5 May, 2022

Why Digital Marketing Is Important For Businesses | 9 Reasons

With the popularity of increased internet usage, most people remain online daily, and the number is increasing day by day. The need and importance of the internet have replaced traditional methods of marketing with digital i.e., online marketing. So, how is digital marketing done? What are its types? Why digital marketing is important for businesses? 

According to research, digital marketing helps increase revenue by 5-8% annually and creates effective methods to enhance customer growth and online traffic. 

Basically, digital marketing is a marketing process where the company’s products and services are promoted online. Digital communication is made through emails, social media, websites, or by sharing multimedia messages.

Social media marketing, content marketing and use of promotional business videos are a few popular forms of marketing performed digitally. Read further to know why digital marketing is important for businesses. Before this, let's start with the basics, “how is digital marketing done?”

How is Digital Marketing Done?

As a business person, you know the importance of digital marketing to connect with potential customers at the right time with the right product. This is where digital marketing does its job. Digital marketing strategy productively promotes your business and guarantees success (if done properly) with scaled-up sales, high return on investment and exposure.

A few components of digital marketing are listed below.

  • Search Engine Optimization

SEO (Search Engine Optimization) is important for digital marketing as it helps in online website traffic increment. SEO is implemented by properly developing engaging and informative content, keywords, and phrases and posting original and copyright-free content. It helps in website ranking that eventually promotes brand awareness.

  • Social Media

Social media has been one of the most used digital marketing platforms. It is so because people are active on social networking sites such as Facebook, Instagram, TikTok, YouTube, etc. Online marketing through these mediums helps you to communicate directly with the target audience.

  • Paid Search

Another component of digital marketing is paid search. It is a sponsored type of marketing where you advertise your product to be displayed on the top of search engines. The ads are displayed based on the online behavior of users. But, you need to pay the publisher for every click users make to your ad.

  • Content Marketing

It is the type of digital marketing where you connect the customer with the content. The content you post on your website should be genuine and alluring, and you should be able to pitch your product in an informative manner so that customers can trust you for your products and services. 

Why Digital Marketing Is Important For Businesses

Here are 9 reasons why digital marketing is important for businesses. Have a look. 

1. Cost-effective

Traditional methods of marketing are no longer used because it's time-consuming and expensive. You need to print flyers or brochures, which are a lot more work. Nonetheless, digital marketing is cost-effective. You can separate your time for research and promote your brand online. You don’t have to worry about extra resources and more time and money investment.

2. Connect with Customers

Digital marketing is important for businesses as it creates an easy platform to connect with customers. When you gain brand awareness via websites or socials, it reaches a targeted audience faster. You can connect to customers one-to-one by elaborating more about products, answering queries, and defining quick solutions. 

3. Access to Mobile

Approximately 5.32 billion people around the world use mobile phones. 

Mobile phones are mostly used to remain active on social media, surf the internet, view posts, news, etc. Therefore, if you advertise your product online, people have a maximum chance to reach out to your brand. They can get more information about you and your services with a click, so take advantage of the digital devices on hand. 

4. Measurable

Since digital marketing is measurable, most business personnel choose this type of online marketing for brand awareness. You can get updates on the website traffic you get through posts on social media and several people who visited your website and watched your video or ad. The reports are generated based on clicks, engagement on your posts, and impressions made online.

5. Increase Revenue

With the application of digital marketing, you get a business profit as you will be able to get higher revenues. The marketing you made through relatively less investment guarantees more revenues and higher return of investment. It results in a higher conversion rate and you will be profitable on an asset within a short duration. 

6. Multimedia

A post about your brand with boring text will not work to attract a targeted audience. Therefore, whenever you promote your goods, make sure you attach several multimedia files such as text, photos, audio, and video. Such posts with multimedia content will be appealing to consumers that boost interest among people and drive customer flow.

7. Be a Competitor

Almost every company does marketing online, as digital marketing is important for businesses despite its size. With the proper way of digital marketing, you can increase online traffic and establish yourself as a competitor. 

To do better and more promising marketing, it's significant for you to learn from your competitors. Research your competitors, know how they drive their customers and find an even better digital marketing strategy for your business. 

8. Influencer Marketing

As you can see, most influencers such as movie artists, social media sensations, or young stars promote themselves through socials. And if you get an opportunity to collaborate and work with them to promote your brand, you will be benefitted. Most of the customers who come in contact with you are the followers of influencers whom you worked for brand promotion. 

9. Flexibility

Digital marketing assures flexibility as you can perform various types of marketing to boost your product online. Social media marketing, content marketing, promotional video marketing, and email marketing are popular types of digital marketing. Choose a flexible marketing type, test its effectiveness, and plan alternatives for uncertain failure. 


Digital marketing is important for your business because it promotes your brand, guarantees a higher return on investment, conversion rate, increases sales and the flow of customers. Social networking sites, paid search, SEO (Search Engine Optimization), content marketing, etcetera are components of digital marketing. 

I have listed several reasons why digital marketing is needed for any small or large company. Go through the information, learn the importance of digital marketing and let us know if it was helpful through the comment section below.