Transcript Marketing in the Digital Age

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Marketing in the Digital Age
•Chapter 3
•PowerPoint slides
•Express version
•Instructor name
•Course name
•School name
•Date
Principles of Marketing, Sixth Canadian Edition
Learning Objectives
3.2
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• After studying this chapter, you should be able to:
– Identify the major forces shaping the new digital age
– Explain how companies have responded to the Internet and
new technologies with e-business strategies, resulting in
benefits for both buyers and sellers
– Describe the four major e-commerce
domains
– Discuss how companies conduct ecommerce to profitably deliver more
value to customers
– Overview the promise and
challenges that e-commerce presents
for the future
Principles of Marketing, Sixth Canadian Edition
Copyright © 2005 Pearson Education Inc.
Major Forces Shaping the Internet Age
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•
•
•
3.3
Connectivity
The explosion of the Internet
New types of intermediaries
Customization
Figure 3.1
Principles of Marketing, Sixth Canadian Edition
Electronic Business Terms
3.4
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• Ebusiness
– Using electronic platforms (intranets, extranets, Internet) to
conduct business
• Ecommerce:
– Buying and selling processes supported by electronic means
– Includes Internet (online) marketing
– Includes epurchasing (eprocurement)
• Emarkets:
– Marketspaces instead of marketplaces
Principles of Marketing, Sixth Canadian Edition
Benefits of E-Marketing
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To buyers:
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–
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Convenience
Easy
Private
Greater product access
and selection
– Wealth of comparative
information
– Interactive and
immediate
– Greater consumer
control using
permission-based
marketing
3.5
To sellers:
– Interactive tool for
building customer
relationships
– Reduced facility and
operating costs
– Improved cash flow
– Increased speed and
efficiency
– Greater flexibility
– Global medium
Principles of Marketing, Sixth Canadian Edition
Ecommerce Domains
3.6
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• B2C ecommerce
• B2B ecommerce
– Open trading networks
– Private trading networks
• C2C ecommerce
• C2B ecommerce
Figure 3.2
Principles of Marketing, Sixth Canadian Edition
3.7
Types of E-Marketers
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• Pure play
companies:
Figure 3.3
– Etailers
– Search engines
– Internet service
providers (ISP)
– Transaction
sites
– Portals or
content sites
Principles of Marketing, Sixth Canadian Edition
3.8
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Sources of E-Commerce Revenue
• Product and service sales income
• Advertising income
• Sponsorship income
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Table 3.1
Alliance income
Membership and subscription income
Profile income
Transaction commissions and fees
Market research and information fees
Referral income
Principles of Marketing, Sixth Canadian Edition
Setting Up an E-Marketing Presence
3.9
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• Creating a web site
– Corporate web site
– Marketing web site
• Designing attractive web sites:
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Context
Content
Community
Customization
Communication
Connection
Commerce
Figure 3.4
Principles of Marketing, Sixth Canadian Edition
Setting Up an E-Marketing Presence
3.10
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• Online advertising and promotion:
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–
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•
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•
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Banner and ticker advertisements
Interstitials
Skyscrapers
Browser advertisements
Content sponsorship
Microsites
Viral marketing
Web communities
E-mail
Webcasting
Figure 3.4
Principles of Marketing, Sixth Canadian Edition
Promise and Challenges of Ecommerce
3.11
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• Continuing promise of ecommerce:
– From a complete revolution in conducting business, to
– Just one approach in a fully integrated marketing mix
• Internet profitability
• Legal and ethical issues
– Online privacy and security
– Internet fraud
– Segmentation and
discrimination
– Access by vulnerable or
unauthorized groups
Canadian federal law
Personal Information
Protection and Electronic
Documents Act (2001):
•Consumer knowledge and consent
•Limitations
•Accuracy
•Right to access
Principles of Marketing, Sixth Canadian Edition
In Conclusion…
3.12
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• The learning objectives for this chapter were:
– Identify the major forces shaping the new digital age
– Explain how companies have responded to the Internet and
new technologies with e-business strategies, resulting in
benefits for both buyers and sellers
– Describe the four major e-commerce
domains
– Discuss how companies conduct ecommerce to profitably deliver more
value to customers
– Overview the promise and
challenges that e-commerce presents
for the future
Principles of Marketing, Sixth Canadian Edition