Title: ebusiness
1Internet the marketing mix
- Applied e-Business e-Marketing
- Level 5
2Originally there were the 4 Ps Product, Place,
Price Promotion Today ?
- E-Marketing Strategies
- FIVE Ss
- The Mix modified EIGHT Ps!
- FIVE Is
- Internet and the Marketing Mix
- Branding
- eMarketing and marketing communication
- Kiren and Blogging
- Student Blog of choice
- Snapchat
3Figure 4.4 The SOSTAC planning framework
applied to digital Internet marketing strategy
development Source Chaffey and Smith (2008)
4SOSTAC
- Situation Analysis means where are we now?
- Objectives means where do we want to be? Why
bother going online, what are the benefits, what
is the purpose of going to all of this effort? - Strategy means how do we get there? Strategy
summarises how to fulfil the objectives - what segments and positioning should drive the
overall marketing mix and the promotional mix?
5What is (E) Marketing
- The management process responsible for
identifying, anticipating and satisfying customer
needs profitably - Profitably could be efficiency and
effectiveness in the Not-for-Profit sector
6Identify customer needs
- From comments, enquiries, requests, complaints
via email, social media, reviews - Sales patterns
- Data mining (a process to extract information
from databases and transform it into an
understandable information) - Web analytics what people are viewing and
searching for and buying - Research
- Primary online surveys
- Secondary Mintel, Gov reports, academic
journals, previous research etc. - Customer Relationship Marketing (CRM)
7CRM
- The concept is widely used by many organisations
as a way of understanding their customers in
terms of - What the want, how they want it, when they want
it, how much do they want to pay, how to pay for
it? - Customers buying behaviour when and how they
buy, how they make purchasing decisions, their
perceptions of the brand, the product, how loyal
are they. - Its about having insight of the above and also
how to build closer and better relationships with
customers so as the business can develop in a way
that pleases customers which will help retain
customers and improve satisfaction and brand
loyalty. - How can e-marketing help CRM?
8Satisfy customer needs
- Prompt responses
- Most orders come with instant confirmation email
- Order status / tracking
- Can require different postal method
- Punctual convenient deliveries
- Delivery slots/phone calls
- Reminders
- After sales- important?
- Dialogue with Permission
9Internet ObjectivesA Mnemonic FIVE Ss
- What you are hoping to achieve via internet usage
- Sell a Sales tool Grow sales
- Wider distribution promotion Long Tail
- Serve a Customer Service tool Add value
- Extra benefits (increase time on site)
- Speak a Communications tool
- Get closer to your customers dialogue (e.g.
mobile compatible information) - Save Cost reduction
- And so increase profits
- Sizzle a Brand building tool
- Extend the brand (e.g. launch a new landing page)
10How to do it wrong
- Customer acquisition
- Aim at wrong audience
- Unclear marketing message
- First impressions
- Slow page loading
- Poor look and feel of the site / page
- Poor site navigation
- Missing facilities
11- Product selection
- Awkward selection
- Pricing not competitive
- Order process lengthy or difficult
- Delivery costs unclear until near end of
transaction - Payment and fulfilment
- Card errors
- Security concerns
- No e-mail confirmation
- Or even delayed- most consumers expect instant
email confirmation - Delivery not as promised
- Most large companies have good websites- although
mistakes are made
12Figure 4.7 A generic Internet-specific SWOT
analysis showing typical opportunitiesand
threats presented by the Internet
13Figure 4.12 Using the Internet to support
different organisational growth strategies
14First S - Sell
- What and to whom
- Ansoff matrix again (see next slide)
- Market Penetration existing products and
markets increase share risk - Market Development - existing products to new
markets geographic or segmentation risk - Product Development new products to existing
markets product range Amazon risk - Diversification new products to new markets
risk
15Second S - Serve
- Add Value
- Free stuff
- Videos/help guides
- Downloadable pdf guides
- Trip Advisor
- Pre-, During, and Post- Sale
16Third S - Speak
- Communications
- On-line PR Social media
- Mass growth in use of
- Facebook for businesses
- Search Engine Marketing (SEM)
- Interactivity
- Opt-in (permission) e-mail
- Viral marketing
- Next slide
17Examples of Viral Marketing
- http//www.youtube.com/watch?NR1vJ5FVvw1yuTEfe
atureendscreen - http//www.youtube.com/watch?vowGykVbfgUE
18Fourth S - Save
- Cost reduction
- Critical to the business case
- Print post savings
- Go green
- Reducing bricks
- Move from high street to online
- disintermediation
- Change distribution tactics to cut out the middle
man
19Fifth S - Sizzle
- Brand building
- Quality of the experience
- http//www.madametussauds.com/London/
- Image
- Social media
- Blogs
- http//www.blogs.marriott.com/
20The Marketing Mix
- The classic mix the 4Ps
- The extended service mix the 7Ps
- And now the 8Ps
- Product
- Price
- Place
- Promotion
- People
- Processes
- Physical evidence
- Partnerships (Chaffey Smith, 2008)
21The Marketing Mix
22Figure 5.1 The elements of the marketing mix
23The 5Is
- For interactive marketing (Peppers Rogers,
1997) - Identification know your customer
- Individualisation treat customers individually
- Interaction - dialogue
- Integration whole company value chain
- Integrity trust permission marketing
- Complement the Ps
- The Is define what you want to do, and the Ps are
the variables controlled by the marketer
24Product
- Versions
- Physical, virtual (information goods), service
products - Variations
- The Long Tail
25Price
- Price pressures
- Reduce company overheads i.e. staffing, store
costs. Online prices can be cheaper - Commoditisation
- Price transparency
- Strategic pricing. Technology allows prices to be
tracked and changed almost instantly (e.g. yield
management of low cost carriers) - The price package basic, discounts, delivery,
guarantees warranties - Online discounts, loyalty discounts and
promotions - Hidden delivery charges
- Comparison sites/auction sites
26Place
- Expand/reduce distribution channels promoting
your product/service. - Considering impact on customer service quality
- Chain of distribution often changes. Lends itself
to direct selling can still involve a
wholesaler and retailer i.e. Travel Supermarket - Appearing on other websites, e-newsletters,
forums/blogs - be visible in different places/
reach different target markets. Search Engine
Rankings
27Keywords
- Example of good SEO practice
- Keywords
- Meta tags
- Whether you plan to use Adwords or rely on
Organic search, you must start with Keywords
28Search Engine Optimisation
- Do your keyword research.
