INNOVA Research Journal, ISSN 2477-9024  
Junio, 2017). Vol. 2, No.6 pp. 120-135  
(
DOI: https://doi.org/10.33890/innova.v2.n6.2017.225  
URL: http://revistas.uide.edu.ec/index.php/innova/index  
Correo: innova@uide.edu.ec  
Changes in media consumption and its impact in modern advertising: a case  
study of advertising strategies in Ecuador  
Cambios en el consumo de medios y su impacto en la publicidad moderna:  
un estudio de caso de estrategias publicitarias en Ecuador  
Melissa Valeria Espinoza Mata  
Norman Cevallos Polanco  
Aleksandar Tusev  
Universidad de Especialidades Espíritu Santo, Ecuador  
Autor por Correspondencia: meliespinozam@gmail.com, ncevallosp@uees.edu.ec,  
atusev@uees.edu.ec  
Fecha de recepción: 4 de Abril de 2017 - Fecha de aceptación: 5 de Junio de 2017  
Resumen: El marketing digital se ha convertido en una herramienta esencial para las agencias de  
publicidad modernas. Cualquier empresa seria que no tome nota de esta realidad está en peligro de  
quedar obsoleta. Los medios sociales han tomado protagonismo con los milennials, ofreciendo a los  
anunciantes oportunidades de crecimiento viral. Como tal, los hábitos de consumo de los medios están  
cambiando cada vez más rápido en todo el mundo. En Ecuador, el mercadeo digital comienza a ser  
tomado en serio, pero todavía no está ocupando la atención óptima para captar el nicho de mercado  
milenario que seguramente existe. Este estudio analiza la transición del marketing tradicional al digital,  
con un análisis de caso de Ecuador, una nación latinoamericana en proceso de modernización. Además,  
la investigación aquí describe los nuevos conceptos implementados en la industria y busca identificar  
si el marketing digital reemplazará a los medios tradicionales en un futuro cercano. Con el fin de  
analizar estos temas, se realizaron entrevistas con expertos de la industria. Como resultado, se encontró  
que el marketing digital no se ha utilizado a una tasa de maximización, en su lugar el enfoque ha  
seguido siendo en las estrategias de comercialización más tradicionales. Esta estrategia ha demostrado  
ser aún la más segura y eficaz en este mercado; Sin embargo, los anunciantes necesitan comenzar a  
planificar cambios dinámicos, que gran parte del mundo occidental ya ha pasado a, o tienen el riesgo  
de quedarse atrás.  
Palabras Clave: Ecuador; marketing digital; marketing 2.0; marketing en medios tradicionales; social  
media; millennials  
Abstract: Digital Marketing has become an essential tool for modern advertising agencies. Companies  
that do not consider this fact are in danger of becoming obsolete. Social media has taken center stage  
with millennials, offering advertisers viral growth opportunities. As such, media consumption habits  
are changing ever faster worldwide. In Ecuador, digital marketing is beginning to be taken seriously,  
yet it is still not occupying the optimal attention in order to capture the millennial market niche that  
surely exists. This study analyses the transition from traditional to digital marketing, with a case study  
analysis of Ecuador, a Latin American nation in the process of adopting these modern advertising tools.  
Furthermore, the research here describes the new concepts implemented in the industry and seeks to  
identify if digital marketing will replace traditional media any time soon. In order to analyze these  
topics, interviews with industry experts were conducted. As a result, it was found that digital marketing  
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has not been used at a rate of maximization, instead the focus has continued to be on more traditional  
marketing strategies. This strategy has proven to still be the safest and most effective one in this market;  
however, advertisers need to start planning for dynamic shifts that much of the Western world has  
already moved on to, or risk the possibility of being left behind.  
