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Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
Ibahrine Chapter 1
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Ibahrine Chapter 1

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  • 1. Chapter One A MARKETING PERSPECTIVE IN THE INTERNET AGE
  • 2. Learning Objectives To develop a conceptual foundation for comparing (Similarities and differences) between traditional and Internet marketing To examine how human advances in communication, numeracy and computing contributed to the creation of the internet (Important links to the Internet’s past) To identify the immediate precursors to today’s commercial Internet To consider the state of the Internet economy and theorize about its future 1-2
  • 3. Internet The internet is a global network of interconnected computer networks, built on common standards E-mail and data files move over phone lines, cables, and satellites from sender to receiver. There are two special uses of the internet: Intranet: network that runs internally in an organization. (china) China's Great Firewall impedes foreign trade Extranet: two joined networks that share information. 1-3
  • 4. Origins of the Internet The Internet started in 1969 as the ARPANET, a network for academic and military use. (Initial ARPA and DARPA research) Two key early adopters: Rogers model for the adoption and diffusion of innovations University instructors and researchers The United States military
  • 5. Origins of the Internet Researchers began work in 1960s Four peer computer nodes connected in 1969 Development of TCP/IP protocols
  • 6. Origins of the Internet Governed initially by the National Science Foundation, which prohibited all commercial transactions Services include the Web, e-mail, file transfers, etc. Email propelled the Internet off campus and outside the military
  • 7. The World Wide Web The Web is the portion of the internet that supports a graphical user interface for hypertext navigation with a browser. The Web is what most people think about when they think of the Internet. 1-7
  • 8. The Internet Goes Mainstream E-Marketing’s Past: Web 1.0 Government regulation dissolved in early 1990s By 1994, the Internet had gone commercial Tim Berners-Lee Talks: Tim Berners-Lee on the next Web Web 1.0 connected people to networks.
  • 9. The Web Most popular service on the Internet, the release of the World Wide Web Developed in early 1990s Provides access to Web pages (HTML documents) Can include text, graphics, animations, music, videos Web content has grown exponentially, from around 2 billion Web pages in 2000 to around 40 - 50 billion today Slide 1-9
  • 10. Booms and Busts Fascination with the web also led to an infusion of investment capital The first generation of e-business was like a gold rush Aggressive, expensive battle for customers doomed many start-ups Greater discipline and more cost-effective marketing plans allowed the dot-com era to take root Between 2000 and 2002, more than 500 internet firms shut down in the U.S. (dot-com bubble)
  • 11. Web 2.0 The “new” Web Web 2.0 connected people with machines and each other Web 2.0 is the second generation of internet technology and includes: Applications and technologies that allow users to: create, edit, and distribute content share preferences, bookmarks, and online personas participate in virtual lives Build online communities Slide 1-11
  • 12. Web 2.0 The “new” Web Blogs Social networking Photo, video, and bookmark sharing Examples YouTube, Photobucket, Flickr MySpace, Facebook, LinkedIn Second Life Wikipedia Slide 1-12
  • 13. The Future: Web 3.0 The newest technologies allow marketers to focus on user: Engagement Participation Co-creation Online gaming represented over $1 billion in revenue and 15 million players in 2006. 1-13
  • 14. Defining Marketing in the Internet Age 1-14
  • 15. Defining Marketing in the Internet Age Marketing Is a collection of activities Brings buyers and sellers together Facilitates satisfying exchanges Adds value Occurs online, offline, and collaboratively in both environments 1-15
  • 16. Defining Marketing in the Internet Age Internet marketing or Emarketing is marketing in electronic environments, primarily on the Internet Like, traditional marketing, the goal of Internet marketing is to facilitate exchange, build long- term customer relationship and create value, which is the benefits received from marketing exchange 1-16
  • 17. Defining Marketing in the Internet Age Customer satisfaction is at the heart of marketing The Internet adds to the customer satisfaction by delivering time, place and form utility 1-17
  • 18. Defining Marketing in the Internet Age Time utility happens because web storefronts never close Information is available nonstop and searches can be conducted and purchases made whenever the visitor is connected 1-18
  • 19. Defining Marketing in the Internet Age The Internet is an always on 24/7/365 environment 24 hours a day 7 days a week 365 days a year 1-19
  • 20. Defining Marketing in the Internet Age Place utility is provided by entertainment, news, weather, software and other virtual products that can be delivered directly from the Internet to the visitor’s computer screen or wireless device 1-20
  • 21. Defining Marketing in the Internet Age Form utility when products are customized or made available in the desired assortment or quantities The Internet facilitates product customization on a scale that cannot be achieved offline 1-21
  • 22. Dot-com Originally, the term dot-com referred to businesses that were solely online without an offline store, production facility, or office Today the term more broadly means the online operation of a clicks-only or brick- and-clicks enterprise 1-22
  • 23. Why Study E-marketing? Technology is different and more powerful than other technologies Has challenged much traditional marketing thinking Has a number of unique features that help explain why we have so much interest in e-marketing Slide 1-23
  • 24. Unique Features of E-marketing Technology Ubiquity Global reach Universal standards Information richness Interactivity Information density Personalization/customization Social technology Slide 1-24
  • 25. Links to the Internet’s Past It’s wise to look to the future and learn from the past Connections to past events, discoveries, innovations paved the way for the Internet Why is it so important that Ancient people developed written language Literacy spread Industrialization occurred Production became mobile Computers were created Computing power increased; prices fell 1-25
  • 26. Table 1-4 1-26
  • 27. Table 1-4 1-27
  • 28. What Lies Ahead Just 15 percent of the world’s 6.3 billion population is online And the dominance of American users is steadily shrinking
  • 29. New Technologies, New Opportunity Advanced Connection Devices – from cell phones to home wireless systems – increase the potential online consumer audience Faster Internet Connections bring marketing messages to the audience more swiftly
  • 30. A Shift for Marketing From “Selling the Brand” – The old model emphasized on mass production and a promoting a distinct brand To “Managing the Consumer” – Online marketing puts focus on the customer’s individualized interests and demands
  • 31. Static websites provide basic information and game broadcasts Dynamic websites allow greater fan interaction and facilitate ecommerce Personalized websites respond to individualized fan interaction Keyword Advertising links fans to potential travel and tourism sites
  • 32. Rethinking Marketing Strategy Three General Purposes Technologies form the foundation of Internet marketing and pave the way for greater innovation: The Digital Revolution Networking Individualization
  • 33. E-marketing Trends: 2010 New marketing models based on social technologies and user-generated content Search engine marketing challenges traditional marketing More and more people/businesses use Internet to conduct marketing Broadband and wireless Internet access growing Continued conflict over copyrights, content regulation, taxation, privacy, Internet fraud and abuse. Slide 1-33
  • 34. Potential Limitations on the Growth of E-marketing Expensive technology Sophisticated skill set Persistent cultural attraction of physical markets and traditional shopping experiences Persistent global inequality limiting access to telephones and computers Slide 1-34
  • 35. Consumers Have More Control The internet provides a communication platform for individual comments, both positive and negative. Comments can spread quickly and rapidly. New technologies such as digital video recorders (DVRs) will increase consumer control. New service Akimbo maintains a library of over 10,000 programs with access via the internet, television, or other appliance. 1-35
  • 36. Power Shift from Companies to Individuals Exhibit 1.7 1-36
  • 37. TEXT-READING in Class p.7, Links to the Internet's Past Interview YouTUBE 1-37
  • 38. /The End/ 1-38

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