Strategies To Reinforce HMV’s Digital Marketing Capabilities

The History of HMV

The HMV logo featuring Nipper and the gramophone was one of the most popular logos of its times, 96 years old company with its headquarters at London is one of the biggest entertainment retailing companies of the world (Howard, 2017). The first HMV store was opened by the Gramophone Company on the Oxford Street in 1921 and the brand name was synonymously used for TV and radio sets manufactured from 1930s onwards(Tennant, 2016). HMV’s retail side of business started growing in the 60s, in the year 1998 it was divested from EMI, the successor of Gramophone Company to form what the world today knows as HMV. The company pushed aside the competition from Our Price and Virgin Megastores to become UK’s leading specialist music retailer enjoying the spectacular growth for three straight decades until the early 2000s(Pancholi & Arshed, 2016). It was the year 2012, Amazon stole the crown from HMV and other online streaming music services like Spotify drained the record industry’s profits as a whole. The year 2013 saw the company making a move into administration, according to the recent reports its CEO Ian Topping has resigned after his stint in the organization for 5 years and he will be replaced by Neil Taylor (Beaster-Jones, 2018) 

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The purpose of the assignment here is to identify new strategies to reinforce the organizations digital marketing capabilities and expertise. Within the purview of the assignment the tools of digital marketing will be studied and how it can benefit HMV in strengthening its brand positioning and market share in the highly competitive industry. 

In a word with a population of 7.476 Billion and internet penetration being 50%, which makes around 3.773 Billion active internet users, digital marketing does become a necessity for the marketers to incorporate in its marketing strategy(Charlesworth, 2018). Digital marketing has disrupted the entire marketing ecosystem by connecting the users intelligently through digital platforms. Communication is a two way tool and digital marketing effectively uses this characteristic of communication at the play (Sayers, 2018)

The biggest advantage of using digital marketing is the engagement and the conversation the brands can drive with its customers, it helps the brand to reach even the remote customers and target them effectively to deliver results for the brand (Anantharaman & Sridharan, 2018).  Another big advantage of using digital marketing in the marketing strategy is the usage of Big data analytics, Big data analytics helps the company to focus on the enormous data about the customers which can be used to target the products they really want to buy, the information helps to push highly targeted content to the consumers which is based on relevancy and context (Dilmperi, King & Dennis, 2017). Hence, it is advised that brands in order to compete in the present day, have to create a marketing strategy comprising of both traditional and Web 2.0 tools, this will help the brand to reach its customers, irrespective of the media vehicle one uses to consume content(Harvey, 2017). 

Benefits of Digital Marketing for the Entertainment Retailing Industry

Search marketing is a contemporary form of marketing which is presently in vogue, and organization all across the globe have been using Search marketing to increase the visibility and increase the traffic on the website. Search marketing can be both organic and in-organic in nature (Strauss, 2016). Organic search marketing is called Search engine optimization and organization do not need to spend any money towards it, on the other hand, Search engine marketing is paid marketing wherein the brand buy advertisement on the search engine to increase its visibility. Both the methods however are highly effective in increasing the brand awareness, visibility and brand recall. Search marketing covers technical and creative elements which are required to be updated on a regular basis to improve the website ranking and increase the consumer experience on the website. It becomes extremely important for HMV to focus on both organic and inorganic Search marketing to achieve the objectives of increased visibility and traffic on the website. 

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In order to create a highly effective SEO campaign the entire process can be broken down into 7 parts:

Website Analytics-This step involves gathering data and conducting a competitor research, data is gathered around the existing traffic on the website, current ranking of the website and landing pages. Further analysis is done on the most used keywords, best performing pages and backlinks (Moran & Hunt, 2014).

Keyword Research-As the name suggest high performing Keywords have to be discovered and brainstormed to include in the website content or the blogs, Google Key word, word tracker and MOZ are some of the tools which can be used by HMV to research on the best performing keywords. 