- Select 3 - 5 phrases to optimize each page
against. - Write unique, compelling titles for each page.
- Focus on unique content that adds value to users
and incorporates sound SEO copywriting
techniques. - Ensure site architecture and design do not
prohibit thorough search engine crawling. - Build high-quality, in-bound links.
29SEO and page titles
- Title tag and meta tag give info about content of
website - Should be specific/relevant focus on USP
- Not too long however
30Keywords
- Ask customers
- Use your own ideas
- But there are tools to help
- Google Adwords Keyword Tool http//bit.ly/G_KWToo
l - Google Insights for Searchhttp//bit.ly/G_Insight
s - Google Trendshttp//www.google.com/trends
- Search for the 16th November- do searches
correspond with news on that day?
31Vertical Search
- Remember, you not only can appear in Google,
Yahoo etc. search results - You can also appear within a website search
results known as vertical search (Strauss
Frost, 2012) - This should be optimised too.
- Trip Advisor top hotels in an area
- http//www.tripadvisor.co.uk/Tourism-g186402-Birmi
ngham_West_Midlands_England-Vacations.html - Itunes music
- Craiglist - classified
32Backlinks
- Incoming links to a website or inbound links
(Chaffey Smith, 2009) - http//www.domain-pop.com/
- Gives you greater web presence and increase your
website page rankings - Often reciprocal process and can be paid for to
increase rankings. - Similar premise to user reviews
33White Labels
- A product or service created by one company and
then used and rebranded by another - Parkinson-Hardman (2008) discusses benefits as
- Appear bigger
- Remove production costs of ecommerce
- Can make a profit (mark up added to product)
- Covered in further detail later in module
34Promotion
- Promotional Mix impacts of the internet
- Advertising Display ads PPC SEO
- Selling avatars affiliates
- Sales promotion loyalty schemes
- PR blogs, social media links viral
- Sponsorship games virtual worlds
- Direct mail permission newsletters social
- Exhibitions more relevant to B2B
- Merchandising site design catalogues
recommendations - Packaging show what to expect
- Word-of-Mouth social review sites links
- Exclusive promotions to support growth of
different digital channels (Chaffey Bosomworth,
2011)
35People
- Good FAQs
- Call back
- Chat to an adviser
- Call centres
- Customers help each other
36Processes
- Have processes that match what customers want
ordering etc - Shopping carts must work all the time! (or 99.9)
37Physical evidence
- Site gives clues - your scent
- Clarity and order
- Appropriate image and style
- Reviews
- Delivery style and professionalism
- Icons
- Security
38Shopping Cart Abandonment
- Chaffey Smith (2008) discuss how to minimise
the risk - Number stages of purchase process
- Minimise no. of stages
- Offer incentive to buy now
- Provide relevant info within the checkout area
- Location selection tool- find local dealer
- Voucher system- print redeem in store
- Offer alternative booking method
- Reassurance about content safety
39Partnerships
- Affiliates
- Affiliate marketing programme. You rent space
on your website to other companies. - Usually brand/product matched
- A code is generated within the renters website,
and when a CTR or impression is made, this
records the amount of commission payable to the
rentee. - Lastminute.com reported that clicks generated
from affiliates are up 22.4 in 2010 YOY
(Marketing, 2010) - Links
40Impact of Brand
- Retailer brand
- Product brand
41Figure 5.9 The influence of brand knowledge on
purchase. Matrix for question I will buy a
product if Source Brand New World (2004)
42Figure 5.8 Changes to brand perception and
behaviour as a result of using the Internet for
research Source Brand New World (2004)
43References
- Chaffey, D. Bosomworth, D. (2011) Digital
Marketing Strategy, http//www.smartinsights.com/g
uides/digital-marketing-strategy/digital-marketing
-plan-template/ - accessed 12/12/11 - Chaffey, D., Smith, P. (2008) Emarketing
Excellence. 3rd Edition. Elsevier. Oxford, UK. - Chaffey, D. (2009) E-Business and E-Commerce
Management Strategy, Implementation and
Practice. 4th Edition. Pearson Education
Limited. Harlow, UK. - Chaffey, D., Ellis-Chadwick, F., Johnston,K.
Mayer,R. (2009) Internet Marketing Strategy,
Implementation and Practice. 4th Edition.
Pearson Education Limited. Harlow, UK. - Marketing (2010) Digital Report Affiliates -
Keep your affiliates onside, 28/04/10, General
OneFile. - Gay, R. Charlesworth, A. Esen, R. (2007) Online
marketing a customer-led approach, 1st Edition,
Oxford University Press. Oxford