Chapter 7 Internet marketing 7.1. Introduction of internet marketing 7.1.1 Internet marketing defined What is internet marketing? Internet marketing or internet-based marketing can be defined as the use of the Internet and related digital technologies to achieve marketing objectives and support the modern marketing concept. These technologies include the Internet media and other digital media such as wireless mobile media, cable and satellite or services from other web sites to acquire new customers and provide services to existing customers that help develop the customer relationship. However, for Internet marketing to be successful there is a necessity of integration with traditional media such as Print and TV 7.1. 2 What benefits does the lnternet provide for the marketer? The marketing opportunities of using the Internet can be appreciated by applying the strategic marketing grid for exploring opportunities for new markets and products. The Internet can potentially be used to achieve each of the four strategic directions as follows 1。 Market penetration The Internet can be used to sell more existing products into existing markets. This can be achieved by using the power of the Internet for advertising products to increase awareness of products and the profile of a company amongst potential customers in an existing market. This is a elatively conservative use of the Internet. 2. Market devele Here the Internet is used to sell into new markets, taking advantage of the low cost of advertising internationally without the necessity for a supporting sales infrastructure in the customers'country. This is a relatively conservative use of the Internet, but it does require the overcoming of the barriers to becoming an exporter or operating in a greater number of countries 3. Product development New products or services are developed which can be delivered by the Internet. These are typically information products such as market reports which can be purchased using electronic commerce. This is innovative use of the internet 4. Diversification lew products are developed which are sold into new markets. Companies can use the Internet to adopt new approaches to selling products which involve positioning in one part of the grid presented. The Internet provides Guinness with the opportunity to provide non-core merchandising activity at a relatively low cost The lure of new sales and the threat of market share erosion has driven many companies on to the Internet, but there are many other benefits of establishing an Internet presence. Consider the example of the parcel courier companies. These companies now provide a range of customer services over the Internet which were traditionally delivered by telephone operators, thus reducing operating costs. In such situations, the online services may give better 24 hour, 7days a week, 365 days of the year customer service if measured by convenience, but some customers will want the option of the personal touch, and phone services must be provided for this type of customer. Many
Chapter 7 Internet Marketing 7.1. Introduction of Internet Marketing 7.1.1 Internet marketing defined What is Internet marketing? Internet marketing or Internet-based marketing can be defined as the use of the Internet and related digital technologies to achieve marketing objectives and support the modern marketing concept. These technologies include the Internet media and other digital media such as wireless mobile media, cable and satellite. In practice, Internet marketing will include the use of a company web site in conjunction with online promotional techniques such as search engines, banner advertising, direct e-mail and links or services from other web sites to acquire new customers and provide services to existing customers that help develop the customer relationship. However, for Internet marketing to be successful there is a necessity of integration with traditional media such as Print and TV. 7.1.2 What benefits does the Internet provide for the marketer? The marketing opportunities of using the Internet can be appreciated by applying the strategic marketing grid for exploring opportunities for new markets and products . The Internet can potentially be used to achieve each of the four strategic directions as follows: 1。Market penetration The Internet can be used to sell more existing products into existing markets. This can be achieved by using the power of the Internet for advertising products to increase awareness of products and the profile of a company amongst potential customers in an existing market. This is a relatively conservative use of the Internet. 2. Market development Here the Internet is used to sell into new markets, taking advantage of the low cost of advertising internationally without the necessity for a supporting sales infrastructure in the customers’ country. This is a relatively conservative use of the Internet, but it does require the overcoming of the barriers to becoming an exporter or operating in a greater number of countries. 3. Product development New products or services are developed which can be delivered by the Internet. These are typically information products such as market reports which can be purchased using electronic commerce. This is innovative use of the Internet. 4. Diversification New products are developed which are sold into new markets. Companies can use the Internet to adopt new approaches to selling products which involve positioning in one part of the grid presented .The Internet provides Guinness with the opportunity to provide non-core merchandising activity at a relatively low cost. The lure of new sales and the threat of market share erosion has driven many companies on to the Internet, but there are many other benefits of establishing an Internet presence. Consider the example of the parcel courier companies. These companies now provide a range of customer services over the Internet which were traditionally delivered by telephone operators, thus reducing operating costs. In such situations, the online services may give better 24 hour, 7days a week, 365 days of the year customer service if measured by convenience, but some customers will want the option of the personal touch, and phone services must be provided for this type of customer. Many
companies will also reduce the costs of the printing and distribution of promotional material, price lists and other marketing communications. In addition to increased sales and reduced costs, the Internet can be used to advantage in all of the marketing functions, for example Sales: Achieved through increasing awareness of brands and products, supporting uying decisions and enabling online purchase commum. Marketing communications: The use of the web site for the range of marketing Customer service: Supplementing phone operators with information available online and other techniques described Public relations: The Internet can be used as a new channel for public relations(PR)and provides the opportunity to publish the latest news on products, markets and people Marketing research: Through search engines and e-mail alert services, the Internet enables more efficient techniques for finding a range of market information It also enables new methods for collecting primary research online through focus groups and online questionnaires 7.1.3 How do Internet marketing communications differ from traditional marketing communications? Internet marketing differs from conventional marketing communications because of the digital medium used for communications. The Internet and other digital media such as digital television, satellite and mobile phones create new forms and models for information exchange. A useful summary of the differences between these new media and traditional media has been developed by McDonald and Wilson(1999)which they describe as the 6ls of the e-marketing mix. Note that these can be used as a strategic analysis tool, but they are not used in this context