Chapter 1 Integrating Internet Marketing into the Marketing Communications Mix

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The presentation that accompanies chapter 1 of Internet Marketing:Integrating Online and Offline Strategies. Adopters of the text receive access to the remainder of the chapter PPTs and the Instructors Manual.

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  • Clip art + questions suggests an interactive opportunity.If this doesn’t fit your style, you can hide or delete the slide.
  • Or if you’d like a comparison, this 2 minute video from a Q&A session with Eric Schmidt is old (2007) but remarkably prescient.http://www.youtube.com/watch?v=T0QJmmdw3b0
  • If you want to include numbers or expand this table, download the report fromhttp://www.jivesoftware.com/resources/whitepapers/access-social-business-results See page 9.You may have to go back from this link and register.
  • There are more statistics at http://www.thecloudinfographic.com/2011/11/07/the-cloud-revolution.html
  • Salesforce.com usually has one or more good product demos worth playing in class, as is the case with the “See What the Cloud Can Do” shown here.
  • Internet World Stats http://internetworldstats.com/ keeps this chart updated and has the most recent stats by geography that are available from a single source.
  • The International Telecommunication Union has a statistics page that aggregates statistics from all over the world and is kept updated.http://www.itu.int/ITU-D/ict/index.html
  • The Pew Internet project http://www.pewinternet.org/ has a trends page where you will find updates to this chart and other key statistics for the US Internet population. http://www.pewinternet.org/Home/Static%20Pages/Trend%20Data.aspxFor similar statistics by country in Europe seehttp://www.iabeurope.eu/knowledge-bank/country-specific-information.aspxI don’t know of an entirely parallel site for Asia/Pacific but this site aggregates data and blog posts by countryhttp://www.digitalmarket.asia/topics/countries/country-australianz/
  • There are a lot of places to find recent estimates of online marketing spending, including a search for the specific data item you’d like but eMarketer has many of them quickly and in charts that are easily usable in your PPT. Do save charts that you like, because they are only public for 30 days. Marketing Charts is another good place to search for specific data that you’d like to include.Sites that specialize in ad spending data includehttp://adage.com/datacenter/http://www.iab.net/insights_research/industry_data_and_landscapeeMarketer, Marketing Sherpa and Nielsen produce reports.Borrell Associates is the best single source for data on advertising in local markets. http://www.borrellassociates.com/index.php A lot of this data is locked away in paid reports, but there are executive summaries and stories posted on their blog.
  • A good site to visit on general principles http://www.charitywater.org/ You can use it to make the best practices principles, or to look at excellent use of rich media, or an engaging site in general. This is a good time to start pointing out the connect with/Like options and the variety of ways people can contact Charity:water. There is a link for their blog at the bottom of the page. Students should be paying attention to multiple channels from the beginning.
  • The points of control map is interesting. You might go to it live after either the Web 2.0 or 3.0 slides.
  • You may not want to do these links live if you use the salesforce.com demo in the classroom. It makes a good assignment and classroom discussion if you want to assign it in advance.
  • Chapter 1 Integrating Internet Marketing into the Marketing Communications Mix

