Page 1 of 21

Journal for Studies in Management and Planning

Available at http://edupediapublications.org/journals/index.php/JSMaP/

ISSN: 2395-0463

Volume 04 Issue 05

April 2018

Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 274

Impact Of Digital Marketing On Customers’

Engagement : A Case Study Of The Middle East

Dr. Syed Ahmad Murtaza Alvi

Assistant professor

Department of Business Administration

College of Finance and Administration Services

Saudi Electronic University

Riyadh...

Kingdom of Saudi Arabia

Email.. a.murtaza@seu.edu.sa

ABSTRACT

Marketers have realized that effective marketing strategies have to be oriented in a

manner that leads to better customers’ engagement and improves customer experience.

In the wake of advanced technology, businesses have realized the potential of the

booming digital technology and are adopting digital marketing at a high rate. The high

rate of advancement in digital technology offers an ideal avenue for business enterprises

to exploit and optimize the customer experience and customer engagement given to their

customers through digital marketing. The Middle East is adopting digital technology for

marketing purposes at a high rate. Notably, the ‘millennials’ in the Middle East countries

are leading in digital consumption. A study conducted by Smith in 2012 indicated that

millennial ‘netizens’ are motivated by certain types of digital marketing to make initial

and repeat purchases.

The availability of digital technologies among residents in the Middle East is

contributing immensely to the high rate of digital marketing adoption. The smartphone

penetration in the Middle East market has been increasing thus providing a broader

audience for digital marketing content. Furthermore, the benefits that accrue to business

enterprises as a result of digital marketing are a motivating factor for the adoption of

Page 2 of 21

Journal for Studies in Management and Planning

Available at http://edupediapublications.org/journals/index.php/JSMaP/

ISSN: 2395-0463

Volume 04 Issue 05

April 2018

Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 275

digital marketing by businesses in the Middle East. The diffusion of digital technology

such as mobile applications immensely contributes to digital marketing.

KEYWORDS:

Customer, Digital, Marketing

INTRODUCTION

According to Puccinelli et al., (2009), companies can leverage digital technology to gain

a deeper insight and comprehension of consumer behavior and patterns. The knowledge

of consumer behavior is critical in formulating efficient and effective strategies of

increasing customer experience and engagement.

Furthermore, Grewal, Levy, and Kumar (2009) add that the highly turbulent

contemporary business environments require that businesses not only offer innovative

products at low prices but also prioritize customer experience in orders to survive and

cope up with the competition. Moreover, Mascarenhas, Kesavan, and Bernacchi (2006) in

their study on total customers experience as an approach to create lasting customer

experience noted that; optimizing customer experience is pertinent in increasing customer

loyalty and engagement in the business brands, which is a core aim of organizational

marketing efforts.

A study report submitted by Radcliffe and Lam (2018) to the University of Oregon

revealed that penetration of smartphones in the Middle East is fast-paced and that

smartphones have become an integral part of the lives of many adults in the twenty-first

century. According to this report, the internet and smartphone penetration in the Middle

East have fast risen since the start of the Arab spring up from 35.6% in 2011 to 56.4% by

March 2017 (Radcliffe and Lam, 2018). The increasing adoption of social technologies,

for instance, the social media in the Middle East, dynamic consumer, and increased

global digital competition is the primary motivator for many businesses to adopt digital

marketing in the Middle East.

Furthermore, Gartner, as cited by Alesadrah (2017) asserted that a group of scientists

forecasted that by 2020 more than 85% of customer interactions and transactions would

be done online with the help of technologies supported by artificial intelligence and data

Page 3 of 21

Journal for Studies in Management and Planning

Available at http://edupediapublications.org/journals/index.php/JSMaP/

ISSN: 2395-0463

Volume 04 Issue 05

April 2018

Available online: http://edupediapublications.org/journals/index.php/JSMaP/ P a g e | 276

analytics (Alesandrah, 2017). Shabbir and Anwer (2015) argued that artificial intelligence

is revolutionizing the way of life and business practices in many sectors as it gradually

permeates every facet of human lives. Moreover, a potentially disruptive technology such

as blockchain technology further strengthens and diversifies the digital marketing

portfolio. Blockchain improves customer experience and customer loyalty programs in

electronic commerce through easing payments during transactions (Choi, 2018).

Khan, Al-Shihi, Al-khanjariand, and Sarrab (2015) indicated that the last nine years have

seen the Middle East undergo a major digital technology revolution infused with digital

knowledge, communication and information technologies. For instance, according to

Kathleen as cited by Alkhunaizan and Love (2013), 60% of the residents in Saudi Arabia

owned smartphones in the year 2011, and 85% of the populations with the smartphones

used the internet.

Furthermore, subscriptions to mobile services grew to 53.7 million in 2011 from 2.3

million in the year 2001 (Alkhunaizan and Love, 2013). The statistics highlighted above

proliferated over time due to the contribution of the Arab spring’ to the digital technology

boom. Using Saudi Arabia as an example, it can be inferred that digital marketing

technology has penetrated every facet of the lives of the Middle East‘netizens’.

Therefore, the significant online presence of Middle East residents drives business to

exploit online digital marketing to reach their target markets with the aim of engaging

customers for consumptions and improving their experience with the organizational

products and services.

The advancement in information and communication technology in the digital era poses

immense problems and roadblocks to the marketing practice. Marketers are flocking

digital space in a bid to market their products and services. According to Ranganathan

and Bellani (2016), digital marketing has out-maneuvered traditional marketing in the

sense that it is socially interactive and highly engaging. Digital marketing not only affects

the marketing investments, strategies and overall planning but also branding (Rokka,

2013).