To earn higher profits most companies must spend some amount of money and effort in advertising. Now the cheapest way to advertise is online. It is both cost effective and reaps great benefits. This is the sole reason for its success amongst many large and small companies. Now it is the use of any electronic media to advertise your products and promote them in front of consumers. It can be in the form of television, radio, mobiles and the internet. Due to the expansive use of internet these days by consumers all over the world, digital marketing has recently shifted it focus to the internet.
As it is gaining more and more popularity, many agencies and consultancies have sprung up due to the dire need to someone guiding people and giving advice to them on how to effectively advertise using digital media. These agencies and consultancies have also gained immense popularity. Now one very effective way to advertise online is by using search engines to show your ads. The more people search and the more their keywords match your ads, the more exposure your ads will have, leading to higher sales and profits. This is the main benefit of digital marketing; it increases your sales visibly.
However, recently the yahoo- Bing alliance has caused some turbulence in the realm of marketing. People are afraid if this partnership would actually work in their favor or will it back fire causing damage to all? The main reason Yahoo agreed to this alliance is due to the immense amounts of costs it can save by teaming up with Microsoft’s Bing. The main attraction for Bing is increase in revenue due to an increased amount of queries. Bing seems to think that this partnership would lead to more advertisers, resulting in an increased number of advertisers per keyword and finally resulting in increased bid competition.
However, as everything business deal has risks, this one has quite a few as well. The main risks for Yahoo are of revenue, market share, and brand differentiation. Also, the main risk Yahoo has to face is that of an overall declined market share. Moving on to Bing; Bing faces dislike of Bing’s search result by consumers and a decrease in revenue. Both these companies fear that if the consumers don’t feel comfortable with the partnership, then the consumers might just shift to Google.
To find out more of the aspects of digital marketing, then try Qudos Digital. Qudos Digital is a leading Digital Marketing Consultancy and can be contacted on 0845 388 5583 or Error! Hyperlink reference not valid. vigorousism