Onsite Optimization- This is the process of optimizing the website for fast loading and refresh time, website architecture, content and HTML technical issues are addressed in this step.

Content Optimization-Content is what creates magic for the website and it is undoubtedly one of the most important steps in creating a great SEO campaign. The process requires working on the tags, title, Keywords, Meta tags, landing pages, backlinks and internal link to optimize the content for higher organic search visibility (Ryan, 2016).

Link Building-The step requires the company to work towards natural link building, competitor asset, freestyle links and link consolidation to appear in the search query of the user (Patterson, 2017).

Managing online reputation for the Brand-After finishing all the above mentioned steps, brands have to focus on brand monitoring, brand engagement, addressing the feedback and web page issues(Kelsey, 2017).

SEO: A Guide to Improve HMV’s Organic Search Visibility

Over the years, HMV has lost its touch with the digital marketing strategy, above mentioned process will bring HMV appear organically in the search query of the customers.

Search engine marketing or as it is popularly called as Pay per click marketing is a paid promotional marketing strategy where the brands buy advertisement on search engine in a bid to increase the brand awareness, brand visibility and increase the sales. Paid search Ads, Cost per impressions (CPM), Cost per Click are some of the names synonymous to PPC (Pan, 2015). Similarly like SEO, PPC has a structured process to increase the above mentioned objectives:

  • Ad relevance and Quality Score-Google ad words is the tool which the companies use to bid for the keyword, hence the keyword has to be highly relevant to the possible search query of the customers. The number of times a particular keyword in the website content matches with the search query, the ranking and quality score of the website improves considerably and the company has to bid lower for the Keyword, thus improving the Return on Investment(Fill & Turnbull,2016).
  • Keyword Management- The importance of Keyword have been explained in the earlier section, just to add to the context, Keywords are pivotal to improve the website ranking, quality ranking and the crawling index for a website which makes it appear on the top of every search query, thus keywords management is a dynamic process and companies have to be on their feet to study the best performing keywords, include them in their web content and bid for them (Haligan & Shah, 2014).
  • Keyword Grouping- Keyword Grouping is the process of combining two or more keywords to target a particular market segment or a target audience.
  • Search Network only- Ads are display and text in nature, search network only will respond to the search query in the form of text (Scott, 2015). 
  • Display Network Only- This setting will allow both the text and display to appear on the publisher sit, such as Google, Bing or any other search engine.
  • Network-The utility of the Network lies in getting more clicks on the ad campaign, at present Google is the largest network which drives almost 67% of the world’s click, falling behind are Bing and Yahoo. Hence, HMV has to put maximum of its accumulated worth towards PPC on Google search engine (Batra & Keller, 2016).
  • Devices-Mobile phone penetration presently is 66%, which is roughly 4.917 Billion, thus it is highly advised to focus on Mobile marketing, which can be easily done through device targeting in the campaign setting process.
  • Bidding and Budget-Money on Ad words is the single most criteria for selecting a keyword and to effectively managing a campaign. Google has overtly simplified its Bidding process to give more access to the brands by providing them option like Daily Budget, enable enhanced CPC and many others. In the initial run of the campaign it is advised to go with the enable enhanced CPC to monitor the performance of the keyword and the campaign (Spiler & Tuten, 2015).

These are some of the steps which make PPC unique and different from SEO, however the process still has a good reliance on the Search engine marketing, but at the same time brands can directly close a sale through PPC campaign.  