here. The 6ls are useful since they highlight factors that apply to practical aspects of Internet marketing such as personalization, direct response and marketing research, but also strategic issues of industry restructuring and integrated channel communications. By considering each of these facts of the new media, marketing managers can develop marketing plans that accommodate the characteristics of the new media. This presentation of the 6ls,, is an interpretation of these actors using new examples and diagrams to illustrate these concepts 1. Interactivity Deighton was one of the first authors to summarize the key characteristics of the Internet. He identifies the following characteristics inherent in a digital medium he customer initiates contact the customer is seeking information(pull) it is a high intensity medium -the marketer will have 100 per cent of the individual attention when he or she is viewing a web site a company can gather and store the response of the individual individual needs of the customer can be addressed and taken into account in future dialogues Traditional media are predominantly push media where the marketing message is broadcast from company to customer and other stakeholders. During this process, there is limited interaction with the customer, although interaction is encouraged in some cases such as the direct response advert or mail-order campaign. On the Internet, it is usually a customer who initiates contact and seeking information on a web site. In other words it is a pull mechanism unless e-mail is used this can be considered as a push technique). The Internet should be used to encourage two-way communication. These may be extensions of the direct-response approach. For example, FMCG supplierssuchasNestle(www.nescafe.co.uk)usetheirwebsiteasamethodofgenerating interaction by providing incentives such as competitions and sales promotions to encourage the customer to respond with their names, addresses and profile information such as age and sex 2. Intelligence The Internet can be used as a relatively low cost method of collecting marketing particularly about customer perceptions of products and services. In the competitions referred to above Nescafe are able to profile their customers on the basis of the information received in questionnaires. The Internet can be used to create two-way feedback which does not usually occur
companies will also reduce the costs of the printing and distribution of promotional material, price lists and other marketing communications. In addition to increased sales and reduced costs, the Internet can be used to advantage in all of the marketing functions, for example: ▪ Sales: Achieved through increasing awareness of brands and products, supporting buying decisions and enabling online purchase. ▪ Marketing communications: The use of the web site for the range of marketing communication is described. ▪ Customer service: Supplementing phone operators with information available online and other techniques described. ▪ Public relations: The Internet can be used as a new channel for public relations (PR) and provides the opportunity to publish the latest news on products, markets and people. ▪ Marketing research: Through search engines and e-mail alert services, the Internet enables more efficient techniques for finding a range of market information. It also enables new methods for collecting primary research online through focus groups and online questionnaires. 7.1.3 How do Internet marketing communications differ from traditional marketing communications? Internet marketing differs from conventional marketing communications because of the digital medium used for communications. The Internet and other digital media such as digital television, satellite and mobile phones create new forms and models for information exchange. A useful summary of the differences between these new media and traditional media has been developed by McDonald and Wilson (1999) which they describe as the ’6Is of the e-marketing mix’. Note that these can be used as a strategic analysis tool, but they are not used in this context here. The 6Is are useful since they highlight factors that apply to practical aspects of Internet marketing such as personalization, direct response and marketing research, but also strategic issues of industry restructuring and integrated channel communications. By considering each of these facts of the new media, marketing managers can develop marketing plans that accommodate the characteristics of the new media. This presentation of the ‘6Is’, is an interpretation of these factors using new examples and diagrams to illustrate these concepts. 1. Interactivity Deighton was one of the first authors to summarize the key characteristics of the Internet. He identifies the following characteristics inherent in a digital medium: ▪ the customer initiates contact; ▪ the customer is seeking information (pull); ▪ it is a high intensity medium – the marketer will have 100 per cent of the individual’ attention when he or she is viewing a web site; ▪ a company can gather and store the response of the individual; ▪ individual needs of the customer can be addressed and taken into account in future dialogues. Traditional media are predominantly push media where the marketing message is broadcast from company to customer and other stakeholders. During this process, there is limited interaction with the customer, although interaction is encouraged in some cases such as the direct response advert or mail-order campaign. On the Internet, it is usually a customer who initiates contact and is seeking information on a web site. In other words it is a ‘pull’ mechanism unless e-mail is used (this can be considered as a push technique). The Internet should be used to encourage two-way communication. These may be extensions of the direct-response approach. For example, FMCG suppliers such as Nestle (www.nescafe.co.uk) use their web site as a method of generating interaction by providing incentives such as competitions and sales promotions to encourage the customer to respond with their names, addresses and profile information such as age and sex. 2. Intelligence The Internet can be used as a relatively low cost method of collecting marketing research, particularly about customer perceptions of products and services. In the competitions referred to above Nescafe are able to profile their customers on the basis of the information received in questionnaires. The Internet can be used to create two-way feedback which does not usually occur
inothermediaFinancialservicesprovideregg(www.egg.com)collectsinfomationabouttheir online service levels through a questionnaire that is continuously available in the customer service part of their site. What is significant is that the company responds via the website to the main concerns from customer; if the length of time it takes to reply to customer service e-mails is seen as a problem it will explain what the organization is trying to do to resolve this problem Individualization Another important feature of the interactive marketing communications referred to above is that they can be tailored to the individual unlike traditional media where the same message tends to be broadcast to everyone. The process of tailoring is also referred to as personalization and is an important aspect of achieving customer relationship management online. Personalization is often achieved through extranets which are set up with key accounts to manage the buying and after-salesprocessesDell(www.dell.com/premierpages)hassetuppremierPages'forkey accounts such as the Abbey National where special offers and bespoke customer support are delivered. Another example of personalization is that achieved by business-to-business e-tailor RS Components(www.rswww.com).Everycustomerwhoaccessestheirsystemisprofiledaccording to their area of product interest and information describing their role in the buying unit When they next visit the site