NUR AQILAH BINTI ZAINUDIN
2014416824
 The consumer perspective: online consumer
behavior
 The retail perspective: e-retailing
 Implication for e-retail marketing strategy
 Business-to-Customer (B2C) markets have made a
significant contribution to the commercial development of
the internet encouraging wide-scale use of transactional e-
commerce sites by a diverse and increasingly global range
of consumers.
 Key issues which have an impact on the growth and
development of online B2C markets focusing on the retail
store
THE CONSUMER PERSPECTIVE: ONLINE
CONSUMER BEHAVIOUR
• Level of consumer demand for online shopping and services
ultimately determine the size of e-retail marketers and when or if a
market saturation point will be reached for online purchasing.
WHO ARE THE ONLINE CUSTOMERS?
THE CUSTOMER PROFILE:
 Consumer’s profile can strongly influence where, when and how an
individual shops online and also have important marketing implications
which includes classification variables and character variables.
AGE
EMPLOYMENT
STATUS
GENDER
EDUCATION GEOGRAPHY
HOUSEHOLD
SIZE
HOUSEHOLD
TYPE
INCOME
MOBILITY
RACE AND
ETHNICITY
CONSUMER BELIEFS ABOUT RANGE OF VARIABLES MIGHT
ULTIMATELY SHAPE THEIR ATTITUDES TOWARDS THE
INTERNET AND THEIR PURCHASING INTENTIONS. EXAMPLE
INCLUDE :-
 Security and privacy of information
 Risk
 Trust
 Perceived usefulness
 Ease of use
CONSUMER’S ONLINE SHOPPING EXPERIENCES
Avaibalility Convenience Customer service Deliverytimeliness
LOYALTY VARIABLES
Customizartion
Cultivation
Care
Community
Contact
Interactivity
Character
Convenience
Choice
THE RETAIL PERSPECTIVE: E-RETAILING
Development of e-retailing
• When the development of the internet as a trading environment
begain with the first exchanges of commercial e-mail, traditional
retailers had little interest in trading online in early 1990’s.
• For many retailers it was considered as a remote ‘geekish’
environment used solely by computer experts and scientist.
E-retail formats and operational strategies
OPERATION CATEGORIES
 Bricks and clicks
 Clicks and mortar retailers
 Pureplay retailers
 Facebook commerce
E-RETAILING
OPERATIONAL
STRATEGIES
ONLINE SALES
STRATEGIES
INFORMATION ONLY
STRATEGIES
 Billboards strategy
 Brochure strategy
 Catalogue strategy
 Service strategy
 Export strategy
 Mirror strategy
 Synergy strategy
 Anti-mirror strategy
 Virtual strategy
PERFORMANCE COMMENTARY MANAGERIAL IMPLICATION
The disparity between
brand strength and website
offer
The gap between internet
use and the lack of website
development means there
is still the potential to
capture browse and buy
behavior.
Companies need to
develop website to meet
customer expectations
capture this behavior.
The disparity between
brand strength office and
online
Retailer brand strength is
frequently not reflected
online.
The first dot-com wave was
concerned with established
first mover advantages.
A lack of alignment
between the nature of the
online competitive
environment and the
maturity of consumer
demand
The most advanced
entrants are from overseas
or national catalogue
companies.
The market is still at an
early stage in many retail
categories.
Inertia in decision making There are battle for budget
within retailer.
Barriers to customer
contact need to be
removed.
 Type of B2B organization marketing and
trading environments
 Option for online inter-organisational trading
 How digital technologies can support B2B
marketing
 Digital marketing strategies
Business-to-business (B2B)
COMMERCIAL TRANSACTIONS
BETWEEN AN ORGANISATION AND
OTHER ORGANISATIONS (INTER-
ORGANISATIONAL MARKETING)
 There are three main types of organisational markets in
which businesses primarily trade with businesses:
1. Industrial
2. Reseller
3. Government
 Analysis of the main organisational markets reveals variations in
company size, trading requirements, investmens and trading
potential.