Online video and video advertising campaigns conveys the message through colourful logo, GIF, animation and other form of graphics. Such types of campaigns are more effective than the traditional methods because of its rich and visually spectacular content. The USP and the differentiation of Video and display ads from PPC or SEO is that it displays the overall message of the brand unlike the other where it displays only the brand’s message, at the same time video and display marketing provides effective targeting for the marketers. In order to create great campaign, HMV should take care of the following steps:

  • Selecting the goals & KPI-It is really important to pre determine what the brand wants the user to do with the campaign, in best case scenario, he is either directed to the website or on any landing page which company designs specially for this purpose(Wesley & Barczak, 2016).
  • Define the Target audience-Big data analytics helps in finding the user’s activity, people who are remotely interested in music or in buying records can be a Target audience for HMV, hence defining the TG saves a lot of cost for the company and optimizes the campaign.
  • Media Buying-Media buying takes place after the goals are selected and the audience is sought through, the next step is to buy online space either from publishers, ad networks and demand side platform in order to publish the campaign.
  • Developing creative for the campaign-The best part about video and display ads is that they are not boring, it has also been discovered that GIF & Rich media has more conversion than normal texts.
  • Tracking and optimization-Video and display campaign gives more power in the hand of the marketers, if the campaign is not doing good, the brand can easily change the audience, tweak the content and even move his campaign from one publisher to other publisher. 

Content marketing according to the digital marketing experts is one of the most reliable digital marketing strategies to attract the target audience. Consumers are always in a lookout to engage with content, and if the content is relevant and highly engaging, people start effectively engaging with the content which gives mileage to the brand (Baltes, 2015). It does not exactly matter if the content is organic or inorganic, as long as the content is providing any kind of information which is useful to the client, it solves the purpose. Bloggers are an important element in content marketing, they create personalized blogs for their followers who further interact with the content and the same blog as SEO is embedded in the content of the website, thus attracting more and more people on the website. It is very important to create content which score high on relevancy and context, only then the Target audience will engage with the content (Holliman & Rowley, 2014).

PPC: A Guide to Increase HMV’s Brand Awareness and Sales

Marketers have to ensure that they follow the guide lines given by the Advertising board and Google in order to not disrupt the competition and take unfair advantage of the open forum.

  • Not using the rick anchor text
  • Links created by the brand should not say “ Follow”
  • Hidden text and links have to be avoided
  • Avoid the usage of cloaking and sneaky redirects.
  • Automated queries to be not sent to Google.
  • Not to load pages with irrelevant keywords.
  • Not to create multiple pages, subdomains or domains with the same content
  • Not to create webpages with Malicious behaviour like Phishing content, Trojans virus or any other Badware (Pulizzi, 2014).
  • Avoiding cookie clutter. 

E-mail marketing can be understood as a process of sending out E-mail in the form of campaigns or personalized emails to customers, potential customers or a group of customers to make them do purchase with the brand. Email marketing can be used for a plethora of purpose apart from making a purchase; it can be used to increase the awareness about the brand, brand penetration, changes in the product portfolio of the company, notifying the customers on recent addition in the inventory and many more(Baruch & Holtom,2008). It can also be used as a promotional tool to inform the customers on the on-going discount or the offers the company is going to roll out in the near future. In order to understand the importance of E-mail marketing to attract, retain and engage customers for HMV the following terms have to be understand for a comprehensive understanding of Email marketing:

ESP- Email service provider of ESP is the software which is used for sending mails to the subscribers; some of the examples of ESP are Fastmail, Hushmail, GMX, ZOHO mail and Gmail(Kent & Brandal, 2003).

Marketing Automation-This is the process of sending mailers or mail campaigns to the subscribers of the Brand

Dynamic Content- As the name suggests, the content can be displayed or triggered based on the data of the subscribers.

Hard Bounce-As the name reflects, when the email is returned to the sender of the mail permanently after repeated attempts by the server based on the reasons like invalid email id, domain name and many more. A lot of companies in the present day are facing issues related to the hard bounce.

Soft Bounce- There are certain occurrences when the mail is undelivered to the sender because of some temporary issues like server loading. Soft bounce is another error which reduces the effectiveness of the email campaigns.

