Transcript elc 310 day 1 - Tony Gauvin`s Web Site

ELC 310
DAY 1
Agenda
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Roll Call
Introduction
WebCT Overview
Syllabus Review
Introduction to eMarketing
INSTRUCTOR
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Tony Gauvin, Assistant Professor of ECommerce
Contact info
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216 Nadeau
[email protected]
(207) 834-7519 or ext 7519
WebCT (Tony Gauvin)
Instructional Philosophy
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Out-Come based education
Would rather discuss than lecture
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Hate grading assignments
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Requires student preparation
Especially LATE assignments
Use class interaction, assignments,
quizzes and projects to determine if
outcomes are met.
ELC 310 Outcomes
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Learn about the transformation of the traditional or physical
marketplace into the virtual marketplace through theoretical
frameworks and applied practices and examples.
Understand the Internet environment and the opportunities and
challenges organizations ( profit and nonprofit) face while
entering into the electronic age.
Understand the following e-commerce components and be able
understand the contribution of each component to electronic
marketing
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Business intelligence
Customer Relationship Management in electronic marketing
Supply Chain Management
Value Chains
Enterprise Resource Planning
ELC 310 Outcomes (con’t)
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Understand how consumers use the Internet
to research and purchase goods and services
Be able to analyze and present an existing
Case Study on electronic marketing
Be able to conduct research for, create and
present a Case Study on electronic marketing
Plan an electronic marketing strategy for a
small business or for an e-commerce initiative
within a larger firm
ELC 310 Survival Primer
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Read Material BEFORE the class discussion
Check WebCT Often
Use the additional resources identified in syllabus
ASK questions about what you didn’t understand
in readings
DON’T do assignments and projects at last minute.
REVEIW lectures and notes
Seek HELP if you are having difficulties
OFFER feedback and suggestions to the instructor
in a constructive manner
Computer Accounts
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Computer login
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Sys admin
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Applications
MSDN Academic Alliance
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Pete Cyr (x7547) or Art Drolet (x7809)
Free Stuff
See Dr Ray Albert
Access Cards
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$10 deposit
See Lisa Fournier
WebCT
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http://webct.umfk.maine.edu
Login
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First name. Last Name
John Doe  John.Doe
Initial password is webct
Help with WebCT available from Blake Library
staff
All quizzes and assignments will be
administered from WebCT
Syllabus review
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Requirements
Grading
Course outline
Special Notes
Subject to change
E-Marketing, 3rd edition
Judy Strauss, Adel I. El-Ansary, and Raymond Frost
Chapter 1: The Big Picture
© Prentice Hall 2003
Overview
The Emergence of E-Marketing: The Google Story
What is E-Marketing?
What Is E-Business?
The Big Picture
Tough Times
E-Marketing in Context
Environment, Strategy, and Performance (ESP)
E-Marketing Environment
Legal Factors
Technology
E-Business Markets
What’s Next?
The Google story shows:
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Markets always welcome an innovative new product
providing customer value.
Customers trust good brands.
Well-crafted marketing mix strategies can be effective
in helping newcomers enter crowded markets.
Key questions for
corporations:
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How to use information technology profitably ?
How to understand what technology means for their
business strategies?
How time-tested concepts by marketers can be
enhanced by the Internet, databases, wireless mobile
devices, and other technologies?
What’s next after the rapid growth of the Internet
and the dot-com bubble has marketers wondering ?
Overview
The Emergence of E-Marketing
What is E-Marketing?
What Is E-Business?
The Big Picture
Tough Times
E-Marketing in Context
Environment, Strategy, and Performance (ESP)
E-Marketing Environment
Legal Factors
Technology
E-Business Markets
What’s Next?
What is E-Marketing?
E-Marketing is the application of a broad range of
information technologies for:
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Transforming marketing strategies to create more
customer value (more effective segmentation, targeting,
differentiation, and positioning strategies),
More efficiently planning and executing the conception,
distribution, promotion and pricing of goods, services,
and ideas,
Creating exchanges that satisfy individual consumer and
organizational customers’ objectives.
What is E-Marketing?
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Alternative definition:
E-marketing is the result of information technology
applied to traditional marketing.
E-marketing affects traditional marketing in two ways:
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Increases efficiency in traditional marketing functions,
The technology of e-marketing transforms many marketing
strategies.
Results: new business models that add customer value
and/or increase company profitability.
Overview
The Emergence of E-Marketing
What is E-Marketing?
What Is E-Business?
The Big Picture
Tough Times
E-Marketing in Context
Environment, Strategy, and Performance (ESP)
E-Marketing Environment
Legal Factors
Technology
E-Business Markets
What’s Next?
What Is E-Business?
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“E-Business is important, powerful, and
unstoppable”
E-business “is the continuous optimization of a firm’s
business activities through digital technology”
Digital technologies = information technology
are things like computers and the Internet, that allow
the storage and transmission of data in digital formats
(1’s and 0’s)
A Definition of E-Commerce
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An attempt to increase transactional
efficiency and effectiveness in all
aspects of the design, production,
marketing and sales of products or
services for existing and developing
marketplaces through the utilization of
current and emerging electronic
technologies
Overview
The Emergence of E-Marketing
What is E-Marketing?
What Is E-Business?
The Big Picture
Tough Times
E-Marketing in Context
Environment, Strategy, and Performance (ESP)
E-Marketing Environment
Legal Factors
Technology
E-Business Markets
What’s Next?
