Online digital marketing in retail business has various economic impacts. The retail industrial sector plays a key role in employment generates multiple formal and informal avenues for employment. The rural and urban areas people are utilizing these avenues to reduce poverty and vulnerability. Against this limited backdrop, the objectives have been determined to evolve the crucial significance of innovative digital marketing technology in the retail sector and analyze the application of digital marketing strategies and their impact on retail business. In this process, this chapter has been organized in such as way with an introduction segment, objectives, methodology, literature, findings, discussion, conclusion, and policy suggestions. This paper has been constructed as a review-based analysis to bring out certain facts to establish the implications, and suggestions made by the previous authors. This study follows a review-based descriptive analysis to obtain results. Various reviews have been collected from published sources such as articles, journal publications, book publications, and conference proceedings. Due to competitive pricing and services offered by modern retail organizations, the old-format stores have started vanishing. Competition is one of the main instruments business houses use to create innovative marketing and sales strategies through modern digital technology. The digital marketing means the online marketing or the promotion of products and brands through digital modes. Innovative digital technology provides various advantages including cost control, wider reach of the brand, reaching to the targeted advertisement practice, result analysis, enhanced customer engagement, and better brand visibility and awareness.