Some of the key differences in applying these for B2B are:
 Search engine marketing
 Online PR
 Online partnerships
 Display advertising
 Opt-in e-,mail
 Social media marketing
LEAD GENERATION AND CONVERSION
OPTIMISATION FOR B2B MARKETING
• Stage 1-inbound marketing focusing on search, online PR and
display advertising used to attract website
• Stage 2-engagemnet devices like video whitepapers or other
forms of market education material is used to encourage the
visitor to interact with site and share information via social media.
• Stage 3-offering access to permission based content valuable to
the visitor is used to generate leads via encouraging the visitor to
register on the site supplying an email address and profile
information or sharing the content via social network
• Stage 4-leads are followed up through personalized email
sequences or where appropriate outbound phone calls where
leads where lead are qualified as a valuable
Post sales
customer
relationship
managemnet
•Buyer-seller
relationship
•Electronic billing
•Self service
technologies
•Online product
registrations
•Online technical
support
Market research
•Online survey
•Online focus groups
Knowledge
sharing
New product
development
knowledge sharing
Online advertising
knowledge sharing
Online sale
knowledge
Online service
knowledge
addressability
CUSTOMER RETENTION IN B2B MARKETING
OPTION FOR ONLINE INTER-
ORGANISATIONNTRANDING
These are the
main type:
1. E-sourcing
2. E-tending
3. E-information
4. E-reverse
auctions
5. E-MRO
5 key drivers or
supplier selection
criteria for e-
procurement
adoption related to
improving:
1. Control
2. Cost
3. Process
4. Individual
performance
5. Supplier
management
B2B E-MARKETPLACES
ELECTRONIC MARKETSPACE
 -virtual marketplace such as the internet in which no direct contact
occurs between buyers and sellers.
Perhaps the most straightforward way to classify e-marketplaces is
the type of user for example:
1. B2B independent e-marketplaces
2. Buyer oriented e market place
3. Supplier oriented e marketplace
HOW ORGANISATION MAKE EFFICIENCY GAINS
a) Decision information costs
b) Quality cost
c) Factor costs
a) Financial dimension
b) Operational dimension
c) Market dimension
d) Strategic dimension
Chapter 9&10 DIGITAL MARKETING

Chapter 9&10 DIGITAL MARKETING

  • 1.
    NUR AQILAH BINTIZAINUDIN 2014416824
  • 2.
     The consumerperspective: online consumer behavior  The retail perspective: e-retailing  Implication for e-retail marketing strategy
  • 3.
     Business-to-Customer (B2C)markets have made a significant contribution to the commercial development of the internet encouraging wide-scale use of transactional e- commerce sites by a diverse and increasingly global range of consumers.  Key issues which have an impact on the growth and development of online B2C markets focusing on the retail store
  • 4.
    THE CONSUMER PERSPECTIVE:ONLINE CONSUMER BEHAVIOUR • Level of consumer demand for online shopping and services ultimately determine the size of e-retail marketers and when or if a market saturation point will be reached for online purchasing. WHO ARE THE ONLINE CUSTOMERS? THE CUSTOMER PROFILE:  Consumer’s profile can strongly influence where, when and how an individual shops online and also have important marketing implications which includes classification variables and character variables. AGE EMPLOYMENT STATUS GENDER EDUCATION GEOGRAPHY HOUSEHOLD SIZE HOUSEHOLD TYPE INCOME MOBILITY RACE AND ETHNICITY
  • 5.
    CONSUMER BELIEFS ABOUTRANGE OF VARIABLES MIGHT ULTIMATELY SHAPE THEIR ATTITUDES TOWARDS THE INTERNET AND THEIR PURCHASING INTENTIONS. EXAMPLE INCLUDE :-  Security and privacy of information  Risk  Trust  Perceived usefulness  Ease of use
  • 7.
    CONSUMER’S ONLINE SHOPPINGEXPERIENCES Avaibalility Convenience Customer service Deliverytimeliness LOYALTY VARIABLES Customizartion Cultivation Care Community Contact Interactivity Character Convenience Choice
  • 8.
