INDIVIDUAL ASSIGNMENT

MKT318

Topic: How digital tools are

Name: Nguyễn Quỳnh Mai

I. INTRODUCTION............................................................................................................................3
1. Overview of changing in digital world..........................................................................................3
2. Marketing mix..................................................................................................................................4
3. How digital tools are changing marketing mix...........................................................................4
II. HOW DIGITAL TOOLS ARE CHANGING MARKETING MIX....................................................5
1. Product.............................................................................................................................................5
2. Promotion........................................................................................................................................5
3. Price..................................................................................................................................................6
4. Place.................................................................................................................................................7
III. HOW COMPANIES CAN REACT TO THE CHANGING OF DIGITAL MAREKTING
ENVIRONMENT.....................................................................................................................................8

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I. INTRODUCTION

1. Overview of changing in digital world

When it comes to describing digital fluency and literacy, the phrase "digital world" is

frequently utilized. The availability and usage of digital tools to communicate through the

Internet, as well as digital gadgets, smart devices, and other technology, is referred to as the

digital world.

Digital technologies like as data pooling and artificial intelligence (AI) are now being used

to identify and diagnose issues in agriculture, health, and the environment, as well as for

everyday tasks like navigating traffic and paying payments. They can be used to protect and

exercise human rights, but they can also be used to violate them, such as by tracking our

travels, purchases, conversations, and actions. Data mining and exploitation techniques are

becoming more available to governments and enterprises for financial and other goals. In

2022, with the Covid-19 pandemic, the most sophisticated businesses will have realized that

hybrid work patterns are the way of the future. Businesses will compete for talent based on

their culture, regulations, and technology that allows for both work efficiency and personal

flexibility.

In general, digitization has drastically altered the competitive environment, but businesses

lack the expertise and experience to understand how to adapt in order to stay competitive.

Thus, business leaders must recognize that they cannot remain still as the world evolves

around them if they are to genuinely satisfy the demands and expectations of their connected

consumers.

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 2. Marketing mix

As part of a complete marketing plan, a marketing mix includes many areas of study. The

word is frequently used to refer to the four Ps of marketing: product, price, place, and

promotion.

Instead of focusing on a single message, effective marketing covers a wide range of

topics. This allows marketers to reach a larger audience, and keeping the four Ps in mind

allows them to stay focused on the most important aspects of their jobs. When it comes to

launching new goods or updating old ones, focusing on the marketing mix may help

companies make smart decisions.

3. How digital tools are changing marketing mix

It has been more than a decade since the internet was commercialized and adopted by

marketers and consumers. Since Neil Borden coined the term "marketing mix" and McCarthy

(1964) defined the 4 Ps marketing mix as a collection of all the aspects that managers might

use to meet market demands, the business environment has seen numerous revolutionary

changes with the introduction of new concepts. The integration of technology will result in a

general shift in market players' behavior and competing strategy. It's worth debating whether

traditional marketing approaches can serve digital products in the face of rapid changes in

the market environment and product attributes.

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II. HOW DIGITAL TOOLS ARE CHANGING MARKETING MIX

1. Product

This refers to a product or service that is designed to meet the requirements and desires

of customers. To effectively promote a product or service, it's critical to figure out what sets it

apart from the competition. It's also crucial to figure out if additional items or services may be

sold alongside it.

Because of the Internet's interactive and connected capabilities, a new product idea has

emerged: the "virtual product." By customizing the product with the active help of customers,

the virtual product is considered as the union of physical and intangible characteristics that is

modified and personalized according to the diversity and variability of people' tastes. The

advent of new digital products such as online games, programs, and music has substantially

transformed the product policy as a result of the rise of digitalization. The packing role has

been abolished for these items since they are ethereal and disembodied by nature. On the

web pages of E-commerce businesses, full product information is displayed for all items sold

on the Internet. In terms of product image among online customers, it represents the items'

capacity to suit the unique demands of those consumers.

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 2. Promotion

A promotional mix is another term for joint marketing activities. Advertising, sales

promotion, personal selling, and public relations are examples of possible activities. The

funding allocated to the marketing mix should be a major factor. When seeking to reach their

target audience, marketing professionals carefully craft a message that typically contains

elements from the other three Ps. Determining the proper media for communicating the

information, as well as deciding on the frequency of communication, are crucial.