Key words: Ecuador; digital marketing; social media; traditional marketing; marketing 2.0;  
millennials  
Introduction  
Media consumption habits are changing faster than anyone would have predicted only  
decades ago (Chang, 2016). Technological networks and marketing are evolving; therefore,  
companies need to pay due attention to the emerging trends and marketing tools available if they  
are to capture and persuade the niche millennial consumer. The onset of the digital age has  
created new lifestyles and new habits of consumption among younger generations who are  
embracing the use of digital media devices as the primary means for communication. According  
to PR Newswire (2016), tools like social media and email have created alternative methods for  
pitching media in addition to traditional cold-calls. Therefore, as news and information  
consumption habits change, it is harder to attract the attention of younger audiences (Newswire,  
2
016).  
Kotler (1999) stated: ¨Marketing is a race without a finishing line”; therefore, marketers  
have to be updated and ahead of their competitors to survive this new era, as digital marketing is  
becoming a tool that if ignored, will lead to grave conclusions. As Ogilvy (1963) observed, “An  
advertisement is like a radar sweep, constantly hunting new prospects as they come into the  
market. Get a good radar, and keep it sweeping". The same people marketers advertised to  
yesterday would not be the same ones that marketers will need to reach tomorrow. Traditional  
Marketing strategies have been the only medium implemented to target the millennial niche  
market. Millennials born in the digital era from 1980 to 2000 are a different generation requiring  
a new approach. Marketers have to constantly innovate their campaigns to remain relevant in the  
eyes of these observant consumers.  
An ongoing debate ensues over whether digital marketing is overwhelming and  
overcoming traditional marketing. There are analysts that believe digital marketing has taken the  
lead, and it is only a matter of time before traditional marketing becomes a relic. However, there  
are also proponents of traditional marketing that warn not to stray too far from a tool that is time  
tested and proven so successful for so long.  
It is the aim of this study to analyze this contested debate over the traditional and digital  
marketing mix in a time where millennials are truly digital information consumers. This debate is  
now a global one for sure. As such, this study will offer additional data to the existing array of  
studies by analyzing the little known marketing industry of an emerging nation in Latin America:  
Ecuador. This will be done by conducting private interviews with marketing managers from  
well-known local advertising agencies; inquiries will be made over what the impact of new  
technological tools on the millennial market niche have been, and the prospects for digital  
marketing in a traditional marketing dominated market. Furthermore, interviews will establish  
how current traditional marketing is being aimed at targeting younger audiences.  
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This is an exploratory paper and it will try to find out if traditional marketing will be  
replaced by digital marketing to target the millennial market niche in the near future. Also, it will  
discuss the new digital marketing era and it will explain the new channels and trends like viral  
marketing, mobile marketing, social networks that have been created in this last decade and it  
will examine some marketing strategies that are used in digital media and preferred by  
millennials. A limitation of this study is the sample of five experts; there are many more  
reputable directors that would also have been valuable sources.  
Literature review  
The new age of digital marketing  
Over the past decade, marketing has evolved from a traditional or conventional approach  
to a digital approach. Petouhoff stated (2016), “What social and digital devices have done is  
really transform marketing, customer service, and even sales”. In order for a company to be  
competitive, they must constantly change and renew themselves, adjusting to the new changes of  
technology. According to Muñoz (2016), marketers will need to alter the company´s culture to  
deliver relevant, seamless digital experiences to customers. With the onset of the internet and  
wifi connected world, companies need to pay more attention to updating their website, design,  
content and user management in order to provide a dynamic service to clients. Marketers who  
want to succeed in building brand awareness today are finding that they have no choice but to  
include digital branding in their plans. However, the task is proving to be a challenging one.  
Traditional marketing strives to serve and capture loyal clients, as well as succeed in  
every commercial transaction instead of only trying to gain value in the long term. Furthermore,  
it determines price according to the highest cost instead of the objective price that the client is  
willing to pay. Such traditional marketing makes use of the marketing mix tools of product,  
price, promotion, and place separately instead of holistically. The new marketing era recognizes  
that products need to be adapted to what the market wants. Products and services need to make  
permanent innovations, and create loyal and positive relations with clients; traditional media has  
been the fundamental basis for carrying out several advertising campaigns for many years; due to  
radio, printed press and television, several brands are known and have achieved great success in  
sales. According to Fry (2016), ¨Longevity is the main reason why people are accustomed to  
traditional marketing;¨ they are pretty much everywhere, from billboard ads to TV commercials;  
the thing is that people are so used to it that sometimes it doesn´t feel like it is everywhere.  
