Chapter 19 Internet Marketing Electronic Marketing Channel Find

Chapter 19 Internet Marketing

Electronic Marketing Channel Find out about products Get answers to questions Leave messages Solve problems Make purchases The New Business Franchise

Customer Relationship Marketing on the Internet Profiles of preferences E-mail notifications Opportunities for Customer Relationship Marketing Customer service Convenient on-line shopping

Financial Implications Competitive advantage Reduction in expenses Reduced inventory Lower financial barriers to entry

Marketing Research through the Web Vast information sources for secondary research Better primary research The Web in Marketing Research Web-based surveys and focus groups Information about competitors

Advantages of Electronic Publications Easier access to worldwide information Information content that is more current The ability to make complex searches Incorporation of multi-media Lower publication costs

Internet Marketing Plan Specific Internet Marketing Objectives and Strategies Statement of Company’s On-Line Business Strategy Analysis of Internet Marketing Environment

Basic Forms of Virtual Business-to-Consumer (B 2 C) Basic Forms of Electronic Commerce Business-to-Business (B 2 B)

Internet Demographics and Trends Attitude toward technology Factors Influencing On-Line Buying Behavior Income Motivation to use Technology

Internet Demographics and Trends Early Adopters Internet Buyer Categories “Mainstreamers” Laggards

Internet Demographics and Trends Push Strategy Television, Radio, Print Pull Strategy Internet

The Virtual Community Bulletin Boards Types of Virtual Communities Chat Rooms Newsletters Discussion Lists

Strategies for Web Success Offer customer-driven products Sell at a fair price To Survive and Prosper. . . Use promotion Make products readily available

Examples of Internet Strategies Increase or enhance exposure Improve customer service Provide new products/services Add value to existing products/services Lower overall company costs Create one-to-one customer relationships

On-Line Positioning • Identify the most important target market • Identify that market’s on-line need • Determine how the company’s Internet presence meets that need • Identify how the on-line presence is better than the competition.

Factors in Internet Marketing Programs Prior Internet marketing experience Factors in Internet Marketing Degree of program sophistication Program Magnitude Program Dynamics

The Internet Presence E-Mail Internet Marketing Techniques Corporate Web Site Interactive Web Site

Uses of Interactive Web Sites Execute Transactions Welcome to my Web Site. You are Visitor Number 495, 251 Deliver Electronic Products and Services Collect Demographic and Behavioristic Customer Data

Internet Direct Selling Advantages u Eliminate distribution network complexity u Increase customer contact Disadvantages u Need to manage all channel activities

Internet Shopping vs. Store Shopping • For many, Internet shopping is more convenient and less expensive • Store shopping provides product “touch and feel” • E-tailing changes shopping from entertainment to a functional task

Internet Marketing Objectives On-Line Market Share Sales Level Internet Marketing Objectives Repeat Purchase Market Positioning Image Brand Awareness

On-Line Promotion Banner Advertisements Button Advertisements Interstitial Advertisements Untargeted E-Mail Marketing Targeted E-Mail Marketing

Pricing on the Internet Charging different prices for different channels can be effective if: • Channel use behavior is an effective means to segment the market • There is a benefit to encourage use of one channel rather than the other

Evaluating the Outcome Hits Capturing Web Statistics Page View Site Registration Cookie Technology