This document discusses e-marketing and provides details on various e-marketing strategies and models. It begins by defining e-marketing as using technology to increase marketing efficiency and profitability. It then covers the ten rules of e-marketing, various e-marketing challenges and opportunities, different online marketing methods like email marketing and social media marketing, and models for areas like distribution, communication, and relationship building. The document concludes by outlining the typical tasks involved in developing an e-marketing plan.

1. Chapter 6Chapter 6
E-MarketingE-Marketing
By: Marya Sholevar
Fall 2014
Department of Banking and Finance

2. What is E-Marketing?
 Marketing:
– Use of 4 “P’s” to meet customer’s needs
 E-Marketing:
– Use of technology to increase efficiency of
marketing
– Increases company profitability and adds
customer value

3. Ten Rules of E-Marketing
1. Power Shift from sellers
to buyers
1. Increasing Velocity
1. Death of Distance
1. Global reach
1. Time compression
6. Knowledge
management is key
6. Market deconstruction
6. Interoperability
6. Interdisciplinary focus
6. Intellectual capital rules
(Digital City)

4. E-Marketing Challenges and
Opportunities
 Markets
 Revenge of the Consumer
 Businesses
 Technology

5. Five Markets
 Business-to-Consumer (B2C)
– Example: www.iGo.com
 Business-to-Business (B2B)
– Example: www.amazon.com
 Consumer-to-Consumer (C2C)
– Example: www.eBay.com
 Business-to-Government (B2G)
 Government-to-Consumer (G2C)

6. Methods for online marketing:
 E-mail marketing
 Blogging
 Pay per click marketing(ppc)
 Social media marketing
 Digital marketing
 Viral marketing

7. E-mail marketing
 Email marketing is promoting products through
the use of email
 There are 2 main ingredients to an effective email
marketing campaign
 They are to build a large list of people you can
email and to write great emails
 The emails should be packed with free value and
they should move people to buy what you’re
trying to sell

8. Blogging
 Yet another but important and crucial marketing
trend that has brought a huge aberration in our
society
 Blogger was launched in 1999 by three friends.
Blogging as an ardent marketing tool has really
blossomed in the last some years
 Businesses, companies and even superstar now
use blogging system for huge promotion

9. Pay per click marketing
You have to pay for PPC ads.
You target certain words and then when
those words are searched for on a search
engine such as Google your ad will appear.
But you do have to pay every time your ad is
clicked on.
You need to make sure you do your homework and
find out how to effectively use PPC.
Otherwise you can easily lose a lot of money in a
short amount of time.
But if you do learn how to use PPC effectively then

10. Social media marketing
Social media is very popular right now and
it’s only getting more popular
You can tap into that popularity by using
social media to sell your products
Just make sure you don’t SPAM people. In
fact, you shouldn’t use any social media to
directly sell anything
Just use social media to direct people to
other sites where you can then hit them with
a sales pitch

11. Digital marketing
 With regards to the Internet, this is the promoting of
brands using all forms of online digital advertising
channels to reach consumers
 This includes video channels, Internet Radio, mobile
phones, display or banner ads, digital outdoors, and any
other form of digital media.

12. Viral marketing
 Marketing techniques that use social networks to
produce an increase in brand awareness or
achieve other marketing objectives (such as
product sales) through self-replicating viral
processes.
 It can be word-of-mouth delivered or enhanced
by the network effects of the Internet.
 Viral promotions may take the form of video
clips, interactive Flash games, ebooks, images, or
even text messages.

13. Revenge of the Consumer
 1930s:
– Caveat emptor (“let the buyer beware”)
 2000s:
– Consumers have control
 What consumers want:
– Privacy
– To safeguard their children
– Permission before being sent commercial email

14. Businesses
 Challenges:
– Quality customer service
– Information overload
 Opportunities:
– Ways of generating revenue
– Greater interdependence in their value chain

15. Exhibit 1 - 5 Amazon.com Uses Mass Customization to Personalize
Web Pages
Source: www.amazon.com Amazon.com is a registered trademark or
trademark of Amazon.com, Inc. in the United States and/or other
countries. © 2000 by Amazon.com. All rights reserved.