information will be displayed relevant to their product interest, for example office products and promotions if this is what was selected. This is an example of what is known as mass customization where generic customer information is supplied for particular segments i.e the information is not unique to individuals, but to those with a common interest. The online booksellerssuchasAmazon(www.amazon.co.uk)usethisapproachtocommunicatenewbooks to groups of customers. Gardeners for instance, who have previously purchased a gardening book, will receive a standard e-mail advertising the latest gardening tome. This is again mass customization 4. Integration The Internet provides further scope for integrated marketing communications. When assessing the success of a web site. the role of the internet in communicating with customers and other partners can best be considered from two perspectives. First organization to customer direction, how does the Internet complement other channels in communication of proposition for the company's products and services to new and existing customers with a view to generating new leads and retaining existing customers? Second customer to organization, can the Internet complement other channels to deliver customer service to these custom companies are now considering how they integrate e-mail response and web-site call-back into their existing call-centre or customer service operation. This may require a substantial investment in training and new software 5. Industry restructuring Disintermediation and reintermediation are key concepts of industry restructuring that should be considered by any company developing an e-marketing strategy. For the marketer defining their companies communications strategy it becomes very important to consider a compani representation on these intermediary sites by answering questions such as'which intermediari should we be represented on? and how do our offerings compare to those of competitors in terms of features, benefits and price? 6. Independence of location Electronic media also introduce the possibility to increase the reach of company ommunications to the global market. This gives opportunities to sell into international markets thatmaynothavebeenpreviouslypossibleScottBader(www.scottbader.com),a business-to-business supplier of polymers and chemicals for the paints and coatings industry, can now target countries beyond the 40 or so it has traditionally sold to via a network of local agents and franchises. The Internet makes it possible to sell to a country without a local sales or customer service force(although this may still be necessary for some products). In such situations and with the restructuring in conjunction with disintermediation and reintermediation, strategists also need to carefully consider channel conflicts that may arise. If a customer is buying direct from a
in other media. Financial services provider Egg (www.egg.com) collects information about their online service levels through a questionnaire that is continuously available in the customer service part of their site. What is significant is that the company responds via the website to the main concerns from customer; if the length of time it takes to reply to customer service e-mails is seen as a problem it will explain what the organization is trying to do to resolve this problem. 3. Individualization Another important feature of the interactive marketing communications referred to above is that they can be tailored to the individual unlike traditional media where the same message tends to be broadcast to everyone. The process of tailoring is also referred to as personalization and is an important aspect of achieving customer relationship management online. Personalization is often achieved through extranets which are set up with key accounts to manage the buying and after-sales processes. Dell (www.dell.com/premierpages) has set up ‘Premier Pages’ for key accounts such as the Abbey National where special offers and bespoke customer support are delivered. Another example of personalization is that achieved by business-to-business e-tailor RS Components (www.rswww.com). Every customer who accesses their system is profiled according to their area of product interest and information describing their role in the buying unit. When they next visit the site information will be displayed relevant to their product interest, for example office products and promotions if this is what was selected. This is an example of what is known as mass customization where generic customer information is supplied for particular segments i.e. the information is not unique to individuals, but to those with a common interest. The online booksellers such as Amazon (www.amazon.co.uk) use this approach to communicate new books to groups of customers. Gardeners for instance, who have previously purchased a gardening book, will receive a standard e-mail advertising the latest gardening tome. This is again mass customization. 4. Integration The Internet provides further scope for integrated marketing communications. When assessing the success of a web site, the role of the Internet in communicating with customers and other partners can best be considered from two perspectives. First organization to customer direction, how does the Internet complement other channels in communication of proposition for the company’ s products and services to new and existing customers with a view to generating new leads and retaining existing customers? Second customer to organization, how can the Internet complement other channels to deliver customer service to these customers? Many companies are now considering how they integrate e-mail response and web-site call-back into their existing call-centre or customer service operation. This may require a substantial investment in training and new software. 5. Industry restructuring Disintermediation and reintermediation are key concepts of industry restructuring that should be considered by any company developing an e-marketing strategy. For the marketer defining their companies communications strategy it becomes very important to consider a companies representation on these intermediary sites by answering questions such as ‘which intermediaries should we be represented on?’ and ‘how do our offerings compare to those of competitors in terms of features, benefits and price?’ 6. Independence of location Electronic media also introduce the possibility to increase the reach of company communications to the global market. This gives opportunities to sell into international markets that may not have been previously possible. Scott Bader (www.scottbader.com), a business-to-business supplier of polymers and chemicals for the paints and coatings industry, can now target countries beyond the 40 or so it has traditionally sold to via a network of local agents and franchises. The Internet makes it possible to sell to a country without a local sales or customer service force (although this may still be necessary for some products). In such situations and with the restructuring in conjunction with disintermediation and reintermediation, strategists also need to carefully consider channel conflicts that may arise. If a customer is buying direct from a
