The Search for Opportunities in the Internet Using Internet Marketing Mechanisms

The Search for Opportunities in the Internet Using Internet Marketing Mechanisms Tomasz Frontczak, M.Sc. Stefan Trzcielinski, Ph. D., D.Sc. Institute of Management Engineering Poznan University of Technology, Poznan

Agenda

Internet

The Search – Datab a se of Intentions

The Long Tail

Opportunity Oriented Marketing in the Internet

Mechanisms of Internet Marketing

Internet Marketing Platforms

Case Studies

Internet The latest research (2007) conducted by Piper Jaffray & Co shows that the internet becomes mass-medium

What Do We Do Online?

We... search Search is the second most commonly used application on the Web with 550 million searches daily in the United States . In Poland Google search engine took first place in the rankings of visiting all web services. ... we search to find! ... reverse broadcast network

We search and build database of intentions Search engines, gathering data about every query and click, build a huge database . “ Taken together, this information represents a real-time history of post – Web culture - and massive clickstream database of desires, needs, wants, and preferences that can be discovered, archived, tracked and exploited for all sorts of ends” (Battelle J., 2005)

Database of intentions – source of opportunity There are unique intentions described by users. Some of them are needs which become demand on products or services. Unique needs have existed up to now but only the internet era made their description and their satisfaction possibile .

Database of intentions – source of opportunity In the past, unique need was not an opportunity for an entrepreneu. Why? There was not any possibility of its identification or small scale. The internet removed these obstacles. Unique intentions create so called long tail which is a band of opportunities for the enterprise .

The Long Tail Chris Anderson, the editor of Wired, introduced the expression “the long tail” into the business dictionary It works where there is lack of regularities based on Pareto How to make business?

The Long Tail

The Long Tail Finite shelf space, broadcast channels, and column inches have been replaced by infinite product supply and infinite findability

Supply – internet - demand intentions

Supply – internet - demand Opportunity Oriented Marketing in the Internet

based on database of intentions

Google/Yahoo/MSN created platforms of the internet marketing, which operate on the global scale . E ssential intermediary element between an entrepreneur and a customer in the internet communication .

they allow demand to meet supply.

Mechanisms of Internet Marketing

Mechanisms of marketing consist of:

platforms of the internet marketing

methods of ads targeting

the payment model for ads

ads forms

Internet Marketing Platforms 1/2 The main features characterizing modern advertising-platforms are the following: • the automated service available from a standard internet browser, • the global range, • the possibility of the keyword or service selection where the ads are to be displayed, the creation of the advertising-transmission and the immediate broadcasted (within max few minutes). Such a feature allows after opportunity recognition and immediate reaction .

Internet Marketing Platforms 2/2 • the data access , in time close to the real time (with smaller than 3 h delay for Google Adwords), concerning ads costs and ads effectiveness, • the possibility of continuous costs modification and adapting itself to changes, • the possibility of easy testing , which ads or method better affects the receiver (simultaneous advertising and conducting research on the ads effectiveness).

Examples of tools

Keyword Tools

Trends The sample is... everyon e

Analytics Tools

2 Case Studies

The Tail Is Bigger Than Head

New Service Added to the Offer