The goal of online communication is to build a buying relationship and a sense of trust in

the buyer, not only to market a product. The P of promotion should contain components such

as interaction, multimedia, and relationships. E-commerce businesses frequently provide

discounts for certain items in order to enhance sales volumes in digital marketing. Some

online stores provide minor promotional freebies in exchange for a certain amount of sales.

Besides, the online advertising banner is the most often utilized tool in internet advertising. It

is designed as a static or moving graphic that shows on the Internet and reflects an

organization's virtual business card, or how the organization intends to promote itself to

Internet users. Its purpose is to raise brand exposure in the internet world. Emails, social

media platforms, websites, and blogs may all benefit from the online banners. Unlike

conventional advertising on radio, television, and other forms of traditional media, internet

advertising may be watched at any time, and the costs of distribution are significantly

cheaper. Another benefit of web advertising is its interactivity, which allows for real-time input

from potential customers.

3. Price

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 The product's sale price represents how much customers are willing to pay for it. Cost-

based pricing requires marketing professionals to analyze expenses associated with

research and development, production, marketing, and distribution. Value-based pricing is

defined as price that is based mostly on the perceived quality or value of the product by the

customer.

While the price of items in conventional marketing was largely defined by the cost of

production, in the digital marketing era, competition is a major factor in pricing. Companies

must base their pricing policy on the prices of rivals due to greater competition of identical

items (put on a worldwide market). The price of things sold over the Internet is frequently

indicated in a strong currency that is widely accepted across the world (dollar or euro). It

needs online payment via bank transfer as far as payment arrangements for online

purchases are concerned. Also, the Internet has given customers a significant edge in terms

of obtaining the cheapest price by allowing them to compare costs using websites such as

www.sosanhgia.com, www.websosanh.com, www.booking.com, and others. This reality

forces businesses to change their market rates to be competitive in the internet market.

4. Place

When deciding on distribution locations, it's crucial to examine the sort of product sold. Basic

consumer items, such as paper goods, are frequently accessible in a wide variety of

establishments. Premium consumer goods, on the other hand, are usually only available in a

few locations. Another factor to consider is whether a product should be sold in a physical

store, online, or both.

In digital world,everything that is done and required to make the exchange procedure go as

smoothly as possible. The real location is transformed into a virtual environment that contains

intangible parts of the transaction. The distribution channel in digital marketing generally

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 comprises two middlemen between the producer and the ultimate consumer: Producer –> E-

commerce store –> Courier –> Final Client.

III. HOW COMPANIES CAN REACT TO THE CHANGING OF DIGITAL MAREKTING ENVIRONMENT

Because everything is going digital, businesses should go online to sell themselves. It

is much simpler to carry on with business as normal once your firm has an internet presence,

regardless of how changeable your market condition may be. Brands must also stay up with

the current developments in order to endure the challenges of digital marketing. It's no longer

enough to put out TV and print advertising to reach one's target demographic. With 3.3 billion

active social media users, social media is the next frontier for digital marketers, according to

Forbes. To stay on top of the ever-changing market, digital marketing gurus must keep up

with the latest technological developments. Consumers and what motivates them to connect

with brands are constantly being researched by social media marketing companies. We strive

to create new technology or adapt to trends in order to provide the greatest online solutions

for our clients' end-users in the simplest and most cost-effective manner possible. Overall,

companies can view the marketing environment as an uncontrolled force to which they must

adapt, avoiding risks and seizing opportunities as they present themselves. They can also

adopt a proactive approach, working with rather than reacting to environmental changes.

In conclusion, when physical products, physical distribution, and mass communication

were the dominating marketing concepts, the 4 Ps marketing mix was formed. The marketing

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mix paradigm is increasingly being criticized in today's corporate world, which is shaped by

the diverse and empowered capacities of digital contexts. In digital contexts, the quest for a

new dominating paradigm for operational choices is still ongoing. When e-marketing research

and practice reach a deeper level of understanding and maturity in the digital world, we will

most likely see a new marketing mix paradigm emerge, which will lay the conventional 4 Ps

to rest and usher in a new generally recognized marketing operations paradigm. We won't be

able to reap the full benefits of digital until we can transform our organizations and their

cultures. "You have to start with the customer and work back to the technology," Steve Jobs

stated publicly.