Internet Marketing and Interactive Media Chapter 15 Internet Marketing and Interactive Media

Chapter 15 : Internet Marketing and Interactive Media Chapter Objectives To explore the different ways the internet is used to communicate. To understand the role of the internet and interactive media in an IMC program. To review the strengths and limitations of the internet. To evaluate the effectiveness of communications through the internet. Chapter 15 : Internet Marketing and Interactive Media

Chapter 15 : Internet Marketing and Interactive Media Internet Terms Ad clicks Ad click rate Ad views (impressions) Banner Button CPC CPM Domain name Hit Interstitial Link Opt-in-e-mail Page views Rich media Sponsorships Unique users Valid hits Visits Chapter 15 : Internet Marketing and Interactive Media

Elements of the Internet Electronic mail (e-mail) Allows users to send electronic mail Usenet Discussion groups, newsgroups, bulletin boards Telnet Databases, library catalogs, and electronic journals Chapter 15 : Internet Marketing and Interactive Media

Elements of the Internet Hypertext transfer protocol (http) Software protocol for transferring hypertext language files Client server Computer system for transferring files between computers Gopher Document retrieval system used to search for information Chapter 15 : Internet Marketing and Interactive Media

Chapter 15 : Internet Marketing and Interactive Media Web Participants Users: consumer market Internet users continue to grow in numbers Higher education and income are more likely to use the internet 81% of households with income over $80 000 use the internet Chapter 15 : Internet Marketing and Interactive Media

Chapter 15 : Internet Marketing and Interactive Media Web Participants Shoppers Internet shoppers clearly evidence a rich, active, and diverse lifestyle. These people are happy with the convenience of the internet. Expected that consumer internet spending will reach $184 billion by 2004. Chapter 15 : Internet Marketing and Interactive Media

Chapter 15 : Internet Marketing and Interactive Media Web Participants Users: business to business Approximately 90% of all businesses have websites. B2B sites generate much higher revenues than B2C. Revenue expected to reach $2.7 trillion by 2004. Major advantage is finding information about products and services. Chapter 15 : Internet Marketing and Interactive Media

Web-site Communication Objectives Build brand image Brand loyalty still the most important aspect of any marketing strategy I.E. “I AM CANADIAN” pride commercial Well designed websites are an excellent way to relay product and service information Chapter 15 : Internet Marketing and Interactive Media

Web-site Communication Objectives Disseminate information Primary objective for using the web is to provide in-depth information about the company. Having a website has become a necessity in B2B markets. B2C websites are used to communicate information about firm’s products and services. Chapter 15 : Internet Marketing and Interactive Media

Web-site Communication Objectives Create awareness Even with limited budgets, the web creates opportunity to expand awareness. Gather research information Web is used to gain audience profile information I.E. Use of cookies, internet surveys Critical that consumers are aware that their information may be kept in a database. Chapter 15 : Internet Marketing and Interactive Media

Web-site Communication Objectives Stimulate Trial and Re-Buy Some websites offer E-coupons Links to your site from other sites Improve Customer Service Providing information, answering inquiries, taking complaints, email response sections, FAQs. Available personnel on 24/7 basis. Chapter 15 : Internet Marketing and Interactive Media

Web-site Communication Objectives Increase distribution Internet being used to distribute coupons and samples. Affiliations - relationships among websites in which companies cross-promote one another’s products. Chapter 15 : Internet Marketing and Interactive Media

Developing & Maintaining a Website Requires significant time and effort. Creativity, effective marketing, and continual updating of the site. Some sites are used for information purposes. Other sites market more aggressively. I.E. Www.kimberlyclark.Com. Chapter 15 : Internet Marketing and Interactive Media

Advertising on the Internet Variety of forms of advertising on the internet Banners Sponsorships Text ads Pop ups Interstitials Push technologies Link ads Chapter 15 : Internet Marketing and Interactive Media

Sales Promotion on the Internet Has become most frequently use method of encouraging repeat visits. “Free stuff.” Sweepstakes. Marketing alliances. Coupons. 30% of web user respondents had used online coupons. Chapter 15 : Internet Marketing and Interactive Media

Personal Selling on the Internet High-cost and poor-reach disadvantages of personal selling can now be cut back. Provides excellent selling support. Provides more information in a more timely manner. Internet and personal selling are designed to be complementary tools in a good IMC program. Chapter 15 : Internet Marketing and Interactive Media

Chapter 15 : Internet Marketing and Interactive Media PR on the Internet Many sites devote a portion of their content to PR activities. Web offers many opportunities to PR practitioners: Development of media relations websites. Provide customized information dissemination. Development of positive e-mail relationships. Chapter 15 : Internet Marketing and Interactive Media

Direct Marketing on the Internet Direct mail Highly targeted Relies on e-mail lists Attempts to reach those with specific needs Often used by catalogers Marketing databases on the net Companies build or acquire a database The database is sold to subscribers Delivery may be on- or off-line Chapter 15 : Internet Marketing and Interactive Media

Direct Marketing on the Internet Infomercials Program content similar to television, cable or satellite Web provides for greater audience interaction E-commerce Rapid growth rates likely to continue CDs, books, travel are main categories Clothing, cars, financial services are all gaining ground Chapter 15 : Internet Marketing and Interactive Media

Strengths of Internet Marketing Target marketing Message tailoring Interactive capabilities Information access Sales potential Creativity Exposure Speed Chapter 15 : Internet Marketing and Interactive Media

Limitations of Internet Marketing Measurement problems Audience characteristics Websnarl Clutter Potential for deception Costs Limited production quality Poor reach Chapter 15 : Internet Marketing and Interactive Media