company in another country rather than via the agent, this will marginalize the business of the local agent who may want some recompense for sales efforts or may look to partner with 7. 2. Strategy of Internet Marketing Developing a successful internet marketing strategy is an essential part of your online success In order to succeed, you must develop and implement a strategic plan that includes all of the following A great product a website specifically designed to se A killer marketing strategy Each step plays an important role in your overall strategy and must be developed to its fullest tential. If even one step fails, your chances of success will be minimal 7.2.1 Developing Your Product Your first step will be to develop a great product. You're probably thinking that's easier said than done, but it's really not The absolute best product is one that you can develop yourself and deliver over the Internet. With today's technology, there is absolutely no reason why you can't create your own product. The knowledge you have within your own mind is extremely valuable Everybody is good at something, has a special talent or some specialized knowledge. Use this nowledge to create a product The key to developing a great product is exclusiveness. Your product should be unique and not be in competition with hundreds of other similar products. You must give your potential customers exactly what they want. Another consideration of great importance is your target market Keep in mind, the Internet is a global marketplace. Develop a product with a large geographic target and a wide appeal. a great product will fulfill a need or desire and provide instant gratification Here are a few of the top sellers Software Information Private sites nternet services de before you develop your product, do some research -find out exactly what people want and dingly The most important consideration when developing your product is quality. Your product should not only deliver what you promise, but should go above and beyond the expected and overdeliver. Your customers'satisfaction is of the utmost importance Assuming your products or services are priced competitively and are of good quality, your most significant sales barrier is trust. Trust is the essential lubricant of Web business without tri business grinds to a halt An established store brand name comes from hundreds of positive impressions built by expensive advertising campaigns. These ads purchase brand trust. But if you re a small business you can't afford such advertising. Nevertheless, you can build trust by means of your website in multiple ways. First, anchor your business in time and space by giving a full address and phone number. If you have an office or brick-and-mortar store, show a photograph Better yet, show photos of yourself or your staff. Now your customers view you as real people rather than some faceless entity who knows- where. You build trust by selling well-known brand name products, by displaying clear shipping and return policies, by joining nationally-respected organizations, and by offering guarantees You build trust with a customer friendly navigation system and intuitive interface, and an designed site, rather than something your teenage son cooked up on the weekends a professionally SSL secure server for credit card transactions. You gain credibility by having Once you've established trust, sales result. You also build trust by repeated contact with your visitors 7. 2.2 Brand Development You may have never thought about your company as a brand, so this may be new to you, but
company in another country rather than via the agent, this will marginalize the business of the local agent who may want some recompense for sales efforts or may look to partner with competitors. 7.2. Strategy of Internet Marketing Developing a successful internet marketing strategy is an essential part of your online success. In order to succeed, you must develop and implement a strategic plan that includes all of the following: ▪ A great product ▪ A website specifically designed to sell ▪ A killer marketing strategy Each step plays an important role in your overall strategy and must be developed to its fullest potential. If even one step fails, your chances of success will be minimal. 7.2.1 Developing Your Product Your first step will be to develop a great product. You're probably thinking that's easier said than done, but it's really not. The absolute best product is one that you can develop yourself and deliver over the Internet. With today's technology, there is absolutely no reason why you can't create your own product. The knowledge you have within your own mind is extremely valuable. Everybody is good at something, has a special talent or some specialized knowledge. Use this knowledge to create a product. The key to developing a great product is exclusiveness. Your product should be unique and not be in competition with hundreds of other similar products. You must give your potential customers exactly what they want. Another consideration of great importance is your target market. Keep in mind, the Internet is a global marketplace. Develop a product with a large geographic target and a wide appeal. A great product will fulfill a need or desire and provide instant gratification. Here are a few of the top sellers: ▪ Software. ▪ Information. ▪ Private sites. ▪ Internet services. Before you develop your product, do some research -- find out exactly what people want and develop your product accordingly. The most important consideration when developing your product is quality. Your product should not only deliver what you promise, but should go above and beyond the expected and overdeliver. Your customers’ satisfaction is of the utmost importance. Assuming your products or services are priced competitively and are of good quality, your most significant sales barrier is trust. Trust is the essential lubricant of Web business; without trust, business grinds to a halt. An established store brand name comes from hundreds of positive impressions built by expensive advertising campaigns. These ads purchase brand trust. But if you're a small business you can't afford such advertising. Nevertheless, you can build trust by means of your website in multiple ways. First, anchor your business in time and space by giving a full address and phone number. If you have an office or brick-and-mortar store, show a photograph. Better yet, show photos of yourself or your staff. Now your customers view you as real people rather than some faceless entity who knows- where. You build trust by selling well-known brand name products, by displaying clear shipping and return policies, by joining nationally-respected organizations, and by offering guarantees. You build trust with a customer friendly navigation system and intuitive interface, and an SSL secure server for credit card transactions. You gain credibility by having a professionally designed site, rather than something your teenage son cooked up on the weekends. Once you've established trust, sales result. You also build trust by repeated contact with your visitors. 7.2.2 Brand Development You may have never thought about your company as a brand, so this may be new to you, but
track with me. One of the chief reasons your company has a website is to demonstrate that you're staying up with the times, that you're on the cutting edge. You're seeking to communicate an image about your company that will register in the minds of your potential customers Professional marketers refer to this as brand development Your brand is the image of your business in the minds of customers and prospects Everything about your site--the quality of the design, the clarity of your wording the sense of interest and excitement the color scheme. the download time. and much more contributes to your image, and your image is your brand identity. Your goal is that when someone leaves your te they'll remember you--positively. And that the next time they come, they'll make a purchase r pick up the phone. Your brand image is also the trust the customer has in you There are no real shortcuts here. Major corporations spends millions of dollars to develop their brand image and keep it fresh in the minds of consumers. Is there any way a small business can compet Yes, your site can look every bit as good on the Web as a major corporations, and without spending the big bucks they do. Even though the Web is no longer a level playing field, small businesses can still compete for first impression 7.2.3 Developing Your Website Once you've developed a great product, your next step will be to develop a great website Your website must be specifically designed to