Digital marketing involves promotion of services or products through electronic media with the help of digital technologies such as search engine optimization (SEO), search engine marketing (SEM), content marketing, data-driven marketing and e-commerce marketing, social media marketing, social media optimization, e-mail direct marketing, and display advertising among others.
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Digital marketing software enables consumers to access any information they want, at any moment, and any desired location. Digital marketing manages website traffic to help measure the exact number visitors to a website. Digital marketing software also helps to improve content performance and generate traffic to measure the number of page viewers, their location, and contact details. These operations can be done by using digital analytics software such as HubSpot, Marketo, Vocus, Yesware, and Sailthru, among others. For example, Marketo deals with tools used in marketing automation, lead generation, social media marketing, sales management, and analytics.
Increasing presence of social media and social advertising and growing dependence on internet and broadband connection are responsible for driving growth of the digital marketing software market.
Growing adoption of mobile phones is increasing the scope for mobile advertising, in turn expected to drive growth of the market for digital marketing software in the near future. Growing requirement for services on demand at anytime and anywhere, mobile advertising is very powerful tool for effective communication to grab attention of consumers at an appropriate time when they would most likely be ready to buy the product. This in turn, helps increase sales and traffic. For instance, according to Coherent Market Insights’ Analysis, as of 2017, over 55% of traffic on LinkedIn is estimated to be generated using mobile phones and over 80% of revenue on Twitter is generated through mobile advertising. Mobile advertising consists of SMS & MMS advertising, mobile web, mobile video & television, and several online advertising channels, which are increasingly being used, in turn boosting market growth.
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North America market is expected to lead the global digital marketing software market during the forecast period (2017 – 2025), owing to increasing adoption of social media. Social media expands customer base by increasing the efficiency of digital marketing tools, including SEO and SEM, building natural links, generating traffic, and other activities such as videos, images, and content sharing along with paid social media advertising. According to Coherent Market Insights’ analysis, as of 2017, the global spending on social media is estimated to account for over US$ 32 billion, from which the U.S. individually holds over 40% of market share and accounted for 16% of the global digital advertisement spending. The global spending on social media is expected to increase, in turn, boosting growth of the market for digital marketing software over the forecast period.
Competitive Background
Major players operating in the global digital marketing software market include Adobe Systems, Oracle Corporation, SAP AG, Salesforce.Com, INC., IBM Corporation, Marketo Inc., Microsoft Corporation, Hubspot Inc., SAS Institute Inc., and Act-On Software.