A large number of companies weren’t prepared when the World wide web became available and embraced by the people so fast. They didn’t have digital media in their marketing strategies and had a tough time keeping up with businesses that were significantly more able in this particular aspect.They are presented with the desperate situation of revising their marketing strategies to contend with more digitally inclined companies. Instances of companies tapping on on digital marketing and succeeding are in abundance. A case in point can be taken from traditional supermarket chain Catalyst that transformed their dismal losses into profits by using digital marketing. By having a digital media platform, Catalyst has stopped being bound by physical constraints and can efficiently widen and serve its customer base 24 hours a day, 7 days a week.
Well before the start of 2009, Catalyst’s leading standing in the Fast Moving Consumer Goods (FMCG) business – cemented by its substantial retail reach nationwide and small rivalry – helped the company remain highly profitable. Nonetheless, because of unforeseen circumstances, Catalyst lost their edge within the market and this left them vulnerable. The initial problem faced is the inordinate costs of restructuring because of the appointing of a new CEO. This was the outcome of an unsuccessful attempt to grow European and Asian market share.
Additionally, the matter was made worse by new marketplace competitions Portixol and Vigite. They discovered a gap in Catalyst’s industry reach and made an effort to take advantage of the spots that were exposed to market penetration. The fight wasn’t limited to just the physical space – newer and smaller retailers, who knew they could not compete head on with the big boys, used online marketing so as to get a part of the business. Catalyst endured a major blow from this shift in the competitive landscape. Such a development created tension amongst Catalyst’s investors when their fiscal stronghold started going down hill. Certainly, the large decrease in earnings triggered investors to take notice.
Making use of Digital Media to its fullest
The new Chief Executive Officer believed steadfastly in utilizing technology to transform a business; that was the main reason why he was hired.The strong competition that Catalyst dealt with meant that depending solely on its online store would definitely not do. The new Chief Executive started the rejuvenation procedure by creating an inhouse online marketing division. The key aim of Catalyst’s CEO was to create a digital marketing message that was strong and unified. Nonetheless, an internal team was not able to attain optimum outcomes spontaneously. It came to the decision that employing a digital marketing agency was vital in keeping up its online campaign.
Generating Traffic And Attracting New Customers Via Content Marketing
Reinforcements to the on-line grocery store meant the need to increase their online traffic. Although traditional marketing options continue to be actively employed, its practicality is often challenged by lower price choices that tap on digital media. Content marketing decidedly was the most cost-effective tool amongst the digital marketer’s arsenal.
Catalyst kickstarted content marketing by launching a microsite dubbed “Catalystic Food” as an expansion of their estore. This microsite was dedicated completely to helping consumers eat and live more healthily.
With the arrival of this microsite, Catalyst is efficiently placing it as an educational portal without the hard sell to see its online store. Furthermore, it acts as a gateway to Catalyst’s e commerce store. By executing a superb user journey during website design and development, Catalyst managed to associate its merchandise with health and fitness friendly buying habits. When the design and development of a website is performed correctly, it makes it really convenient for online shoppers to get to where they need, fast. This strategy gives them convenience, so they are less inclined to patronize other online retailers when Catalyst is so easily accessible.
As a result of social media being so popular and widely-used by everyone, Catalyst acknowledged the need to leverage on this channel to improve its reach in the industry. So aside from the use of branded content, Catalyst implemented social media marketing into the mix which included networks such as Facebook and Twitter which were handled by their in house team.
There were two significant reasons to moderate their own social networking accounts. First off, it’s an easily managed stream of generic information and promotional material for their customers. A purpose-built Twitter handle was even initiated for every single division. Moreover, unique profiles had been set up for a number of subdivisions for example latest offers, bottled refreshments, wines et cetera.
Next, it allows them more control over their brand and picture online. It’s all too common for numerous companies to lose on this earth because a random customer (or worse, a rival) established a social media presence inside their name. As the content was not official nor confirmed at the source, Catalyst would need to be always prepared for damage control whenever attacks on its brand happened. An internal social media team wouldn’t permit such actions to occur under their watch. With advice flowing directly from the official source, Catalyst will not need to worry about what is being spread online.
Customers and sales are definitely the backbone of any business. The value of after-sales service is frequently disregarded in its ability to fortifying brand loyalty. Resolving customer issues is pivotal in ensuring future sales, as wide-ranging studies have proven. This is where Catalyst truly shines.
A specialized Twitter profile is devoted to interacting directly with customers while a different profile is utilized for marketing efforts. This helps to ensure that customer engagement and promotional communication are kept separate, such that each profile can do what it has been designated to do. Regardless of the company, its customers would undoubtedly prefer to talk to real person, than to navigate through a maze of automated answers only to have their difficulties unsolved. This will, undoubtedly, bring the shoppers closer and entice them to spend more money down the road.
How it Turned Out
The CEO’s efforts paid off; based on various sources, Catalyst has secured a market share of approximately 26.2%, almost 11 percentage points ahead of the next closest opponent. It was definitely something that the management team could shout about to the board and its shareholders. Thanks to this cutting edge digital marketing strategy in place, Catalyst’s popularity and market value has increased exponentially. They are in position to take full advantage of their exploits into the digital world – purportedly introducing a Catalyst mobile application in the near future. This is a lot more than what traditional website design and development can look to reach.
Catalyst’s case brings about many lessons. To begin with, it is not possible to be entirely reassured of your standing in a industry, particularly in the digital age. As a result of the mass adoption of digital media, newly set up companies that happen to be savvy in these areas can unexpectedly snatch away market share from the well established companies.
If the deficiency of an internet presence can have such adverse effects on a large, well-known firm like Catalyst, envision the repercussions it would have on companies of a smaller size. Digital media is no longer a crutch as it may have been in yesteryears – it is an important approach towards business growth and success.