Internet Marketing & e-Commerce Ward Hanson Kirthi Kalyanam Requests for permission to copy any part of the material should be addressed to: PERMISSIONS DEPARTMENT THOMSON BUSINESS and ECONOMICS 5109 Natorp Boulevard Mason, OH 45040 Phone: (800) 423-0563

Part One: Chapter One Introduction “The goal is to move from the current situation of complexity and frustration to one where technology serves human needs invisibly, unobtrusively: the human-centered, customer-centered way.” Donald Norman, The Invisible Computer

Origins of the Internet Researchers began work in 1960s

Origins of the Internet Researchers began work in 1960s Two key early adopters: University instructors and researchers The United States military

Origins of the Internet Researchers began work in 1960s Two key early adopters: University instructors and researchers The United States military Governed initially by the National Science Foundation, which prohibited all commercial transactions

The Internet Goes Mainstream Email propelled the Internet off campus and outside the military

The Internet Goes Mainstream Email propelled the Internet off campus and outside the military Government regulation dissolved in early 1990s

The Internet Goes Mainstream Email propelled the Internet off campus and outside the military Government regulation dissolved in early 1990s By 1994, the Internet had gone commercial

The Virtuous Cycle and The Internet Boom

Booms and Busts Fascination with the web also led to an infusion of investment capital Aggressive, expensive battle for customers doomed many start-ups Greater discipline and more cost-effective marketing plans allowed the dot-com era to take root

What Lies Ahead Just 15 percent of the world’s 6.3 billion population is online

What Lies Ahead Just 15 percent of the world’s 6.3 billion population is online And the dominance of American users is steadily shrinking

Growth Potential in Developing Countries Top countries for Internet use, 2004 *New to list in 2004 Source: CIA Factbook

New Technologies, New Opportunity Advanced Connection Devices – from cell phones to home wireless systems – increase the potential online consumer audience

New Technologies, New Opportunity Advanced Connection Devices – from cell phones to home wireless systems – increase the potential online consumer audience Faster Internet Connections bring marketing messages to the audience more swiftly

New Technologies, New Opportunity Advanced Connection Devices – from cell phones to home wireless systems – increase the potential online consumer audience Faster Internet Connections bring marketing messages to the audience more swiftly New Information Appliances, such as Apple’s iPod, integrate technology advances with specific consumer demands

A Shift for Marketing From “Selling the Brand” – The old model emphasized on mass production and a promoting a distinct brand To “Managing the Consumer” – Online marketing puts focus on the customer’s individualized interests and demands

Marketing the World’s Game Online Static websites provide basic information and game broadcasts

Marketing the World’s Game Online Static websites provide basic information and game broadcasts Dynamic websites allow greater fan interaction and facilitate ecommerce

Marketing the World’s Game Online Static websites provide basic information and game broadcasts Dynamic websites allow greater fan interaction and facilitate ecommerce Personalized websites respond to individualized fan interaction

Marketing the World’s Game Online Static websites provide basic information and game broadcasts Dynamic websites allow greater fan interaction and facilitate ecommerce Personalized websites respond to individualized fan interaction Keyword Advertising links fans to potential travel and tourism sites

Rethinking Marketing Strategy Three General Purposes Technologies form the foundation of Internet marketing and pave the way for greater innovation:

Rethinking Marketing Strategy Three General Purposes Technologies form the foundation of Internet marketing and pave the way for greater innovation: The Digital Revolution

Rethinking Marketing Strategy Three General Purposes Technologies form the foundation of Internet marketing and pave the way for greater innovation: The Digital Revolution Networking

Rethinking Marketing Strategy Three General Purposes Technologies form the foundation of Internet marketing and pave the way for greater innovation: The Digital Revolution Networking Individualization