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Chapter 5

Chapter 5. E-Commerce: Electronic Marketing and the Internet for Dot.com and Brick-and-Mortar Marketers. The ability to reach anyone that is “connected” is demonstrated through this Monster.com commercial. What is Electronic Commerce?. Electronic commerce Electronic marketing Digital tools.

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Chapter 5

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  1. Chapter 5 E-Commerce: Electronic Marketing and the Internet for Dot.com and Brick-and-Mortar Marketers

  2. The ability to reach anyone that is “connected” is demonstrated through this Monster.com commercial.

  3. What is Electronic Commerce? • Electronic commerce • Electronic marketing • Digital tools

  4. Mondera.com • An online retailer targets buyers of fine jewelry

  5. AutoTrader.com: An Example of a Service Marketer Connecting Buyers and Sellers Online

  6. Interactivity and E-Commerce • Interactive Marketing • Buyer-seller communications in which the customer controls the amount and type of information received from a marketer through such channels as the Internet, CD-ROMs, interactive toll-free telephone numbers, and virtual reality kiosks

  7. BabyGap • Traditional store outlets and the Internet

  8. One company that has enhanced its success by including the internet as a part of its overall marketing strategy is Nike Shoes.

  9. The Internet • Intranets • Extranets

  10. The History of The Internet • “The history of the Internet begins at the height of the cold war in the 1960's. People at the Rand Corporation, America's foremost military think tank, were trying to figure out an important strategic problem: how could US authorities talk to each other in the aftermath of a nuclear attack?” • Source: the pbs home page

  11. Four Web Functions • Communication • Information

  12. Four Web Functions • Entertainment • E-Commerce

  13. Advertisement for an E-Commerce Firm Specializing in Providing A Service

  14. Accessing the Internet • Internet Service Provider • Portal

  15. Northern Light: One of the Many Portals, is Featured in This High Tech Advertisement. The Website Has Changed its Positioning Since the Ad First Aired.

  16. Lycos • Web portal Lycos.com promoting the speed of its search engine

  17. E-Commerce and the Economy • The fuel of the 21st century • Changing the world • A new universe • Business-to-Business Online Marketing • Involves professional buyers and sellers • Requires less glitz and glamour • Represents huge dollars

  18. Benefits of Business-to-Business Online Marketing • Finding new markets and customers • Cost savings in every area of the marketing mix • Time reduced in reaching markets

  19. Roadway Express • An example of an advertisement explaining Business-to-Business use of the Web

  20. IBM E-Business: Providing E-Commerce Solutions

  21. Online Consumer Marketing • Lower Prices • Convenience • Personalization

  22. Ask Jeeves • A Bot, Ask.com promoting its unique search engine

  23. Lands’ End Tailoring Products for Online Consumers

  24. Determinants of Online Purchasing Behavior

  25. Benefits of Online Consumer Marketing • Relationship Building • Increased Efficiency • Cost reductions • More level playing field

  26. Online Marketing is International Marketing • Examples of Companies With Global Web Sites

  27. Security and Privacy Issues of E-commerce • Critical factors in building a relationship online • Credit card security • Authenticity of item offered • Payment guarantees • Fraud protection

  28. American Express • Promoting the use of its card on the Web by guaranteeing the Web users will not be held responsible for any unauthorized charge

  29. Who Are the Online Buyer and Sellers? • Online buyers • Annual household income of $30K-$75K • Live in urban areas • 75% of employed people use the Internet at work; 87% of college students • Online sellers • At first, offered familiar products • Now offering a wider variety of goods

  30. Interactive Online Marketing

  31. Measuring Effectiveness Managing aWeb Site Building an Effective Web Site Creating an Effective Web Presence

  32. Building an Effective Web Site • Establish a Mission for the company’s site • Identify the purpose of the site • Create a clear site design • Managing a Web Site • Update the site frequently • Flag new merchandise and services • Ensure that site is current • Update software as needed • Track costs and revenues

  33. Monster.com: A Company with an Effective Website and High Impact Advertisements Like These two

  34. Martha Stewart • Satisfying Wants and Needs with its site

  35. Measuring Effectiveness of Online Marketing • An elusive task • Measurement Tools Include • Profitability • Web site traffic counts • Click-through rates • Conversion rates • Research studies

  36. Boo.com • Promoting its online sportswear electronic storefront

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