6 Challenges For The Digital Marketing Industry In 2020

BY development

Over the last decade, digital marketing techniques have evolved rapidly, to the point that digital marketing has become just as complex as running a business of its own. This has given rise to increasingly complex marketing strategies that are able to propel businesses both big and small to new heights. Unfortunately, it has also made digital marketing complex and marketers must now overcome new challenges to achieve their desired results. Here are the most important challenges that need to be handled with care in this dynamic marketing environment.

1. High investments

Proper marketing strategies require a bunch of resources and tools to be fully realized. Unfortunately, there’s no shortage of businesses that are willing to do whatever it takes to attract their desired demographics. The ever-changing landscape of marketing is incredibly competitive, which means businesses find it difficult to innovate without very high investments. This is why you’ll see that marketing budgets in many cases exceed every other expense. However, wisely utilized tools can prove to be worth much more than their original investment.

AI one example of a criminally underutilized, but very effective tool in modern digital marketing. Part of the reason businesses avoids implementing AI is its very high costs. Automated AI platforms can help organize existing processes, while also enhancing the user experience. This is why many businesses are looking into investments in AI technology in spite of its costs. 

Currently, Google, Apple, Microsoft, and Amazon have invested heavily in implementing AI for any and every part of their websites that they can. While the costs for these types of investments are still pretty high, they’re projected to become more affordable in 2020. Businesses that are looking to improve their marketing strategy are vying for the latest in AI technology. Advancing tech and tools aren’t the only things that influence widespread AI use. There’s also a severe lack of qualified personnel that can implement this technology and utilize it to its fullest extent. Many businesses have resorted to outsourcing specialists to help implement the beginning stages of the AI portion of their marketing. Knowing where to find experts and how to maximize computational efficiency is the key to proper investing in this part of marketing.

2. Short and long term viability

Every business needs to have two perspectives on how it operates. You need to find ways to achieve short-term growth and success while also balancing it with long-term brand building. Your goal is to create a viable business that will last you a long time, but you also need to take into account the financial needs of the company and its workers. Sales are very important in the short-term and you might have to make some sacrifices to achieve higher numbers.

Relying on short-term sales alone isn’t going to be enough to keep a business afloat, which is why brand building needs to be practised as well. Finding a balance between both can be pretty challenging, but it’s one of the many challenges that marketing seeks to overcome. Putting both goals in perspective requires some thorough planning. Your marketing strategy needs to include improvements that will synergize brand-quality and increased sales. 

3. Consumer targetting

There’s no such thing as the perfect marketing campaign. All you can give is the perfect presentation. No ad or email will appeal to absolutely everyone, but it doesn’t even have to do so to be considered a success. What you really need is proper targetting, to help reach your most desired demographic. This is a challenge that every business has faced, but it’s one that becomes increasingly complex in the digital sphere.

The vast majority of businesses use programmatic targetting, but very few of them are confident that their ads are reaching the right audiences. This is because it’s an incredibly difficult challenge to overcome, even with the right tools. You have to be able to utilize consumer data in an efficient way, as it’s wasted otherwise.

Consumer analytics is an invaluable tool, and they have been shown to be extremely useful in optimizing marketing and search engine results. Combined with the latest in VoC techniques, they can get your ads to the right audiences, while also increasing consumer loyalty. Consumer analytics give you insight into some crucial metrics. If you know when, how, and why consumers purchase specific products, you can tailor your marketing campaign for optimal results. It also helps give you an edge when it comes to staying ahead of your competitors’ marketing strategies.

4. Consumer data protection

Concerns have arisen due to the many data breaches that have hit websites like Facebook and Google. The release of sensitive personal information has had an enormous impact on the rules surrounding how it has to be handled. Consumers are no longer certain if their data is secure on your website, and swift regulation changes have followed.

In Europe, privacy regulations like the GDPR have been enacted, which has made it tougher for businesses to utilize consumer data. The fines for data breaches have risen, and businesses are quick to avoid making this mistake, for the sake of their financial health. However, keeping consumer data safe is easier said than done, as it requires additional security measures and more secure data storage. 

While this might not seem like a huge concern for CMOs at first, it’s absolutely essential that different departments coordinate to keep this data secure. As the data is often handled by marketing, it’s crucial that security is improved in this sphere of the business as well.

The good news is that new technology is emerging which allows for more secure data acquisition and storage. Identify Management and Know Your Customer are just some of the solutions that are developing to accommodate the needs of security in marketing. Traditional methods of verification such as database checks are combined with digital footprint analysis and geo-location to provide the utmost protection for consumer data. Normally, this level of protection is used by banks and gambling applications, but it’s slowly being incorporated in marketing data security. Keeping this data safe from breaches is crucial, as the fines and penalties for mistakes are increasing every year. 

5. Digital and marketing transformation

It’s no secret that marketing is a dynamic environment. New trends and innovations are constantly being introduced, which is making it difficult for many Australian businesses to keep up. Most importantly, there’s increasingly more integration between different aspects of marketing strategies. Testing, optimization and structural changes are handled with the whole operation in mind, leaving no room for inconsistencies. To avoid synchronization problems with each of these aspects, businesses are placing digital transformation programs to the test in their marketing campaigns. 

There has been an increase of “always-on” digital marketing activities with brands and products, to help develop a better roadmap of digital capabilities. While many marketers emphasize the importance of post-digital advertising strategies, the reality is that specialist digital roles are still crucial in current marketing, and they’re likely to still remain consistently necessary in the coming years.

Large digital teams must integrate every element of the marketing campaign seamlessly in order to achieve positive results. This includes help from marketing teams, web designers, SEO experts, and back-end developers. When optimizing websites for a marketing campaign, marketing teams often rely on Web Design Sydney consultants to help them better achieve desired results. At the same time, SEO experts are often employed to give these websites more reach with specific demographics. Everything has to be coordinated well enough to increase the efficiency of every aspect of the team. This sudden transformation of marketing into a dynamic and coordinated whole has made it more efficient, but at the same time, much more complex than it once was.

6. Marketing technology

Businesses that are looking to improve their management of digital media have a host of software and services to help them. While this is wonderful news for marketers and the businesses that they work with, it can seem almost overwhelming at times. It’s difficult to sift through the ocean of useful technology in order to find the most ideal choice for a specific marketing campaign. 

Martech is a field that is constantly innovating and bringing new tools to the table. Knowing which tools to use requires extensive knowledge of their workings and the intricacies of an individual marketing strategy. 

Everything from website interaction, through content curation, and call tracking can be automated and optimized through specialized tools, but they often require intimate knowledge of the software that supports them. For marketing alone, you will need the experience and expertise of several digital marketing experts that are able to navigate these tools and provide you with ideal results. However, this is much easier to achieve when using the right tools in the right place.

Conclusion

The many difficult challenges that digital marketers face are daunting, to say the least. At this point, digital marketing requires heavy investments in both funds and manpower in order to be realized fully. It’s a worthwhile endeavour, as the complexity of digital marketing campaigns in 2020 will be overshadowed by the results that they provide.

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