Digital marketing is changing the way that retail companies communicate and maintain relationships with their customers. The consumers are at the forefront of dictating how they choose to connect with retail companies. Due to these changes the means to build and maintain relationships with consumers, as well as achieve goals, has increased. This forced retail companies to connect with consumers in a digital manner, to find out which digital marketing strategies are going to get a response today and to employ digital tools to win over consumers. This master’s thesis is a product-oriented study and the practical part of the thesis is a business plan for a digital marketing agency. The aim of the theoretical part of the thesis is to outline a theoretical framework centred on the changes in Dutch retail companies and the meaning of digital marketing within these changes. The methodological part is focused on concepts and theories relevant in relation to the development and operation of the agency. In this thesis, theoretical concepts relating to consumer behaviour, customer decision journey, digital marketing, marketing, and integrated marketing communication will be discussed. Digital marketing strategies and channels will also be addressed. These include topics such as PESO model, content and social media. In the methodology section concepts such as defining potential customers, benchmarking internal and external opportunities, tools in making business strategy and designing a business model will be addressed.