Modern marketing strives to create value to clients. Marketers have been concentrating  
on using social media as an additional tool for their client’s goals. According to Stelzner (2015),  
a significant 47% of marketers who have more than 3 years’ experience spend at least 16 hours  
per week focused on social media activities. Brands have begun to take advantage of this  
interaction with social networks, fan pages, internet advertising and other Web 2.0 tools.  
Digital marketing has introduced new concepts including communication 2.0, social  
networking, engagement marketing, branded communities, advertisement, blogvertising,  
positioning, viral marketing, mobile marketing and social marketing.  
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Digital marketing channels  
The Concept communication 2.0 has its origin in the World Wide Web. O'Reilly, founder  
of O'Reilly publishing House Media, and one of the drivers of free software, coined the term 2.0  
to refer to a new generation in the history of the web, based on user communities and services  
like the already famous social networks. These encourage collaboration and exchange of  
information among users for free. Communication 2.0 is a new way to relate to the audiences  
(MGA Consultores, 2009). It is a revolution to social relations; a new environment where the  
protagonist is the user, who has stopped being a passive information receiver to become a  
content producer (Gross, 2009).  
Social networks  
Digital social networks are a globally increasingly phenomenon. They are being used by  
companies as marketing tools due to the ease and low cost they represent in aspects such as  
communication, information and the relationship with the client (Uribe, 2010). Social networks,  
virtual social networks or social network sites are a service based on a web platform that allows  
people to build a public or semi-public profile within a bounded, articulate system with a list of  
other users with whom they wish to share a connection (Boyd & Ellison, 2007). The leading  
social networks of the day include Facebook, Twitter, LinkedIn, Blogger, and YouTube.  
Engagement Marketing  
Marketing commitment or the degree of consumer commitment to the brand is a new set  
of rules that puts business in continuous contact with customers, at any time, by any means.  
Engagement marketing proves that social media should be taken as seriously, if not more so,  
than any other marketing effort. It is necessary to get feedback, respond to questions, sell  
products and earn referrals. This makes e-mail the center of marketing strategies (Bishop &  
Cellucci, 2010). Commitment marketing, then, seeks to measure the degree to which the markets  
generate expectations to the consumer that equal or surpass the experiences of the engagement.  
Branded Communities  
A brand community is a specialized body, with no geographical boundaries, based on a  
structured set of social relations among the admirers of a brand (Muniz & O'guinn, 2001). These  
groups of consumers or potential customers of a particular brand, create loyalty to it. Brand  
communities are a growing phenomenon on the internet that is driving notable changes in  
consumer behavior (Casaló, Blanco, & Guinalíu).  
Advertainment  
Advertainment, also called branded content, is a symbiosis between advertising and  
entertainment content whose main objective is to attract the public to the values of a brand in an  
attractive way (Ramos, 2009). To develop a good strategy of advertainment, it should follow a  
simple rule: Entertain.  
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Blogvertising  
Blogvertising is the use of blogs as an advertising medium. According to Pc magazine  
(2016), it is placing ads on a blog in a subtle way. Although blogs have traditionally not  
displayed advertising, ads are increasingly included. A blog can be a very promising tool for  
companies that want to implement an alternative to build the public image or observe what  
content their recipients generate about their brands, products, services or at their social concerns.  
Among the main characteristics of blogs are that it provides readers the ability to "post their  
comments" to bloggers' posts comments that in turn can be read and quoted by other readers. The  
reader interprets the opinion of a blogger as the opinion of a friend, a member of his family or a  
consumer, and therefore gives more value than the references of an institutional blog of a  
company (Olamedi, 2014). People can now compare and share opinions much faster than  
before, which speeds up the impact of public opinion on business.  
