Welcome to Internet Marketing!

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Welcome to Internet Marketing! The journey is
the reward
BUSIP Program 31 May 05 Fred Pursell
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Do you know your Internet marketing trivia?

• What is the meaning of I18N?

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Do you know your global marketing trivia?

• What share of the worlds population has
  English as its native language?

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Top 10 spoken languages
Language Native Speakers Population Share
Mandarin Chinese 885 m 14.9
English 322 m 5.4
Spanish 266 m 4.5
Bengali 189 m 3.2
Hindi 182 m 3.1
Portuguese 170 m 2.9
Russian 170 m 2.9
Japanese 125 m 2.1
German 98 m 1.6
Wu Chinese 77 m 1.3
Source National Geographic
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Internet marketing learning objectives

• Explore how the Web is being used to build brands
  and customer relationships.
• Examine online promotional strategies and
  tactics, whats working and why or why not.
• Evaluate ways to integrate Internet marketing
  with traditional marketing vehicles.

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Marketing planning is critical to success

• By failing to plan, youre planning to fail.

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The customer is king

• Marketing is all about understanding the
  customer.

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Content is king?

• Customer-focused Web content is useful,
  timely, and relevant as defined by the user.

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User-centric Web design is king

• The promise of the Internet is user control.

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Topics for todays class

• Revisiting the 4Ps of marketing trends and
  lessons in B2C and B2B e-commerce
• Incorporating Web-based resources in hybrid and
  multi-channel marketing systems
• Promotional strategies and tactics, and best
  practices for Internet marketing
• Amazon.com case study discussion

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Four Ps of marketing

1. Product
2. Promotion
3. Place
4. Pricing

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Typical sales cycle phases
Customer View
Vendor View
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Market development and customer support
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Managing hybrid marketing systems

• Hybrid marketing using the most effective
  combination of internal and external resources to
  perform activities across the sales cycle.
• Harvard Business Review
• Nov-Dec, 1990

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Resources engaged in promotional activities

• Internal Resources
• Marcoms
• PR
• Advertising Programs
• Direct Mail Groups
• Telesales
• Direct Sales
• Web presence
• Support Centers
• Financing
• Consultants
• System Engineers

• External Resources
• Distributors
• VARs
• Systems Integrators
• Corporate Resellers
• Dealers
• Retailers
• Mass Merchants
• Service Providers
• ISVs
• OEMs

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Promotional vehicles

• Advertising
• Personal selling
• Public relations
• Sales promotion
• Direct marketing
• Trade shows

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Promotional mix strategies

• Pull Strategy spending focused on advertising
  and consumer spending to build up and pull
  consumer demand.

Push Strategy spending focused on using the
sales force and trade promotion to push the
product through the channels.
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Hybrid marketing example
Public Relations





Advertising





Direct Mail





Telesales





Direct Sales





Internet





Support Centers





Distributors





VARs/Integrators





Dealers





Retail





ISVs





OEMs





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Internet promotional tactics

• Online advertising techniques banner ads,
  pop-ups, animation, rich media, content
• e-marketing programs email, e-newsletters,
  Webcasts, communities, search engines
• e-partnering programs strategies and tactics for
  leveraging online business partners
• Integrating online promotional techniques with
  traditional marketing activities

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Managing promotion
Planning Implementation Control
Identify target audience Specify objectives Define performance metrics Establish the budget Select promotional tactics Design promotion Schedule promotion Pre-test promotion Execute promotion Audit effectiveness Measure results Evaluate ROI Post-test the promotion Make needed changes Manage processes Communicate results
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Determinants promotional mix strategy/tactics

• Target audience
• Product life cycle
• Product characteristics
• Phase of the sales cycle
• Channel strategy

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Forward integration to the customer

• Disintermediation a trend involving
  product and service producers by-passing
  intermediaries and going directly to final
  buyers, or engaging with new and emerging types
  of channel intermediaries that are displacing
  traditional players.

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Why people use the Internet
Web-user Needs
Objectives Benefits Value
Content Convenience Information
Collaboration Ease of use Resources
Commerce Efficiency Tools
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How people use the Internet
Web-user Behavior
LIFESTYLE
Task-focused product searches
Enrichment-based learning searches
commerce
content
Interaction-directed resource searches
community
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Keys to online marketing

• Permission-based marketing
• Personalization
• Purchasing process automation
• User-centered design
• Value-added content
• Affinity programs
• Web metrics
• Integrated marketing communications

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Amazon case study discussion

1. How is Amazon using technology to innovate and
   deliver new value to consumers?
2. What can you conclude about Amazons target
   audience and market segmentation?
3. What sales processes are automated through online
   information, resources, and tools?

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Thank you everyone!
Its great having you in my class.