© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation

“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

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Researchers began work in 1960s

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Researchers began work in 1960s  Two key early adopters: ◦ University instructors and researchers ◦ The United States military

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  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

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation propelled the Internet off campus and outside the military Efficient means of communication Internet was still slow and expensive

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation Government regulation dissolved in early 1990s Fundamental break through was World Wide Web It was possible to mix pictures, sound, video with text By 1994, the Internet had gone commercial

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation Web Content Popular Fascination Consumer and Business Internet Access The Virtuous Cycle and The Internet Boom

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  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

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Just 15 percent of the world’s 6.3 billion population is online

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Just 15 percent of the world’s 6.3 billion population is online  And the dominance of American users is steadily shrinking

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation Top countries for Internet use, 2004 *New to list in 2004 Source: CIA Factbook

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Advanced Connection Devices – from cell phones to home wireless systems – increase the potential online consumer audience

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  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

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  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

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  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

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Static websites provide basic information and game broadcasts

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Static websites provide basic information and game broadcasts  Dynamic websites allow greater fan interaction and facilitate ecommerce

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Static websites provide basic information and game broadcasts  Dynamic websites allow greater fan interaction and facilitate ecommerce  Personalized websites respond to individualized fan interaction

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  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

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation

 The Digital Revolution ◦ Digital computing ◦ Digitization ◦ Created new products, processes and economic activities ◦ Cell phone, DVD, MP3 music

© Copyright 2006, Thomson South-Western, a division of the Thomson Corporation  Networking ◦ Radio Network ◦ Phone network ◦ Video through Internet ◦ From text to voice to video  Individualization ◦ Ability to create messages, marketing campaigns and products geared towards individuals  Cookies to track online browsing  Secure web access