Viral Marketing  
In 1997, Steve Hurveston coined the term viral marketing, when in an article published in  
Netscape M-Files, he spoke of the spectacular success developed by Hotmail became a hit in  
record time as the largest provider of web-based e-mail services. Viral marketing is a technique  
that allows the dissemination of a marketing message, starting from a small emitting nucleus,  
which is multiplied by the collaboration of the receivers in the transmission and diffusion of the  
same, generating a pyramidal progression effect that grows geometrically (Cerrada, 2005). It is a  
marketing strategy that relies on users to forward, share, and communicate brand action. These  
can be games, music, photos, videos, news or creative ideas. Viral marketing offers high  
visibility at low prices and helps build brand image, although its outcome is not mathematical  
and depends on users (Interactive Advertising Bureau, 2012).  
Mobile Marketing  
Mobile marketing allows ubiquitous communication for its ability to be everywhere, as it  
is a portable medium. Communication through this medium is instantaneous and almost pent  
sensorial as it transmits the word, sound, music, still image and moving (Fernandez V., 2006).  
The main characteristics and advantages of mobile marketing include that it is personal,  
ubiquitous, interactive, allows an immediate and synchronous communication; It is also integral  
in the global communication strategy and it allows for viral marketing (Rodriguez L. M., 2011).  
Viral marketing campaign consist of many types: (Varas, 2010) Mobile SMS Marketing, Alerts,  
SMS Interactivity/Viral Marketing, SMS Trivia, MMS Campaign, Mobile Sites, Applications,  
Barcode Campaigns, Bluetooth or Proximity Marketing Campaigns, Broadcast, Micro Payment,  
Contents, and Mobile Games. Paul Fleming (year), recognized internet marketing, and president  
of Barcelona Virtual (the first interactive advertising agency in Spain) coined the term "4Fs" to  
refer to the similarity of the "4Ps" of traditional marketing. These refer to Flow, Functionality,  
Feedback and Loyalty (ANETCOM, 2007).  
Ad blockers  
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Ad blockers are a filter that removes online ads and trackers. Privacy badger is an extension of  
browsers that blocks ad trackers that follows from one site to another.  
This new software is the biggest disadvantage that digital marketing has at the moment. Digital  
advertising content can be avoided and millennials from different countries are embracing the  
use of it. (Rowe, 2016) There is no actual number of people that uses it but it is growing in some  
parts of the world. Ad blockers are available for computers and mobiles phones.  
Traditional marketing  
Traditional Marketing has a longevity hard to compete with. From billboard to magazine  
ads to radio jingles to TV commercials, traditional media has been part of most generations.  
They focus on a local audience or segmented target rather than an abroad one and it can be  
considered as a tangible form of marketing with flyers, business cards, newspapers and  
magazines. If implemented in right way, traditional marketing could have faster results,  
durability and a great level of trust from the buyer (Todor, 2016). It needs a substantial time and  
budget to get the desired results.  
Marketing for millennials  
Millennials are considered a generation born between 1980 and 2000, creating a new  
niche market. According to Investopedia (2015), millennials are the first generation born into the  
digital world. They are different to other generations because they are more willing to create  
their own jobs rather than working for someone else. According to the U.S. Census Bureau  
Statistics (2015), millennials will shape the job market for the next three decades. They are one  
of the most promising generations to date; they are highly educated, think businesses need to  
focus more on social issues than profit, and because of them companies are evolving digitally.  
Millennials do not look for jobs with long hours, they like to feel that they have completed their  
goals, so they look for a job with challenges and projects that are not far-reaching because they  
are demotivated.  
It’s challenging to get the attention of millennials. According to Swanson (2016),  
millennials have a very short attention span. They have a diversity of information than any other  
generation available to them. According to Watson (2015), ¨Humans have a shorter attention  
span than goldfish, thanks to smartphones¨ it has made people’s attention fall, because they are  
more interested in their devices and all the apps that it offers than paying attention to actual  
human beings. They can multitask, save time and be more productive, but this can become  
distracting because they need instant gratification. This span of attention is really challenging for  
marketers who need to create awareness in a short period of time. According to Bryan University  
(2016), Millennial switch their attention between media platforms 27 times per hour. They  
multitask a lot during work hours, checking emails, doing phone calls, chatting, listening to  
music, drinking coffee, doing a report and even checking their social media. They say it could be  
beneficial to multitask in a few activities because it makes the brain think faster. The important  
thing is to know when to multitask and when not to.  
