Powerpoint made for class FM225: Global Marketing at The Art Institutes International -- Kansas City

1. The Future of Global
Marketing:
The Internet and Its
Continuous Growth
Global Marketing
Ana Piñón

2. Global Marketing
• Driving force behind international finance and
trade
• Consumers and businesses have access to the
best products available in different countries
• With the increase in competition between
countries, there are increasingly rapid
improvements and new technology being
produced

3. The Elements of Global Marketing:
“The Four P’s”
• Product
– Creating a single product with
elements that can be tweaked
for different markets
• Price
– Varying from market to market
with many variables affecting
cost
(development, materials, delive
ry, etc.)
• Placement
– How the product is
distributed, influenced by
competition
• Promotion
– Delivering the message
effectively through advertising

4. The Internet
• The Internet plays a
highly significant role as
the most powerful
business weapon in
today’s globalized
business world
• The more people
becoming Internet users
daily, the market is
constantly growing
• Faster and fewer
geographical distribution
obstacles

5. Internet Users in the World
Distribution by World Regions (2011)
Based on 2,267,233,742 Internet users on December 31, 2011.
www.internetworldstats.com/stats.htm

6. e-Commerce
• Buying and selling of products and services over
the Internet
• Regulated by the Federal Trade Commission(FTC)
• A brick and mortar store are unnecessary
• Draws on many technologies:
– Inventory management systems, electronic funds
transfer, online transaction processing, supply chain
management, etc.

7. Online Retail Sales Continue Steep
Climb
“U.S online retail sales have been on a booming upward trend since 2000. From 2000
to 2007, online sales grew an average of 20% each year. For the next five years, online
retail sales are expected to increase an average 10% each year and will account for
53% of all U.S. retail sales by 2014.”
– U.S. Department of Commerce, Money Morning Staff Research
http://www.nuwireinvestor.com/articles/online-sales-projected-to-exceed-over-half-of-retail-sales-55978.aspx

8. The Future of e-Commerce
• Growth of confidence with online shopping
• Becoming better acquainted with the
customer’s personal taste:
– Remembering your preferences, gauge your level
of interest in a certain item, and make
adjustments to the price and option
• Resemble a catalog less and feel more like an
in-store experience

9. Advantages
• Lower marketing costs
• Eliminate travel time and cost
• Overcome geographical limitations
• Economic scale in production and distribution
• Gain new customers
• Locate product quicker
• Provides comparison shopping
• Provides abundant information on products
• Remain open at all times

10. Disadvantages
• Differences affecting all marketing aspects
– Culturally
– Legally
• The value of human relationship
• Delay of goods
• Goods you cannot buy online:
– Perishable or odd-sized
• Does not allow you to experience the product
before purchasing
• Security

11. References
• About.com
– http://ecommerce.about.com/od/eCommerce-Trends-and-Issues/a/The-Future-Of-Ecommerce.htm
• NuWire
– http://www.nuwireinvestor.com/articles/online-sales-projected-to-exceed-over-half-of-retail-sales-
55978.aspx
• BusinessDictionary
– http://www.businessdictionary.com/answers/2546/impact-of-globalization-on-the-future-of-
international-marketing/
• Streetdirectory
– http://www.streetdirectory.com/travel_guide/1884/computers_and_the_internet/future_for_intern
et_marketers.html
• Bright Hub
– http://www.brighthub.com/money/investing/articles/69515.aspx
• Reference
– http://www.reference.com/browse/global+marketing?s=t
• InstaBriefs
– http://www.instabriefs.com/market-research/international-marketing/international-marketing-fast-
f.php