    1. 1. 1 CHAPTER INTERNET MARKETING AS PART OF THE MARKETING COMMUNICATIONS MIX ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    2. 2. How Has the Internet Changed the Way You Live Work Communicate ARE YOU OLD ENOUGH TO REMEMBER BEING WITHOUT INTERNET ACCESS? ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    3. 3. EVOLUTION OF THE INTERNET SLOW GROWTH FROM 1957 THROUGH 1990 • 1950s: The Cold War spawns the ARPAnet • 1960s and 70s: Slow growth—limited to scientists and researchers around the world • 1980s: TCP/IP; National Science Foundation operated the backbone, banned commercial traffic ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 3
    4. 4. EVOLUTION OF THE INTERNET 1990S THROUGH PRESENT: BOOM, BUST, STABLE GROWTH • 1991: Gopher and HTML • 1993: Mosiac • 1995: Yahoo! • Throughout the 1990s: Venture Capital Dollars Chasing Untried Business Models • 2000 through 2002: Business Failures and Disappearance of Venture Capital • 2004 On: Rapid Growth in Users, Content, and Sales (B2C and B2B); Emergence of New Players Like Google, Facebook, Foursquare, Groupon ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4
    5. 5. INTERNET TIMELINE ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 5
    6. 6. Sabre Holdings From an Internal Network To a Commercial Product To an Enterprise with a Portfolio of Brands ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    7. 7. WHAT DOES BUST/RETURN TO GROWTH SAY ABOUT INTERNET BUSINESS MODELS? ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    8. 8. CHARACTERISTICS OF WEB 2.0 • Services, Not Packaged Software; Scalability • Unique (Behavioral) Data • Users as Co-Developers • Harness Collective Intelligence • Leverage the “Long Tail” • Software Increasingly Device Agnostic • “Lightweight” Interfaces, Development and Business Models ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 8
    9. 9. WEB 3.0? • Real Time • Semantic • Open Communication/Data Transfer • Mobile and Geolocation ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 9
    10. 10. ‘SOCIAL BUSINESS’ TECHNOLOGY IMPROVES BUSINESS OUTCOMES What Increased What Decreased Communication with customers Time to find information and experts Employee connectedness Number of customer support calls Number of emails sent Project collaboration and productivity Ideas generated inside the firm Time needed for meetings New business win rate Need for travel ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 10
    11. 11. GLOBAL BRANDS – COMBINATION OF ONLINE AND OFFLINE ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    12. 12. INTERNET MARKETING PARADIGM ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    13. 13. ELEMENTS OF IM PARADIGM Objectives Inputs Actions Customer Acquisition Internet Business Models Customer Conversion Interactive Channels Customer Retention Offline Channels Ecommerce Customer Value Growth Social and Regulatory Issues Customer Service and Support Advertising and Promotion - Direct Response - Brand Development ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    14. 14. INTERNET INFRASTRUCTURE STACK ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    15. 15. COMPUTING ‘IN THE CLOUD’ • Computing and Data Storage on ‘Public Clouds’ or ‘Private Clouds’ • Suppliers like Amazon, Salesforce.com or Private, Custom Sites for Corporations, Government Agencies • Fee for Services Instead of Investment • Do not Have to Maintain Hardware and Software ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    16. 16. CLIENT SERVICES ‘IN THE CLOUD’ ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    17. 17. CONSUMERS BENEFIT FROM CLOUD • Web-based Email • Store Photos or Videos Online • Use Apps Like Google Docs, Photoshop Express • Store or Backup Files Online ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 17
    18. 18. PROFILE OF THE INTERNET AND ITS USERS ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    19. 19. ISSUES IN DEVELOPMENT OF INTERNET • Approaching Saturation in Developed Countries • Growth Continues in Developing Countries • Broadband and Mobile are Facilitators • Speed of Access Important • Cell Phone Penetration High • Mobile Access to Exceed Desktop Access ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    20. 20. SIZE OF INTERNET BY GLOBAL REGION ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 20
    21. 21. MOBILE DRIVING GROWTH WORLDWIDE ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    22. 22. DEMOGRAPHICS U.S. INTERNET USERS ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    23. 23. SEARCH, EMAIL STILL MOST POPULAR SOCIAL NETWORKS ‘TRENDING’ ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    24. 24. USAGE SEGMENTS ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    25. 25. SEARCH OUTSTRIPS SOCIAL FOR PRODUCT INFO ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    26. 26. MARKETERS ‘FOLLOW THE EYEBALLS’ ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    27. 27. DIGITAL’S PROPORTION OF TOTAL BUDGET CONTINUES TO GROW True for B2C as Well as B2B ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    28. 28. STRATEGIC DRIVERS - INTERNET MARKETING Information Creates Greatest Value Added,-All Products, Services Size and Distance Often Do Not Matter (availability of resources critical) Speed and Flexibility Essential People are the Key Assets Growth in the Network Causes Exponential Increase in Value Marketers Can Deal with Customers One-to-One Demand Can Be Predicted with Greater Accuracy Cost Patterns Change as Transaction, Coordination (B2B) and Switching (B2C) Costs Decrease Consumers Have Power in Information-Rich Channels The Information Economy is Characterized by Choice, Abundance ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    29. 29. CHARITY:WATER – BEST PRACTICES ONLINE AND OFFLINE ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    30. 30. SOME BEST PRACTICES • Personalization • Effective-and Cost-Effective-Promotions • Email, Search Advertising, Social Networks • Can be Tracked, Effectiveness Measured • Use of Rich Media • Strategic Partnerships • Consumer Involvement, Co-Creation • Integration with Offline • These and More Discussed Throughout Text ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
    31. 31. SUMMARY • Internet Integral Part of • Daily Lives of People Around the Globe • Business Communications and Operations (SMB/Local) • Marketing > Communications, Transactions Channels o Acquisition, Conversion, Retention, Value Growth • Change, Innovation Continuing (Accelerating?) • Technological Change is Marketing Facilitator • We’re All Living In the Cloud • Difficult to Keep Up • Basic Rules of Business and Economics Apply • Profit (Sustainability for Non-Profits) • Sensible, Scalable Business Models • Strategic Drivers of Online Economy Different from Offline • Internet Best Practices Evolving ©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 31

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