Importance of Online Marketing

Online marketing or advertisements are making space of their own. Currently, with the growing popularity of Internet and online services, more and more people are using internet, resulting a huge market potential of online marketing and advertising. Online marketing also known as e-marketing, is the marketing of products or services over the Internet. The Internet has brought many unique benefits to marketing like low cost of information distribution and lesser cost in addressing global audience. Internet provides interactive approach, instant response and and better returns of investments, these are unique qualities of this popular medium of marketing and advertising.

Online marketing integrates creative and technical aspects of the internet. One can put his presence online with interactivity having proper attention to their services and products. Online marketing is not just 'having a website' or 'building a website' or 'promoting a website'. Online marketing is different from off-line marketing, following characteristics differentiate them:

1. One-to-one vs. one-to-many approach: The targeted user is typically browsing the Internet on their own, and the marketing messages reach them personally. This can be very clearly seen in search marketing, where the users find advertisements targeted to specific keywords that the users asked for.
2. Demographics targeting vs. behavioral targeting: Off-line marketers typically segment their markets according to age group, sex, geography, and other general factors. Online marketers have the luxury of targeting by activity. This is a deeper form of targeting, since the advertiser knows that the target audience is people who do a certain activity instead of just expecting that a certain group of people will like their new product or service.
3. Measurability: Almost all aspects of an online campaign can be traced, measured, and tested. The advertisers either pay per banner impression (CPM), pay per click (PPC), or pay per action accomplished. Therefore, it is easy to understand which messages or offering are more appealing to the audience.
4. Response and immediate results: Since the online marketing initiatives usually require users to click on the message, go to a website, and perform a targeted action, the results of campaigns are immediately measured and tracked.

Online marketing is relatively cheaper than other means of marketing. Companies can reach a wide audience for a small fraction of traditional advertising budgets. The nature of the medium allows consumers to research and purchase products and services at their own convenience: An online marketing campaign puts an organization's message in front of consumers precisely when they want it.