sell your product Everything within your website should have one purpose getting your visitor to take action Words are the most powerful marketing tool you have. The right words will turn your visitors into Isomers The wrong words will cause them to click nd never return Your words are the entire foundation of your business. Your product, your website and your marketing strategies all depend upon your words. Fancy graphics don't make sales --words do Every word, sentence and headline should have one specific purpose-- to lead your potential customer to your order page. Write your website copy as if you are talking to just one person Identify a problem and validate that one visitor's need for a solution. Continue to write and explain why your product is the solution to their problem. Tell them exactly what your product will do for them -- why it will solve their problems and how. Pack your copy with benefits and more benefits Write to persuade --that's the bottom line The law of developing website goes like this: Setting up a website is like building a storefront on a dead-end street. If you want any shoppers, you must give them a reason to come The most wonderful site in the world is wasted unless people stop by to admire and purchase It's the same reason that most great craftsmen aren't millionaires; they've learned to make a great product, but don't have a clue about marketing So the first question you need to ask yourself, even before you build your company's site, is How will we get people to visit? Perhaps your marketing plan will look like this Banner ads for two months to boost name recognition Search engine positioning on HotBot and Excite in the first quarter, to include Infoseek Lycos, and alta Vista in the second quarter Reciprocal links with our industry organization and a paid listing in their directory A newsworthy contest in the third quarter, for which we'll try to get full media coverage through press releases and calls from a PR A company newsletter that carries industry news rather than just company drivel, to begin in the fourth quarter(though you should start collecting e-mail addresses now) Then decide which of these activities to cary out in-house and which to outsource, attach a dollar value to each, and provide for them in your marketing budget. Your marketing plan may look much different than this, but you must give visitors a reason to come Many sites I visit are pretty slim. Yes, they give information about the company and its services, but nothing you'd want to bookmark. What compelling content can you put on your site that will make someone want to return? Content is primary With excellent content, when you ask for a reciprocal link, you don,t have to ple because we're the greatest. "You can say, "Link to us because we offer everything a buyer needs to know to select the right lighting fixture "When you offer a public service, you suddenly become newsworthy. Trade journals and magazines begin to mention you, and traffic follows Give visitors a reason to come, and they will
track with me. One of the chief reasons your company has a website is to demonstrate that you're staying up with the times, that you're on the cutting edge. You're seeking to communicate an image about your company that will register in the minds of your potential customers. Professional marketers refer to this as brand development. Your brand is the image of your business in the minds of customers and prospects. Everything about your site -- the quality of the design, the clarity of your wording, the sense of interest and excitement, the color scheme, the download time, and much more -- contributes to your image, and your image is your brand identity. Your goal is that when someone leaves your site they'll remember you -- positively. And that the next time they come, they'll make a purchase or pick up the phone. Your brand image is also the trust the customer has in you. There are no real shortcuts here. Major corporations spends millions of dollars to develop their brand image and keep it fresh in the minds of consumers. Is there any way a small business can compete? Yes, your site can look every bit as good on the Web as a major corporation's, and without spending the big bucks they do. Even though the Web is no longer a level playing field, small businesses can still compete for first impression. 7.2.3 Developing Your Website Once you've developed a great product, your next step will be to develop a great website. Your website must be specifically designed to sell your product. Everything within your website should have one purpose -- getting your visitor to take action. Words are the most powerful marketing tool you have. The right words will turn your visitors into customers. The wrong words will cause them to click away and never return. Your words are the entire foundation of your business. Your product, your website and your marketing strategies all depend upon your words. Fancy graphics don't make sales -- words do. Every word, sentence and headline should have one specific purpose -- to lead your potential customer to your order page. Write your website copy as if you are talking to just one person. Identify a problem and validate that one visitor's need for a solution. Continue to write and explain why your product is the solution to their problem. Tell them exactly what your product will do for them -- why it will solve their problems and how. Pack your copy with benefits and more benefits. Write to persuade -- that's the bottom line. The law of developing website goes like this: Setting up a website is like building a storefront on a dead-end street. If you want any shoppers, you must give them a reason to come. The most wonderful site in the world is wasted unless people stop by to admire and purchase. It's the same reason that most great craftsmen aren't millionaires; they've learned to make a great product, but don't have a clue about marketing. So the first question you need to ask yourself, even before you build your company's site, is: How will we get people to visit? Perhaps your marketing plan will look like this: ▪ Banner ads for two months to boost name recognition. ▪ Search engine positioning on HotBot and Excite in the first quarter, to include Infoseek, Lycos, and AltaVista in the second quarter. ▪ Reciprocal links with our industry organization and a paid listing in their directory. ▪ A newsworthy contest in the third quarter, for which we'll try to get full media coverage through press releases and calls from a PR agency. ▪ A company newsletter that carries industry news rather than just company drivel, to begin in the fourth quarter (though you should start collecting e-mail addresses now). Then decide which of these activities to carry out in-house and which to outsource, attach a dollar value to each, and provide for them in your marketing budget. Your marketing plan may look much different than this, but you must give visitors a reason to come. Many sites I visit are pretty slim. Yes, they give information about the company and its services, but nothing you'd want to bookmark. What compelling content can you put on your site that will make someone want to return? Content is primary. With excellent content, when you ask for a reciprocal link, you don't have to plead, "Link to us because we're the greatest." You can say, "Link to us because we offer everything a buyer needs to know to select the right lighting fixture." When you offer a public service, you suddenly become newsworthy. Trade journals and magazines begin to mention you, and traffic follows. Give visitors a reason to come, and they will
