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Effective Online Business: Hosting, Marketing, and Management Strategies Workshop #I - Introduction Presenters: Kelly Burke – University of Hawaii at Hilo Steven Parente – Aina Hawaiian Tropical Products

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Effective Online Business: Hosting, Marketing, and Management StrategiesWorkshop #I - Introduction

Presenters:

Kelly Burke – University of Hawaii at Hilo

Steven Parente – Aina Hawaiian Tropical Products

Supported by a USDA Cooperative State Research, Education and Extension Service Grant through the University of Hawaii at Hilo and College of Business and Economics Dean Dr. Marcia Sakai


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Ecommerce and the Internet: Introduction to Online Retail Overview

  • The business case for e-commerce

    • What is e-commerce?

    • Benefits

    • Some issues and options

  • The Internet – how it works

  • Website hosting basics

    • Alternatives, costs, services provided

  • Website development and design basics

    • Using a web host’s tools and resources

  • Website management basics

    • Assessing site performance

    • Payment processing

    • Order processing and fulfillment



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E-Commerce Defined

  • E-Commerce

    • “Buying, selling, or exchanging products, services, and information via computer networks.” (Turban, King, Lee and Viehland – 2004)

  • But that’s ‘narrow’

  • Internet offers more – E-Business includes

    • Servicing customers

    • Collaborating with business partners

    • Supporting electronic transactions within the firm

  • We mean the ‘broader’ definition here


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E-Commerce Business Models

  • There are 2 that are most prominent

  • Business to Business (B2B)

    • Selling products and services to customers who are primarily other businesses

  • Business to Consumer (B2C)

    • Sells products and services to individuals

  • B2B is where most of the money is

    • About 97%

  • B2C is the most well-known

    • Amazon, eBay, etc.


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Forces Driving Online B2C Shopping

  • Convenience – 75%

  • Cost – 38%

  • Context

    • Opportunity to buy at right time and right place

    • For example: from my desk when I am thinking about – or reminded about – that book.

* Dataquest, 2000


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The Typical Online Customer

  • Activity conducted online by % of Internet users

    • Research a product before buying – 78%

    • Buy a product – 67%

    • Use a search engine – 84%

Source: Pew/Internet.org - 2005


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The Typical Online Customer

  • Percent of each group that browse online

  • Age:

    • 18-29 – 64%

    • 30-49 – 56%

    • 50-64 – 36%

    • 65+ – 12%

      Gender:

    • Male – 69%

    • Female – 67%

  • Income

    • Less than $30,000/yr – 49%

    • $30,000-$50,000 – 73%

    • $50,000-$75,000 – 87%

    • More than $75,000 – 93%

Source: Pew/Internet.org - 2005


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The Typical Online Customer

  • Completed online transactions:10

  • Online sessions per week: 6

  • Unique sites visited per week: 6

  • Average surfing session: 31 minutes

  • Time per site per week: 32 minutes

  • Time online per week: 3 hours, 8 minutes

Source: Harris Interactive, Nielson Netratings


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Why Have a Web Site:Benefits of E-Commerce

  • Increase sales

    • Distributed market exposure

    • Target narrow segments

    • Create virtual communities which become targets

  • Reduce costs

    • Sales inquiries

    • Price quotes

    • Product availability

  • Enhance product value

  • Benefits work both ways – selling or buying

  • But are these reason enough for YOU to own a web site?


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Why Have a Web Site:Benefits of E-Commerce

  • Well – of course – a not insignificant reason to own a web site may be that:

  • Your competitors are doing it

  • In our survey of Big Island Flower Growers (mostly small mom-and-pop businesses), 40% of those responding (29 out of 74) say they already have a web site

  • Also – it’s just not that hard or costly to do



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How the Web Works: Uniform Resource Locators

  • Browsers differ in the way they are programmed

  • So if WWW is to be useful to many – we need standard way to identify a resource

  • Example:

    • http://www.hawaii.edu:2074/~kburke/course_info.html

  • URLs specify:

