Transcript Chpt10 - courses.psu.edu

CHAPTER 10
USING THE INTERNET
Chapter Objectives
 Sources
of marketing information on the internet
and their applications.
 Differences between personal and commercial
WWW.
 Special culture of internet and its conducts.
Information you can get from WWW?
Marketers should understand what the customers what
from WWW, and decide appropriate information for the
industry and customers.
 Competitors’ Web page may be a useful source:

Products and services.
 Virtual shopping card.
 Color photograph of merchandise.
 Hyperlink ‘More featured items’
 Company presentations and location
 Newsroom for press releases and articles
 Career opportunities ‘the employment page’

Information you can get from WWW
(cont.)
 For
high tech companies, technical support and
downloading capabilities are very important.
 For B2B marketers, the content of the side is
informational about inventory, delivery, quality
and price.
Personal Use of the Web

Consumers use the Web for the following reasons:
Convenience-(65%).
 Availability of Vendor information-(60%).
 No pressure from sales people-(55%).
 Saving time-(53%).
 Convenience-(51%).


Consumers may be able to personalize Web resources to
retrieve more accurate information for their choice.
Procedures for Internet Shopping
Preliminary requirement determination.
 Search for the available items that can meet the
requirements.
 Compare the candidate items with multiple perspectives,
such as:

Specifications,
 Price,
 Delivery date.

Place an order.
 Receive the delivered items and inspect them.
 Contact the vendor to get after-service and support, or

Consumer Habits on the Web
Consumers are accepting the power of WWW.
 Site developers should understand inconsistencies among
browsers, and design a site that its appearance is more
attractive without loosing any copy or graphic.
 Marketer should register the Web site with the most
popular search engine.
 E-Marketers should now customers’ constraints, and their
needs and wants.
 Knowing the searching habits, Web site should draw the
surfer into the merchandise.

Consumer Habits on the Web (Cont.)
 Consumers
express their opinions about product
experiences both positive and negative:
 Consumers
can start discussion groups, monitor
consumer comments or attitudes concerning products
and services.
 www.deja.com- the home of hundreds of discussion
about various topics of interest.
Culture of the Internet
Internet was not considered for its commercial purpose
when it was introduced.
 As Internet was born, a culture of non-commercial usage
flourished.
 The ideal business on the Internet would build a loyal
audience by providing attractive environment in which
users could discuss matter of common interests with
experts.
 Depending upon the business model, the Internet may
build global virtual community of people with common
interest.

Popular E-Business Models

E-Business-to-Business (B2B):


E-Tailing (B2C):


Cisco Systems
E-Software and Services:


E-trade.com, Web.com
E-Products:


Amazon.com, CarsDirect.com
E-Finance:


Dell computer
Yahoo, AOL, DigitalWork.com
E-Dustrial-Salesforce.com, GovWorks.com
Learning Proper Behaviors
 Organizations
develop their own ‘Acceptable Use
policies’(AUP):
 E-mail
 Mailing
lists
 News groups
 Telnet
 FTP’s
Learning Proper Behaviors (cont.)
 E-mail:
 Use
normal upper and lower case letter
 Avoid ‘flaming’ antagonistic criticism, or sending
insulting, abusive and threatening letter.
 Remember that e-mail is not necessarily private.
 When you are replaying, include the portion of original
letter that you are replying.
 Always identify yourself and keep message as brief as
possible
Learning Proper Behaviors (cont.)

Telnet:


Do not stay logged in to a terminal longer than necessary.
FTP:
Try not download large files until after normal business hours.
 Users are responsible for checking, copying or licensing
agreement.
 If downloading shareware, be sure to pay the appropriate fees.

Benefits of E-Commerce
Reduced Labor costs.
 Instant communication with customers.
 Improved profit margin through Automated Supply Chain
Management.
 Better forecasting for customer needs for goods/services.
 Broader market reach.
 Increase efficiency and accuracy.
 Better service and support

New Challenges
 Competition.
 Acquiring
more customers through internet.
 Keeping existing customers.