7.2.4 Developing Your Marketing strategies 1. overview of marketing strategies Your marketing strategy is the final process of your plan Your plan must include both short-term and long-term strategies in order to succeed Short term marketing strategies are those that bring you a temporary boost in traffic Although these techniques are very important to your over-all plan, they are only a temporary traffic source and must not be solely relied upon Short term marketing strategies include Purchasing advertising Bulletin boards gines Long term marketing strategies are those that bring you a steady stream of targeted traffic over time. These strategies will continue to produce results even years down the road Long term marketing strategies include Lists Content long-term strategies, you will drive a steady stream of targeted traffic to your webie b By creating and implementing a balanced marketing strategy, using both short-term and 2. fully understanding the unique culture of the internet Three words help define the unique culture of the Internet --"free, " "information, "and privacy. "Of course, the Internet has chang ged dramatically from the days it was the sole playground of grad students and computer geeks, but some of the culture has remained Businesspeople need to understand its peculiarities, and then leverage these to land sales 1)The Attraction of"Free Free"has always attracted starving grad students laboring on master's theses from the windowless dungeons of University Library. Perhaps socialist smoke from professors' pipes makes academics believe the world can run on free services, I don ' t know But"free is beautiful"is deeply imbedded in the online culture. Rage that the Internet has been taken over by"Commercial Interests"(spit out those words when you say them) is past, but the expectation of"free"is still with us. (Of course, "free"has been a magic word for direct mail copywriters for decades, but that ruins my grad student myth, so keep it quiet.) As you plan your company's Internet strategy, "free"should play an important part in it Offer something free and the world will beat a path to your door. Better yet, offer many things free, and become a Destination Site. Then sell them something while they pass by Here's the simple strategy:(1) Attract people to your site by giving away lots of free information. Then(2)let people know about your products and services. Learn this rhythm of giving something away, and selling something. The strategy works 2)Information Is the Currency of the Web The quest for information drives the Web. Oh, yes, people like entertainment and Community (be sure to spell Community with a capital C, mind you), but don't underestimate information Businesspeople and serious shoppers are driven by their need for information far more than their desire for games and chat This means that your site must be information rich Don't worry about offering too much information; there's no such thing Oh, there's information overload, so you need to offer the information in digestible chunks and provide a carefully designed navigation system to get your visitors quickly where they want to go. But don't skimp on information Are you annoyed by those companies that don 't tell you key details you want to know? Like We dont want to say everything on the Web, "those marketers whine. " We want to force people to give us their phone number so we can make the sale on the phone What theyre doing, though, is sending potential customers scurrying along to their competitors who understand Internet culture well enough to satiate this hunger for information Find more subtle ways to encourage visitors to leave you their contact information, like a free
7.2.4 Developing Your Marketing strategies 1. overview of marketing strategies Your marketing strategy is the final process of your plan. Your plan must include both short-term and long-term strategies in order to succeed. Short term marketing strategies are those that bring you a temporary boost in traffic. Although these techniques are very important to your over-all plan, they are only a temporary traffic source and must not be solely relied upon. Short term marketing strategies include: ▪ Purchasing advertising. ▪ Bulletin Boards. ▪ Search Engines. Long term marketing strategies are those that bring you a steady stream of targeted traffic over time. These strategies will continue to produce results even years down the road. Long term marketing strategies include: ▪ Opt-in Lists. ▪ Freebies. ▪ Content. By creating and implementing a balanced marketing strategy, using both short-term and long-term strategies, you will drive a steady stream of targeted traffic to your website 2. fully understanding the unique culture of the internet Three words help define the unique culture of the Internet -- "free," "information," and "privacy." Of course, the Internet has changed dramatically from the days it was the sole playground of grad students and computer geeks, but some of the culture has remained. Businesspeople need to understand its peculiarities, and then leverage these to land sales. 1) The Attraction of "Free" "Free" has always attracted starving grad students laboring on master's theses from the windowless dungeons of University Library. Perhaps socialist smoke from professors' pipes makes academics believe the world can run on free services, I don't know. But "free is beautiful" is deeply imbedded in the online culture. Rage that the Internet has been taken over by "Commercial Interests" (spit out those words when you say them) is past, but the expectation of "free" is still with us. (Of course, "free" has been a magic word for direct mail copywriters for decades, but that ruins my grad student myth, so keep it quiet.) As you plan your company's Internet strategy, "free" should play an important part in it. Offer something free and the world will beat a path to your door. Better yet, offer many things free, and become a Destination Site. Then sell them something while they pass by. Here's the simple strategy: (1) Attract people to your site by giving away lots of free information. Then (2) let people know about your products and services. Learn this rhythm of giving something away, and selling something. The strategy works. 2) Information Is the Currency of the Web The quest for information drives the Web. Oh, yes, people like entertainment and Community (be sure to spell Community with a capital C, mind you), but don't underestimate information. Businesspeople and serious shoppers are driven by their need for information far more than their desire for games and chat. This means that your site must be information rich. Don't worry about offering too much information; there's no such thing. Oh, there's information overload, so you need to offer the information in digestible chunks and provide a carefully designed navigation system to get your visitors quickly where they want to go. But don't skimp on information Are you annoyed by those companies that don't tell you key details you want to know? Like price, for example? "We don't want to say everything on the Web," those marketers whine. "We want to force people to give us their phone number so we can make the sale on the phone." What they're doing, though, is sending potential customers scurrying along to their competitors who understand Internet culture well enough to satiate this hunger for information. Find more subtle ways to encourage visitors to leave you their contact information, like a free