    • communication method (protocol) – ex: http

    • host name – ex: www.hawaii.edu

    • connection ‘port’ on host – ex: 2074

    • path on web server to resource / page – ex: course_info.html


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How the Web Works: The Internet Protocol (IP)

  • TCP / IP protocol for communicating

  • IP addressing – every device on the Internet has a different IP address

  • Network Information Center allocates address blocks

    • Class Address Network part Host part

      A 18.155.32.5 18 155.32.5

      B 128.171.12.237 128.171 12.237

      C 1 92.66.12.56 192.66.12 56


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How the Web Works:IP Addresses and Domain Names

  • IP addresses are unfriendly

  • Assign a human readable name to IP addresses

  • Placed in a distributed, hierarchical, lookup system

  • In network of thousands of domain name severs (DNS)

  • Which map domain names to IP addresses

  • For example: 128.171.xxx.xxx = uhh.hawaii.edu

Domain

Organization Name

uhh.hawaii

Top Level Domain

Organization Type

.edu


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HTTP

TCP

IP

HTTP

TCP

IP

Message (example: Page)

Packet 3

Packet 2

Packet 1

Packet

Packet

Packet

How the Web Works:Protocols and Infrastructure

  • Messages versus Packets

    • i.e., connection vs. connectionless

Web Server

This Machine


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Client

(Browser)

Web Server

Static

Pages

Pages

Commerce Server

(Storefront)

Pages

Pages

Dynamic

Product

Database

Shopping

Cart

Secure

Transaction

Server



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Getting Started: Hosting Issues

  • Hosting

    • Understanding what “hosting” means and your alternatives?

  • “Do-it-yourself” website services

    • http://www.1and1.com

    • http://www.bigstep.com/

    • http://store.yahoo.com/


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Getting Started: Hosting Issues

  • Bandwidth

  • Capabilities and specifications

    • Examine the features and functions provided by different hosts

    • Example: Comparison of features at 1and1.com

  • Firewall system

  • Wireless delivery

  • Buy, rent, or lease

  • Maintenance, upgrade, and service of the equipment


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Getting Started: Web Hosting

  • Identify what you have resources and time to do

  • Identify what will be done “outside” the firm

  • Identify which external parties will be involved

    • e.g., designer, ISP, web host? commerce provider?

  • Identify how you will assess their performance

    • Decision metrics – e.g., are they reliable?

    • On-going performance metrics – e.g., is their “uptime” what they claim?


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What is Involved in Establishing a Web Site?

  • Web site considerations

  • The services wanted

  • How much your company can contribute to the site, from manpower to electronic content

  • Time to design your site

  • Time to create and program your site

  • Extra fees for software development

  • Fees for off-the-shelf applications tools

  • The size of the site

  • Training requirements

  • Installation and server maintenance

  • Programming

  • On corporate site hosting vs. off-site

  • Secure Server for financial transactions

  • Your bandwidth needs

  • Your server capacity needs

  • Location of your server at the Web company or ISP company location



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Ecommerce and the Internet:Basic Site Building

  • First – your ‘Domain Name’

    • Maybe I’d like to use “flowersbykelly.com”

    • Check at Register.com to see if it’s available

  • 10 Steps at Yahoo! to developing your site

    • http://smallbusiness.yahoo.com/webhosting/gstart.php

  • Demonstration in basic site construction

    • Using Yahoo! SiteWizards



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Ecommerce and the Internet:Basic Site Management Functions

  • Example: Yahoo! Merchant Solutions

    • Plans and features

    • Business Control Panel - Site manager

      • Store editor

      • Catalog manager

      • Order / request processing

      • Site statistics

      • Order settings

      • Promoting the site


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On-line Transaction Completion

Source: A.T. Kearney, 2001


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Reasons for Abandoning On-line Purchases

Source: A.T. Kearney, 2001


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Website Management Issues: The Shopping Experience

  • Industry research shows that up to 80 percent of shoppers abandon shopping cart before completing checkout

  • Techniques for minimizing shopping cart abandonment rates:

    • If the billing information is the same as the shipping information, include a “Same as billing information” check box to automatically fill in.

    • Show stock availability on the product page, so shoppers do not have to wait until checkout to determine if a product is out of stock.

