Final answer:
Digital marketing is identified as the channel with the most potential for expanding customer reach at the lowest cost, due to its broad audience reach, targeted strategies, and cost-effective nature compared to traditional marketing methods.
Step-by-step explanation:
In the context of expanding customer reach at the lowest cost, digital marketing stands out as the most effective channel among the options provided. Digital marketing leverages online platforms and technologies to reach a broad audience with relatively lower costs compared to traditional marketing methods such as telemarketing, catalog marketing, personal selling, and trade shows.
Utilizing digital marketing, businesses can use a variety of strategies, including social media marketing, email marketing, search engine optimization (SEO), and pay-per-click (PPC) advertising, to target specific demographics with precision and scalability. Not only does this approach offer greater engagement with potential customers, but it also provides valuable data to refine marketing strategies over time.
Moreover, digital marketing has the advantage of real-time analysis and adjustment, allowing for a more agile approach to customer acquisition and retention. This makes it highly cost-effective for expanding reach, especially for businesses with limited budgets that seek to maximize their return on investment (ROI).