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Digital Brand Media & Marketing Grp Inc (OTCMKTS:DBMM) Is Today's Tech Focus

Digital Brand Media & Marketing Grp Inc (OTCMKTS:DBMM) Is Today's Tech Focus
Written by
Jarrod Wesson
Published on
May 3, 2017
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Digital Brand Media & Marketing Group, Inc. (DBMM), the digital marketing company, has delivered more than 400% in April 2017. So, we decided to commence an investigation to understand what was going on. We discovered that the key in this business is the technology used by this company for its B2B services. In this article, we will assess the company's value proposition, but first of all, have a look at the recent share price movements.SourceBusiness StrategyDBMM provides digital marketing services using different ad platforms and social media tools. The company noted on its website that it makes use of intelligent strategies developed for over 10 years to increase the client's ROI. How does it work? DBMM, using its brand digital clarity, delivers different products that increase the client base of the company:

  • PPC Campaigns ("Pay per click"): DBMM counts with Google AdWords professionals, who understand very well how to implement a marketing campaign online using this Google service. First of all, a clearly defined strategy is established with the client in order to understand the needs and the client's business. Additionally, the company has a system in place to report the results to the client. It is a results-driven approach, so that clients only pay for the benefits obtained from the campaign. Check, for example, this business case, in which the company was involved:

Source

  • SEO ("Search Engine Optimization"): The company brings services to help clients interact better with the Google's algorithms. The company claims on the website that it "has been recognized by a variety of independent bodies for the Search Engine Optimisation services delivered for both brands and agency partners".
  • Social Media Services: The company has expertise of running campaigns in different vertical sectors. Its services help increase the client's brand awareness, and increasing the customer's' engagement.
  • Business Analytics: The company claims to have 10 years of detailed analyst's experience of learning from online visitors. Using this know-how, the company can increase the chances of converting visitors into buyers.
  • Design and Web Development: This is a key part in the online business. DBMM helps its clients "plan, design, build and deliver a website that can fulfill the client's objectives". The company states that it not only contributes to the brand creation, but also bring e-commerce platforms.
  • Training and consultancy: DBMM provides training services to help clients use the company's platforms, and understand all its capabilities.

Differentiation strategySavvy business professionals with expertise in these kind of companies may be thinking: we have seen these services before, what is the difference here? Why should companies hire DBMM? In our opinion, the most relevant feature of the company is the expertise developed. The company claims to have 10 years of experience in the field. Honestly, digital marketing companies are quite new. This may be one of the oldest companies providing B2B services. Ten years ago, only companies doing businesses online used Googled AdWords, and there were very few digital marketing companies, as online businesses preferred to create the campaigns themselves. However, nowadays, things are very different. Many other companies without experience in the Internet business are trying to use Google AdWords or Facebook. Thus, these kind of digital companies are necessary, and mainly those, which commenced business early and have developed expertise in the field. This is clearly the case of DBMM.In addition, the services provided seem to be global. The company has offices in three different locations: London, New York, and Surrey in England. In our opinion, this does not seem to be a start-up company with a post office box. It looks more like a profitable business and with a stable client base.Why the share price is so low?In our opinion, the business logic is quite clear and the company seems to have the necessary experience to succeed in the digital media sector. However, there is something that we did not appreciate in this company; the lack of financial figures that prove the success in the business. The last financial figures reported were the 1Q 2016. Savvy traders try to ignore companies that do not inform about its financial situation. The idea is very simple, "if there are no documents, or they are released late, they are bad".Other traders may perceive this lack of reporting as a catalyst. Why? Because if the company delivers the documents, many traders will suddenly become interested and the share price may increase. In or opinion, this is a very risky strategy, but one that may deliver big returns. A very well-known case is , for example, the semiconductor company ‘Marvell Technology Group Inc. (NASDAQ:MRVL)’, that had to send some new documents to explain its earnings, which the market pushed down last year. Once the company restated its financial situation, the share price went from $9 to $15 in less than three months. This maybe the case of DBMM, but, as we say, it is a risky bet.ConclusionThe share price of DBMM has delivered extraordinary results very recently. Thus, we believed that our subscribers would be interested. We discovered that the business strategy of the company may be profitable, and the company has a large accumulated expertise. In our opinion, this is the company's key asset that will interest new investors. Conversely, the company is not delivering its financial results to the market, so some traders will not even look at it. We believe that some investors may see this fact as risky, but perhaps a profitable opportunity. We encourage investors to do their own due diligence if they are thinking about making an investment. But, in any case, we will be monitoring the latest developments for our subscribers. We will be updating our subscribers as soon as we know more. For the latest updates on DBMM, sign up below!Disclosure: We have no position in DBMM and have not been compensated for this article.

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