    • Include a link back to product page from shopping cart, so shoppers can easily go back to make sure they have selected the right item.

    • Make iteasy to change quantities or delete items from shopping cart.

    • Make iteasy to select or change product values in the shopping cart (e.g., color, size).

    • Include a "Progress Indicator" (e.g., "Step 2 of 5") on each checkout page (e.g., tabbed pages), so shoppers always know where they are in the checkout process.

Adapted from Overture.com - 2005


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Website Management Issues:The Shopping Experience

  • Techniques for minimizing shopping cart abandonment rates (continued):

    • Provide shipping costs early in the process, so shoppers are not surprised during final checkout.

    • Include a prominent "Next Step" or "Continue with Checkout" button on each checkout page, so shoppers do not get lost.

    • Keep all information on one screen on each checkout page, so shoppers do not have to frequently scroll down.

    • If information is missing or filled out incorrectly during checkout, give meaningful error message that clearly describes what needs to be corrected.

    • If you intend to add your customers to a list for future e-mail marketing (either from you or a third party), make sure your customers know this and can easily opt out.

    • Make recommendations of additional items to buy based on what is already in the shopping cart.

Adapted from Overture.com - 2005


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Web Site Management:Payment Processing


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Web Site Management:Payment Processing


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Steps in Online Payment Processing

  • Merchant submits credit card transaction to the Payment Gateway on behalf of a customer via secure connection from a Web site.

  • Payment Gateway receives the secure transaction information and passes it via a secure connection to the Merchant Bank’s Processor.

  • The Merchant Bank’s Processor submits the transaction to the Credit Card Interchange (a network of financial entities that communicate to manage the processing, clearing, and settlement of credit card transactions).

  • Credit Card Interchange routes transaction to customer’s Credit Card Issuer.

  • Credit Card Issuer approves / declines the transaction based on customer’s available funds and passes transaction results, and if approved, the appropriate funds, back through the Credit Card Interchange.

  • Credit Card Interchange relays transaction results to Merchant Bank’s Processor.

  • Merchant Bank’s Processor relays transaction results to Payment Gateway.

  • Payment Gateway stores transaction results and sends them to customer and/or merchant.

  • Credit Card Interchange passes appropriate funds for the transaction to Merchant’s Bank, which then deposits funds into the merchant’s bank account.


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Web Site Management:Payment Processing

  • Some things to keep in mind:

    • The merchant needs a special Internet Merchant Account

    • The merchant needs to arrange for service through an Internet entity called a Payment Gateway

    • The merchant needs to submit charges for settlement – daily or weekly

  • Merchant’s sign-up process at VeriSign.com


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Web Site Management:Order Processing and Fulfillment


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Web Site Management:Steps in Order Processing and Fulfillment

  • Order validated

  • Settlement of order payment

  • Customer notified

  • Items picked

  • Inventory updated

  • Items packed (with packing slip)

  • Shipping labels prepared

  • Shipper pickup arranged

  • Shipper picks up

  • Send shipping confirmation (with tracking number) to customer


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Web Site Management:Order Processing and Fulfillment

  • Merchant has to be notified or become aware that an order has been placed

  • One reliable person should be made responsible for checking / processing orders

  • It should become part of their ‘job description’

  • What mode of informing?

    • Email?

    • Manual check of the site?

  • How frequently / often will the person check / process?


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Web Site Management:Order Processing and Fulfillment

  • Customer has to be notified of order confirmation

  • Method – email, phone?

  • Confirmation of stage in process

    • Order placed

    • Charge assessed to card

    • Order shipped


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Web Site Management:Order Processing and Fulfillment

  • Packaging

    • Effective AND attractive

  • Fulfillment

    • Track inventory accurately

    • Make sure you have enough product

    • Indicate availability on web site – database inventory

  • Shipping

    • Vendor(s) and methods

    • Rates – how much and how assessed

      • included in price, flat rate, by weight, by number of items

    • Shipment tracking

    • Shipment status updates

    • Remember - foreign shipping may require additional paperwork

  • Product guarantees and returns

    • Post a visible policy with explicit instructions

    • Handle returns quickly


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WEB SITE PLANNING / OPERATING CHECKLISTS AND OTHER RESOURCES


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Website Planning / Operating Checklist

  • Have you carefully analyzed your market and competition?

