What Is Digital Marketing and How Does It Work?

Published: September 21, 2023

Have you ever wondered, “What is digital marketing?” Look no further!

This informative blog post delves deep into the world of digital marketing, demystifying its concepts and mechanisms. We’ll dissect the various dimensions of digital marketing and highlight its myriad advantages.

By the time you finish reading, you’ll have a clear grasp of digital marketing and compelling reasons to incorporate it into your business or brand strategy.

Let’s get started!

What Is the Definition of Digital Marketing?

what is digital digital marketing

Digital marketing can be defined as a marketing component centered online through computers and mobile phones. These digital channels are used to promote products and services so that the message can reach consumers.

Digital marketing became popular with the growth of the Internet in the 1990s and has picked pace ever since. Currently, it is one of the most popular marketing methods used by small and big-sized companies globally.

Digital marketing is different from internet marketing which is exclusively focused on websites. Some methods used for digital marketing include social media, email, search platforms, and content marketing.

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One very important aspect of digital marketing is the ability to break through the clutter. Successful digital marketing involves creating engaging content that resonates with the audience, so they develop an interest in your brand.

Advantages of Digital Marketing

Digital marketing comes with several advantages, especially over traditional marketing. The digital world is very connected, meaning a broader population can be reached through specifically targeted campaigns.

With traditional marketing, interaction is very limited, making the campaign comparatively less engaging.

Moreover, traditional marketing tends to be more expensive, especially when done on a larger scale, like billboards and running campaigns on television. Digital marketing and advertising prove advantageous since you can reach a broad audience through less expensive methods.

Here is why digital marketing is so great:

  1. Efficiency in Terms of Costs
  2. Personalization is a lot Easier Now
  3. Conversions that are Simple and Convenient
  4. Increased Customer Interaction

1. Efficiency in Terms of Costs

Digital marketing is excellent for small businesses and enables them to compete against medium and large-sized firms. This lies in the efficiency that is achieved in terms of cost. The playing field is leveled due to costs being more manageable for a small-sized business that is just starting or wishes to grow.

The costs of mounting a billboard are significantly higher than, for instance, Pay-Per-Click (PPC), where you can even decide the cost range based on your budget. Overall digital marketing and advertising are budget-friendly means to reach your target audience.

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2. Personalization is a lot Easier Now

Looked up something to have for lunch and then started seeing restaurant ads pop up on your Instagram or Facebook feeds. This is how digital marketing enables personalization. Based on your behavior, likes, and preferences, you can better show ads that suit your audience. Personalized content will attract more people as it will directly engage them.

A great example of personalization through digital marketing is intelligent content, whereby content can be specifically altered based on a user’s search behavior. This personalization may not be possible in a TV or newspaper advertisement because it is standard for everyone. Personalized content is always more engaging.

3. Conversions that are Simple and Convenient

One noteworthy advantage of digital marketing is that it makes conversions simple and convenient. Digital marketing comes with the advantage of making decisions more convenient. If you see a pop-up ad, you can simply access the brand’s website and place an order instead of viewing a billboard and commuting to the store.

With marketing strategies like Conversion Rate Optimization (CRO), you can quickly improve your conversion rates. CRO systematically increases the percentage of website visitors, which translates into better leads. A company with reasonable conversion rates is likely to grow in terms of profitability.

4. Increased Customer Interaction

Digital marketing provides opportunities for increased customer interaction. Customers can provide feedback and engage with your brand in new ways. This can lead to improved customer satisfaction and loyalty.

Digital marketing can help you connect with more customers and learn about their needs and wants. You can use digital marketing to create customized marketing campaigns that target specific customers. This can help you to increase sales and grow your business.

The benefit of increased engagement is that it leads to more loyal customers as brand awareness increases. You will also be able to analyze the conversions and responses to your campaigns, making retargeting effective.

How Does Digital Marketing Work?

 digital marketing and advertising

There’s no doubt that digital marketing is a powerful tool. But many business owners don’t know how it works or what to do with it.

Let’s break down the basics of digital marketing and figure out how you can use it to reach new customers and grow your business.

Stay tuned to find out!

SEO (Search engine optimization)

Search engine optimization (SEO) is the method of gaining targeted traffic to a website from a search engine’s organic ranks, known as search engine optimization (SEO). Common SEO strategies include creating high-quality content, optimizing content for specific keywords, and building backlinks.