Ecuadorian Millennials are not just interested in a brand selling them a product, but also  
what that brand is doing for communities (Chavarria, 2015). This generation cares about the  
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environment and human development. Millennials are defining a new and successful marketing  
world order that is digital centric, social-first, and driven by video. (Genauer, 2016). Marketing  
to millennials has its own set of rules, not only does it need to have an online strategy but brands  
need to deliver on promises. Donoughe (2016) stated that 84% of millennials think they can  
digest the whole brand story at first glance. That is why packaging needs to be optimized. They  
are also looking to build a relationship with the brand. The disadvantage of only relying on  
digital is that millennials do not like digital advertising and some of them use ad- blockers on  
their devices (Emarketer, 2016).  
Ecuador´s current media landscape  
According to the Institute of Statistics and Censuses (INEC, 2015), in 2015 46.35% of  
people in Ecuador had access to the internet. This has almost doubled in 2016, with 83.8%  
internet users (Internet World Stats, 2016), The Ministry Of Telecommunications (2015), stated  
that this growth is mainly due to the increase in the percentage of households with internet  
access, as well as the government's public policies in providing internet in public places such as  
state educational institution. The usage of internet in Guayaquil and Quito has increased from  
7
5% in 2012 to 90% in 2015; it has become an ubiquitous tool which has made social media a  
new marketing tool to advertise products and services (Mercaper, 2015). This is part of a  
campaign to prioritize and democratize universalize access to information and communication  
technologies. This growth is mainly due to the increase in the percentage of households with  
internet access, as well as the government's public policies in providing internet to public places  
such as state educational institutions etc., within its priority to democratize and universalize  
access to information and Communication Technologies.  
According to Conactel (2016), in Ecuador there are 894 radios and 494 television  
channels. Radio continues to be the most important media with the most coverage, credibility in  
all regions of the country. However, only the 8% percent of the population that listens radio,  
listens to the news. Most people listen to music and sports programs.  
There is controversy over whether traditional media will be displaced or subordinated to  
the rise of digital media. Drastic changes have already been seen in other parts of the world,  
where traditional media has been pushed back due digital media. According to Karp (2015),  
there are radio stations in the US that are having a hard time making a profit in this digital era.  
For sure they still have an audience but the advertising budgets are shifting online. They had to  
reduce their prices in order to compete with online advertising that is cheaper, especially talk  
show radios because few brands don’t want to be associated with any controversial topic that  
they air. It also reflects that younger audiences prefer digital media. In other countries like  
Norway the situation is more drastic, as Petroff (2017), stated that FM radios are in a shutdown  
process and will be switched to digital only by the end of 2017.  
In Ecuador, traditional media is still relevant and the king of advertising, for now. The  
biggest advantage that digital media has is the ability to quantify it easily. This helps advertisers  
identify how many people watch ads, measure how many people are clicking on a website, what  
days, what times and more. Marketers can recognize which sections are most popular, what  
consumers are looking for, the things they say and the things they share. On the other hand, a  
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disadvantage that digital marketing is facing is the use of ad blockers. Consumers are not the  
same as they were before, and therefore they are highly trained in technology. Increasingly,  
internet users look for ways to avoid online advertisements. In traditional media advertising was  
avoided through zapping, but it is not as aggressive as ad blockers online that can erase ads  
completely.  
In Ecuador, advertising expenditure has declined over the last two years. As Info media  
stated in 2014, investment on traditional media (TV, radio, newspapers, billboards and  
magazines) was $ 440 million; that’s $13 million less than in 2013, including political campaign  
expenditures. TV is the most bought media, supplying 60% of the market. While print media  
occupies 17%, radio 12% and billboards and magazines share the remaining 11% of the  
investment. This demonstrates that Ecuadorians still consume media via traditional channels.  