  • Do you know who your target audience is, and is your website speaking to them?

  • Do your prices include a realistic margin for profit when all expenses are subtracted including shipping, customer service and advertising

  • Are your prices competitive with similar online businesses?

  • Are your site’s objectives and purpose clear?

  • Are your products or services clearly identified?

  • Are the competitive advantages of your products or services clearly stated?

  • Do you have a business plan?  Have you planned 1, 3 and 5 years out? 

  • Will your website ever make money?

  • Does your staff clearly understand their organizational duties and who is in charge?

  • How is your company’s hierarchy and decision process handled? 

  • Is there a clear path from R&D to sales? How quickly can your company initiate innovative ideas and products and have them online?

  • Is your website’s architecture well designed and easy to navigate?

  • Is your shopping cart easy to use? Is it secure?

  • Is your electronic infrastructure set up efficiently? 

  • Do your website, product database, shipping, inventory, accounting, e-mail and customer database integrate well with each other? 

  • Is your database the hub?

  • Do you have good statistical analysis software in place to track visitor and customer information?


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Website Planning / Operating Checklist

  • Does your website have a professional appearance when compared to your competition? 

  • Is your text well written, concise and free of errors?

  • Do you change your website frequently to make it ‘fresh’?

  • Are your photos high quality and well lit?

  • Are your graphics and photos optimized for the web?

  • Do they represent your products well?

  • Do you have click-to-enlarge photos of your products?

  • Does your website load quickly?

  • Is your software working well between inventory, fulfillment, shipping, customer service and accounting?

  • Do you have a merchant credit card processing account?

  • Have you decided on transaction policies, types of transactions, privacy policies, secure data storage for customer data?

  • Does your staff know what to do in every situation?

  • Are you able to fulfill orders quickly?

  • Do you respond quickly to customer e-mail questions and service issues?

  • Do you have a toll-free telephone number and can customers easily find someone to talk to?

  • Do you or the person responsible for your website and marketing have intimate knowledge of the internet?

  • How many hours per day is spent online? 

  • Do you purchase, conduct business and research online yourself?

  • Are you watching for online trends and emerging technologies? 

  • Do you know if streaming media or other interactive technologies are beneficial for your website?


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Other Online Resources

  • A lot of small business related information - AllBusiness.com

  • Universal online payment processing – PayPal.com

  • Online payment processing and transaction security – VeriSign.com


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Ecommerce and the Internet: Conclusion

We Talked About:

  • What is e-commerce and why do it?

  • The Internet

  • Website hosting basics

  • Website development and design basics

  • Website management basics

    Now You Should:

  • Go Out and Explore Some Web Site Options

  • Maybe Even Start a Web Site

    In The Next Workshop We’ll Talk About:

  • How To Effectively Market Your Site

  • Online Exchanges and Co-operatives


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Effective Online Business: Hosting, Marketing, and Management StrategiesWorkshop #2

Presenters:

Kelly Burke – University of Hawaii at Hilo

Steven Parente – Aina Hawaiian Tropical Products

Supported by a USDA Cooperative State Research, Education and Extension Service Grant through the University of Hawaii at Hilo and Dr. Marcia Sakai


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Effective Online Business Marketing and Management Strategies

  • Marketing your Internet business

  • Monitoring your site’s performance

  • Extending business opportunities - online exchanges / cooperatives


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Website Marketing Strategies

  • Excellent customer service

    • Word of mouth is the best form of advertising

  • Plan a realistic monthly marketing and advertising budget

    • Search engines

    • Directories

    • Traditional off-line media


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Website Marketing Strategies

  • Domain name should suggest your service or products

    • Ex: FlowersByKelly.com or flowers-by-kelly.com

    • not kelly.com

  • The text in your website is critical to marketing

    • Descriptive, accurate, concise

    • Include keywords – more than once – but not too often


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Website Marketing: Three Objectives Strategies

  • Increase Presence  Optimize

  • Drive Traffic  Publicize

  • Convert Visitors  Monetize


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Website Marketing Strategies

  • Find out if your site is indexed

    • Pages in cache

      • At Google  cache:http://your-domain.com

      • Ex: cache:http://primal-elements.com - nothing?

