This seems to be a simple equation: more people are spending more time online, and therefore businesses are eager to improve their image online. This is a promising post-coronavirus world for digital marketing agencies.
We all know that life is not so simple and marketing companies must adapt to the reality of this new world.
Reach Demanding Consumers
The pandemic has permanently changed consumer behavior.
As people around the world remain isolated for a long time, the way people consume information will undergo a major change in 2020. For example, in the second quarter, app downloads increased 31.7% year-on-year.
This represents a huge change in people’s behavior, which is just a small part of how people accept the online realm. The more people who interact with these technologies and enjoy the experience, the more likely it is that this technology will become a regular part of their lives, whether it is a pandemic or a non-pandemic.
For digital marketing agencies, this represents more ways to reach consumers, but there is a caveat. More and more people are accustomed to these digital platforms, and they may become more critical of marketing messages that do not set the right tone.
In the future, digital marketing may be able to reach more people, but the challenge will be to continue to get people to take action.
At the beginning of the pandemic, we saw a sharp drop in click-through rate (CTR) on many platforms. Compared to the first quarter of 2019, Google’s search ad click-through rate fell 41% year-on-year. You must continue to innovate and invest in quality to drive success.
Whether it’s investing in the best copywriters and graphic designers, or utilizing technology innovation that puts the user experience first, agents must do everything they can to ensure their marketing efforts succeed in the post-epidemic era. With more consumers online than ever, agents cannot relax.
Communicate ROI more effectively
In the second quarter of 2020 alone, US GDP fell 9.5%. This represents millions of companies being turned upside down by the pandemic. Even for companies that succeeded during the blockade, this economic turmoil will leave a lasting mark.
Although the shift of consumers to online behavior clearly presents huge opportunities for businesses, customers may still be very protective of their marketing budgets. How digital marketing agencies communicate the potential return on investment of their services will be critical.
This is not only about what your service is, but also how your service solves customer problems and shows tangible results. It is one thing to say that you are a HubSpot expert, but customers want to learn more about how this generates return on investment and how it will change their business.
In a world where budgets are strictly controlled, displaying the value of your services through accurate knowledge will be the key.
Agility is a key competitive advantage
During the pandemic, the world must learn to work from home. Interestingly, many companies find that they are very successful in this area. In fact, many of the world’s largest brands are committed to making working from home the new normal.
In general, digital marketing agencies are well prepared for this transition, but there are still some interesting trends. In the first weeks and months of COVID, the industry took a small hit, but one study found that 80% of organizations with revenue growth of more than 30% were outsourced.
These organizations realize they can eliminate expensive offices and use the autonomous economy to provide clients with exceptional work as needed. Technology makes this process seamless, allowing organizations to complete highly professional work without retaining full-time employees.
This enables digital marketing agencies to be more agile, save on fixed costs, and scale quickly to meet customer needs. If there is no pandemic, many institutions may not make this change.
Brand positioning in an increasingly competitive market
For decades, more and more companies have realized the importance of online business has become a trend. However, even for those who refuse to accept the online realm, the pandemic makes things clear.
companies have worked hard to increase their online business, and digital marketing agencies have benefited a lot from this.
On the other hand, where there are huge opportunities, there is usually a lot of competition, and this is also true in digital marketing. There are 5,585 digital advertising agencies in the United States in 2021, a 13.1% increase from 2020. As businesses continue to recognize the power of online marketing, the competition will only get more intense.
One of the advantages of mature digital marketing agencies over newcomers is the strength of their brand. As marketers, we always show our clients the power of a good brand, but we must make sure we follow our recommendations.
Digital marketing may get busier, but being able to position yourself as a strategic partner rather than simply as another service provider’s brand will have an advantage.
COVID may not completely change the future of digital marketing agencies, but it has already promoted existing trends. Marketing agencies successfully adapted to these changes during the pandemic, but must continue to do so after the pandemic.
It is important to understand that both consumers and your customers have changed their behavior and to service your services accordingly. The demand for digital marketing may be higher in the future, but this will be offset by more competition. To stand out, you must develop a strong brand and invest in the flexibility that suits your customers and businesses.