Professional Documents
Culture Documents
Using The Internet in The E-Marketing
Using The Internet in The E-Marketing
com
vol.2, No. 3(s), pp. 915-921 ISSN 1805-3602
Corresponding author: Shima Omidvar Abarghooie, Student of Governmental Management (M.A), Rafsanjan
Branch, Islamic Azad University, Rafsanjan, Iran. Email: omidvar22@gmail.com
Copyright © Mohammad Ziaaddini, Shima Omidvar Abarghooie, 2013
European Online Journal of Natural and Social Sciences; vol.2, No. 3(s), pp. 915-921
915
Social science section
well as other digital media such as wireless or mobile completely competitive and useful. Physical mar-
and media for delivering digital Television such as kets do not have this span and have a limit space
cable and satellite (Chaffey, 2012). (Zargar, 2003, p: 324).
In practice, Internet marketing will include the
use of a company web site in conjunction with on- Difference between e-Business, e-Commerce and
line promotional techniques. However, for Internet e-Marketing
marketing to be successful there is still a necessity for E-Business is a very broad entity dealing with the
integration of these techniques with traditional media entire complex system that comprises a business that
such as print, TV and direct mail (Chaffey, 2012). uses electronic medium to perform or assist its overall
or specialized business activities (Petrovic, 2010).
The difference of Electronic market or Physical E-business is an overarching term that describes
markets how an organization uses the Internet/Web to trans-
The space of electronic market is a complete form organizational performance. Examples of
market with lots of sellers and buyers from all over e-business initiatives include Intranets, self-paced
the world that have enough and update information e-learning programs for employees, online pay-
about market and goods. The presence of mediators roll services, and knowledge management systems
is needed in this space. These kinds of markets are (Krishnamurthy, 2006).
E-commerce is transactional in nature and focuses signing distribution, among others. Regardless of the
entirely on the use of the Internet/Web to facilitate and concept definition, Internet Marketing has emerged
accelerate commercial transactions. It is of three Types: as a driving force for change in firms and customer
business-to-business, business-to-consumer and con- relationships, leading to the development of appro-
sumer-to-consumer (Krishnamurthy, 2006, p: 51). priate technological solutions to the organization and
E-Marketing is also a part of e-Business that in- effective exploitation of existing solutions. As Internet
volves electronic medium to achieve marketing ob- and social network impact grows, marketing mix as a
jectives. E-Marketing is set on a strategic level in ad- marketing support tool seems to be diminishing and
dition to traditional marketing and business strategy. technological nature tools are taking its place: cus-
Barwise and Farley (2005) found that managers tomer relationship management, knowledge man-
who had adopted Internet marketing tools saw them agement, enterprise resource planning, and supply
as being cost-effective, providing increased sales op- chain management1 (Tiagoand Tiago,2012,p:420).
portunities, and leading to the increased effectiveness
of marketing activities(Roderick and et al, 2007, p.6). The properties of competition in Internet marketing
When compared to traditional marketing, In- 1- In Internet markets the size and bigness of a
ternet marketing offers a host of additional benefits: company may not be an important competitive ad-
lower costs, closer firm and client relationships, rede-
SCM
1
vance. The easy entrance of a profitable industry potential to reduce the uncertainty of doing business in
Communicational channels Internet let the newly – foreign markets and increases their ability to respond to
arrived companies to compete with bigger companies new market opportunities (Roderick and et al, 2007).
on market shares and making popularity in market. Through propagandistic and Progress with Inter-
2- Geographic and language obstacles also de- net Medias, you can reach to very good and creative
crease in Internet. The expenses digital delivery has marketing opportunities. By using electronic post,
decreased very much and online ordering for com- some savings can be made in time like designing and
panies in distance get easier. progress before read propagandistic and after sale. In-
3- The consumers have access not only on some ternet marketing methods consist of dependent mar-
brands, but also on most of the competitor products. keting, Email, exchanging marketing and marketing
Because Internet marketing decreases the expense by searching motors (Krishnamurthy, 2006).
