Will online marketing business strategies succumb to the crisis of demonetization?
Well, it’s a challenging question looming over everyone’s head. For some marketing sectors, it might be a boon. While certain digital sectors are expected to be sluggish. At this juncture, changes in customers’ journey of conversion resulting from new habits and buying trends are what keeping marketers awake all night. Alongside, changes in buyers’ persona due to uncertain interest levels are largely being anticipated in the present scenario.
With demonetization chaos trending up, the economy is facing transaction slowdown as an aftermath of the move. The cost of sudden currency reform is now felt in digital business where the surgical monetary strike is directly hitting the horizons of digital spending metrics and marketing ROI. Liquidity crunches are contributing to a steady drop in purchase and sales. The economy is going cashless! With such odd monetary situation, it’s only left on time to see where sales and marketing is headed to.
Are marketers ready with their strategies to tackle the demonetization woes? It’s indeed; a confusing state and the results are unpredictable. Let’s attempt to decode the demonetization aftermaths throwing some light to marketers’ digital strategy & their takes at this hour.
- Plastic money dependency spike
Where physical cash rules the state economy of India, cash circulations are drying up faster as 86% of cash went out of flow. The onus is shifted on cash cards, credit cards and debit cards which are motivating digital savvy customers to depend on plastic money to survive this change.
Bonus for marketers: Make digital transactions the staple source of income. It’s time to sow business and reap later by employing the right digital propagation strategy.
- User adoption of virtual wallets
It’s raining cashless cash for digital wallet companies! Electronic money payments through m-wallets-Paytm,freecharge, mobiKwick, oxygen etc.) for bill payments, ticketing, purchasing etc. are taking toll. This is driving humans to go out of their usual habituated zone as they are pushed to the edge to embrace this change. As a result, the percentage of user adoptions of virtual wallets is ever increasing.
Bonus for marketers: This is a perfect timing. Trigger some aggressive marketing campaigns joining hands with m-wallets.
- Online In-app wallet business upsurge
It seems digital wallet businesses are making some good business. Google’s ATM locator helps to find nearby ATMs and information about cash availability. Similarly, CashNocash.com offers real time cash availability status for banks, ATMs, & post offices. A new upgraded feature in Paytm finds nearby merchants with Paytm facility. Likewise, there are many other digital wallet companies such as Freecharge trying to cash in new customers to use virtual wallets. To reap the profit in app wallet business, a number of start-up companies are gaining forefront to launch their businesses in the digital space.
Bonus for marketers: Thanks to the m-wallet feature. It‘s a mutual win-win situation for start-ups as well as m-wallet companies to register their businesses with e-wallet apps as well as roll out new offers.
- In app wallet downloads kills traditional online payments
As the ATM queue traffic lengthens, so is In-app wallet traffic signing up for wallet balance. Beating the concept of COD (Cash on Delivery) the thrust is now upon cashless payments with most online enterprises encouraging the use of m-wallets. The outcome? Well, there is a 200% jump of in-app wallet downloads surpassing the mark of 50 million app downloads! Marketers! This mobile wallet growth is a big boost for online and offline payments. Small and medium enterprises can use this opportunity to make digital payments tie up with m-wallets to serve customers digitally!
Bonus for marketers:
It’s time for brands to capitalize on it! Add more customers to the business via real-time marketing campaigns!
- Sales drop in offline shopping –
It’s indeed a challenge for small retailers as cash is the dominating medium of transaction for many. It is anticipated that the consumer market will further slow down by 33% by Q4, 2016. Utter confusion! Isn’t it? Will your brand still stick to the old way of enticing your customers?
Uncanny but true, a tinny window of opportunity is still peeking even though consumers are turning towards supermarkets for online transactions. Time to step into digital ecosystem and adopt some ONLINE real-time marketing hack!
Bonus for marketers:
Trigger customer service with paperless transactions! Make the best use of it to market your brands and in return reap great brand engagement! Setting your expectations straight is the smartest move!
No doubt, demonetization tactic is transforming tens of thousands of non-digital humans into digital customers. It’s left on the brands to show their wit-how to take chances & bring the best pro out of it.