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INTERNET MARKETING : INTEGRATING ONLINE AND OFFLINE STRATEGIES. Chapter 4 The Direct and Database Foundations of Internet Marketing. Chapter 2 Update!. DELL PREMIER PAGE. INTEGRATED MAIL/WEB?. NON-PROFITS GOOD AT DIRECT RESPONSE. EMAIL WITH DR OBJECTIVE. EMAIL TO TRAFFIC STORES, WEBSITE.

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Internet marketing integrating online and offline strategies

INTERNET MARKETING:INTEGRATING ONLINE AND OFFLINE STRATEGIES

Chapter 4

The Direct and Database Foundations of Internet Marketing


Dell premier page

Chapter 2

Update!

DELL PREMIER PAGE







In What Ways

Is The Internet A

Direct-Response Medium/

Channel?

And Why Does It Matter?




Home page and microsite
HOME PAGE AND MICROSITE


Basic direct response strategies
BASIC DIRECT-RESPONSE STRATEGIES

Retention

Conversion

Acquisition


CRITICAL STRATEGY ELEMENTSFROM DIRECT-RESPONSE PERSPECTIVE

The Service & Support

The Offer

The (Email) List

The Creative Execution

The Media


Direct response objectives
DIRECT-RESPONSE OBJECTIVES

Direct-Response Objectives are ACTION Objectives:

  • To Remain on the Site Longer (“Site Stickiness”)

    • Well Designed Site With Much Relevant Content

  • To Request Additional Information (Sales Lead)

  • To Make a Sale (E-Commerce)





Web 2 0 engagement
WEB 2.0 = ENGAGEMENT

http://wiredset.com/root/archives/008589.html




Product page sells
PRODUCT PAGE SELLS

Figure 4-4b


The remaining strategy elements
THE REMAINING STRATEGY ELEMENTS

  • E-Mail List for Customer Acquisition and Retention

  • The Media

    • ANY MEDIUM Can Be Direct Response With Action Objectives

  • Creative Execution

    • Historically Less Important in Direct Response

    • Rich Media Has Increased Role on Internet

  • Customer Service and Support


THE FRONT vs. THE BACK END

  • THE FRONT END

  • All Pre-Sale Activities

  • Marketing and Sales

  • THE BACK END

  • All After-Sale Activities

  • Includes Order Processing,

  • Fulfillment, Service, Support


What is clv and why is it so important
WHAT IS CLV –AND WHY IS IT SO IMPORTANT?

Customer Lifetime Value

Is The Net Present Value

Of The Gross Margin Minus Cost of Servicing

An Individual Or A Cohort Of Customers.

  • Reasons For Importance:

  • The Best Metric For Judging The Success Of

  • Customer Acquisition & Retention Programs

  • The Most Powerful Segmentation Criterion



A simple online tool
A SIMPLE ONLINE TOOL

http://hbsp.harvard.edu/multimedia/flashtools/cltv/index.html






The direct response test

Email Newsletter

Email Newsletter

Content Version B

Content Version A

THE DIRECT RESPONSE TEST

A/B Split is One Of Many Types of Tests




How is Testing

Different From Marketing Research?


Testing vs marketing research
TESTING vs. MARKETING RESEARCH

  • Testing Tells the Marketer WHAT WORKS.

  • Marketing Research Explains WHY IT WORKS.


Recommendation
RECOMMENDATION

Behavioral Analysis FIRST

Faster, Cheaper, Actionable

ONLY THEN Marketing Research

IF You Need to Know “Why”



http://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2http://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2


Most Viewers Guessed Wrong!http://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2


The database imperative

Marketing http://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2

Program Data

Other

Business Data

DATABASE/

DATA WAREHOUSE

Marketing

Support Data

External Data

THE DATABASE IMPERATIVE


Uses of customer database
USES OF CUSTOMER DATABASEhttp://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2


Benefits of customer database
BENEFITS OF CUSTOMER DATABASEhttp://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2

Harrah’s Casinos Increased

Revenues and Profits

By Building and Using (Mining)

a Customer Database


What is data mining
WHAT IS “DATA MINING?”http://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2

A Set of Statistical Routines

That Permit Pattern Detection

In Large Data Sets


Hierarchy of interactive strategies
HIERARCHY OF INTERACTIVE STRATEGIEShttp://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2


Summary
SUMMARYhttp://www.marketingexperiments.com/images/multifiles/articulate/webclinic-06-25-08/player.html?=meblog2

  • Interactivity of Internet = Direct-Response Medium

    • Learning To Use In Branding Also (Chapter 7)

  • Use For Customer Acquisition,Conversion,Retention

  • Generate Sales, Leads, Site Stickiness

  • Judge Success By Customer Lifetime Value

  • To Increase Customer Lifetime Value Targeted, Information-Driven Marketing Is Essential

    • Data Capture Through Transactions and Customer Contact

    • Modeling, Data Mining

  • Interactive Marketing Strategies Should Increase Customer Focus and Marketing Effectiveness

  • They May Decrease In Cost As Targeting And Personalization Improve


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