Online advertising is growing at such a rate that the promotion of products and services though digital marketing is expected to reach revenue of Bt1.5 billion this year, from a total display-advertising marketing valued at Bt90 billion. 

According to the managing director of digital communications firm mInteraction, Siwat Chawareewong, digital marketing has become a crucial growth area in both the advertising market and the advertising industry, following the ability of customers to access information on products and services from the Internet.

Internet users are these days spending much more time accessing information and knowledge online or communicating with friends and relatives via social-network media such as Facebook and Twitter or mobile phones.

He said that digital advertising was currently worth about Bt1.5 billion a year, while the value of the display-advertising market was about Bt90 billion a year, representing 80 per cent of the value of Thailand's total advertising market.

"I believe the market for digital marketing will double, because online advertising will grow to double its importance in the advertising industry," Siwat said. "Digital advertising will help businesses to promote their products and services via solutions ranging from of viral marketing though banner advertising, search engine and e-mail advertising to mobile."

Industries that have begun using online advertising include consumer products, hotel, property, auto and information technology. Among the brands appearing on social-network media are computer firm Dell and property developer Sansiri.

Siwat said his company divided digital-marketing customers into three product categories: hi-end involvement rational-buying products, hi-end involvement emotional-buying products and low-involvement products.

Hi-end involvement rational-buying products include houses, IT products and automobiles. In these cases, manufacturers want to promote their products and provide information to attract customers with the potential to access information from the Internet to support their buying decisions.

The hi-end involvement emotional-buying category includes products related to fashion, such as clothes, glasses and perfume. This product category seeks to attract customers whose buying decisions are made emotionally.

The low-involvement category consists mainly of consumer products. Manufacturers opt for online advertising to keep their products and services in the forefront of customers' minds.

"I think that online advertising will enjoy a high growth rate when Thailand adopts an infrastructure to support new technology. This will make digital advertising an alternative marketing channel for businesses, with low cost and a greater potential to reach targeted customers," Siwat said.

Dell Corporation (Thailand)'s consumer business marketing manager Krittawit Krittayaruangroj said his company began providing product information and IT knowledge to customers via Facebook and Twitter in September this year.

He said digital advertising was a new medium that allowed customers to access information and knowledge over the Internet anyway and anytime, creating an opportunity for businesses to provide product information to customers via social-network media.

"Dell consumer business now spends about 30 per cent of its total advertising budget on online marketing because it allows us to promote our products to target customers, including students and 'new-generation' people who spend much more time online," Krittawit said. Dell now has more than 2,000 followers on Twitter and 5,000 fan pages on Facebook. "I believe that social media such as Facebook and Twitter provide information direct to our target group, and the company is able to get information back from customers, such as problems they are facing. Dell is also able to provide information back to customers in real time. As a result, the company will be able to offer products to meet customer demand and receive good feedback," he said.

Dell plans to continue promoting its products and creating activities though the social-network media because the cost is lower and there is a greater chance of connecting directly with target customers.

Meanwhile, Krabi Resort is one hotel-industry advertiser that is using online social networks. It says it is currently attracting10 new customers a month from online marketing.

Source: http://www.nationmultimedia.com/2009/12/17/technology/technology_30118701.php