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E-marketing
   Electronic marketing refers to the    application of marketing principles and    techniques via electronic media and  ...
   E Marketing is the use of information    technology in the processes of    ◦ creating, communicating and delivering   ...
Online marketing It means using the power of online  network, computer communications  and digital interactive media to  ...
Problems in TraditionalMarketing Expensive (print brochures, product  sheets and catalogs,postage,shipping) Time consumi...
E-marketing value chain           Strong relationship between the            company and the consumerCustomer            ...
E-Marketing Methods 1)   Search engine marketing 2)   Display Advertising 3)   E-mail marketing 4)   Interactive marketing...
E-Marketing Methods1)   Search engine marketing
S                                         e                                         a                                     ...
Mass        Direct      Interactive               Marketing   Marketing   MarketingDistributionChannelMarketStrategyEnabli...
Benefits of e-marketing overtraditional marketing   Scope (global marketplace)    E-marketing opens up new scope for     ...
 Targeted audience Adaptivity & closed-loop marketing –  constant measurement and analysis Quick information(real-time ...
But E-marketing Suffers From Lack of understanding of technology  by marketers Fast Changing technologies Lack of data...
Challenges/Problems•   Low percentage of computer    penetration•   Cost of internet connection•   Slow Internet connectiv...
Challenges/Problems Integration of e-marketing and  conventional marketing creates a  “blurred channel” Hybrid advertisi...
Challenges/Problems   Technological limitations    ◦   Different browsers    ◦   Online software (plug ins java –flash et...
Changing roles intoInformation-based Marketing1.    Retailers vs. Manufacturers     (POS terminals)     a) Market research...
1. Retailers Vs Manufacturers POS plays a major role in shifting the  power. New possibilities arises with private  labe...
a) Market Research &customer prospecting Conventional Methods of collecting data  often cost million of dollars, For a fr...
b) Market presence   Companies put their information on    web servers to present themselves in    market.  ◦ Automobile ...
c) Product or ServiceBundling   Bundling strategies:    ◦ Only components    ◦ Only Bundles    ◦ Mixed Strategy   To eva...
Contd… But in online world, information bundling is  more easy through___________? Issues :    ◦ On what basis do we nee...
d) Information based products :pricing and priority Information products can be s/w, e-book,  entertainment, databases et...
 Information products will most likely to be  priced on the basis of speed of  “Availability and Accuracy” Issues needs ...
2. Target and micro marketing Traditional mass marketers continue as if  population were homogenous, whereas  micro marke...
3. Small v/s large In traditional ,Small business rarely grow  just because of advertising cost With advent of e commerc...
4. Gray Areas: Regulatory andLegal Implicationsex. ad of cigarettes in US
Why Internet Advertisement? Ads   can be updated any time with a minimal cost. Adscan reach large numbers of buyers all ...
On-line advertising paradigms   Active or Push-based advertising    ◦ Broadcast model      Means for reaching a great nu...
Cont… ◦ Junk mail model    Direct marketing method    Uses targeted mailing list    Relative high cost per contact    ...
Disadvantages of activeadvertising May invoke negative response Lack of interactive marketing    ◦ Adaptability    ◦ res...
Passive or Pull-basedadvertising Provides a feed back loop connecting   company and customer ◦ Billboard or WWW model ◦ Ca...
Billboard or WWW model Do not require active search No cost to customers Ability to completely cover a market Disadvan...
Catalog and Yellow pages directory model Requires active search on part of the  customer Directory services –white pages...
Customer endorsement Experiences of the people with  products and services – both positive  and negative Most effective ...
Issues in online-advertising Advertising process Core content Supporting content Market and consumer research Repeat ...
Guidelines for internet advertising Do not send intrusive messages Do not sell customer data without the  express permis...
Cont… Conduct research only with the  consumer’s consent Never use internet communications  software to conceal activities
Online Marketing Process1.       Segment and identify the target         audience     ◦       Divide the market into separ...
2.       Create a coherent advertising plan     ◦    What is the ad meant to accomplish?     ◦    Who should the ad talk t...
4. Correspond and interact with   customers ◦   Passive interaction via sites ◦   Direct interaction via e-mail ◦   Group ...
Types of    internet advertisements Floating ad- An ad which moves across  the users screen or floats above the  content....
 Wallpaper ad- An ad which changes the  background of the page being viewed. Trick banner- A banner ad that looks like a...
 Video ad: similar to a banner ad, except that  instead of a static or animated image, actual  moving video clips are dis...
Internet Advertisement   Banner advertisement is the most    commonly used form of advertising on    the Internet.    ◦ T...
Internet Advertising (cont.)   E-mail Advertising. Email is a cost-    effective marketing channel with a better    and q...
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E marketing and Advertisement

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E marketing and Advertisement

  1. 1. E-marketing
  2. 2.  Electronic marketing refers to the application of marketing principles and techniques via electronic media and more specifically the Internet.
