The Digital Transformation of Marketing: Impact on Marketing Practice & Markets

Open access

Abstract

Digital technology technologies and business practices are expected to radically transform the competitive landscape and society. Central to changing business practices is how digital technologies are transforming the practice of marketing which in turn is transforming the nature of markets globally. This paper, guided by the literature concerning the wave of digital disruption brought about by new technology, changes in consumer demand and new forms of business competition discusses industry level and macroeconomic impact of the digital transformation of marketing. The drivers of the digital transformation in marketing, the critical role of understanding the consumer value chain relative to marketing practice and the impact of changing business practices on the larger economy. A new model developed by (Teixeira, 2019) to assess consumer demand is described as a marketing practice innovation that can be used to gain new insights for innovation and marketing. These innovations in gaining market insights and in marketing strategies are discussed regarding implications for industry and macroeconomic policy. The authors call for calls for further research using this methodology to better understand how digital disruption is likely to impact firm competitiveness and the nature of larger global economy.

If the inline PDF is not rendering correctly, you can download the PDF file here.

  • [1] Baldwin Richard (2016) The Great Convergence: Information Technology and the New Globalization Belknap Harvard.

  • [2] Berkshire Hathaway Businesswire 2016.

  • [3] Bettiol Marco; Mauro Capestro and Eleonora Di Maria (2017) Industry 4.0: The Strategic Role of Marketing working paper Dipartimento di Scienze Economiche e Aziendali “Marco Fanno”

  • [4] Buckley Patricia and Rumki Majundar (2018) “The services powerhouse: Increasingly vital to world economic growth” Delloitte Insights (July). https://www2.deloitte.com/us/en/insights/economy/issues-by-the-numbers/trade-in-services-economy-growth.html

  • [5] Castro-Leon Enrique and Robert Harmon (2016) Cloud as a Service: Understanding the Service Innovation Ecosystem Apress.

  • [6] Chui Michael and James Manyika “Competition at the digital edge: ‘Hyperscale’ businesses” McKinsey Quarterly March 2015 mckinsey.com.

  • [7] Cui A.S. and F. Fu (2016) Utilizing customer knowledge in innovation: antecedents and impact of customer involvement on new product performance Journal of the Academy of Marketing Science V.44 N.4.

  • [8] Dawson Angus Martin Hirt and Jay Scanlan (2016) The Economic Essentials of Digital Strategy McKinsey Quarterly (March)

  • [9] Digital Marketing Institute (2019) How Is Digital Transformation Changing Marketing?

  • [10] Drucker Peter F. and J.A. Maciariello (2008). Management: Revised Edition New York: Harper Collins.

  • [11] Erkişi Kemal ve Semra Boğa (2019) “High-Technology Products Export and Economic Growth: a Panel Data Analysis for EU-15 Countries” Bingöl Üniversitesi Sosyal Bilimler Enstitüsü Dergisi Volume: 9 N.18 (Autumn) 669-683.

  • [12] Foote Caleb (2019) Fact of the Week: The Digital Economy Grew 4.3 Times Faster than the U.S. Economy Overall from 1997 to 2017 Information Technology & Innovation Foundation (April 15).https://itif.org/publications/2019/04/15/fact-week-digital-economy-grew-43-times-faster-us-economy-overall-1997-2017 https://digitalmarketinginstitute.com/blog/how-is-digital-transformation-changing-marketing https://www.ineteconomics.org/uploads/papers/Paper-Turner-Capitalism-in-the-Age-of-Robots.pdf

  • [13] Kagermann Henning (2015) “Change Through Digitization—Value Creation in the Age of Industry 4.0” in Management of Permanent Change DOI: 10.1007/978-3-658-05014-6_2

  • [14] Kahn Barbara (2018) The Shopping Revolution Wharton Digital Press.

  • [15] Katz Raul l. (2017) Social and Economic Impact of Digital Transformation on the Economy ITU/BDT Regulatory and Market Environment Division. https://www.itu.int/en/ITU-D/Conferences/GSR/Documents/GSR2017/Soc_Eco_impact_Digital_transformation_finalGSR.pdf

  • [16] Kenney Martin; Petri Rouvinen and John Zysman (2015) Digital Disruption and its Societal Impacts Journal of Industry Competition and Trade March 2015 Volume 15 Issue 1 pp 1–4.

  • [17] Lorenzo Ardito Antonio Messeni Petruzzelli Umberto Panniello Achille Claudio Garavelli (2019) “Towards Industry 4.0: Mapping digital technologies for supply chain management-marketing integration” Business Process Management Journal Vol. 25 Issue: 2 pp.323-346.

  • [18] Martin Hirt and Paul Willmott (2014) Strategic principles for competing in the digital age McKinsey Quarterly (May).

  • [19] Mićić Ljubiša (2017) Digital Transformation and its Influence on GDP Economics Vol. 5 N.2. 135-147.

  • [20] Moeller Leslie Nick Hodson and Martina Sangin (2018) The Coming Wave of Digital Disruption Strategy and Business (90).

  • [21] OECD Report (2018) Implications of the Digital Transformation for the Business Sector Conference held in London UK 8-9 November. http://www.oecd.org/sti/ind/digital-transformation-business-sector-summary.pdf

  • [22]Petersen Thieß (2019) Digital Economy: How is digitalization changing global competitiveness and economic prosperity? Blog: https://ged-project.de/blogpostsen/digital-economy-how-is-digitalization-changing-global-competitiveness-and-economic-prosperity/

  • [23] Rifkin Jeremy (2015) The Zero Marginal Cost Society St. Martin’s Griffin New York.

  • [24] Stiglitz Joseph (2016) adapted from Rethinking Capitalism: Economics and Policy for Sustainable and Inclusive Growth Wiley-Blackwell. https://evonomics.com/joseph-stiglitz-inequality-unearned-income/

  • [25] Straub Richard (2019) World Economic Forum report; McKinsey research; http://www.marketingjournal.org/the-power-of-ecosystems-an-interview-with-richard-straub/

  • [26] Teixeira Thales (2019) Unlocking the Customer Value Chain Currencybooks.com New York.

  • [27] Turner Adair (2018) Capitalism in the age of robots: work income and wealth in the 21st-century Lecture at School of Advanced International Studies Johns Hopkins University (April) https://www.ineteconomics.org/uploads/papers/Paper-Turner-Capitalism-in-the-Age-of-Robots.pdf

  • [28] UN News (2017) Branding and other intangibles account for 30 per cent of product value – UN report (November) https://news.un.org/en/story/2017/11/636712-branding-and-other-intangibles-account-30-cent-product-value-un-report

  • [29]Vaitheeswaran Vijay (2007) “Something new under the sun: A Special report on innovation” The Economist quoting Richard Lyons October 13th pg. 4.

  • [30]World Economic Forum (2017) Shaping the Future of Retail for Consumer Industries https://www.weforum.org/reports/shaping-the-future-of-retail-for-consumer-industries

Search
Journal information
Metrics
All Time Past Year Past 30 Days
Abstract Views 0 0 0
Full Text Views 13 13 13
PDF Downloads 10 10 10