16. Technology
 Can lower costs on staff and paperwork
 Can be a costly investment
 Security issues
 New payment instruments
 Low bandwidth

17. E-Marketing Delivers
Value = Benefits – Costs
 Value - customer perceptions of the product’s
benefits
 Benefits - attributes, brand name, etc…
– Add benefits through mass customization and
personalization
 Costs - time, money, energy, and psychic
– Lower costs through 24/7 convenience and one-stop
shopping

18. Marketing Mix Components
 Product
 Price
 Distribution
 Marketing Communication
 Relationship Marketing

19. Product
 Through E-Marketing numerous new
products emerged
 Breakthrough software, hardware, and
services that created digital value

20. Price
 Efficiencies have been manifested through
E-Marketing
 No need for a sales force with all order
processing, billing and payments are
transacted between customer and Website
– Cost savings return a larger profit margin and
lower prices

21. Distribution
 A primary E-Marketing application that creates
customer value
 New ways for selling and distributing products
 Affects all manufacturers, service providers and
intermediaries
 Models:
– Content Sponsorship Model
– Direct Selling Model
– Infomediary Model
– Intermediaries Model

22. Content Sponsorship Model
 Companies create valuable content or
services on their Websites
 Self-advertising
– Examples:
• Yahoo!
• gURL.com

23. Direct-Selling Model
 Manufacturers eliminating channel
intermediaries and sell directly to
consumers
 Known as “Disintermediation”
 Dell Computers

24. Infomediary Model
 An organization that collects and sells
information about consumers or businesses
 Similar to a Market Research firm
 Hoover’s

25. Intermediary Model
 Brokers and agents bring buyers and sellers
together but neither purchase nor take possession
of the actual products
– Brokerage firms
• E-Trade, E-Bay, Metalsite
– Agent firms
• Travelocity
 E-tailers are firms that buy products and resell
them online
– “Click and mortar” stores
– Example: E-Toys

26. E-Marketing Communication
 Accomplished through promotion mix elements:
– Advertising
– Sales Promotion
– Direct Marketing
– Public Relations
 Models:
– Online Advertising Model
– Online Sales Promotion Model
– Content Publishing Model
– Email Model

27. Online Advertising Model
 Firms purchase advertising space on
Websites owned by other firms
 Does not include a firm’s own Website
 Dogpile

28. Online Sales and
Promotion Model
 Sampling digital products
 Allows consumer to view products before
purchasing
 E-Music

29. Content Publishing Model
 A company’s Website
 The displaying of a firm’s information about their
product offerings on the Website to Internet users
 Brochureware
 Does not involve transactions
 Directed towards stakeholders
 Pure Fishing

30. E-Mail Model
 Three types:
– Target Promotions
• Companies target users through research and data mining to
send e-mail
• Bulk Email Software Marketing
– Reverse Channel
• User to firm
• Customer service
• Bass Pro Shops
– Consumer-to-Consumer
• Word of mouth

31. Relationship Marketing
 Customer Relationship Marketing (CRM)
 E-Marketing is able to build long-term
relationships due to:
– Online FAQs
– Automatic e-mail responders
– Customized Websites
– Fax-on-demand
– Supply chains integrated with the firm’s functions
 Model:
– Community Building Model

32. Community Building Model
 Website developed to create a special interest
community
 Users may provide information for products or
services
 Bring consumer to concise location, making them
more available for communication by a firm
 Creates social bonds and enhances customer
relationships
 Ivillage

33. Marketing Plan Tasks
 Situation Analysis
– Environmental Factors – Marketers collect and
analyze external elements that include economic
analysis, social and demographic trends, and more
– Market opportunity analysis – This entails a supply
and demand analysis along with a SWOT analysis.
The SWOT analysis determines the strengths,
weaknesses, opportunities, and threats.
 Selecting Target Market – marketers select the
type of customer they are looking to attract.

34. Marketing Plan Tasks continued
 Setting objectives – marketers set the objectives
according to the firm’s mission and resources.
 Designing marketing mix strategies – Develop
product, pricing, distribution, and promotion
strategies
 Action Plan – Plan the actual marketing plan
implementation
 Budget – Set a budget for the marketing plan
 Evaluation Plan – Continuously evaluate the plan to
make sure objectives are met.

35. The End.The End.