report (remember "free"?)or a free subscription to an information-rich newsletter. You don't bludgeon visitors into giving you their contact information. You'll know better how to coax it from them when you understand the third of these cultural clues 3)Desire for Intimacy with Privacy I hate chatrooms. You know the kind - where Cutsy Babe cosyies up to Macho Muscle. What sparks this intimacy is the thick shield of privacy, For all you know Cutsy Babe could be a wallflower spinster or a kinky guy. Anonymity allows -no, encourages-- this human desire to be known. Anonymity offers the requisite safety for intimacy to occur The take-away lesson here is not to install a chat room on your business site. I've seen few business chatrooms that don't echo when some timid soul inquires, "Is anybody H-E-R-E?"The lesson is understand your visitor's desire for privacy. If you can do that, your visitor may reveal a great deal about himself. Write a careful Privacy Policy that respects the privacy of your visitors. If you state in your data collection form something like, " We respect your privacy and never rent or sell our lists, with a link to your full policy, that will allay fears, and you'll increase your sign-up rate substantially. Don't ask for more information than you absolutely need, but leave space for any comment your visitor desires to communicate The reason you find so many rabid anti-spam advocates on the Web is not because their computers came without delete buttons. It's the perception that you've invaded the privacy of thei e-mail box without their permission. It doesn,'t matter whether this Internet cultural value makes sense or not. It exists. Accept it. And don't send unsolicited e-mail unless you care to risk your company's reputation-and possible lawsuits Of course, the Internet culture is more complex than free, information, and privacy, but learn those and you'll be well on your way to speaking Internet without a foreign accent 3. communicating with customer The Law of Web marketing to keep your customer is: Pull people to your site byyour attractive content, then push quality information to them regularly via e-mail Websites, by their very nature are passive creatures, like fireside dogs. They just lie there ragging their tail listlessly and smiling wanly until someone enters the door. (Then the best website dogs come alive and propel you to the desired destination and action E-mail messages, on the other hand, are active animals like St Bernard Rescue Dogs, al ways ready to go where you send them and deliver a refreshing cask of information, and an invitation to return to your website to see the newest thing you have to offer a website tries to attract you by pulling you in with the promise of content, while e-mail pushes its message into your previous visitors' mailboxes. Most businesses can't survive on one-time sales only. The cost of customer acquisition is too high for just a single sale. They need to draw satisfied customers back again and again for repeat sales. The Law of Pull and Push accomplishes this vital task Getting an invitation to send e-mail to your visitors is key to this strategy. Include a form that vill collect their e-mail address. To convince your visitor to give you his e-mail address, however you need to promise two things: (1) that you'll e-mail him something of value, and(2)that you won't sell or rent his address to another company, hence the need for a clear privacy policy. But once the visitor has given you permission to e-mail additional information, you have wonderful market How do you use it? If someone in your company has writing skills, you might develop a monthly newsletter. Beware. It takes real commitment and self-discipline to send out the newsletter regularly, But a regular newsletter will give a tremendous boost to your business, and will build your trust level with customers as well as bring them back to your site again and again brand recognition grows. If you're not a writer, you can send out monthly specials, or news blurbs ou garner(with permission) from other sites. Whate I do, do it with excellence. anythi less than that will cause your business to lose the confidence you've already gained This law, too, has its own rhythm. Pull the customer to your website by attractive power, then push good content and offers to the customer via email to draw them back to your site
report (remember "free"?) or a free subscription to an information-rich newsletter. You don't bludgeon visitors into giving you their contact information. You'll know better how to coax it from them when you understand the third of these cultural clues. 3) Desire for Intimacy with Privacy I hate chatrooms. You know the kind -- where CutsyBabe cosyies up to MachoMuscle. What sparks this intimacy is the thick shield of privacy. For all you know CutsyBabe could be a wallflower spinster or a kinky guy. Anonymity allows -- no, encourages -- this human desire to be known. Anonymity offers the requisite safety for intimacy to occur. The take-away lesson here is not to install a chat room on your business site. I've seen few business chatrooms that don't echo when some timid soul inquires, "Is anybody H-E-R-E?" The lesson is: understand your visitor's desire for privacy. If you can do that, your visitor may reveal a great deal about himself. Write a careful Privacy Policy that respects the privacy of your visitors. If you state in your data collection form something like, "We respect your privacy and never rent or sell our lists," with a link to your full policy, that will allay fears, and you'll increase your sign-up rate substantially. Don't ask for more information than you absolutely need, but leave space for any comment your visitor desires to communicate. The reason you find so many rabid anti-spam advocates on the Web is not because their computers came without delete buttons. It's the perception that you've invaded the privacy of their e-mail box without their permission. It doesn't matter whether this Internet cultural value makes sense or not. It exists. Accept it. And don't send unsolicited e-mail unless you care to risk your company's reputation -- and possible lawsuits. Of course, the Internet culture is more complex than free, information, and privacy, but learn those and you'll be well on your way to speaking Internet without a foreign accent. 3. communicating with customer The Law of Web marketing to keep your customer is: Pull people to your site byyour attractive content, then push quality information to them regularly via e-mail. Websites, by their very nature are passive creatures, like fireside dogs. They just lie there wagging their tail listlessly and smiling wanly until someone enters the door. (Then the best website dogs come alive and propel you to the desired destination and action.) E-mail messages, on the other hand, are active animals like St. Bernard Rescue Dogs, always ready to go where you send them and deliver a refreshing cask of information, and an invitation to return to your website to see the newest thing you have to offer. A website tries to attract you by pulling you in with the promise of content, while e-mail pushes its message into your previous visitors' mailboxes. Most businesses can't survive on one-time sales only. The cost of customer acquisition is too high for just a single sale. They need to draw satisfied customers back again and again for repeat sales. The Law of Pull and Push accomplishes this vital task. Getting an invitation to send e-mail to your visitors is key to this strategy. Include a form that will collect their e-mail address. To convince your visitor to give you his e-mail address, however, you need to promise two things: (1) that you'll e-mail him something of value, and (2) that you won't sell or rent his address to another company, hence the need for a clear privacy policy. But once the visitor has given you permission to e-mail additional information, you have wonderful marketing leverage. How do you use it? If someone in your company has writing skills, you might develop a monthly newsletter. Beware. It takes real commitment and self-discipline to send out the newsletter regularly. But a regular newsletter will give a tremendous boost to your business, and will build your trust level with customers as well as bring them back to your site again and again. All of a sudden your company has top-of-mind position. Do this month after month and your brand recognition grows. If you're not a writer, you can send out monthly specials, or news blurbs you garner (with permission) from other sites. Whatever you do, do it with excellence. Anything less than that will cause your business to lose the confidence you've already gained. This law, too, has its own rhythm. Pull the customer to your website by attractive power, then push good content and offers to the customer via email to draw them back to your site