      • Ex: cache:http://www.primalelements.com

    • Number of pages indexed in domain

      • At Google or Yahoo!  site:your-domain.com

      • At Google site:www.uhhiloagstore.com

      • At Yahoo! site:www.uhhiloagstore.com



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Search Engine Marketing Strategies

  • Combination of:

    • Your site’s pages (content)

      +

    • Bid for placement advertising

  • Sponsored results at search engine sites

    • Ex: search Google for “bath soap”


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Search Engine Marketing: StrategiesBasic Design

  • Most search engines use weighted point systems to display results in a ranked order

  • Ranking is result of page “grade”

    • Grade = title + description + keywords + H1 tags + links-into + ‘alt’ descriptions + number of images + page size

  • Use a tool at Summit Media to analyze your site

    • http://tools.summitmedia.co.uk/spider


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Search Engine Marketing: StrategiesBasic Design

  • It’s all about ‘descriptive content’

  • Limit use of multimedia

  • Limit use of graphics

  • Use long descriptive ‘link’ text

    • Ex: Here you will find a listing of all of the courses Dr. Burke teaches.

  • Spell check and edit

  • Make it easy to move around the site

  • Avoid frames


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Search Engine Marketing: Optimization Strategies

  • Use a descriptive ‘Title’

    • No more than 40 characters including spaces

    • Include keyword in title

    • Ex: Flowers-by-Kelly Home Page – Orchids for all occasions

  • Use meta-tags

    • Description meta-tag – should

      • Be no more than 190 characters long

      • Include keywords

      • Be factual and accurate

      • Include general product information

      • Include information about target audience

      • Not include slang, exaggeration, or hyperbole

    • Keywords meta-tag

    • Header ‘H1’ tags


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Search Engine Marketing: Optimization Using Meta Tags Strategies

  • Title Tag

    • <title>Sore Okole Mountain Bikes - Home Page</title>

  • Description Tag

    • <META NAME = “description” CONTENT = “Sore Okole Mountain Bikes is the place for all of your biking needs, including frames, components, accessories, gear and popular brands like Cannondale, Trek and Specialized”>

  • Keywords Tag

    • <META NAME = “keywords” CONTENT = “mountain, bike, bikes, Cannondale, Trek, Specialized, components, gear, frames”>

  • Header Tag

    • <h1> Sore Okole Mountain Bicycles </h1>

  • Example of HTML source at Sore Okole Bicylcles



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Search Engine Marketing: StrategiesBid for Placement - PPC Advertising

  • Register with PPC system (search engine)

  • Load account

  • Create an advertisement

    • Title, body text, link to ‘landing’ page

  • Choose keywords to associate with the ad

  • For each keyword you associate - bid amount you are willing to pay for each click for the ad


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Search Engine Marketing: StrategiesKeywords

  • How they work

  • Keyword analysis

    • Keyword rank = meta tag placement + capitalization + font size + word position in document relative to other words

  • Identify competitors’ keywords

  • Look up synonyms

    • Bicycle and bike

  • Consider plurals and spelling mistakes

    • Bicycles and bicycels

  • Research the use of the keyword

    • Yahoo! Advertiser Center  Tools  Term Suggestion Type in search term


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Search Engine Marketing: StrategiesKeywords

  • Keywords should attract visitors in all three stages of the buying cycle

    • Researching

      • General keywords  mountain bikes

    • Shopping (comparing)

      • More focused  cross country mountain bikes

    • Purchasing

      • Specific choices  Specialized Rockhopper (a brand of cross-country mountain bike)


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Search Engine Marketing: StrategiesKeywords

  • Many sites will have to manage dozens and even hundreds of keywords

  • Every keyword should ‘land’ the visitor at the most relevant page for that keyword

    • Example: ‘Trek’ should land visitor on a page with Trek bikes - not on the site’s homepage

