Professional Documents
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Background
Development of the The Internet was first developed in 1968 by a group of scientists working for
Internet the US Defense Advanced Research Projects Agency (DARPA) (Cerf,
1996). At that time, the Internet (known as ARPANET) was created in order
to connect different university and government computer centers throughout
the country. This connectivity permitted widespread sharing of various types
of data among participating facilities. Use of the Internet during this time
was limited primarily to those individuals working in the technical or
scientific community, and interaction with the Internet required a high
degree of technical expertise due to its cryptic set of commands and
primitive user interface.
Over the past three to five years, graphical interfaces have been developed
which allow even those who are technologically unsavvy to utilize the
Internet. Part of this development has included advent of the World Wide
Web (WWW), which provides a virtual connection among independent
computers located around the world. The WWW uses hypermedia which
enables users to explore the Internet using a standard and intuitive mouse
point-and-click interface (Ainscough and Luckett, 1996). Graphical
interfaces coupled with the emergence of the WWW have set the stage for
anyone with the appropriate equipment and a modest amount of computer
experience to use the Internet. Today, over 30 million companies and
households use the Internet, and this number is growing monthly at an
estimated rate of 10 percent and an average of one million people. Industry
analysts project that the number of users on the Internet will expand to 100
million by the year 2000 (Paul, 1996).
558 JOURNAL OF CONSUMER MARKETING, VOL. 15 NO. 6 1998, pp. 558-575 © MCB UNIVERSITY PRESS, 0736-3761
perspective was that of information gathering; the site provided no
interaction or excitement, and, even worse, little reason to ever return. In this
format, a homepage provided no more to the user than what could have been
provided in conventional written marketing media such as magazines or
newspapers. According to Internet consultant Gene McMahon, “Too many
Internet marketers take the printed corporate brochure and put it on the
screen; that technique simply does not work in this interactive multimedia
environment” (Monaco, 1997). Over time, Internet marketers have been
forced to improve the appeal of their Web sites because of the increased
competition for Internet users’ attention. Therefore, a critical question to
consider is, what are the techniques that are effective in reaching the
consumer market? What are Internet users really looking for in the context
of a Web site? Insight into this issue can be gained by considering how
Internet users adopt and utilize a Web site over time, and how businesses can
identify and meet the needs and wants of current Internet users.
Marketing objectives
Marketing campaign A marketing campaign usually comprises one or more of the following
marketing objectives:
• To create awareness by ensuring the consumer knows who the company
is and what it offers (Burnett, 1993).
• To educate and inform the market about the offering.
• To increase the rate of purchases by existing customers of the offering.
• To increase market share by targeting and attracting current non-users of
the offering.
• To improve brand recognition and acceptance.
• To create an atmosphere favorable for future sales by building a
relationship with the consumer (Burnett, 1984).
• To reinforce the customer’s patronage by offering rewards (Burnett,
1993).
Before developing a comprehensive list of techniques to further these
classical marketing objectives and address the needs of Web visitors, it
would be beneficial to examine the Internet and compare it with
conventional marketing media. The inherent nature of the Internet affords
both new opportunities and challenges to marketers.
Open communications
Comments, suggestions • A Web site should allow users to offer comments, suggestions, and
and complaints via complaints via e-mail to the Web site. This technique allows users to
e-mail directly communicate with the company. Users’ messages arrive
instantly, and without the cost of a long distance call. It is surprising that
not all homepages utilize this technique.
• Web sites should also allow users to provide their e-mail addresses as
well as other information so that they may receive electronic updates
from the company. With the right information, some sites can e-mail
users to remind them of special occasions that are approaching so that
they may place an order for a particular gift, such as Godiva chocolates.
Of course, this information had to be previously furnished by the user.
• While this feature was not found on any site during this investigation,
users could be allowed to communicate with a company representative
while online. This communication could be achieved through electronic
media (typing back and forth), audio media (like a telephone, but
through the Internet), or video conferencing (audio and video). In the
future, it is likely that users will demand capability to engage in two-
way conversation. Users and companies must invest in technology to
support this capability if it is to become a reality.
Real-time browsing/transactions
Catalog of offerings • Users should be able to browse a catalog of offerings while online. This
catalog could be enhanced using digital pictures, audio, and even video.