It is the technique of optimizing your website to appear higher on search engine results pages (SERPs) to increase visitors. The goal is to appear on the top page of Google results for the search terms that are most important to your target audience. For SEO, understanding your audience’s wants and demands is as important as knowing how to set up your website.

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Social Media Marketing

Social media marketing is a type of digital marketing that takes advantage of the popularity of social media networks to achieve marketing and branding objectives. You may use social media to make your company an active player in your market.

Your profile, posts, and interactions with other users all contribute to a persona that your audience may get to know and trust. Popular platforms used for social media marketing include Facebook, LinkedIn, YouTube, Instagram, and Twitter.

Marketing Automation

Marketing automation involves employing software and technology to design and execute applications to automate repetitive tasks, such as email marketing, ad campaigns, and tracking.

Marketers can customize the messages or information they deliver to leads through automation. They can also plan messages and respond to popular questions automatically. These solutions can considerably boost the efficiency of sales and marketing teams in companies with massive customer databases.

Content Marketing

Content marketing is a digital marketing approach for attracting and acquiring a clearly defined audience. This is done by creating and distributing valuable, relevant, and consistent content to drive profitable customer action.

It refers to any type of messaging that you employ to attract and persuade a prospect to become a customer. The purpose of content marketing is lead creation combined with excellent brand recognition. This marketing style can be achieved through blogs, newsletters, e-books, forums/discussion boards, and videos. If you want to learn content marketing, check out this list of best content marketing courses.

Affiliate Marketing

Affiliate marketing is earning a commission by promoting the products of another individual or firm. The affiliate simply finds a product they like, promotes it and earns a portion of the profit from each sale they make. Affiliate links from one website to another are used to track sales.

Affiliate marketing is an excellent technique to earn money without owning a product or service. Marketers can advertise their affiliate programs by offering bonuses to anyone who signs up for the offer. The significant contributors to affiliate marketing are analytics as well as cookies.

Pay-Per-Click Marketing

Another widely used method of digital marketing is pay-per-click (PPC) marketing. Pay-per-click marketing generates clicks to your website by paying for them rather than receiving them naturally. The simplest example of pay-per-click advertising is the ads that pop up at the top of your search page.

PPC advertising allows you to reach the right people at the exact moment when they are actively looking for what you have to offer. Unlike many other types of advertising, PPC campaigns are straightforward to track, allowing you to tweak your ads until they create a positive return on investment.

What is Digital Marketing - FAQs

What is a digital marketing example?

Digital marketing involves marketing and advertising a business or product through online channels. Some common examples of digital marketing include PPC, SEO, Content marketing, marketing automation, and affiliate marketing.

How does digital marketing work step by step?

The 4 basic steps of digital marketing include:

Attracting the audience: This can be done by creating a buzz through blogs, videos, and SEO content.
Engaging the audience: The key to keeping your audience engaged is building a solid user interface and experience, ensuring more significant interaction with the audience.
Convert: Through marketing automation, digital marketing turns conversions into a science. Sales become more trackable and targeted, resulting in higher ROI for leads.
Inspire: Ensures customer retention through loyalty programs, referrals, and customer reviews.

What skills do I need for digital marketing?

Some essential skills for digital marketing include SEO, Video marketing, content marketing, data analytics, tech-savviness, persuasiveness, and design thinking. All these skills can quickly be learned and honed. If you want to learn search engine optimization or how to market a product.

Is digital marketing a promising career?

The job outlook for digital marketers is slightly better than the average profession. The future for digital marketing seems bright as there is a bigger market and more customer awareness. Moreover, digital marketing is one of the 10 most in-demand job roles. If you want to learn digital marketing, check out this list of best online courses.


In the age of digitalization, “What is digital marketing?” becomes a critical question.

Digital marketing stands as one of the swiftest and most widespread approaches that businesses employ globally to connect with their desired audience. In this digital era, where information is at our fingertips, customers are more informed about available brands than ever before.

To thrive and prosper, brands must strategically position themselves in the minds of consumers. The agility and adaptability inherent in digital marketing make it the preferred choice for reaching customers effectively in this ever-evolving landscape.

Discover the power of digital marketing and stay ahead in the digital age!