According to Maruri (2015), television is the most popular media because every Ecuadorian  
family has one and watches it regularly. Inec (2016), stated that an Ecuadorian spends at least  
one hour and a half watching TV. The biggest advantage is that there are just a few national  
channels; that’s why companies trust the impact of this media. Printed media advertising grossed  
profits of $81.5 million in 2013; this declined to $71.5 million in 2014. Radio is still an  
important media for advertising as jingles are one of the best ways for a customer to remember a  
brand. The investment in radio increased to $54.7 million in 2013 than the previous year, while  
billboards and magazines had a revenue of $24. 9 in 2013 million. On the other hand, IAB  
Ecuador (2015), stated that the expenditure of online advertising was $7.4 million, mainly  
targeting younger audiences. Even though online expenditure is growing, television is still the  
favorite media for advertisers.  
Methodology  
Importance of the Study  
The importance of this study is that it will discuss the new digital marketing channels that  
could be used to target the millennial market niche.  
Consequently, this study seeks to validate new marketing strategies implemented by  
advertising agencies in Ecuador, especially its focus on the millennial market niche. In addition,  
there is a gap in literature as to the future of traditional media, which depends on large  
advertising budgets compared to relatively cheaper digital tools. The mix of digital marketing  
strategies and traditional marketing is a subject that has received little attention in academia in  
Ecuador. Therefore, this niche will be explored in order to provide more basic structure to the  
ongoing issue.  
Type of Research  
This research takes on an exploratory type; the study will be conducted by interviewing  
managers from five advertising agencies in Guayaquil, Ecuador, specialized in traditional and  
digital marketing. The aim of the interviews was to discover how digital marketing strategies are  
implemented and if they will affect mass media or traditional media campaigns.  
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Furthermore, this paper analyzes the causes of the growth of digital marketing, and its  
effect on millennials. Some specific points that were discussed include whether digital marketing  
will replace traditional media such as television, radio, newspapers and magazines, and what is  
expected to be seen in the workplace.  
A qualitative study was chosen as in order to get more insights and more detailed  
information of this seldomly studied topic. The executives were from Guayaquil. Also, a  
statistical study form Mercaper (2015) about the impact of social media in Guayaquil was  
analyzed. This discussed how people consume social media, and how companies can implement  
social media advertising to different social groups.  
Methods of data collection  
To carry out this research, a total of 5 advertising executives where interviewed from the  
following companies: Ariadna Ecuador, Maruri, Intelligence and Marca Diferenciada, The  
information gathered was qualitative with the use of open questions. The first interviewee is  
Pedro Vargas president of the Intelligence digital advertising agency. He is the creative director  
and is in charge of all the strategies implemented. The second interviewee is Alejandro Cedeño,  
cofounder of Marca Diferenciada digital agency. He is the owner of the agency. The third  
interviewee is with Estefania Correa digital director of Ariadna Ecuador. She is in charge on the  
media buying decision and strategies implement for each client. These executives were selected  
for the interviews because of their vast knowledge on the topics of digital marketing, social  
media campaigns, sales and projections in Guayaquil, Ecuador. The remaining two interviewees  
also have a vast knowledge on mass media campaigns and sales. Their opinion is important  
because they know the trends for targeting the millennial market niche.  
The Mercaper social media study of Guayaquil was bought up in order to analyze the  
statistical data it contains regarding the impact of traditional mass media and modern media tools  
used in Guayaquil in 2015.  
Analysis of results  
The results of the qualitative questions were presented in summary form and in a table.  
The answers that represented the most significant information given were tabulated. Also, the  
results had statistical data collected from a previous study on social media; this information was  
interpreted in the charts. The full set of questions can be seen in Appendix A.  
Limitations  
The interviewees chosen were done so based on reputations of the agencies. However,  
there are many additional reputable agencies that may also be as valid to offer expert testimony.  