  3. 3.  E Marketing is the use of information technology in the processes of ◦ creating, communicating and delivering value to customers ◦ managing customer relations E Marketing is the fusion of IT with traditional marketing
  4. 4. Online marketing It means using the power of online network, computer communications and digital interactive media to achieve the marketing objective 3 new market segments ◦ Cyberbuyers (professional) ◦ Cyberconsumers (home computer users) ◦ Cybersurfers
  5. 5. Problems in TraditionalMarketing Expensive (print brochures, product sheets and catalogs,postage,shipping) Time consuming “Hit and Miss” strategy
  6. 6. E-marketing value chain  Strong relationship between the company and the consumerCustomer Customer Customer Customeracquisition (pre- support (during fulfillment support (postpurchase purchase) (purchase purchase )support dispatch)
  7. 7. E-Marketing Methods 1) Search engine marketing 2) Display Advertising 3) E-mail marketing 4) Interactive marketing 5) Blog marketing 6) Viral marketing
  8. 8. E-Marketing Methods1) Search engine marketing
  9. 9. S e a r c h E-Marketing Methods P r e f e2) Display r e n c Advertising e s3) E-mail marketing4) Interactive Marketing5) Blog Marketing6) Viral Marketing (ex. Word of mouth)
  10. 10. Mass Direct Interactive Marketing Marketing MarketingDistributionChannelMarketStrategyEnablingTechnologyAuthors ofmarketingmaterialExpectedoutcome
  11. 11. Benefits of e-marketing overtraditional marketing Scope (global marketplace) E-marketing opens up new scope for smaller businesses on smaller budget to access the potential customer all over the world Increase Interactivity with customers Immediacy – reduces time between hearing about a product to actual acquisition (e.g. magazine)
  12. 12.  Targeted audience Adaptivity & closed-loop marketing – constant measurement and analysis Quick information(real-time analysis) Saves money (e-version of Brochures, catalogues) More customer satisfaction (customized products)
  13. 13. But E-marketing Suffers From Lack of understanding of technology by marketers Fast Changing technologies Lack of data Lack of trained personal Senior management barriers Corporate culture
  14. 14. Challenges/Problems• Low percentage of computer penetration• Cost of internet connection• Slow Internet connectivity• Low percentage of surfers entering into online transactions• Less use of Credit cards• Cyber security• Cyber crime• Loss of personal touch in shopping
  15. 15. Challenges/Problems Integration of e-marketing and conventional marketing creates a “blurred channel” Hybrid advertising Difficult to satisfy varied consumer expectations Difficult to keep pace with changing technology Legal issues
  16. 16. Challenges/Problems Technological limitations ◦ Different browsers ◦ Online software (plug ins java –flash etc.) ◦ Screen resolutions ◦ Bandwidth speed ◦ Operating systems ◦ Server technology
  17. 17. Changing roles intoInformation-based Marketing1. Retailers vs. Manufacturers (POS terminals) a) Market research and customer prospecting b) Market presence c) Product or service bundling d) Information-based products: Pricing & priority2. Target and Micromarketing3. Small vs. Large business4. Gray areas: Regulatory and legal implications
  18. 18. 1. Retailers Vs Manufacturers POS plays a major role in shifting the power. New possibilities arises with private labeling of goods Information Based marketing can offer a manufacturers and retailers to do: ◦ Market Research ◦ Market Presence ◦ Bundling Of products and services ◦ Pricing and priority of products
  19. 19. a) Market Research &customer prospecting Conventional Methods of collecting data often cost million of dollars, For a fraction of these cost companies now a days put information on servers In future , market research will reward customers for listening or watching commercials For ex: Freefone service provided to US WEST Customers
  20. 20. b) Market presence Companies put their information on web servers to present themselves in market. ◦ Automobile companies Market presence can be choreographed by promotional discounts “only to those to whom it pays, who are cost sensitive enough to switch the brands”
  21. 21. c) Product or ServiceBundling Bundling strategies: ◦ Only components ◦ Only Bundles ◦ Mixed Strategy To evaluate desirability of these strategies Some issues must be considered:  What are the prices of bundles or components  What are level of revenues  Which portion of potential market is atttracted
  22. 22. Contd… But in online world, information bundling is more easy through___________? Issues : ◦ On what basis do we need to bundle the products? ◦ Does bundling decrease information search costs? ◦ How do we sell bundled products which are from different countries? ◦ How do we price these bundled products?
  23. 23. d) Information based products :pricing and priority Information products can be s/w, e-book, entertainment, databases etc or derived information such as FAQ Important issues – “Pricing and priority” ◦ Pricing include product, service, connectivity, brokerage costs. ◦ How are prices determined in multi-participant world ◦ What are characteristics of supply and demand ◦ What technology do we use to obtain information useful for price estimation
  24. 24.  Information products will most likely to be priced on the basis of speed of “Availability and Accuracy” Issues needs to be resolved: ◦ how to set prices for different priority sets? ◦ How to specify sets? ◦ How to take in account price competition ? ◦ Develop better way to collect and present pricing information about services (price shock)
  25. 25. 2. Target and micro marketing Traditional mass marketers continue as if population were homogenous, whereas micro marketers not only have discovered various segments but mining profitable places by targeting customers Issues: ◦ Getting close to consumers (because customer is bombarding with a lot of messages by different brands.)
