1. Topic 7
Emarketing Management
E-Marketing And Customer
Relationship Management

2. Objectives
• Define electronic marketing and commerce and
recognize increasing importance in strategic
planning
• Understand characteristics of electronic
marketing and differentiate them from traditional
marketing
• Examine how characteristics of electronic
marketing affect strategy
• Understand how electronic marketing and
information technology facilitate customer
relationship management
• Identify legal/ethical considerations in electronic
marketing
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3. Using Technology And Information
To Build Customer Relationships
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4. Electronic Marketing
• E-commerce – conducting business through
telecommunications networks
E-Commerce Analysis Tools
• E-marketing – creating, distributing, promoting,
and pricing products for targeted customers
over the Internet
Electronic Economy In Perspective
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5. Consumer-Generated
Electronic Marketing
• Desire to learn about consumers’ opinions
and experiences
• Increased ability to exchange information
between consumers
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6. Blogs
Web-based journals in which people
can editorialize and interact with other
Internet users.
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7. Wikis
Software that create an interface that
enables users to add or edit the content
of some types of websites (also called
wikis or wikipages).
Wikipedia.org
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8. Technologies That Provide
Consumers Marketing Information
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9. Characteristics Of
Electronic Marketing
• Addressability
• Interactivity
• Memory
• Control
• Accessibility
• Digitalization
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10. Addressability
A marketer’s ability to identify customers
before they make a purchase.
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11. Cookie
An identifying string of text stored on a
website visitor’s computer.
What is an Internet cookie?
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12. Interactivity
The ability to allow customers to express
their needs and wants directly to the firm
in response to the firm’s marketing
communications.
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13. Community
A sense of group membership or feeling of
belonging by individual members.
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14. Memory
The ability to access databases or data
warehouses containing individual customer
profiles and purchase histories and use
these data in real time to customize a
marketing offer.
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15. Database
A collection of information arranged for easy
access and retrieval.
Data Mining
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16. Control
Customers’ ability to regulate the
information they view and the rate and
sequence of their exposure to that
information.
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17. Portal
A multiservice website that serves as a
gateway to other websites.
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18. Accessibility
The ability to obtain information available
on the Internet.
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19. Digitalization
The ability to represent a product, or at
least some of its benefits, as digital bits
of information
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20. E-Marketing Strategies
And Considerations
• Product
– Computers and related accessories
biggest seller online
– Customized orders
– Services growing
• Distribution
– Order processing
– Synchronization
• Promotion
– Augments traditional forms
– Consumer in control
• Pricing- More consumer information
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21. Types Of
Advertising On Websites
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22. Customer
Relationship Management
• Database Marketing
• Customer Lifetime Value
• Technology Driven
– Customer support
– Call-center software
• Customer Satisfaction
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23. Elements Of
Database Marketing
1. Identify/build database
2. Differentiate messages to consumers
3. Track relationships
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24. Types Of Databases
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25. Customer lifetime value (CLV)
• In marketing, customer lifetime value (CLV),
lifetime customer value (LCV), or user lifetime
value (LTV) is a prediction of the net profit
attributed to the entire future relationship with a
customer.
• The prediction model can have varying levels of
sophistication and accuracy, ranging from a
crude heuristic to the use of complex predictive
analytics techniques.
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26. Questions For CLV
• Which customers receive preferential
treatment?
• What channels used to interact with
customer?
• Timing of offering to customer?
• Which are good prospects?
• Allocation of resources?
• Method of monitoring customers?
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27. Technology Drives CRM
• Customer Contact Points
– Telephone
– Fax
– Online
– Personal
• Data Analysis
• Customer support/call-center software
• Sales automation software
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28. Customer Satisfaction and CRM
CRM is about relationships, not technology
– technology can help build long-term
relationships
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29. Legal/Ethical Issues
In E-Marketing
• Privacy
• Spam- unsolicited commercial e-mail
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30. AMA Code Of
Ethics For
Marketing On
The Internet
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