Results  
Table number 1 – A summary of the interview elaborated by the author.  
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The results from the marketing director’s interviews demonstrated how digital marketing  
is evolving and how the internet consumption has changed advertising strategies. The results  
show that the majority of executives have seen an increase in their levels of advertising goals  
through an increase in social media interaction in sites like Facebook, Instagram, Youtube,  
Google, Hotmail and even sites such as El Universo, Ecuavisa, El Comercio, Estadio and El  
Noticiero. The interviews also indicate that while most advertising agencies still buy traditional  
media advertising like TV, Radio and Newspapers ads, they consider that the best way to  
advertise is by creating cross marketing between both channels. Digital Marketing was not  
relevant a few years ago in the country and not even considered as an important tool, but since  
the new features of social media and the increase of internet access in the country, Ecuadorian  
marketers are starting to realize digital marketing is becoming such an important new tool for  
modern advertising with a low cost expenditure.  
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Pedro Vargas creative director of Intelligence agency stated that digital marketing could  
replace traditional marketing overtime. Metrics are the best advantage that digital marketing has  
over traditional marketing, because it shows how many people see the ad; it targets a segment  
that is desired, instead of old fashioned media that relies on ratings that are just a little portion of  
a study, and it is not as accurate as metrics. This makes a big difference. Digital marketing is  
cheaper than television ads and it has a high impact on younger audiences. Middle and upper  
class consumers are targeted easily than before. In addition companies can have real life  
interactions with customers that they could not have before. The Digital Marketing trends in  
Ecuador are content with an emotional storytelling focus, short videos, animations and gifs on  
social media sites such as facebook, youtube and instagram. They have a huge impact and  
awareness on millennials because they prefer brand stories that they can connect. There was a  
debate about whether digital will replace traditional marketing over time to target this niche  
market but, they can work together and create cross marketing. Eventually, in five to eight years  
everything around us will be more digital oriented and that is why traditional media needs to  
make some adjustments and have an online presence. Vargas also stated that blogvertising and  
mobile marketing are the best strategies to catch the attention of millennials because they tend to  
follow the trends they see online so a blog with good content, can generate a high impact. The  
use of influencers is not popular in the country as it is in other parts of the world but it is good  
strategy that brands can implement. Depending on the brand, viral marketing is also a good  
strategy because it has a low cost with a huge impact.  
Estefania Correa media director of Ariadna Ecuador agency stated that digital marketing  
has real time results, greater exposure, and engagement, in contrast traditional marketing has  
been part of our life for so long that a world without it would be hard to find. It would be  
difficult to find a street without billboards as it would be cars without radios. All marketing  
channels are equally important, it depends on the brand´s goals, and which one fits them better.  
There are products that need traditional marketing. Even the government needs it. So digital  
marketing is just another channel. Small businesses can benefit from this new and cheaper tool.  
Despite there still are millennials that use traditional media and watch tv commercials, listen to  
radios and at the same time they read a blog online. Traditional marketing has their own  
branding and standards. It would be hard to replace it.  
Traditional media has been really successful throughout the years, even though it needs to  
do some adjustments in order to survive this new digital era. Alejandro Cedeño from Marca  
Diferencia agency argues that traditional media will need to have a stronger online presence by  
adding content to live streaming and needs to implement mobile apps as well. It is known that  
digital marketing is the future of modern advertising and an appropriate media for targeting  
millennials, as well as other specific segments. Marketers still will buy traditional channels over  
the years because it feels more tangible to consumers.  
Cedeño stated that millennials are a huge market and they are going to be the largest  
consumer and employee force in a few years. They are using new technologies on their daily  
basis, that’s why digital marketing needs to be taken more seriously in the country. It also  
depends on the brand, but small and medium business can benefit considerably from it. However  
millennials are a hard niche to persuade because they are a generation that is well informed and  
before buying a product they search it online. Campaigns need to be interesting, short and  
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creative to attract their attention. Brands need to be careful with their online strategies because a  
pop up ad can be intrusive and, it could generate a negative perception of the brand. Millennials  
are a generation that wants everything faster, so an interruption could do the opposite that is  
expected. In other parts of the world millennials are implementing ad blockers to avoid excessive  
advertising, so cross marketing is the most effective form for advertising in this new era because  
in the end we are living in a physical world, so traditional and digital are as equal as important  
and they need to work together for better results.  
