Presented by Arun T.

Ravindran Sudeep V P Neethu Sunny Reeba Mary Jose

³It is the combination of direct marketing principles with Internet technology in order to find profitable customers and interact with them to find out how they want to do business, when they want to do it, and under what terms.´ 

Much faster Cheaper More user-friendly More attractive in terms of content Multi-platform     

Web pages can be fully open to all or their access can be (partially or fully) restricted. The web is permanently open. Web sites can be easy updated and changes are immediately effective. The web is inter-connectable with other Internet services.    

The web is not fully reliable. The perceived security (e.g. payment related) is insufficient. Identification systems (e.g. digital signature) are not well implemented even though they are technically available. The web is mostly a "pull media³. Brand visibility decreases    

Benefits of E-Marketing How benefit is delivered?
Achieved through wider distribution to customers you can¶t readily service offline or perhaps through wider product range that in-store, or lower prices compared to other channels Achieved through giving customers extra benefits online or inform product development through online dialogue and feedback This is creating a two-way dialogue through web and email forms and polls and conducting online market research through formal surveys and informally monitoring chat rooms to learn about them. Achieved through online e-mail communications, sales and service transactions to reduce staff, print and postage costs Achieved through providing a new proposition and new

Sell ± Grow sales

Serve ± Add value

Speak ± Get Closer to customers

Save ± Save costs

Sizzle ±Extend the brand experience online while at the same time appearing online familiar

Interactivity and Intelligence  Individualisation  Integration  

Interactivity and intelligence
Traditional Media Push Company
Direct Response Traditional TV, radio, print media, Direct mail communications

Customers

New Media

Interactivity Dialogue not monologue

Push/Pull Company Intelligence
Two-way feedback

Customers

Traditional Media Company
Same message to all customers (or customers in each segment)

Customer Customer Customer

Customer New Media Company
Different message to each customer (or customers in micro segment)

Customer

Customer 

Integration
Intermediary

Web Company E-Mail Phone Mail Person Channel requiring integration as part of integrated e-marketing strategy Customer

It adds value to individual/customer Access Knowledge & People Increased network of contacts Internet Improved market value Professional Advantage Improved know-how

Improved Customer Service

It adds value to Organization Closer ties & relationship with customers Improved understand of customer needs Internet Improved Customer Service Competitive Advantage Faster speed to market Improved R & D

Marketing

Marketing/Purchasing Internet

Internet

Extranet

Extranet

Intranet

Intranet

IT Dept

The Worl

Company only

The Worl

Suppliers Customers Collaborators

Suppliers Customers Collaborators

1. 2. 3. 4.

5.

Whether to go for online marketing Type of web presence Budget allocation Which Parts of the Value Chain Should be Done Online Web Security

Business Strategy

A. Defining the online opportunity

a. Evaluate emarketing performance

1. Set emarketing objectives 2. Define emarketing strategy
3.Implement e-marketing plan

b. Assess online marketplace

B. Selecting the strategic approach

a. Define customer value proposition

b. Define ecommunications mix

C. Delivering results online

a. Implement customer experience

b. Execute ecommunications

4. Profile, measure and improve

1. Transactional e-commerce site:
Amazon, Dell

2. Services-oriented/relationship building
Naukri.com, Accenture

3. Brand Building site
Airtel, Rolex

4. Portal or media site
Yahoo!, Silicon.com

5. Note that these types overlap 

Basic

training  Strategic/commercial reflections (to define content, promotion methods, «)  Web designing and updating  Business process integration  Web site promotion (online and/or offline)

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Protecting web sites from fraudulent users Ensuring the security of transmitted data Payment security

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Offline Product Evaluation Decision to purchase

1 2 3 4 5

Online Product Evaluation Decision to purchase

Mail, Fax, Phone, Person

Specify purchase Payment

Specify purchase Payment

Fulfillment

Fulfillment (digital)

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Most and least requested pages Average user session length Top entry and exit pages Single access pages Top paths through site Information about the most frequent visitors Top authenticated users Top referring sites and search engines Browsers and operating system most used by users

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No. of hits No. of pages viewed. In a web page, each image is considered as one hit No. of visits. In average, a visit means to surf on 10 pages. No. of unique visits. No. of transactions. A transaction can be done in several ways: sending an e-mail, taking part in a contest, making a purchase, etc. No. of orders.

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Territorial exclusivity Price differences between ³territories´

Solutions for Conflicts Arising
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To jointly agree on policies dealing with price, product range, etc. To prevent - as much as possible - users from some countries to access a site. Alternatively, to have country-specific price lists or to deliver to some countries only. To deal only with new markets. To make only direct sales (e.g. computer company www.dell.com)

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Expensiveness of international shipping Increased marketing costs to obtain qualified traffic, fame and confidence. Increased risks of fraudulent payments. Foreign languages. Most web users understand English but may not be proficient enough to dare to realise transactions.

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Goals

B2B Opportunity -Help get new clients

B2C Opportunity -Get new clients Obstacles -Promotion -Payment -Payment fraud -Physical delivery

Acquire new clients

Obstacles -Promotion -Physical delivery Opportunity

Reduce interaction costs

-Many opportunities with existing customers, suppliers, employees, press

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Web advertising is the action of promoting your website using online advertising tools, techniques and methods proven to get the results you are looking for. It is used simultaneously as online advertising. Online advertising is basically the action of actively promoting your new business.

