Full course descriptionDigital Marketing focuses on the new challenges and opportunities marketers face in the digital age. Digital marketing encompasses more than adding new channels to the marketing mix: It also gives rise to new ways of doing business. As such, this means that firms should focus on integrating digital marketing into their existing marketing mix. For example, major players such as Proctor & Gamble have shifted considerable amounts of their marketing budget to digital channels. However, such firms also have to take into account differences in consumer behaviour in digital channels, changes to consumer needs due new digital offerings, opportunities offered by developments such as robotization and AI etc., calling for a critical evaluation of the entire existing marketing mix. Moreover, competition is also reshaped as firms are faced with new, digital-only competitors who successfully translated existing offerings to an online context (e.g. Amazon and Zalando), as well as platforms firm that operate from a complete new business model, for example by directly connecting buyers and sellers (e.g. AirBNB, Alibabba, UBER) or changing the way products are consumed (e.g. Spotify, WhatsApp). Beyond the existence of new marketing channels and business models, a third change is the vastly increased amount of data available for evaluation of the effectiveness of marketing actions. Given the inherent digital nature of the marketing actions taken, it has become commonplace to evaluate the effectiveness thereof using market response models, field experiments and observational studies. Thus, this course will not only emphasize the strategic implications digitalization has for businesses, but also equip students with the (statistical) tools to evaluate the effectiveness of digital marketing actions. To achieve this, students will get hands-on experience running analyses in the digital domain during two group assignments based on real-life data. In order to remain relevant and successful in such a dynamic environment requires firms, old and new, to think about the way digitization affects their business model and marketing mix. Subsequently, they need to consider if and how to adapt what they are doing in light of this analysis. To facilitate this transition, this course aims to equip students to operate successfully in this digitizing environment. The course is based on a set of readings from the academic literature in the digital marketing domain. Beyond the basic insights these readings provide with regard to successful digital marketing initiatives, they also provide an introduction to the academic literature on marketing modelling. An explicit objective of this course therefore is also to become familiar and comfortable with this kind of literature.
Course objectivesUltimately, the course provides students with strategic and analytical skills to:
1. Describe the implications of the digital revolution for business model formulation.
2. Develop a digital marketing program for a given organization.
3. Explain and work with the basic concepts of several methodologies (e.g. market response models, field experiments, observational studies) used to evaluate digital marketing actions.
4. Explain and understand the basic digital marketing concepts and methodologies published in the academic literature.
5. Select and apply a suitable method to address a specific digital marketing problem
6. Interpret the results of (own or prior) digital marketing research.
7. Report in writing about the solution to a digital marketing problem, and its managerial implications.