Place in the Internet Marketing Mix

1
Place in the Internet Marketing Mix

• Chronicles of Narnia
• Ashley Jenkins Kimberly West
• Kristen Blough Joel Fredrick

2
Topics from Chapter 11

• Internet Benefits and Drawbacks
• Benefit 24/7/365 availability
• Drawback low cost of online entry intensifies
  competition
• Channel shifting
• Transfer of business activities from one channel
  to another.
• Multichannel Distribution
• The strategy of using more than one channel to
  reach consumers
• Shopping Basket Abandonment
• Leaving a shopping basket before purchase

3
Article Links

• 1. "The War Chronicles" 
•  
• 2. "A Perfect Basket Case"
• 3."Challenges in Store"  
• 4.  "Trading Up"

4
Drop Everything and Read

• The War Chronicles
• Neil Salerno discusses the ongoing issues between
  hotel supplier and online travel agent booking
  sites.
• A Perfect Basket Case
• Frank Gaine explains how online retailers can
  hedge against shopping basket abandonment a
  practice that costs etailers dearly.
• Challenges in Store
• This article talks with executives at several
  multichannel firms to better understand how and
  why they use a multichannel approach.
• Trading Up
• Kyle MacDonald is on a quest to own a house.
  However, instead of saving money for it (like a
  normal person), he is bartering for it. Starting
  with a little red paper clip and with the
  assistance of the website craigslist.org, he has
  been able to trade, product for product, all the
  way up to a year of rent-free living in a house
  in Phoenix.

5
And this relates, how?

• The War Chronicles
• More people are shopping online rather than
  traditional travel agents (channel shifting).
  Also, they are competing in such a way to ensure
  there is no channel cannibalization. More
  assessable then traditional travel agents due to
  24/7/365 availability of the web.
• The Perfect Basket Case
• Our textbook highlights the issue that shopping
  basket abandonment presents for etailers, and the
  prevalence of its occurrence online.  My article
  complements this section by offering etailers
  suggestions as to how the problem can be
  prevented.

• Challenges in Store
• Chapter discusses multichannel approach allows
  retailers to offer greater convenience and
  product depth, which are both critical in
  providing customers with what they want.  The
  article also illustrates the many decisions
  Patagonia had to consider when deciding to move
  into an online retailing channel.
• Trading Up
• There is a small section on C2C transaction
  channels. One of the remarkable successes of
  online marketing has been the encouragement of
  consumer-to-consumer distribution. Without the
  presence of online site, capable of reaching and
  interacting with people from all over,
  MacDonalds mission would never be possible.