of searching information for buyers a lot. To attain a more in-depth analysis of the Inter-
4- Internet marketing makes new digital channels net Marketing concept evolution and integration
of place that makes the emergency delivery of digital with other technology-based components, it is nec-
products without extra financial and time expense. essary to research outside the marketing field. At a
5- Servicing to customers in Internet markets first glance, we can find different references to this
has improved more andit’s now as ordering and per- concept in the literature, such as interactive market-
sonal (Alipourshyrsavar and Rafiezadeh, 2011). ing digital marketing, Internet Marketing, e-mar-
keting and online marketing. All these terms have
Effect of Internet in E- Marketing at least one common characteristic: the use of infor-
Use of the Internet will enable exporting firms to mation technology tools to interact with consumers,
reduce international search (Roderick and et al, 2007). enabling strategies oriented to the client and simul-
It can be expected that exporting firms are more taneously minimizing transaction costs (Tiago and
likely to have higher levels of E-M., given that it has the Tiago, 2012, p: 419).
A potential structure of an e-Marketing Plan: the momentum that will not only allow a company to
1. -Situation Analysis compete within a niche, but it will allow it to conquer
2. -SWOT Analysis and control a niche. This will insure search engine rank-
3. -Website Audit ings that will translate into profits (Petrovic, 2010).
4. -Marketing Strategy and Objectives 3- Email
5. - Budget, Implementation and Evaluation The email marketer uses email to enhance the
6. - Contingency Plan relationship with its, by encouraging loyalty and re-
7. - Conclusion. peat business. Some methods e-mail marketers will
Following are some of the advantages of e-Mar- use to enhance loyalty include company newslet-
keting: ters that give relevant company news, exclusive dis-
Reduction in costs through automation counts to those who are on the email list. One ma-
Use of electronic media jor disadvantage for email marketers is the constant
Faster response to both marketers and the end user evolution of spam filters in email programs.
Increased ability to measure and collect data 4- Video Marketing
Increased interactivity (Petrovic, 2010). With the rise of YouTube, the use of video online has
Regarding the disadvantages, we can mention quickly become a popular way to market online... Com-
the following: mon formats a video marketer will use are “How to“,
-Lack of personal approach, dependability on “Product review“, and “Genuine reaction“.
technology 5- Blogging
- Security, privacy issues A blogger can use a blog as a personal or company
-Maintenance costs due to a constantly evolving diary. A blog can also be used to cover news topics in a
environment particular niche. Blogs are also commonly to sell af-
-increased price competition, worldwide com- filiate advertising, provide instruction or insight.
petition through globalization(Petrovic,2012). Common blog genres include: political, travel,
fashion, projectwork, education, music, and ….
The types of online marketing (Walker, 2012).
1- Pay per click 6- Article Marketing/Online PR
As a discipline, pay per click‘s main focus is to en- Practitioners of these disciplines will write short
tice users to click on an advertisement to bring them articles related to their industry to be distributed
to another destination on the web. In this regard, Pay through free article distribution channels.
per click is much like the internet’s form of classified A.) click on the bio links to be brought back to
ads. Pay per click ads can displayed on search engines, the author’s website
within niche websites, or on social networks. They are B.) redistribute the content and
targeted, either by search term, profile interest, or on C.) become a new.
the website on which the pay per click ad is displayed. 7- Social Media
A pay per click ad is most commonly made of text Social media marketing to communicate is de-
or images, or a combination of both, and the pay per signed to encourage large groups of people. Con-
click model can also be applied to video(Walker, 2012). tent, frequency, Timing, and how users interact
2- SEO with a social marketing platform specific points that
Most commonly the SEO will go after keyword everyone should consider. Joint use of social media
specific vertical searches, but the SEO may target such as: customer service, such as responding to
different kinds of search, including image search, complaints, updated radio and Television, News,
local search. Increasing a site’s inbound (aka back Awards, Advertising and ... It takes.
links) is another common tactic used by the SEO to 8- Viral/Network Marketing
increase search rankings. While some may argue that Network Marketing
Organic search engine optimization is an ap- and social media marketing are the same, a network
proach to business marketing that carefully selects marketer knows very differently. Network marketers
strategies and tactics for a target site in order to ob- focus on building one on one relationship with peo-
tain business objectives (Petrovic, 2010). ple who are most likely to use their product or service.