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3/4 of PC users gave up some television time Well educated, high-income Internet users are a desired target for advertisers Ads can be updated any time with a minimal cost; making them timely and very accurate Ads reach very large number of potential buyers all over the world Online ads are much cheaper in comparison to television, newspaper, or radio ads

Web ads effectively use text, audio, graphics, and animation Ads easily combine games, entertainment, and promotions Web TV and Internet radio are attracting more people Web ads can be interactive and targeted The use of the Internet is growing very rapidly

Internet advertisements are accessed on demand 24 hours a day, 365 days a year, and costs are the same regardless of audience location Accessed primarily because of interest in the content, so market segmentation opportunity is large Opportunity to create one-to-one direct marketing relationship with the consumer Multimedia will increasingly make Web sites more attractive and compelling Internet is the fastest growing medium in history ± (4 years to reach 50mil ppl)

Banners Pop-ups Interstitials E-mail advertising URLs Newspaper-like standardized ads Advertising in chat rooms

Banners are electronic billboards Gateway to a firm on the net Keyword banners and random banners Banner most common promotes brand recognition

The standard sizes for banner ads are 400x40 pixels or 468x60 pixels.

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Keyword banner Random banner

An initial Web site page or a portion of that is used to capture the user¶s attention for a short time Ability to create innovative multimedia effects and interactivity Most however, non-interactive and interruptive Popular with advertisers since they perform well in creating brand recall and have a higher click-through rate than banners

Argued to be the most effective marketing communication tool for acquiring and retaining customers Several million users may be reached directly Send the company information (low cost) A wide variety of audiences (customer database) Purchase e-mail addresses Target a group of people that you know something about - messages can be targeted When permission has been granted email marketing is more personal and less intrusive Problems: Junk mail & Spamming

Advantages:
x Minimal cost is associated with it x Submit your URL to a search engine and be listed x Keyword search is used

Disadvantages:
x Search engines index their listings differently x Meta tags can be complicated

Important part of Internet strategy since firms need to be found The top 10 spots on a search list are difficult and expensive to get Alternatives: Buy rankings or keywords, so firm appears first Have banner appear when a search word is entered Google gives search results based on number of links leading to the site 

Virtual meeting ground Free addition to a business site Allows advertisers to cycle through messages and target the chatter again and again Advertising can become more thematic More effective than banners Used for one-to-one connections

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Associated Ad Display Strategy ` Affiliate Programs ` Partnerships ` Sponsorship ` Serial Marketing ` Ads as commodities ` Viral marketing ` Loyalty Programs ` Customized ad strategy Online Events, Promotions, and Attractions
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Associate the content of a Web page with a related ad like:
Search Yahoo on a topic, a banner pops up offering ³search for books at´ 
Amazon.com  Barnesandnoble.com

Keyword banners 

Just-in-time strategy

A particular site directs users to an e-commerce site and in turn receives a commission for sales generated by the user. Affiliate programs involves independent advertising by firm A of firm B¶s products If products sold then firm A receives a commission 

People are paid for the time spent viewing an ad
Direct payment made by the advertisers for ads viewed Consumers fill out questionnaires CyberGold distributes targeted banners Reader clicks the banner, passes some tests on its content, and is paid for the effort 

  

Word-of-mouth over the Internet Easily forwarded e-mail messages from sites Forward sites by filling out e-mail addresses ³Advocacy marketing´²hotmail.com
Each e-mail sent invited free hotmail service Company grew from 0 to 12 million in 18 months 

Downsides
E-mail hoaxes Spread of viruses 

Filtering the irrelevant information by providing customized ads  One-to-one advertisement  Customized ads in Webcasting
Personalized news and information by category Users select specific categories they want to receive

Enticing Web surfers to read Internet ads 
Yoyodine, Inc.
Give-away games, discounts, contests, sweepstakes Entrants agree to read product information of advertisers 

Netzero and others offer free Internet access in exchange for viewing ads  Offer free samples (freesamples.com)  Use company logo as cursor

Page-loading speed
x Graphics and tables²simple, meaningful, and match standard monitors x Thumbnails (icon, graphs) are useful

Business content
x Clear and concise text with compelling page title and header text x Minimal amount of information requested for registration

Navigation efficiency and compatibility
x Links²well-labeled, accurate, meaningful x Site²compatible with browsers, software, etc.

Security and privacy
x Security and privacy must be assured x Must provide option for rejecting cookies

Marketing Customer Focus
x Clear terms/conditions of the purchases²delivery information, return policy, etc. x Confirmation page after a purchase

Navigation efficiency and compatibility
x Links²well-labeled, accurate, meaningful x Site²compatible with browsers, software, etc.

Security and privacy
x Security and privacy must be assured x Must provide option for rejecting cookies

Marketing Customer Focus
x Clear terms/conditions of the purchases²delivery information, return policy, etc. x Confirmation page after a purchase

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Methods for measuring advertisement effectiveness, conducting cost benefit analyses, pricing ads
y Interactivity
y Based on how customer

y Exposure Models
y Multiple of number of

guaranteed ad views
y Number of hits

interacts with the ad view
y How much time was spent

y Click-Through
y Number of times customers click

viewing the ad

on banner
y Only effective for large

y Actual Purchase
y Referral fee based on

corporations

customers moving to ad site to make a purchase

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