MODELING THE EFFECTIVENESS OF THE IMPLEMENTATION OF DIGITAL MARKETING IN A BANKING INSTITUTION

Abstract

The article examines the peculiarities of modeling the effectiveness of the implementation of digital marketing in a banking institution in the conditions of active digitalization of the financial sector. A systematic analysis of the key performance indicators of digital marketing was carried out, which provide the possibility of quantitative measurement of the effectiveness of marketing tools. The dependence of the bank's profit on marketing costs and the number of subscribers in social networks was studied based on correlation-regression analysis for. An economic-mathematical model was built, which allows forecasting profit due to changes in key factors of digital marketing. An author's formula for determining the effectiveness of digital marketing is proposed, which takes into account the increase in the client base in social networks and the share of costs for digital channels. The simulation results confirm that the growth of the number of subscribers and the optimization of digital marketing costs significantly increase the bank's profit. In addition, the study highlights the growing strategic importance of integrating analytical methods into the bank’s decision-making process, as digital marketing activities increasingly shape customer behavior and influence financial outcomes. The proposed model contributes to a deeper understanding of how digital engagement metrics can be transformed into measurable financial indicators, enabling banks to allocate resources more efficiently. The research also emphasizes that the expansion of social media audiences not only enhances brand visibility but also strengthens long-term customer relationships, which creates favorable conditions for sustainable profit growth. Furthermore, the developed formula provides a practical tool for evaluating the effectiveness of digital marketing initiatives under different market scenarios, offering valuable insights for improving the structure of marketing expenditures. The findings can be used by banking institutions to refine their digital strategies, enhance customer acquisition processes, and support the development of data-driven marketing policies aligned with current trends in the financial sector.