Discussion  
Although digital marketing proved to be the most developed and modern tool for creating  
awareness to the millennial market niche and increasing a company client’s base, it is still not the  
best option yet, because over time millennials can avoid online advertising by installing ad  
blockers software on their devices, and that is a big disadvantage of this media. According to  
Cedeño cross media marketing should be considered the best alternative for an advertising  
campaign. The strategies of both channels, traditional and digital needs to be related and in a  
3
60- degree approach plan. It means that the creative concept have to be the same in digital and  
traditional channels.  
Traditional marketing should not be neglected in advertising budgets as it is still risky to  
just rely on a new marketing trend. Traditional marketing has had a high success rate over  
decades and there are still millennials that consume mass media channels. Costumers are smarter  
than before and as mentioned they could end up placing add blockers in their computers and  
mobile phones to avoid excessive advertising ads. Even though there is more internet access in  
Ecuador, millennials are not willing to see advertising on social media. Ads that interrupt a  
customer online can create negative feelings towards the brand, while these interruptions are  
expected on traditional media. Even though the use of digital marketing is growing, it can’t  
replace traditional mass media marketing because Ecuadorians still use TV and radio on a daily  
basis. Overtime digital marketing will end up having the same level of importance for marketers  
but it won’t completely replace traditional marketing. On the contrary traditional mass media  
needs to make most of their content online if they want to still be relevant to this market niche in  
five to ten years.  
Conclusion  
To conclude, the benefit of this study has been that it clarifies the doubts of the future of  
traditional marketing as well and the advantages of digital marketing in Ecuador. Digital  
channels are redefining marketing and is an important component in building a brand.  
Millennial’s tool of consumption is their smartphones; that is why traditional media like radio  
needs to have their distributions in apps while TV needs be on demand, live streaming. All  
content today needs to be mobile friendly.  
It was known before the study that digital marketing is replacing traditional marketing in  
other countries of the world. But in the case of Ecuador, it was discovered that advertising  
executives think that it is not safe to rely on one channel to target millennials because the  
Ecuadorian millennials are eager to try a product when it is covered by a media they trust like  
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TV and radio. Nevertheless, it is important for marketers to know what the trends and channels  
to get the attention of the millennial market niche are. It was found out that millennials prefer  
storytelling and interactive ads on social media or you tube but dislike intrusive pop up ads. In  
the future, digital marketing will overcome traditional marketing if traditional media doesn’t do  
anything to improve and attract younger generations. Marketers need to adapt to the millennials  
making up the bulk of the society’s workforce. Learn what they respond to and what matters to  
them. It could just be the breakthrough their business needs to move forward into the future.  
Bartel (2015) stated that marketers have a responsibility to work even more diligently, to be even  
more creative of techniques, and to broaden their concepts considerably in this new era. The  
most important thing is that the marketing strategies have to be authentic for millennials to  
connect. This case study can be used as a reference point to other similar markets in Latin  
America. In the end, as Ogilvy (1990) said, what really makes consumers decide to buy or not is  
the content of advertising, not its form.  
Appendix  
Appendix A: Interview questions  
1
2
3
4
5
6
7
8
9
1
1
. Do you think digital marketing will replace traditional marketing in the near future?  
. What will happen to the traditional mass media?  
. Is Cross media marketing important?  
. What are the digital marketing trends in Ecuador?  
. Is viral marketing campaign the right way to promote a brand?  
. What are the digital marketing strategies used in Ecuador?  
. How traditional media should overcome this digital era?  
. What are the digital projections in Ecuador?  
. What are the advantages of digital marketing over old fashioned or traditional marketing?  
0. How do you calculate the impact of digital campaigns?  
1. How do you catch the attention of millenials online?  
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