4. customer support Successful businesses have this in common: they focus on the customer's needs. This ought to be an important purpose for most business websites Pre-sales support can be enumerated under revenue generation, but post-sales support to your customers is a category all of its own. Fortunately, the Web can provide the very best in customer Your system may be as simple as an FAQ or troubleshooting decision tree. What a great way Epson's site links you to any driver software you may need un Ore valuable a searchable database becomes. Microsoft's site, for example, provides a huge amount of product support information on Providing customer support on the Web is not only efficient for the customer, it is also a boon to company customer support departments, who can refer callers to their website for detailed and complete information, substantially shortening phone calls There's no need to be fuzzy about your website's purposes. Ask yourself these questions How can I present my company in the best possible light?(brand development What source(s)of revenue can we realistically expect from our online business? How can we achieve maximal cost savings on the Internet? and How can we provide excellent online customer support? Answer these four questions and you're well on your way to online success 73. Introduction of mobile e-commerce 7.3.1 Introduction The rapid growth of mobile computing, especially through WAP technology makes mobile E-commerce possible GSM and other wireless networks and especially Wireless Application Protocol technology designed for GSM and subsequent mobile networks have now opened access to Internet for and-held mobile terminals. Bluetooth technology will further enhance the sphere of mobility Both facilitate also mobile E-commerce. Using these technologies, both customer and merchant can now be mobile, although it is probable that a customer is more mobile than a merchant M-commerce offers users the possibility of accessing the Internet via a rapidly expanding of mobile devices like smart mobile handsets. as are added, mobile communications are radically extending the scope of e-commerce beyond its current boundaries. By the end of 2004-05, mobiles are expected to provide the most common access to high speed Internet, thus enabling transactions and specialized information services on he move for the ma 7.3. 2 Relating the mobile environment with the fixed One What is the difference between a mobile environment and a more traditional network environment? Mobility can be understood in several ways. One can think that a person moves from one physical place to another, but does not carry any mobile equipment with him or her. In this case he or she uses the locally available( fixed) network infrastructure to take actions in the network, including issuing E-commerce transactions. Assuming that the above mobile person does carry with him or her a piece of personal equipment that facilitates the access to the network resources we come closer to the concept of mobile E-commerce. The most general idea is that a customer can conduct E-commerce at any time at any place using the miniature devices. Overall, our view is that mobile hand-held devices and the supporting net-works are a special access technology to Internet or another backbone network facilitating many services, including E References 1. Dr. Ralph F. wilson. Web Marketing The Five Mutable Laws of Web Marketing Web Marketing Today, Issue 55, April 1, 1999. Internet www.wilsonweb.com/wmta/basic-principles.htm 2. Dr. Ralph F. wilson. Web Marketing Tips to Tailor Your Business to the Internet Culture Web MarketingTodayIssue55,April1,1999.Internethttp:/www.wilsonweb.com/wmta/cultural-clues.htm Transactions Mobile Electronic Commerce ternet:http://path.berkeleyedu/-raja/distributed-server/ncs-ecommerce.pdf
4. customer support Successful businesses have this in common: they focus on the customer's needs. This ought to be an important purpose for most business websites. Pre-sales support can be enumerated under revenue generation, but post-sales support to your customers is a category all of its own. Fortunately, the Web can provide the very best in customer support. Your system may be as simple as an FAQ or troubleshooting decision tree. What a great way to help your customers. The more material you have, the more valuable a searchable database becomes. Microsoft's site, for example, provides a huge amount of product support information on. Epson's site links you to any driver software you may need. Providing customer support on the Web is not only efficient for the customer, it is also a boon to company customer support departments, who can refer callers to their website for detailed and complete information, substantially shortening phone calls. There's no need to be fuzzy about your website's purposes. Ask yourself these questions: ▪ How can I present my company in the best possible light? (brand development) ▪ What source(s) of revenue can we realistically expect from our online business? ▪ How can we achieve maximal cost savings on the Internet? and ▪ How can we provide excellent online customer support? ▪ Answer these four questions and you're well on your way to online success. 7.3. Introduction Of Mobile E-commerce 7.3.1 Introduction The rapid growth of mobile computing, especially through WAP technology makes mobile E-commerce possible. GSM and other wireless networks and especially Wireless Application Protocol technology designed for GSM and subsequent mobile networks have now opened access to Internet for hand-held mobile terminals. Bluetooth technology will further enhance the sphere of mobility. Both facilitate also mobile E -commerce. Using these technologies, both customer and merchant can now be mobile, although it is probable that a customer is more mobile than a merchant. M-commerce offers users the possibility of accessing the Internet via a rapidly expanding array of mobile devices like smart mobile handsets. As new functions and applications (data, video) are added, mobile communications are radically extending the scope of e-commerce beyond its current boundaries. By the end of 2004-05, mobiles are expected to provide the most common access to high speed Internet, thus enabling transactions and specialized information services on the move for the mass-market. 7.3.2 Relating the Mobile Environment with the Fixed One What is the difference between a mobile environment and a more traditional network environment? Mobility can be understood in several ways. One can think that a person moves from one physical place to another, but does not carry any mobile equipment with him or her. In this case he or she uses the locally available (fixed) network infrastructure to take actions in the network, including issuing E-commerce transactions. Assuming that the above mobile person does carry with him or her a piece of personal equipment that facilitates the access to the network resources we come closer to the concept of mobile E-commerce. The most general idea is that a customer can conduct E-commerce at any time at any place using the miniature devices. Overall, our view is that mobile hand-held devices and the supporting net-works are a special access technology to Internet or another backbone network facilitating many services, including E-commerce. References 1. Dr. Ralph F. Wilson. Web Marketing Basics. The Five Mutable Laws of Web Marketing Web Marketing Today, Issue 55, April 1, 1999. Internet:http://www.wilsonweb.com/wmta/basic-principles.htm 2. Dr. Ralph F. Wilson. Web Marketing Basics. Tips to Tailor Your Business to the Internet Culture Web Marketing Today, Issue 55, April 1, 1999. Internet:http://www.wilsonweb.com/wmta/cultural-clues.htm 3. Jari Veijalainen. Transactions in Mobile Electronic Commerce Internet:http://path.berkeley.edu/~raja/distributed-server/lncs-ecommerce.pdf
