, Twitter, and TikTok (prior to its ban in India), have become essential marketing channels. Brands are leveraging these platforms to connect with their audience, run targeted advertising campaigns, and build brand awareness. Influencer marketing, too, has gained prominence, as influencers have become powerful voices in shaping consumer opinions.
A lot of emphasis is being given to content marketing for engaging with the online audience. Blogs, videos, podcasts, and other forms of content are used to provide value to consumers, establish authority in their respective industries, and foster customer loyalty. Creating high-quality, shareable content has become a priority for businesses aiming to stay competitive.
Marketers and brands collect and analyze data to know the customer’s behaviour, his/her preferences, behavior, and demographics, This facility help marketers and brands gather highly targeted and personalized marketing campaigns. Data-driven marketing has become a cornerstone of successful online strategies.
In view of increasing dependence on mobile phones, marketers and brands are adopting a mobile-first approach. This means ensuring that websites and marketing materials are optimized for mobile devices, as consumers predominantly access the internet via their smartphones. Mobile apps are also gaining popularity as a means to engage with customers.
Competition in the digital space is fierce, and consumers have high expectations for online experiences. Brands must navigate issues such as privacy concerns, ad fatigue, and the need for authentic, value-driven content.