  • Keywords may have to change to reflect ‘seasonality’


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Search Engine Marketing: StrategiesKeywords

  • Matching

    • Broad

      • Mountain bikes – whenever search contains these words

    • Phrase

      • “Mountain bikes” – only when search contains this phrase

      • Could be in a search for “used mountain bikes”

    • Exact

      • [downhill mountain bikes] – only when search specifies this exact order of words

      • Would not show for search of “mountain bikes downhill”

    • Negative

      • -Used – does not show when this word or phrase is used by someone looking for used bikes


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Search Engine Marketing: StrategiesKeyword Tools

  • www.Adwords.Google.com

  • www.Wordtracker.com

    • Searches data at large web-crawlers like www.Dogpile.com

    • Stores two months of searches – 300 million searches

    • Number of times searched for in last 60 days

    • Estimates number of searches per day

    • Similar terms & common misspellings

    • Comparison of number of times term is searched for and number of pages returned for the term

      • Look for term with many searches and few pages returned


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Search Engine Marketing: StrategiesValuing PPC Search Terms

  • Determine how much gross profit (after costs) you make per sale

    • Is there a ‘lifetime’ value per customer or

    • Do you value a customer as ‘one time’ only?

  • Calculate ‘conversion’ rate

    • Shop.org estimates retail industry average at 2.4%

    • When possible use your own site statistics

  • Calculate PPC value – also called Conversion Cost

    • If your gross profit is $10 per sale

    • And your conversion rate is 4% (4 sales per 100 click-throughs)

    • Then your PPC value is $10 X .04 = $0.40 - that you would be willing to pay per visitor (PPC)

    • In other words, you can pay $0.40 per click through and after 25 of them you would have paid 25 X $0.40 = $10.00 but you’d expect 1 of the 25 visitors (4%) to buy something - giving you that $10.00 gross profit, covering your PPC costs


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Search Engine Marketing: StrategiesCross-linking and Other Issues


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Search Engine Marketing: StrategiesCross-linking

  • Page Rank is increased by

    • More links into your site

    • Links into your site from more relevant sites

  • Cross-linking is also a form of ‘Branding’

  • Use linking strategies that enhance your website's position – not detract from potential sales

    • For instance, link from complementary products sites rather than from similar products sites

  • Cross-linking sources:

    • Trade associations

    • Companies you do business with

    • Press releases and promotions

    • Have content people value (ex: history of lei making)

    • Contact relevant sites

  • The power of cross-linking

    • Check link popularity - for ex: at AltaVista.com - link:flowersbykelly.com


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Search Engine Marketing: StrategiesWhat Search Engines Don’t Like

  • Don’t search or find it difficult to search when they see:

    • Frames, images, multimedia (ex: flash, animation), image maps

      • Avoid frames, images, animation unless necessary

      • Move images and image maps to bottom of page

    • Scripts, excessive formatting code

      • Call external scripts – don’t embed in source

      • Use external CSS files for formatting

    • Dynamic pages – too many parameters, too many possible pages

      • Use static pages when possible

      • Use one or two parameters at most

    • Will not search sites that demand cookies for site access


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Search Engine Marketing: StrategiesSubmit to the Major Engines

  • AltaVista – www.altavista.com

  • AOL.COM Search – search.aol.com

  • Ask Jeeves – www.askjeeves.com

  • Google – www.google.com

  • Overture – www.overture.com

  • Excite – www.excite.com

  • Fast – www.alltheweb.com

  • HotBot – www.hotbot.com

  • Lycos – www.lycos.com

  • MSN Search – search.msn.com

  • Don’t forget Froogle – www.froogle.com



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Search Directory Marketing Strategies

  • Directories are different than engines

  • Index by categories rather than keywords

    • So – there are far fewer categories

  • Why submit to directories?

