Title: Chapter 10 Marketing on the Internet
1Chapter 10Marketing on the Internet
2OBJECTIVES
- Pros and Cons of Online Shopping
- Internet Marketing Techniques
- E-Cycle of Internet Marketing
- Marketing Your Presence
- Attracting Customers to Site
- Tracking Customers
3ONLINE SHOPPING
- Pros
- Sorting through choices
- Vast product selection
- Quick comparison of products
- Cons
- Experimental information might be necessary
- E.g. perfumes, clothes
- Delivery of products might be cumbersome
- E.g. lumber
4REASONS FOR GOING ONLINE
- Establish presence
- Serve your customers
- Heighten public awareness
- Share time-sensitive information
- Sell goods
- Answer important questions
5REASONS FOR GOING ONLINE (Contd)
- Stay in touch with field personnel
- Market at international level
- Serve at local market
- Market specialized products
- Reach the youth market
6INTERNET MARKETING TECHNIQUES
Pull to Push Continuum
PASSIVE
AGGRESSIVE
Providers of Information
Site registered with many search
engines Specialized services to users requesting
information Specialized email to users requesting
periodic information
Offline Advertising Banner Advertising Targeted
E-mails to Past Customers
Spam Mail Chain Mail Advertising
7FORMULA
- SNI Consideration Gap X Site-to-Product
Affinity - Consideration Gap
- Price/Purchase Frequency
- Intensity of pre-purchase deliberation
- Site-to-Product Affinity
- Sales viability Research intensity
configurability Service level - Ability to deliver online experience correlated
to the product/service
8FORMULA (Contd)
- Whereby
- Price How expensive the product compared with
other household purchase? - Purchase frequency How often does the household
purchase the product? - Service level How much customer service does
the product need online? - Research intensity How research-intensive is
the purchase decision? - Configurability How customizable is the
product? - Sale viability How viable are online sales of
the product?
9E-CYCLE OF INTERNET MARKETING
- Planning
- Product
- Pricing
- Place
- Promotion
10BUSINESS PLANNING
- Business Plan
- Written document identifying your business goals
and how you will achieve them - Elements
- Mission / Vision
- Product
- Competition
- Target audience
- Marketing
- Sales plan
- Operation
- Technology
11PRODUCT PRICING
- Product
- Emphasize on viability, quality and integrity
- Physical vs. Service
- Pricing
- Frequent purchase plans
- Online auctions
12PLACE
- Exchange of information between businesses and
delivery companies - Ensure prompt delivery of physical goods to
customers - Related to fulfillment
- Internet
- A delivery channel for digital products
- Cheap, fast, effective
- Possibility of tapping / theft of digital data
13PROMOTION
- Get prospective visitors attention
- Create interests in a product
- Build a desire in the product
- Banners
- Internet ads
- Cheap and fit traditional ad-agency formula
14PERSONALIZATION
- Combination of Promotion and Product
- For customers to receive personalized information
- Artificial Intelligence incorporated into
Internet Marketing
15MARKETING IMPLICATIONS
- Content
- Dynamic and Attractive Sites
- Brands
- Get to the Point
- Promotion
- Online Events
- Free Giveaways
- Consistency
16PROMOTING YOUR SITE ON YOUR SITE
- Begins with domain name
- Encourage repeat site visits
- Update site content
- Share with your visitors any new awards
- Use promotional giveaways, contests, etc.
17PROMOTING YOUR SITE ON THE WEB
- Search engines and directories
- Stand out from other sites
- Brainstorm keywords for robot search
- Ensure the site design is flawless before
submitting to search engines
18PROMOTING YOUR SITE ON THE INTERNET
- Use e-mails to contact registered customers
- Use news groups and mailing lists
19ATTRACTING CUSTOMERS TO SITE
- Keeping site content current
- Offering free information or products
- Offer a free service as a way to entice customers
online for B2B - Implementing cross-selling strategy
- Ensuring easy and quick navigation
- Introducing event marketing
- Enlisting affiliates
20ATTRACTING CUSTOMERS TO SITE (Contd)
- Cultural Differences
- How to market to local customers
- Predicting Buying Behavior
- Save time
- Young, educated, and wealthier population
21PERSONALIZATION
- Identification
- Determining buyers buying pattern
- Marketing attractive products
- How to add personalization
- Keywords
- Collaborative filtering
- Rule-based
22TRACKING CUSTOMERS
- Gathering Web data
- Log files
- Forms
- Cookies
- Persistent vs. Session
- Clickstream data analysis
- Role of shopbot
- Searches sites to compare prices
23Chapter 10Marketing on the Internet