Understanding the Hype: Marketing Technology in 2019
- Written by TechXO Team
- Category: Martech
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Marketing technology has been a buzzword in the tech community for a couple of months. But what is the hype all about?
Marketing technology is the use of software to aid the process of establishing long-term profitable relationships with new, existing, and potential customers. Marketing technology is predominantly used in business-to-business (B2B) transactions, where modern marketing techniques are required to respond to the changing business environment brought about by technological disruption.
Marketing technology is ever expanding in its inclusion of other forms of software technology, with increasing rates of efficiency in terms of speed and results compared to traditional ways of marketing.
The hype is caused by the drastic growth brought about by the technology to companies using it, forcing or incentivizing its use in several industries so companies can remain relevant in the competition. With marketing technology allowing companies to track, monitor, and reach more customers, often through the use of the Internet, businesses that want to gain a larger market share often feel the need to use and innovate the tools under marketing technology.
Companies often have an in-house team responsible for designing and developing tools under marketing technology, but others also opt to avail of the services offered by technology companies.
History of Marketing Technology
There is no clear story as to how marketing technology started. But according to research, this type of technology is a product of how one technological innovation brought another technology. Businesses were quick to adapt and that is how it all probably started.
Examples of Marketing Technology
Countless research and innovation around the world spurred the growth of marketing technology. As there are too many examples to cite, we narrowed down the list to five examples of marketing technology that you have at least encountered once in your life:
- Analytics and Tracking - this example of marketing technology allows companies to track and analyze the data collected from a website. The data is then processed to give basic information such as website traffic and other activities your website visitors are conducting while they are on your website.
- Tag Management - the tag management system is designed to gather and transfer data between websites or mobile app sessions and a technology vendor.
- Marketing Automation - this term generally comprises software platforms and technologies that are designed to help marketing teams and organizations automate mechanical and repetitive tasks especially when the business is using multiple marketing channels.
- Customer Relationship Manager (CRM) - is a software used to manage businesses’ interactions with their potential and existing customers. It uses the data and information gathered from the customer’s previous transactions with the company to personalize and customize the approach of the company towards that customer, expecting to improve customer satisfaction, retention, and sales.
- Search Engine Marketing - often one of the most used marketing technologies in several industries, search engine marketing has provided ways for smaller businesses to increase their visibility on the Internet, increasing web traffic and generating leads for companies.
Staying relevant in the competition
So why is there an increasing number of companies using tools of marketing technology? The obvious answer is that there is also an increasing number of users that are connected to the Internet. With the technology getting more advanced and accessible as years go by, users from different parts of the world are getting interconnected, therefore increasing the opportunities for companies to offer and sell their products and services. This is why marketing technology is becoming useful. The technology allows companies to effectively establish profitable relationships and increase their customer reach. With this technology, sales are expected to continuously grow, driving businesses to their success. Businesses using marketing technology are also more likely to survive the competition and stay relevant amidst changing market preferences. This technology also allows businesses to effectively understand their customers’ behaviors and modify their marketing strategies to adapt to these changes. This is one important thing that sets successful businesses apart.