Data Capture-As one of the important element of email marketing, capturing as much relevant data as possible is extremely important, the captured data can be further used for content targeting. Some of the ways by which data can be captured are:

  • On site forms and surveys
  • Newsletter signups
  • Display and behavioural advertising
  • Events
  • In store, print signage and POS
  • Subscribe to the email and offers.
  • Viral email
  • Social networks
  • Content marketing
  • Customer service team

HMV should adopt the following strategy to optimize its Email campaign:

Segmentation- In email marketing, segmenting the customer is important for maximum efficiency of the campaign. Some of the ways HMV can segment its data according to the content of Email marketing are:

  • Product updates
  • Newsletters
  • Daily email list
  • HTML
  • Customer list

Video Advertising: A Guide to Create Effective Campaigns

Hence, with segmentation a lot of targeted communication can be sent to the target audience, the content can be sent across to the audience depending on the open and closed links.

Designing is an important element of the email marketing, special attention has to be given towards the designing of the campaign because of its low open rate. In order to optimize the designing of the email campaign, HMV can use the following strategy for optimizing of its campaign:

  • Being highly transparent with the communication.
  • Try to stick to the point in the mail.
  • Writing less and demonstrating more
  • Usage of promotional email, offer announcement and important updates
  • Fully responsive email design
  • An option for call to action to be embedded in the email

Certain metric which can help HMV to take leverage of the email campaign are:

  • CTR or Click through rate
  • Hard Bounces
  • Soft Bounces
  • Delivery rate
  • Inbox placement
  • Unsubscribe rate
  • Open rates.
  • Building a subscriber list-HMV has to ensure that it constantly keeps on adding new customers in its subscriber list and not just sits idle with the existing list.
  • Encouraging readers to reply or engage with the content- Pushing information towards the target audience without any clear intent of the purpose of communication is a highly wasteful expenditure for the brands. In order to engage the customers or push them to open up the emails, certain strategies have to be used:
    • Creating irresistible subject lines
    • Mail should look like it has been created by an actual person and not by some bots or computers.
    • Content should be targeted according to demographics, behaviour, physiographic and geographic segmentation to increase the reach and relevancy of the campaign.
  • Try to make the email as personal as possible, a lot of tools these days provide a way to make the email personal. This strikes a chord with the customers and they engage with the content of the mail campaign(Hartemo, 2016)
  • Keeping mails out of Spam Folder- One of the strong reasons for failure of marketing campaigns is that the mails go into the Spam folder, as a brand company has to ensure that its subscribers have opted for the mail in order to achieve a higher open rate.
  • Mail should be short and sweet and not cluttered with unnecessary information
  • Inclusion of links that derive call to action and conversion
  • Making the mails easy to unsubscribe- It sounds very diabolical, but if the customers know that they can easily unsubscribe to the mail, and the power is vested in them, they generally don’t tend to unsubscribe and on the contrary engage with the content
  • Due to increased smartphone penetration, a number of emails are viewed on the mobile phones; hence brands have to ensure their mails are mobile friendly. 
  • Repeated testing of the emails- If the mail does not function as it as intended to , or the links are not supportive, audience tend to lose the faith on email marketing from the brand and unsubscribe it.
  • Track and monitoring of the campaign- HMV has to ensure that it keeps a good track of the hard and soft bounces, the open rate, the demographic engaging with the mails; all this data can further help HMV to send more targeted content to the engaging audience.
  • The most important thing is not just data capture, but people have to understand that the company through its mail campaign providing value to its customers. Once they realize the value the brand is providing them, the chances of conversion into a client increases exponentially.

In the light of above mentioned points, it can be said with utmost certainty that Email marketing campaigns do have a probability of not conveying the intended message, but at the same time, if the campaign has been optimized the results can drive great value for the company. 

