Navigating Digital Services Tax

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21 October 2020 by Team ITG

As the introduction of a new temporary tax alters the digital marketing landscape, Team ITG’s experts are constantly looking at new ways to stay ahead of the game.

The marketing sector is an ever-evolving ecosystem, and as such, it’s never been more important to instil a sense of dynamism and flexibility into your output. By continuously looking for new channels within which to operate, Team ITG’s digital experts ensure that our clients remain ahead of the curve and are never caught out by changing regulations.

In the UK, search engines, social media services and online marketplaces of a certain size will now be subject to a temporary 2% tax on their revenues. The result is that a number of major businesses will now be passing the cost onto advertisers, while other big names are in the process of reviewing their own positions. We’ve already put processes into place to understand the likely effect of this tax, and how best we can mitigate impacts on performance in areas such as ROAS, ROI, CPC and others.

PUMA is just one of the many global brands that has enjoyed an outstanding ROI thanks to Team ITG’s multichannel online marketing campaigns. To help the sportwear giant capitalise on its digital presence, we devised tailored, multichannel online marketing campaigns with cleverly targeted ads, resulting in an incredible ROI, generating £125 of incremental revenue for every £1 spent.

We’re also continuing to analyse customer spend to identify opportunities for diversification and are in a constant flow of communication with our clients, encouraging them to test and learn new channels. As well as capitalising on emerging search behaviours, we’ll also be continuing to explore the visual search space, which has already proven to open up a range of exciting possibilities.

Alongside this, we’re constantly re-evaluating how different workstreams, such as SEO, content, outreach and influencer marketing, can be actively repositioned to replace search spend wherever possible. By relentlessly improving analytics and measurement of our paid media work, while demonstrating the value of Conversion Rate Optimisation, we’re enabling our clients to see a more holistic digital solution. Our team continues to ensure that the right message reaches the right customer at the right time, and most importantly of all, in the right context. Leading pub retailer and brewer Greene King benefited from this in their most recent campaign, increasing CTR by 23% and a 163% of their overall revenue target.

Team ITG’s forward-thinking digital experts help deliver huge efficiencies with highly personalised digital campaigns across the entire dynamic path to purchase. Our approach to customer engagement is proven to increase conversion rates, reduce cost-per-conversion and drive significant increases in ROAS.

To find out how our digital experts can keep your marketing ahead of the game, and for more information about Team ITG’s world-leading technology and award-winning services, contact

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