    • Another channel of exposure

    • Each one is one more ‘link into’ your site – remember cross-linking


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Search Directory Marketing Strategies

  • Major directories are

    • Google Directory – fed by Open Directory Project

    • Yahoo! Directory

      • Fourteen categories – thousands of subcategories

      • So may be difficult choosing a category to be listed in

      • Submitting costs $$$

    • Open Directory Project – www.dmoz.com

    • LookSmart – www.looksmart.com


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Search Engine Marketing: StrategiesWebmaster SEO Resources

  • Google’s webmaster pages

    • http://www.Google.com/webmasters/guidelines.html

    • http://www.Google.com/webmasters/faq.html

  • Yahoo help

    • http://help.Yahoo.com/help/us/ysearch/index.html

  • Search Engine Watch

    • http://www.SearchEngineWatch.com

  • Pandia Search Central

    • http://www.Pandia.com

  • Open Directory Project

    • http://www.dmoz.org/Computers/Internet/Searching



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Non-Search Engine Marketing Strategies

  • Advertising banners

    • Typical ad = 468 x 60 pixels (about 1” x 5”)

    • Are they effective?

      • Click through rates of 1 – 3 per thousand impressions

    • Buying them

      • Costs dropping – ~$20 for 1,000,000 impressions (banner.com)

    • Link ‘exchanges’ – ex: flower sellers could partner with gift sellers or gift-card sellers

      • Remember - having link partners also looks good to search engines

    • Are they right for your products or services?

  • Banner strategies

    • Banner should load quickly and have a ‘call to action’ – ex: “click here for…”

    • Have inventory of 5-6 banners

    • Have them rotated every 5,000-10,000 impressions

    • Use multiple banner exchanges for different networks of targets

    • Look / negotiate for more ‘targeted’ exposures (they target using ‘keywords’ that you bid on)

    • Monitor click-throughs for each banner and from each exchange


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Non-Search Engine Marketing Strategies

  • Opt-in e-mail databases

    • Promotions, e-mail marketing, direct mail marketing

    • Build lists from store front, web site, catalogs

    • Buy lists from list sellers

    • Response rates higher than with banner ads – as much as 5%-10%

    • They are targeted

  • Effectiveness of banner ads and email programs may be considered as “Brand Building”


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Non-Search Engine Marketing Strategies

  • Affiliate programs and promotional partnerships

    • Pay to have leads sent to you (pay per-click or per-sale)

    • Ex: www.myaffiliateprogram.com

  • Bonus point strategies can develop repeat business

  • The importance of traditional advertising

    • Print – can cost $2 - $3 per sale

    • Radio, television – can cost $10 - $40 per sale


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Website Marketing: StrategiesFollow-up Management Issues


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Website Marketing: StrategiesFollow-up Management

  • Collecting / analyzing visitor and customer data

    • Discovering your customers’ patterns, wants and desires

    • Using software to analyze the data

      • Ex: uhhiloagstore at Yahoo! Store

    • What to analyze

    • How often

  • ROI (Return On Investment) from advertising and marketing

    • Measuring advertising effectiveness

    • What is your “Cost Per Conversion”?

      • For example Google has a “Conversion Tracker” tool


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Website Marketing Checklist Strategies

  • Does your domain name make sense with your service or products?

  • Is the text in your website descriptive, concise and accurate?

  • Do you understand how search engines work and that most use a weighted point system to display results?

  • Do you understand what bid-for-placement marketing is?

  • Do you understand what sponsored results are in the search engines?

  • Do you understand what cross-linking is?

  • Do you know linking strategies that enhance your website's position and do not detract from potential sales?

  • Do you know that some past internet marketing techniques can actually get your website penalized with the search engines?

  • Have you planned for a realistic monthly marketing and advertising budget?

  • Is online marketing such as advertising banners good for your products or services?

  • Would traditional advertising work with your online presence, such as print, radio and television?

  • Have you considered creating an opt-in e-mail database for promotions, e-mail marketing and direct mail marketing?

  • Are there promotional partnerships available for your products or services?

  • Do you have bonus point strategies in place to develop repeat customer traffic?

  • Do you have the software in place to collect and analyze visitor and customer data? 

  • Do you analyze it regularly and learn your customer patterns, wants and desires?

  • Do you have a good ROI (Return On  Investment) from your advertising and marketing? Do you know how to tell?


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