Social media marketing is one of the most important tools of the digital marketing which helps the brands to drive sales, conversion and engagement with its target audience. Facebook which is the largest social media platform having over 1.2 billion people is most effective in increasing the brand penetration and engaging in relevant conversation with the target audience (Akar & Topcu, 2011). Popularity of tools like Instagram, Snapchat and Twitter is growing and more and more brands are spending a large sum of money on these platforms to target the millennial. Social listening is a very vital component of social media marketing, as the brands can listen to whatever a person is talking about the brand, and it can effectively address their concern or query (Neti, 2011). Looking at the popularity and penetration of social media platforms, it would be highly imbecile of any company to not use social media marketing as an important tool for their marketing strategy. HMV has been using the platform on not so frequent basis which can be seen from its low follower count, the company has to invest heavily in content creation and promotion to engage with its target audience (Evans, 2010).

  • Facebook is the largest social media platform in the world.
  • Facebook covers all demographics
  • Facebook as a platform is growing exponentially
  • Option  on Facebook to advertise are really easy, friendly to use and affordable
  • Facebook provides option of specific targeting
  • The average time spent on Facebook is 4-5 hours
  • Facebook provides tools to measure analytics
  • Driving engagement and conversation on Facebook is relatively easier.
  • Facebook is launching a new ad policy for brands to better engage and target its users.
  • Although, on an average Facebook organically shows content to just 3% of the followers of the brand, but with the option of sponsored content, the reach increases exponentially (Kim & Ko, 2012).

HMV has a huge scope in terms of Facebook or social media marketing, they have to create a social media team to monitor the effectiveness and efficiency of the campaign.

Instagram, another popular social media platform, which was acquired by Facebook few years ago, is also finding a lot of attraction due to the ease the platform provides to the brands. A newly launched feature of Story can easily be used to drive engagement with the audience and they can be pushed to the website for consumption of more information. Instagram is rapidly growing in numbers and in some regions is more popular than Facebook, thus HMV has to use the platform to push content, drive awareness, create community and at the end drive sales (Packer, 2011).

Content Marketing: A Guide to Attract, Retain, and Engage Customers

Twitter is a micro blogging site which lets users post in 140 word anything that they feel to write to the world. The utility of Twitter lies with influencer marketing, wherein the brands can rope in some celebrity to tweet about the products, which in turn helps to drive awareness and sales. HMV has to rope in few music celebrities to say something positive about the brand, this will get to the followers of the celebrity who will then engage with the brand. Thus, influencer marketing through twitter campaign is one of the strongest strategies which the brands can use to increase the reach of their message. Some of the elements which make the platform unique for the marketers and the reasons why HMV should invest in Twitter marketing are:

  • Usage of Hash tags to make the content go viral
  • Addition of Rich media, GIF and video on the timeline (Stelzner, 2014).
  • Provision of Mobile targeting
  • It helps to build a strong community
  • Helps to drive traffic on the website
  • Starting the conversation is extremely easier and travels faster than any other social media.
  • The option of direct message for the users.

All these features makes Twitter an extremely important platform, the combined synergies of Facebook, Twitter and Instagram can drive great results for HMV.

Youtube, which is ideally not a social media platform, but it does have enormous platform for marketing and promotions. Youtube gives an option for the brands to place static and dynamic content on the maskhead which drives great visibility for the brand. At the same time, roll ads which the brands can include in middle of the videos on YouTube serve as a good tool for CTR. YouTube is highly recommended for driving impressions. HMV being a music brand can utilize the channel to drive great results and increase the brand visibility (Tuten & Solomon, 2017).

It can be said that social media channels have a higher engagement rate than email marketing any given day, people are most likely to engage and communicate with the content on social media platforms than the email content. Emails have higher conversion rate, but at the same time it depends on the audience who have subscribed to the content, which effectively reduces the efficiency of the email campaigns. Social media marketing has a higher reach than Email marketing; also the feat that Email might end up in spam reduces its efficiency. In the present day, people view email campaigns as spams, if they are not high on content and relevancy. Thus, it can be said that, however Email marketing is an effective tool in marketing, social media marketing has its own advantage which makes it a much better tool than email marketing.