An online catalog is better suited to industries with a finite number of
offerings, where the electronic catalog can make them readily apparent
to users.
• Browsing a catalog is a good start, but users should also be able to order
and pay for items online. The capability to complete transactions while
online should be available. Users should be able to have merchandise
delivered promptly to any location in the world, and the entire process
should be automated, unless customers choose to speak with company
representatives.
• Digital products (e.g. software, digitized video, music) should be
delivered immediately after an online purchase so that consumers will
find it much more inconvenient to buy from a store when they can shop
from the comfort of home and receive these products through the
Internet.
• Companies should accept online applications for credit cards as well as
other types of cards offering benefits. For example, TGI Fridays permits
customers to fill out applications for complimentary cards that enable
Club membership/forum
• Web sites should provide users with the opportunity to join online clubs
specific to whatever products or services companies are offering. Toyota
has a Toyota Owners Club where members receive special offers and a
free membership certificate. Companies should also dedicate a special
section within their Web sites to members who then can exchange
information and share stories. This forum provides a feeling of
belonging for users and in turn solidifies their affiliation with a
company. The Internet provides a good host for such clubs.
• Each homepage could have an area dedicated to real-time discussions
among users visiting the Web site. This area would provide an engaging
experience for users and allow them to obtain feedback on the
company’s offerings from others who have purchased and used these
offerings. This area also helps to humanize the Internet experience: Joe
from Maine can chat with Bill from California thanks to this Web site.
Give-aways
Free computer-related Everyone who visits a homepage is likely to own a personal computer or
accessories have access to one at his or her workplace. Company Web sites could offer
free computer-related accessories such as screen savers, screen backgrounds,
and sound files that advertise the company’s products or services. (Doesn’t
everyone want to have the Budweiser Frogs on their desktop?) Computer
users enjoy accessories that liven up the computer environment, and it is
great advertising for companies.
Entertainment
• In order to keep visitors interested, homepages could contain a section
that focuses on contests and sweepstakes. Most people welcome the
opportunity to win something, and this technique encourages multiple
visits as well as word of mouth “advertising” around the Internet
community.
• Users should be able to engage in interactive games, puzzles, and
activities. This is an excellent technique to engage the younger user as
well as adults. Homepages that provide entertainment have an edge on
pages that do not.
Virtual tour/experience
• Web sites should provide a Great Escape experience where users can
control a virtual environment achieved through the use of audio,
Instructional support
• Companies could dedicate a section of their homepages to information
that educates users on how best to use a particular product or service.
This type of information complements companies’ offerings and is
usually appreciated by users.
A section for questions • Each Web site could dedicate a section of their site for questions and
and answers problems. Many Web sites incorporate Frequently Asked Questions
(FAQ) where users search a list of questions until they find the question
and accompanying answer that address their problem or issue.
Additionally, there could be a section which would allow users to ask a
question. Ideally, these sites would be staffed so that all questions, from
complications during usage to unexpected results, could eventually be
addressed and answered, and the FAQs then updated.
Complementary services
• Company Web sites could provide hot links to sites containing
information pertinent to the company’s products or services. These links
should be kept current and provide information of interest to the user. A
pet store such as PetSmart might include a link to the American Kennel
Club. Links to unbiased news and reviews of company offerings such as
Consumer Reports are also useful, especially for more involved or
expensive purchases.
Some products and • Companies could also provide some support products and services for
services for free free. Support products are those products or services that enhance or
complement another offering of the company. For example, Pillsbury
offers free recipes on their homepage. Federal Express permits users to
track packages to ensure their arrival. The more complementary
products a firm can offer, the more consumers will value their original
purchases as well as the Web site.
Further analysis
Table I presents a quantitative view of the analysis regarding use of Internet
marketing techniques by various industries. The table identifies utilization
factors for a particular industry’s use of an Internet marketing technique as
defined in this paper.
