1 / 21

Internet Marketing

Internet Marketing. Individuals Online. Topics. The Dell triangle Online marketing Online behavior and interactivity Web users. The Dell Triangle: Figure 4.1. Figure 4.2. Customers use sites more as companies add more interactive content. Online Marketing.

Download Presentation

Internet Marketing

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.


Presentation Transcript

  1. Internet Marketing Individuals Online

  2. Topics • The Dell triangle • Online marketing • Online behavior and interactivity • Web users

  3. The Dell Triangle: Figure 4.1

  4. Figure 4.2 Customers use sites more as companies add more interactive content Online Marketing • Direct interaction creates customer value and sets the stage for relationship building • This creates opportunities for • personalization • community building • real-time marketing

  5. Online Behavior & Interactivity • Interactivity depends on • Direct communication • Individual choice • Friendly technology • Let’s take a look at each of these

  6. One-to-Many Broadcast (same message to all) Direct Targeting (one direction, different messages) One-to-One Interactive (unique messages to individuals) Direct CommunicationFrom Broadcast to Dialogue Figure 4.3 • Dialogue is possible when there’s direct communication between marketer and customer • Intermediaries can filter or block feedback

  7. Comparing Communication Methods • Hoffman & Novak (1996): Compared traditional and online communication methods • They looked at • Communication model: one-to-many  one-to one • Media symmetry: is the information flow symmetric? • Media content: use of text, images, audio, video • Diversity of information: the number of information sources available through the medium (billboards vs. cable TV or the Web) • Communication timing: synchronous vs. asynchronous • Personal interactivity: person-to-person vs. machine-mediated interaction

  8. Comparing Communication Methods • The Web is a flexible technology • It’s evolving into a personal and dynamic communication medium Figure 4.4

  9. Individual ChoiceSelection + Suggestion = Value • The modern economy presents a staggering amount of variety • Typical supermarkets contain 25,000 different items • Variety expands even further without the physical constraints of inventory and shelf space • Choice is confusing without a way to compare, evaluate & select among the huge number of possibilities • New technologies combine selection and suggestion • Enable consumers to make more effective choices

  10. Impact on Consumer Choice

  11. Friendly Technology Technology is technology only if it was invented after you were born • Televisions, radios, telephones, and VCRs have market penetrations > 85% • The Web must become even easier & friendlier to reach the 98% household penetration of TV • As Web access devices becomes more appliance-like, increasing numbers of consumers will be online • Internet marketers must understand consumer behavior online

  12. Figure 4.6 Web Stage and User Challenges • The easiest type of online consumer activity is when loyal and experienced users perform simple tasks • More complicated tasks require marketers to develop better user interfaces • More risky transactions require marketers to establish trust and pay attention to customer needs

  13. The Media Equation Media = Real Life Byron Reeves & Cliff Nass Online Consumer Behavior • Users relate to virtual information in many of the basic social ways they interact with people in their everyday lives • Users treat machines and software like people

  14. Online Consumer Behavior • The human brain isn’t well adapted to 20th century media • New media is engaging old brains Why Are There Social Responses to Information Technology?

  15. Online Consumer Behavior Simple Technological Features Can Elicit Strong Social Responses • Manners are critical in online & computer messages • Good Manners = positive responses • Behavior that is considered rude in real life is considered rude onscreen

  16. Online Consumer BehaviorSocial Cues • E-mail lacks the social cues that a phone conversation or a face-to-face meeting provide • Misunderstandings develop more easily because people it’s harder to judge confusion • People don’t get the signals that make them stop and explain themselves in face-to-face discussion • People tend to use stronger language and express themselves more frankly • And they tend to circulate their thoughts to a much wider audience

  17. Online Consumer BehaviorSocial Cues • Unhappy customers may resort to flaming • E-mail makes it easy to escalate negative word of mouth • Flaming can lead to bad press • Customer service reps have to be careful not to respond similarly • Requires deliberate policy and training

  18. Online Consumer BehaviorCognitive Difficulty • One of the challenges of providing online information is making it accessible to users • Providing effective search functionality is key • Site developers must understand how their users are likely to search and browse

  19. Who’s Online? • High income • Above average education • Heaviest users: 30-49 years old • students & kids also online • seniors & older middle-aged less likely • Gap between male & female is closing • US dominates • wealthiest European & Asian countries coming online quickly

  20. Why DoesIt Matter?

  21. As Time Passes • More people online • More people connecting at higher speeds • More people using the Web to shop and transact business • >40% of those with 4+ years experience on the Web regularly shop and conduct Web commerce • as opposed to only 12% of people who have been online for <1 year

More Related