  26. 26. 3. Small v/s large In traditional ,Small business rarely grow just because of advertising cost With advent of e commerce , small business can now bridge this gap The major differences between Internet and other I-way Advertising media :Ownership and membership fees which is no longer case with Internet .
  27. 27. 4. Gray Areas: Regulatory andLegal Implicationsex. ad of cigarettes in US
  28. 28. Why Internet Advertisement? Ads can be updated any time with a minimal cost. Adscan reach large numbers of buyers all over the world. Online ads are frequently cheaper in comparison with television, radio, newspaper, or billboard ads. Webads can efficiently use text, audio, graphics, and animation. The audience for Internet advertising is growing rapidly. Web ads can be catered to a specific target. 28
  29. 29. On-line advertising paradigms Active or Push-based advertising ◦ Broadcast model  Means for reaching a great number of people in a short period of time  News groups - Users read and post public messages (called articles or posts, and collectively termed news) to one or more categories, known as newsgroups  list servers
  30. 30. Cont… ◦ Junk mail model  Direct marketing method  Uses targeted mailing list  Relative high cost per contact  Need to update mailing list  Possible cost to customers  Difficult to get consumer attention  May make receiver annoyed
  31. 31. Disadvantages of activeadvertising May invoke negative response Lack of interactive marketing ◦ Adaptability ◦ response
  32. 32. Passive or Pull-basedadvertising Provides a feed back loop connecting company and customer ◦ Billboard or WWW model ◦ Catalog and Yellow pages directory model ◦ Customer endorsements
  33. 33. Billboard or WWW model Do not require active search No cost to customers Ability to completely cover a market Disadvantage is related to viewing time
  34. 34. Catalog and Yellow pages directory model Requires active search on part of the customer Directory services –white pages, yellow pages Advantages ◦ Ad permanence ◦ Ability to target a well defined area ◦ Low in cost Disadvantage ◦ Not suitable for price advertising
  35. 35. Customer endorsement Experiences of the people with products and services – both positive and negative Most effective advertisements on the internet
  36. 36. Issues in online-advertising Advertising process Core content Supporting content Market and consumer research Repeat customers
  37. 37. Guidelines for internet advertising Do not send intrusive messages Do not sell customer data without the express permission of the user Do not send advertisement to unrelated news groups and list servers only Conduct promotions and direct selling only under full disclosure
  38. 38. Cont… Conduct research only with the consumer’s consent Never use internet communications software to conceal activities
  39. 39. Online Marketing Process1. Segment and identify the target audience ◦ Divide the market into separate and distinct customer groups ◦ Segmentation approaches  Demographic approaches  Benefit or behavioural approaches  Volume approaches  Business specialization approaches
  40. 40. 2. Create a coherent advertising plan ◦ What is the ad meant to accomplish? ◦ Who should the ad talk to? ◦ What should the ad say? ◦ What advertisement medium would be effective?3. Get the content to the customer ◦ Push based or pull based marketing
  41. 41. 4. Correspond and interact with customers ◦ Passive interaction via sites ◦ Direct interaction via e-mail ◦ Group dialogs via bulletin boards, news groups ◦ Video conferencing5. Learn from customers ◦ Evaluation6. Provide customer service and support
  42. 42. Types of internet advertisements Floating ad- An ad which moves across the users screen or floats above the content. Expanding ad- An ad which changes size and which may alter the contents of the webpage. Polite ad- A method by which a large ad will be downloaded in smaller pieces to minimize the disruption of the content being viewed
  43. 43.  Wallpaper ad- An ad which changes the background of the page being viewed. Trick banner- A banner ad that looks like a dialog box with buttons. It simulates an error message or an alert. Pop-up- A new window which opens in front of the current one, displaying an advertisement, or entire webpage. Pop-under- Similar to a Pop-Up except that the window is loaded or sent behind the current window so that the user does not see it until they close one or more active windows.
  44. 44.  Video ad: similar to a banner ad, except that instead of a static or animated image, actual moving video clips are displayed. This is the kind of advertising most prominent in television, and many advertisers will use the same clips for both television and online advertising. Map ad: text or graphics linked from, and appearing in or over, a location on an electronic map such as on Google Maps. Mobile ad: an SMS text or multi-media message sent to a cell phone. Interstitial ad: a full-page ad that appears
  45. 45. Internet Advertisement Banner advertisement is the most commonly used form of advertising on the Internet. ◦ Two types of banners: Keyword banners & Random banners ◦ A major advantage of using banners is the ability to customize, but banner advertising can be costly. URL Advertising: Any company can submit its URL to a search engine and 45
  46. 46. Internet Advertising (cont.) E-mail Advertising. Email is a cost- effective marketing channel with a better and quicker response rate than other channels. ◦ Problem of Spamming Online Events and Promotions (Sponsorship) Other Forms of Internet Advertisement. ◦ Internet communities, chat rooms, newsgroups, and kiosks 46

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