Natural resources 3 2 2 1 1 1 1 1 1 1 14
Manufacturing 3 2 2 2 1 2 1 1 2 3 19
Building and repair 3 2 1 1 1 1 1 2 1 2 15
Food and clothing 2 3 3 1 1 2 3 2 2 3 22
Publishing and media 3 2 2 1 2 2 2 1 1 1 17
Computers and software 3 2 3 3 2 3 1 3 2 3 25
Industrial technology 2 2 1 1 1 1 1 1 2 1 13
Travel and transportation 3 2 1 1 3 1 2 1 3 2 19
Utilities and
communications 3 2 1 1 1 2 2 1 2 2 17
Consultants and services 3 2 1 1 1 2 2 1 1 2 16
Real estate and finance 3 2 1 1 1 1 1 2 2 1 15
Consumer products 3 3 1 2 1 2 3 2 2 3 22
Health and legal services 3 2 1 1 1 1 1 1 2 1 14
Educational and social
services 3 2 2 1 1 1 1 2 1 2 16
Technique presence rating 40 30 22 18 18 22 22 21 24 27
Notes:
1 = Underutilized
2 = Average utilization
3 = Fully utilized
Management implications
These examples show that different techniques can be utilized within the
same industry as long as the techniques used are tailored for the target
market and homepage visitor. The Internet marketer must consider which
techniques complement the overall marketing objective established for a
particular offering. The techniques used also need to be tailored to a
company’s specific offerings within an industry; this is where creativity and
Table II. Techniques used in setting up a homepage for video game software
Percentage of homepage
Technique dedicated to this technique
In-depth product/
company
information × × × × ×
Open
communications × × × × ×
Real-time
browsing/
transactions ×
Demonstrations
(try before buy) ×
Club membership/
forum × ×
Give-aways ×
Entertainment × × ×
Virtual tour/
experience × × ×
Instructional
support × ×
Complementary
services × × × × ×
Final remarks
Businesses can no longer scan in the company brochure as their Internet
Web site and expect this site to be successful (Monaco, 1997). The challenge
for Internet marketers today is to provide users with an experience that is not
easily replicated by conventional media. Web sites should provide added
value to the user; they must give users a reason to visit and to come back.
Furthermore, techniques utilized within the homepage must help accomplish
specific marketing objectives.
An analogy An analogy can be made to our use of the phone system. The power of our
phone system does not lie in the ability to recall and listen to prerecorded
messages, but in the ability to communicate in real time with anyone
virtually anywhere in the world. We can engage in meaningful dialog and
have questions answered. We can build and foster relationships, and
influence the direction of conversation. In a similar manner, Internet Web
sites must provide users with a forum that supports two-way
communications; Web sites need to be places where users can make requests
and get immediate results. Web sites must provide active and engaging
experiences for users; they must not be repositories for passive, static
marketing information.
To this end, the Internet marketing techniques detailed in this article provide
tactics to maximize the utility of the Internet as a vehicle for marketing
communications. These techniques capitalize on the advantages afforded by
the Internet itself, and help to address directly the needs and wants of
increasingly demanding Web site visitors. As competition for the Internet
audience continues to increase, specific techniques must be utilized that best
exploit the inherent advantages and opportunities afforded by marketing in the
digital domain.
Create awareness × × ×
Educate market × × × × × ×
Increase rate of
purchase × × × × ×
Increase market
share × × × × ×
Improve brand
recognition and
acceptance × × × × × × ×
Create a favorable
climate/build
relationships × × × × × × × ×
Create
reinforcement × × × × ×
Further reading
Clark, B. H. (1997), “Welcome to my parlor”, Marketing Management, Winter.
Coleman, M. (1995), “The Internet”, Camping Magazine, Vol. 68, November 1.
Foskett, S. (1996), “Online technology ushers in one-to-one marketing”, Direct Marketing,
November.
Gelormine, V. (1995), The Internet Marketing Black Book, Legion Publishing, North
Lauderdale, FL.
Gelormine, V. (1996), Guerrilla Web Strategies: How to Promote and Market Your Web Site,
The Coriolis Group, Scottsdale, AZ.
Hunter, K. (1996), “Internet marketing consultants say Web page needs strategy, content to win
second look”, Memphis Business Journal, Vol. 18, July 15.
Paul, P. (1996), “Marketing on the Internet”, The Journal of Consumer Marketing, Vol. 13
No. 4.
Peter, J.P. and Donnelly J.H. Jr (1994), A Preface to Marketing Management, 6th ed., Richard
D. Irwin, Boston, MA.
Walker, B. and Walker, L. (1996), Marketing Strategy: Planning and Implementation, 2nd ed.,
Richard D. Irwin, Boston, MA.