Internet Marketing chapter 15 Prepared by Deborah Baker
Internet Marketing chapter 15 Prepared by Deborah Baker Texas Christian University © 2003 South-Western 1
Learning Objectives 1. Describe the impact of the Internet on business practices. chapter 15 2. Describe the current Internet marketing environment. 3. Discuss online business strategies. 4. Discuss Internet marketing objectives and strategies. Chapter 15 Version 3 e © 2003 South-Western 2
Learning Objective 1 Describe the impact of the Internet on business practices. Chapter 15 Version 3 e © 2003 South-Western 3
Electronic Marketing Channel 1 Find out about products Get answers to questions Leave messages The New Business Franchise Solve problems Make purchases Chapter 15 Version 3 e © 2003 South-Western 4
Customer Relationship Marketing 1 on the Internet Profiles of preferences E-mail notifications Opportunities for Customer Relationship Marketing Chapter 15 Version 3 e Customer service Convenient online shopping © 2003 South-Western 5
Financial Implications 1 Competitive advantage Reduction in expenses Reduced inventory Lower financial barriers to entry Chapter 15 Version 3 e © 2003 South-Western 6
Marketing Research through the Web 1 Vast information sources for secondary research Better primary research The Web in Marketing Research Chapter 15 Version 3 e Web-based surveys and focus groups Information about competitors © 2003 South-Western 7
Advantages of Electronic Publications 1 Easier access to worldwide information Information content that is more current The ability to make complex searches Incorporation of multi-media Lower publication costs Chapter 15 Version 3 e © 2003 South-Western 8
Internet Marketing Plan 1 Specific Internet Marketing Objectives and Strategies Statement of Company’s online Business Strategy Analysis of Internet Marketing Environment Chapter 15 Version 3 e © 2003 South-Western 9
2 Learning Objective Describe the current Internet marketing environment. Chapter 15 Version 3 e © 2003 South-Western 10
2 Basic Forms of Virtual Business-to-Consumer (B 2 C) Basic Forms of Electronic Commerce Business-to-Business (B 2 B) Chapter 15 Version 3 e © 2003 South-Western 11
Internet Demographics and Trends 2 Attitude toward technology Factors Influencing Online Buying Behavior Income Motivation to use Technology Chapter 15 Version 3 e © 2003 South-Western 12
Internet Demographics and Trends Early Adopters Internet Buyer Categories “Mainstreamers” Laggards Chapter 15 Version 3 e © 2003 South-Western 13 2
Internet Demographics and Trends Push Strategy Television, Radio, Print Pull Strategy Internet Chapter 15 Version 3 e © 2003 South-Western 14 2
2 The Virtual Community Bulletin Boards Chat Rooms Types of Virtual Communities Newsletters Discussion Lists Chapter 15 Version 3 e © 2003 South-Western 15
Internet’s Influence on The Global Village 2 Broadens and enhances access in developing nations Allows businesses to “leapfrog” into development Levels playing field for disadvantaged countries Chapter 15 Version 3 e © 2003 South-Western 16
2 The Digital World Speed Global Marketing Implications Value Chapter 15 Version 3 e © 2003 South-Western 17
3 Learning Objective Discuss online business strategies. Chapter 15 Version 3 e © 2003 South-Western 18
3 Strategies for Web Success Offer customer-driven products Sell at a fair price To Survive and Prosper. . . Use promotion Make products readily available Chapter 15 Version 3 e © 2003 South-Western 19
3 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 Chapter 15 Version 3 e one-to-one customer © 2003 South-Western relationships 20
3 Online Positioning u Identify the most important target market u Identify that market’s online need u Determine how the company’s Internet presence meets that need u Identify how the online presence is better than the competition. Chapter 15 Version 3 e © 2003 South-Western 21
Factors in Internet Marketing Programs 3 Prior Internet marketing experience Factors in Internet Marketing Degree of program sophistication Program Magnitude Program Dynamics Chapter 15 Version 3 e © 2003 South-Western 22
3 The Internet Presence E-Mail Internet Marketing Techniques Corporate Web Site Interactive Web Site Chapter 15 Version 3 e © 2003 South-Western 23
3 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 Chapter 15 Version 3 e © 2003 South-Western 24
3 Internet Direct Selling Disadvantages Advantages u Eliminate distribution network complexity u Need to manage all channel activities u Increase customer contact Chapter 15 Version 3 e © 2003 South-Western 25
3 E-Tailing Retailing on the Web Chapter 15 Version 3 e © 2003 South-Western 26
Internet Shopping vs. Store Shopping 3 u For many, Internet shopping is more convenient and less expensive u Store shopping provides product “touch and feel” u E-tailing changes shopping from entertainment to a functional task Chapter 15 Version 3 e © 2003 South-Western 27
4 Learning Objective Discuss Internet marketing objectives and strategies. Chapter 15 Version 3 e © 2003 South-Western 28
Key Success Factor for Internet Businesses Chapter 15 Version 3 e © 2003 South-Western 4 29
4 Internet Marketing Objectives Online Market Share Sales Level Internet Marketing Objectives Repeat Purchase Market Positioning Image Brand Awareness Chapter 15 Version 3 e © 2003 South-Western 30
4 Product Strategies on the Web Ways to Overcome Lack of Product Contact Personalized Service Virtual online Product Trials Branding Chapter 15 Version 3 e © 2003 South-Western 31
4 Online Promotion Banner Advertisements Button Advertisements Interstitial Advertisements Untargeted E-Mail Marketing Targeted E-Mail Marketing Chapter 15 Version 3 e © 2003 South-Western 32
4 Pricing on the Internet Charging different prices for different channels can be effective if: u Channel use behavior is an effective means to segment the market u There is a benefit to encourage use of one channel rather than the other Chapter 15 Version 3 e © 2003 South-Western 33
4 Evaluating the Outcome Hits Page View Capturing Web Statistics Site Registration Cookie Technology Chapter 15 Version 3 e © 2003 South-Western 34
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