Search engine optimization consulting can provide The network marketer also realizes that for any
the secrets to gaining and keeping that momentum – piece of content to “Go Viral”, the content must
not only be good, but there must also be a group of One of the important process in making market-
people who will interact with and share the content. ing strategy and one of main Duties of marketers is
9- Location Based Marketing composing of marketing elements. Successfulness of
The popular philosophy held by location based marketing programs depends highly to the true com-
marketers is to reward users for “checking-in” to a position of elements. By coming of communicational
company’s physical location. Rewards can include technology and electronic doing of business activities,
discounts for the person. the combined design of marketing has changed a lit-
10-Contextual Advertising tle, as the combined elements of marketing changed
A contextual advertiser is the closest thing the basically and this change continue still.
internet has to traditional media firms, because the The product can be defined as follow: anything
contextual advertiser looks for every opportunity to that can be supply to market for taking the atten-
promote their brand. tions or using and consuming that can satisfy the
11- Differences in contextual advertising and needs is called the product. The product is highly
network marketing affected by the internet.
The primary difference between the two is the Internet has made a way for initiative in produc-
contextual marketer is focused on sheer numbers and ing the products, since the companies can have a di-
conversion by volume where as the network marketer rect access to consumers and use the in formations to
chooses to build relationships with the individuals who expand the new products. Decreasing the expense of
would actually be using the product (Walker, 2012). collecting and distributing information of consumers
12- Affiliate (performance based) Marketing by IT had helped to this process. Internet bases like
The act of selling someone else’s product or hav- Yahoo that are known as the threshold will help con-
ing someone else sells your product for you. This is the sumers to find their necessary information. Sellers
internet equivalent of having a commissioned sales job. should pay attention to these services and use them
For that reason, selling affiliate products can to give information about themselves to consumers.
prove to be an interesting and fun challenge for the Goods like computer software’s, books, graphic
person selling the product. design, film and music are some cases that will be af-
13- User Experience Branding (UXB) fected by internet, since these goods can be keep as
Graphic Design, User interface design, Infor- digital goods and can be transfer by internet easily,
mation Architecture and web development are all without any need to physical transmission. Also those
branches of this discipline. goods that were sold by post system have a potential
14- Interactive Advertising ability to sell and buy by internet. One of the main
With web technologies evolving every day, an advantages of electronic markets is making value by
emerging group of marketers take to creating ad- giving variety to products and producing the products
vertising that requires users to interact, typically by in different forms. Goods like music can be prepare
uploading a photo, video or audio (Walker,2012). according to the consumer’s Preference and needs.
For example mosaics can be supply in different kinds
Impact of the Internet and the marketing mix of sizes, in proper quality and different prices, or one
Philip Kotler (1991) said that marketing mixed can buy just one page of a magazine without any need
is a set of controllable variables (tools) of market- to buy the entire magazine. Therefore internet can
ing that the company mixed them to respond to the give a value to consumers by giving variety to prod-
target market. Marketing mixed consist of all works ucts. Of course it should be note that all the products
that the company can do to affect an amount of de- can’t be selling by internet, especially those that need
mand for its products. to face to face connection with consumer (Mirhos-
These works can be classified in 4variables as four p: seiniand Azizi, 2008).
Product, a mixture of goods and services that Price: price is the only factor that makes income
company supply to its target market. and as Kotler (1991) has said, other factors show
Price, it is an amount of money that customer the cost. Decision making about price of products
had to pay for a product. in internet is as important as decision making about
Promotion is activities that make a product price of products in internet is as important as deci-
available for applicants. sion making about traditional pricing. Internet in-
Place, is activities that show the value of prod- creases the competition about decreasing the prices,
ucts and encourage the customers to buy them. Therefore it will make equal prices.