Website optimization is something which should be a top priority for HMV, people lose faith in the companies which have a higher loading time and refresh rate. Apart from the technical what matters is the user experience on the website, the website has to be designed in such a way that data is not cluttered and images are in high resolution to get the attention of the audience. Also, HMV has to ensure that its entire web links published on digital media platforms are functional and lead to the website or the landing pages. Some of the website optimization techniques which can be used by HMV to increase the performance of its website are:

  • HTTP Request reduction- More the number of HTTP request the longer it takes for the website to load itself, a browser has limitation of opening up to only a number of limited simultaneous connection. Thus it is advised for HMV to ensure that its images and content are loaded on small webpages to reduce the number of HTTP request.
  • File compression-File compression reduces code files by 80% which improves site responsiveness.
  • Web Caching optimization-This technique helps in reduction of server load, bandwidth usage and latency of the website.
  • Code Minification-This technique helps in distinguishing between the code of the developers and how the network interprets the code. This technique reduces the extra space to minimize the code.
  • Lossy Compression-This technique helps in reducing the audio video files and non-essential information, lower quality images to optimize the website.
  • Image optimization-Uploading original images on the website increases the upload time for the website; hence it is advised that HMV use the tools such as TinyPNG, JPEGmini to crop the images thus increasing the website loading time.
  • Redirects-Redirects can be seen as performance killers, they double the time to reach on the website, and the audience loses their patience with the website.
  • SSL Certificate/ HTTPS-HTTPS ensures that the website does not have malware, Google in order to ensure the safety of the users data have levied strong penalties on brands which do not use HTTPS.
  • 404 Errors-404 errors have taxing effect on the website, any missing file on the website can generate the 404 errors, and thus coders have to ensure that all the files are generated on the click.
  • Page Tools
  • Pagelocity
  • Hotlink protection
  • Infrastructure
  • Database optimization

Email Marketing: A Guide to Inform, Promote, and Retain Customers

These are the techniques which would ensure high performance from the HMV website and the fast loading time will ensure that users do not skip the website in middle of a transaction, at the same time; great user experience will further delight the audience and help them in connecting with the message of the brand.

Digital analytics or as experts call it Big data analytics is the process of examining large and varied set of data to discover hidden pattern and break the data for the use of marketers. Analytics is extremely useful in the present day, as the digital marketing is all about understanding the data, segregating  the data, drawing patterns from data and finally transform the raw data to useful data for marketers. An example of Big data analytics can be the sentimental analysis of the data from the US election which picked up the negative sentiments against Hillary Clinton resulting in the victory of Donald Trump. Hence, it can be said that digital analytics helps not only to do behavioural and profile targeting on the basis of user’s interaction on the digital media; it is an effective tool to understand the market sentiments and further refine the product for customer benefit. Google analytics is one of the most popular analytics tool used by companies across the globe, it helps the companies to set up effective targeting on the basis of digital media analytics. This targeted traffic helps the website to increase its conversion rate and also achieve a better Click through rate. Some of the tools which can be used for Analytics are:

  • Google Analytics
  • Cyfe
  • Mixpanel
  • Moz Pro
  • Kissmetrics
  • Hotjar
  • Open web analytics
  • Piwik
  • Woopra
  • Heap Analytics
  • Mint

Social Media Marketing- As explained in the earlier section social media marketing helps the brand to increase the brand awareness and penetration among the target audience. At the same time, high engagement and conversation rate will help HMV to re-build its brand image especially in front of the millennial.

Big Data Analytics-HMV has to ensure that it double checks all the data from analytics and strategizes to use it to drive maximum performance from its campaign. In the absence of analytics, HMV will not be able to push highly targeted content to its audience.

SEO & SEM- SEO and SEM will ensure HMV has done its research on the high performing keywords and have used in its website, SEM on the other hand will ensure that HMV appears on the top of the search query.

Website Optimization- At present the website of HMV has a high loading time, which is a bad yardstick for measuring the performance of any brand. HMV has to ensure that it focuses on brand optimization techniques and works on the most important component of digital marketing strategy, website optimization.  

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