carbs business review cover

⬅ CARBS Business Review

Role Of Digital Marketing, Its Benefits & Challenges for Start-up

Mehrooz Khan

11 January, 2024


Digital Marketing the game changer

Digital marketing plays a crucial role in the success of any new business venture, providing a lucrative avenue to connect and engage with the target audience. In today’s dynamic business landscape, digital marketing stands as the most powerful approach to reach target customers. The widespread accessibility of the internet and digital channels offers businesses unprecedented opportunities to interact with customers globally. However, these opportunities also pose significant challenges that require strategic direction. In this context, we explore the benefits and challenges of digital marketing.

The concept of digital marketing emerged in the early 1990s with the discovery of Search Engine Optimization. From 1990 to 2004, multiple engines, such as clickable web-ad banners and identifiable social media sites like LinkedIn, WordPress, and Facebook, gained popularity quickly. Additionally, Amazon’s e-commerce sales exceeded $10 billion following the introduction of Instagram, WhatsApp, and Snapchat. Statistics from 2012 and 2013 indicated that digital marketing continued to be a growing field. In 2019, it was reported that 74% of social media users follow brands on social sites, and 96% of people engaging with businesses on social platforms also follow those brands.


Role of Digital Marketing for Startups:

Digital marketing (DM) serves as a catalyst for establishing startups and enhancing their online presence in the digital world through platforms like social media, websites, and other digital channels. This ultimately creates visibility and builds brand awareness among target consumers. Moreover, digital marketing empowers startups to specifically target customers based on demographics, interests, and behaviors, ensuring that the message effectively reaches the intended audience. It not only adapts content to user preferences but also enhances user experience and boosts engagement.

Inbound marketing strategies, such as content marketing, Search Engine Optimization (SEO), and social media, are captivating and progressively generate substantial amounts of traffic. Conversion optimization techniques like email marketing and landing page optimization further assist in reaching genuine customers. Startups can directly connect with customers through social media platforms like Facebook, Twitter, and Instagram. Importantly, digital marketing proves to be more cost-effective and result-oriented compared to traditional marketing channels. Most significantly, startups can reach a global audience without the need for physical outlets.     

Benefits of Digital Marketing:

Digital marketing has shattered geographical barriers, enabling businesses to expand far beyond local markets. It provides a platform for both local startups and multinational corporations to showcase products and services to a global audience. Furthermore, it is the best way to excel and unlock new pathways for growth and customer acquisition.


Digital marketing is not only economical but also the most captivating way to reach customers compared to traditional marketing. Various campaigns, such as social media promotion and pay-per-click advertisements, can be customized based on company demand and available resources. Digital marketing enables small enterprises to compete with larger national and multinational companies.


It allows the real-time measurement of campaign performance and empowers the introduction of new strategies for current and future decision-making through data analysis. Digital marketing helps measure return on investment and achieve the best outcomes by implementing various strategies and making timely decisions.


By defining and targeting the audience based on demographics, interests, and online behaviors, digital marketing applies different approaches to convey marketing messages to the most relevant customers, potentially converting non-customers into actual customers.


Digital platforms offer two-way interaction between target audiences and enterprises. Email campaigns, social media, and interactive content create real-time experiences, enabling the building of relationships and feedback from customers, leading to client satisfaction and product loyalty.


Digital marketing raises awareness for marketers to timely implement different strategies to cope with market conditions, emerging trends, unexpected challenges, and economic conditions. Establishing and sustaining brand identity is crucial from a market perspective, and brand development and consistency can be maintained through various marketing channels.


Enterprises can directly interact with customers through digital marketing, and data analysis allows tailoring content according to customer needs and demands, creating a win-win situation for both sides.


Challenges of Digital Marketing:

Saturation and Competition: The business market is quite saturated in the real world and entering the market becomes quite difficult. But catching audience focus requires inventiveness, fascinating content, and a close understanding of the target audience.

Rapid Technological Changes: Digital marketing is directly linked to technology, which progresses at a swift pace. The latest trends and tools are indispensable for the implementation of effective digital strategies. Learning and adaption are a continuous process and fundamentals to be competitive in the digital world.

Data Privacy Concerns: Data privacy is one of the major concerns of DM, and strict regulations such as the General Data Protection Regulation (GDPR) are to be followed. Businesses must follow these regulations to build customer trust and maintain compliance.    


Ad Blocking: One of the biggest challenges for digital advertisers is ad-blockers. Multiple service providers are engaged in ad-blockers to improve the online experience and set the limit of the visibility of digital.


Content Overload: A huge amount of data can cause content overload. So, it is necessary to distribute the content load by the marketers for the smooth functioning of content. Promoters must emphasize creating content that attracts the audience and adds value.   


Cybersecurity Threats: Reliance on digital platforms is increasing day by day and it becomes a risk of cybersecurity threats. Protecting consumer data and preserving a secure online is a top priority. Businesses must spend on cybersecurity to safeguard the sensitive information of customers.       

Platform Dependency: Digital marketers depend on various platforms, such as search engines and social media. Revision in policies or new platforms’ emergence impacts marketing strategies’ effectiveness. Divergence and composed approach to digital channels to minimize the risk factor associated with platform dependency.


Digital Marketing in Pakistan: Digital marketing platforms have rapidly grown just after the COVID-19 pandemic and spending is almost 13.65 billion. So far there are more than 500 agencies providing services of DM in Pakistan can showed a significant growth in business as compared to those who cannot spend.  Furthermore, it is suggested that every company should spend 5 to 10 percent of profit monthly on DM to achieve sustainability, remain in the market, and competitive advantage over rivalry and it is the best way to understand the actual needs and wants of the company through feedback from the customers for continuous improvement in product and services in a short period.    


In the end, digital marketing offers countless opportunities for startups and enables them to connect with the target audience globally. A strategic and adaptive approach is an essential element to be successful in a digital world. Businesses understand the benefits associated with DM and face the rapidly changing challenges to sustainable growth and competitive advantage over rivalry.     


Mehrooz Khan

Mehrooz Khan, M. Phil scholar Chaudhry Abdul Rehman Business School under the umbrella of Superior University. He started his career in the field of administration in 2009 at a renowned medical college and he intends to give purposeful awareness to the public regarding the role of Digital Marketing and its benefits & and challenges faced by the digital world.


Please note that all opinions, views, statements, and facts conveyed in the article are solely those of the author and do not necessarily represent the official policy or position of Chaudhry Abdul Rehman Business School (CARBS). CARBS assumes no liability or responsibility for any errors or omissions in the content. When interpreting and applying the information provided in the article, readers are advised to use their own discretion and judgement.

If you are interested to write for CARBS Business Review Contact us!

Recommended For You