Joel Reedy and Shauna Schullo

1
Electronic Marketing

• Chapter 3 Marketing Planning Stage for Online
  Activities

2
Planning with Electronic Ps

• Marketing planning and marketing implementation
  are last steps in the marketing process
• Marketing plan based unfortunately on their own
  misinterpreted data
• Marketers lack the knowledge and skills necessary
  to initiate a marketing program because they are
  overwhelmed with marketing data and become
  confused as to the next step to take
• In marketing planning, the marketer draws upon
  findings of the situation analysis and constructs
  future activities according to structuring the
  marketing Ps

3
Planning with Electronic Ps

• Marketing on the Web parallels traditional
  marketing
• Tools changefrom traditional to electronic
  resources
• Findings of the situation analysis beget the
  market niche to be filled
• Which begets a product need and definition
• Manufacturing a brand by fashioning image
  parameters
• A new product offering is formed to
• Identify desired image benefits
• Create the product identity
• Coordinate image and identity so all marketing
  materials speak with one voice

4
Crafting a Unique Online Image and Identity

• Essence is what the marketers product or service
  does for his clientele
• With an attractive concept and solid product
  execution, hopefully the offering cannot be
  easily duplicated by a competitor
• Given a perceived or real uniqueness, the
  marketer can build a niche strategy online
• Establishing a singular benefit sets some
  companies in an exclusive position

5
Crafting a Unique Online Image and Identity

• Electronic marketing considerations start with
  the product name
• Attention should be given to the URL address name
  so that it is distinctive and readily reminds the
  user of the product name
• What will be your server name, that of your ISP
  or your own server?
• What is the proper domain designation?
• Will you use the prefixes in your address?

6
Crafting a Unique Online Image and Identity

• Product name continued
• Will you choose to hyperlink to other sites, and
  will you reciprocate?
• What types of hyperlinks will you allow on your
  pages?
• With what types of search engines will you
  register your Web site address?
• Will you print-block your Web pages so that the
  viewer cannot print your page?

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Crafting a Unique Online Image and Identity

• If the marketers strategy is to introduce an
  existing product to the Web, she can prepare an
  audit of the advantages and disadvantages of Web
  exposure
• What has made your brand what it is today, and
  for what reasons do you have a product following?
• What attributes does your audience value and why?

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Crafting a Unique Online Image and Identity

• Audit continued
• Which of these benefits do your customers value?
• Quality as in durability or reliability?
• Faster and friendlier service?
• Technicians with high levels of expertise?
• On-time service?
• Twenty-four hour convenience?
• Money-back guarantees?
• Twenty-hour tracking service?
• Perhaps well-trained and caring store personnel?

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Crafting a Unique Online Image and Identity

• Competencies you can leverage into your online
  marketing efforts
• Accurate product prices on your Web site
• Quick replies to e-mail inquiries
• Correct policies to service customers fairly
• Frequently Asked Questions
• Responsive modem connections
• Up-to-date product offerings

10
Building the Marketing Plan

• The objectives of the online marketing effort are
  no different from traditional marketing
• Objectives are usually set as numeric goals
• Percent of market share
• A dollar sales volume
• A dollar sales quota per sales representative
• A percentage or dollar return on investment or
  asset
• A dollar sales volume per territory

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Building the Marketing Plan

• Marketing Direction
• Additional sets of objectives can be established
• Market target descriptions
• Communications objectives
• Sales objectives
• Media objectives
• Public relations objectives

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Building the Marketing Plan

• Having established numeric objectives, the
  marketer will be able to compare the programs
  performance at years end
• Input into the next years planning
• How to establish goals?
• Review past company performance
• Consult current economic literature
• Interview fellow staff members
• Check with industry associations

13
Building the Marketing Plan

• Marketing programs will differ depending on
• Stage of the product life
• Level of competition
• Size of the sales territory
• Type of product entry
• Whether the product is a seasonal good or service

14
Selection of Prospect Groups

• Investigation of prospect clusters begins now
• Segmenting the market
• Geography
• Demographics
• Psychographics
• Behavioral characteristics
• Benefits analysis
• Develop the product or service positioning
  strategy
• Positioning line

15
Defining the Product or Service

• What are some of the categories that are being
  sold on the Web?
• Better
• Faster
• More convenient
• More unique
• Lasts longer
• Features a better warranty

16
Defining the Product or Service

• Specific categories can include
• New or existing products or services
• Harder-to-find products
• The Web as a delivery vehicle
• Information services
• Tangible products
• Compact packaging
• Overnight or two-day delivery
• Installation as simple as possible
• Online customer service or technical support
• Research

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Defining the Product or Service

• Benefits of the Web versus traditional media
• Interactive capability of dialog between the
  viewer and the marketer
• Electronic in nature and therefore will be
  attractive to the technological crowd
• 24/7
• Lower cost of media introductions
• Availing an existing product or service to an
  online presence

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Pricing Knowledge will Become Universal

• Consumer will have perfect knowledge of the
  marketers price structure
• Strategy for protecting quality and profit
  margins against cutthroat competition
• Quality-related information about the product or
  service
• Differentiation between brands within a category
• More intense price competition with the infusion
  of interactive home shopping (HIS)

19
Distribution Decisions

• Logistics activities include
• Strategic planning
• Transportation
• Purchasing
• Warehousing
• Materials handling
• Inventory control
• Forecasting

20
Distribution Decisions

• Distribution function as an input and an output
  system in which customer communication is the
  initial input (or order) that leads to an output
  (product or service delivery) with continual
  customer contact to start the process over again
• Online tools improve the distribution cycle
• Thread and speed
• Accuracy
• Efficiency runs though the logistics strategy

21
A Targeted Promotional Strategy

• Promotion mix
• Advertising
• Sales promotion
• Public relations
• Direct marketing
• Personal selling
• Online media fits best into the direct marketing
  category, direct marketing may be renamed
  interactive marketing or cybermarketing

22
Formulating the Marketing Budget

• The last planning activity is to prepare a master
  marketing budget and rationale
• The best method to use for this is the Objective
  and task method or Zero-based budgeting