The Big Picture
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Easy, inexpensive, and quick access to digital information
transforms:
economies,
- societies,
governments,
- businesses.
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Digital information enhances economies through:
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more efficient markets,
more jobs,
information access,
communication globalization,
lower barriers to foreign trade and investment, and more.
Uneven impact of the Internet across the globe:
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530 million users connected to the Internet worldwide = 8.5%
of the global population,
Developed nations = 15% of the world’s population
= 88% of all Internet users,
U.S. Internet users = 182 million
= 64% of the population,
Indigenous peoples in remote locations gaining health, legal,
and other advice, or selling native products using the Internet.
Undesirable changes created by a networked world
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Societies change as global communities based on
interests form,
Worldwide information access slowly decreases
cultural and language differences,
Easy computer networking = work and home
boundaries are blurring = more convenient work =
encourage more workaholism and less time with
family.
Undesirable changes created by a networked world
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Class divisions will grow, preventing the upward
mobility of people on lower socioeconomic levels and
even entire developing countries,
Digital divide: Internet adoption occurs when folks
have:
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Enough money to buy a computer,
The literacy to read what is on Web pages,
The education to be motivated to do it.
The digital environment is enhancing processes
and activities across the entire organization:
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Cross-functional teams using computer networks to share and
apply knowledge for increased efficiency and profitability,
Financial experts communicate shareholder information online,
file required government statements, and invent new ways to
value risk, etc.,
Human resources personnel use the Net for electronic recruiting
and training; an increasing number are managing organizational
knowledge and workflow through corporate Web portals.
The digital environment is enhancing processes
and activities across the entire organization:
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Production and operation managers can adjust
manufacturing based on the Internet’s ability to give
immediate sales feedback resulting in truly just-intime inventory and building products to order,
Strategists are leveraging the Net to apply the firm’s
knowledge in building and maintaining a competitive
edge (easy access to data).
Important e-business benefits according
to U.S. top executives:
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Building better quality customer relationships,
Finding more business
development opportunities,
Building better brand visibility.
partners
and
other
Overview
The Emergence of E-Marketing
What is E-Marketing?
What Is E-Business?
The Big Picture
Tough Times
E-Marketing in Context
Environment, Strategy, and Performance (ESP)
E-Marketing Environment
Legal Factors
Technology
E-Business Markets
What’s Next?
Life Cycle of E-Business
Visibility
U.S.
Recesssion
Dot-com
peak
Technology Peak of
Trigger
Inflated
Expectation
1990-1996 1999
Equity times
2000
Trough of
Disillusion
2001 2002
Debt Times
E-Business
becomes “just
business”
Slope of
Enlightnment
2003
Plateau of
Profitability
2004 2005 2006
Positive Cash Flow
There is Hope After the Trough of Disillusion
Source: Adapted from Raskino and Andren of Gartner Research (2001)
Tough Times
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The first generation of e-business was like a gold rush = creation of a
Web presence and experimentation.
Results:
 Huge sales and market share,
 BUT little was brought to the bottom line and profit was negative,
 Since January 2000, however, over 500 Internet firms have shut
down in the U.S. alone.
E.g: CDNow, Lycos, DoubleClick, E*Trade, and Amazon.com
The “trough of disillusion” is based 30% on the technology recession
and 70% on disappointment with e-business results.
Tough Times
Marketers return to their traditional roots and rely on wellgrounded strategy and sound marketing practices.
During the dot-com shakeout from 2000-2002, there was
much industry consolidation:
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Some firms, such as Levi Strauss, stopped selling online =
not efficient + created channel conflict.
Other firms merged,
E.g. e-business firm took over a traditional firm = AOL
purchased Time-Warner.
Benefit
% Mentioning
Better quality customer relationships
More business development opportunities
Better brand visibility
Drive fat from supply chain
Reduce time-to-market
Increase customer quantity
61
50
50
42
33
25
The Most Important Benefits of E-Business to U.S. Executives
Source: “Key Business and Marketing...” (2002)
What will the future be?
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Gartner Group predicts that a true e-business model will emerge,
and by 2008 the “e” will be dropped, making electronic business just
part of the way things are done.
Some say that “E-business has become just business. E-commerce
has become just commerce. The new economy has become just the
economy (Aronica and Fingar 2001).
” Others say that this is far from the truth—for them, e-business will
always have its own models, concepts, and practices.
Charles Schwab has already gone through the entire cycle allowing
e.Schwab.com to cannibalize the larger brick-and-mortar securities
firm in 1998.
Overview
The Emergence of E-Marketing
What is E-Marketing?
What Is E-Business?
The Big Picture
Tough Times
E-Marketing in Context
Environment, Strategy, and Performance (ESP)
E-Marketing Environment
Legal Factors
Technology
E-Business Markets
What’s Next?
E-Marketing in Context: Where does e-marketing fit into this picture?
Visibility
U.S.
Recesssion
Dot-com
peak
Technology Peak of
Trigger
Inflated
Expectation
1990-1996 1999
Equity times
2000
Trough of
Disillusion
2001 2002
Debt Times
E-Business
becomes “just
business”
Slope of
Enlightnment
2003
Plateau of
Profitability
2004 2005 2006
Positive Cash Flow
There is Hope After the Trough of Disillusion
Source: Adapted from Raskino and Andren of Gartner Research (2001)