    THE RETAIL PERSPECTIVE:E-RETAILING Development of e-retailing • When the development of the internet as a trading environment begain with the first exchanges of commercial e-mail, traditional retailers had little interest in trading online in early 1990’s. • For many retailers it was considered as a remote ‘geekish’ environment used solely by computer experts and scientist. E-retail formats and operational strategies OPERATION CATEGORIES  Bricks and clicks  Clicks and mortar retailers  Pureplay retailers  Facebook commerce
  • 9.
    E-RETAILING OPERATIONAL STRATEGIES ONLINE SALES STRATEGIES INFORMATION ONLY STRATEGIES Billboards strategy  Brochure strategy  Catalogue strategy  Service strategy  Export strategy  Mirror strategy  Synergy strategy  Anti-mirror strategy  Virtual strategy
  • 11.
    PERFORMANCE COMMENTARY MANAGERIALIMPLICATION The disparity between brand strength and website offer The gap between internet use and the lack of website development means there is still the potential to capture browse and buy behavior. Companies need to develop website to meet customer expectations capture this behavior. The disparity between brand strength office and online Retailer brand strength is frequently not reflected online. The first dot-com wave was concerned with established first mover advantages. A lack of alignment between the nature of the online competitive environment and the maturity of consumer demand The most advanced entrants are from overseas or national catalogue companies. The market is still at an early stage in many retail categories. Inertia in decision making There are battle for budget within retailer. Barriers to customer contact need to be removed.
  • 13.
     Type ofB2B organization marketing and trading environments  Option for online inter-organisational trading  How digital technologies can support B2B marketing  Digital marketing strategies
  • 14.
    Business-to-business (B2B) COMMERCIAL TRANSACTIONS BETWEENAN ORGANISATION AND OTHER ORGANISATIONS (INTER- ORGANISATIONAL MARKETING)
  • 15.
     There arethree main types of organisational markets in which businesses primarily trade with businesses: 1. Industrial 2. Reseller 3. Government  Analysis of the main organisational markets reveals variations in company size, trading requirements, investmens and trading potential.
  • 16.
    Some of thekey differences in applying these for B2B are:  Search engine marketing  Online PR  Online partnerships  Display advertising  Opt-in e-,mail  Social media marketing
  • 17.
    LEAD GENERATION ANDCONVERSION OPTIMISATION FOR B2B MARKETING • Stage 1-inbound marketing focusing on search, online PR and display advertising used to attract website • Stage 2-engagemnet devices like video whitepapers or other forms of market education material is used to encourage the visitor to interact with site and share information via social media. • Stage 3-offering access to permission based content valuable to the visitor is used to generate leads via encouraging the visitor to register on the site supplying an email address and profile information or sharing the content via social network • Stage 4-leads are followed up through personalized email sequences or where appropriate outbound phone calls where leads where lead are qualified as a valuable
  • 18.
    Post sales customer relationship managemnet •Buyer-seller relationship •Electronic billing •Selfservice technologies •Online product registrations •Online technical support Market research •Online survey •Online focus groups Knowledge sharing New product development knowledge sharing Online advertising knowledge sharing Online sale knowledge Online service knowledge addressability CUSTOMER RETENTION IN B2B MARKETING
  • 19.
    OPTION FOR ONLINEINTER- ORGANISATIONNTRANDING These are the main type: 1. E-sourcing 2. E-tending 3. E-information 4. E-reverse auctions 5. E-MRO 5 key drivers or supplier selection criteria for e- procurement adoption related to improving: 1. Control 2. Cost 3. Process 4. Individual performance 5. Supplier management
  • 20.
    B2B E-MARKETPLACES ELECTRONIC MARKETSPACE -virtual marketplace such as the internet in which no direct contact occurs between buyers and sellers. Perhaps the most straightforward way to classify e-marketplaces is the type of user for example: 1. B2B independent e-marketplaces 2. Buyer oriented e market place 3. Supplier oriented e marketplace
  • 21.
    HOW ORGANISATION MAKEEFFICIENCY GAINS a) Decision information costs b) Quality cost c) Factor costs a) Financial dimension b) Operational dimension c) Market dimension d) Strategic dimension