Also being able to comparing different prices in in- decreasing of distribution expenses for digital produc-
ternet, has increase the competition for decreasing the tions that sometimes are close to zero. With these ad-
prices and according to economic theories the price of vantages, one of the main problems of marketers about
good or service will get close to its final expense. There- place factor is not being able to have a physical access
fore, using of new price making models is necessary in to products and sellers that is a big problem for some
internet. Also as it was said by forming of new kinds goods. Therefore, in this situation, physical markets
of value making in internet, traditional price making like Val Mart are still popular.
models can’t answer the needs of marketers. Omitting Promotion (advancement and spreading): pro-
some of the takes due to their international selling and motion has different methods that companies use
also omitting of some intermediates had an important the inform customers about the advantages of prod-
role in decreasing the price of products in internet, for ucts and encourage them to by them. These methods
instance Cisco company by transferring 40% of com- are divided in 4 groups: propaganda (like not print
mercial activities to internet, have decreased its annual of catalogue), increasing the selling (like distribut-
operational expenses to 270 million dollar. ing the discount coupon), public relation (like at-
With these conditions in internet environment, of- tending in fairs) and personal selling (like discussion
fices had to pay attention to other factors than price to on the presence of customer). Internet is a commu-
increase their competition power. For example by mak- nicational technology. It is clear that internet has a
ing variety to products by internet, buyers will be less deep impact on the way of promotional activities.
sensitive to price. When the presented products meet Internet makes infinite positions for companies to
the preference of consumer, the buyer will be more sat- propagandize their products companies can give
isfy and seller can receive more money from consumer. propaganda according to the preference of custom-
Distribution, (place): For most of the companies, ers by collecting information about them in inter-
place means distribution of channels that are organi- net. This matter is important when the customer
zations and persons that have a role in transferring of wants and detailed information about the product.
product or service from producer to consumer. One Companies can promote their promotion pro-
of the main effects of internet on factor of place is in- grams with very less expense to all over the world
creasing of its size. Everywhere that you can connect by internet. But it should be note that promotion
to internet in market domain, is under cover of com- principles in internet are different from propaganda
panies. World access to internet that is one of the its principles in traditional media like TV, radio and
special properties, has made a big consuming market magazines. In internet the propaganda message is
for company’s products. Internet enables the compa- received by customer just when he/she wants, he/
nies to omit some of the members of value chain. The she can have control on the kind and time of propa-
producers could eliminate the intermediatesand retail- ganda display and desist it whenever he/she wants.
ers by having the opportunity to call directly with the Therefore, in internet environment, the customer
consumer. For example DELL Company had sold its isn’t just a listener, but it is companies that have to
products from internet base; therefore it has eliminated be a listener. Therefore today most of the companies
most of the intermediates and retailers. This phenom- have some parts in their internet bases to connect to
enon that is due to electronic business is called omit- customers, for example discussion rooms that users
ting intermediate, means omitting of constructions can share their experience about products with oth-
like retailers and whole sellers and selling directly to er customers or discuss with company experts about
the customer. Of course besides omitting of intermedi- the properties of products. Internet is a ideal media
ates, another phenomena call virtual intermediates ex- to make and keep a truthful relation with customers.
ist in internet. These intermediates that are special for There are some limitations in doing promotion-
electronic business are mainly about presenting goods al activities Internet.
and informational services. For example, internet For example the concerns about personal lim-
bases like Yahoo that present information about dif- its makes those customers don’t give their personal
ferent goods to customers, are in fact a kind of virtual information to companies. Additionally, today cus-
intermediates that guide the customer to the internet tomers know how important their personal infor-
base of seller. Searching motors, portal sites and … is mation is and they want the company to pay them
all part of this intermediate. These intermediates en- or service them versus taking their information. So,
able the small producers to have an easier access to it’s clear that Internet has deep influence on mixed
market. Another impact of internet on place factor is factors of marketing (Mirhosseiniand Azizi, 2008).