1. INTRODUCTION TO INTERNET MARKETING1
INTRODUCTION TO INTERNET MARKETING

2. Introduction to Internet Marketing — Today’s Objectives
Objectives will be to:
Define the scope of Internet marketing
Explore the stages of Internet marketing
Discuss the relationship stages and the Marketspace Matrix
Examine guidelines for success
Outline the progression of the book

3. Introduction to Internet Marketing
Definition and Scope of Internet Marketing
Seven-Stage Cycle of Internet Marketing
Four Key Relationship Stages and the Marketspace Matrix
Guidelines for Internet Marketing Success
Overview of the Book
Conclusion

4. Internet Marketing — History

5. Internet Marketing — History

6. Introduction to Internet Marketing
Definition and Scope of Internet Marketing
Seven-Stage Cycle of Internet Marketing
Four Key Relationship Stages and the Marketspace Matrix
Guidelines for Internet Marketing Success
Overview of the Book
Conclusion

7. Definition and Scope of Internet Marketing

8. Assessing the Impact of Internet Marketing
Marketing Resource Allocation
Offline
Online
Cell 4
Cell 2
Bricks-and- Mortar
Location of Revenue Stream
Cell 3
Cell 1
Internet Marketing Impact
Online

9. Introduction to Internet Marketing
Definition and Scope of Internet Marketing
Seven-Stage Cycle of Internet Marketing
Four Key Relationship Stages and the Marketspace Matrix
Guidelines for Internet Marketing Success
Overview of the Book
Conclusion

10. The Seven-Stage Cycle of Internet Marketing
Step 2
Formulating the Marketing Strategy
Step 3
Designing the Customer Experience
Step 1
Framing the Market Opportunity
Step 4
Crafting the Customer Interface
Step 7
Evaluating the Marketing Program
Step 5
Designing the Marketing Program
Step 6
Leveraging Customer Information Through Technology

11. Framework for Market Opportunity
Seed Opportunity in Existing New Value System
Identify Unmet and Underserved Need(s)
Identify Target Segment(s)
Declare Company’s Resource-Based Opportunity for Advantage
Assess Competitive, Technological, and Financial Opportunity Attractiveness
Make “Go / No-Go” Assessment

12. Framework for Market Opportunity Microsoft CarPoint Example
Leverage the Internet to Improve the Consumer Car-Buying Process
MSN CarPoint identified an opportunity to leverage the Internet to deliver customer value in the car industry
The retail car-buying process was frustrating and inefficient:
Little information available to the consumer
Bargaining with salesperson viewed as an hassle
Long process overall
Car Buyers Are Dissatisfied With Current Retail Car-Buying Process
Shoppers Who Feel Intimidated by Sales People and Look for More Efficient Way
MSN CarPoint selected two primary target segments for its service:
“The intimidated by the process”
“The information seekers”
Microsoft’s Software and Free Placement on All Its Websites
MSN CarPoint could leverage Microsoft’s expertise in software development, its brand name and its multitude of online properties
Competition was getting fierce with more and more online car services entering the market…
But the financial opportunity was large: 66% of new car buyers were estimated to use online services in 2000
How Big Is the Online Car-Buying Market? Who Are CarPoint’s Main Competitors?
Make “Go / No-Go” Assessment
In 1996, the first version of CarPoint was shipped
By 1998, CarPoint was driving $5 million in car sales a day

13. Corporate, Business-Unit and Marketing Strategy
Linkages
Example
Corporate Strategy
Amazon
Business Unit Strategy
Tools and Hardware
Integrated Marketing Strategy for Unit
Integrated Marketing Strategy for Tools and Hardware Unit
Internet Marketing
Traditional Marketing
Online Marketing Mix
Offline Marketing Mix

14. Introduction to Internet Marketing
Definition and Scope of Internet Marketing
Seven-Stage Cycle of Internet Marketing
Four Key Relationship Stages and the Marketspace Matrix
Guidelines for Internet Marketing Success
Overview of the Book
Conclusion

15. The Four Key Stages of Customer Relationship
Awareness
Exploration /
Expansion
Commitment
Dissolution

16. Four Key Stages of Customer Relationship by Level of Intensity
Awareness
Exploration
Commitment
Dissolution
Stages of Customer Relationships

17. Internet Marketing Mix
Branding
Product
Pricing
Communication
Community
Distribution

18. Impact of the 2Is on the Internet Marketing Mix
Interactivity
Branding
Product
Pricing
Communication
Community
Distribution
Individual

19. The Marketspace Matrix
Relationship Stages
The 2Is should influence the design of each cell in the matrix
Categories of Levers
Branding can also accentuate (or lessen) the impact of the levers in each cell
Branding

20. Introduction to Internet Marketing
Definition and Scope of Internet Marketing
Seven-Stage Cycle of Internet Marketing
Four Key Relationship Stages and the Marketspace Matrix
Guidelines for Internet Marketing Success
Overview of the Book
Conclusion

21. Critical Success Factors for Internet Marketing Executives
Customer Advocacy and Insight
The willingness to understand customer needs and provide added value to each customer interaction
The ability to have a holistic view of the customer and the enterprise in order to create a uniquely advantaged strategic plan
Integration
Balanced Thinking
Being able to understand the dynamic tension between one-to-one marketing and mass marketing and being able to strike a strategic balance between them
Passion and Entrepreneurial Spirit
The willingness to change the status quo, take chances and use “bleeding edge” tools to lead teams to success
Willingness to Accept Risk and Ambiguity
The ability to manage marketing campaigns in a more uncertain, dynamic environment, with a new set of tools that often have few records of successes, failures or best-practices

22. The New Rules of Marketing for the Global Digital World
1. Target segments of one, and create virtual communities
2. Design for customer-led positioning
3. Expand the role of branding in the global portfolio
4. Leverage consumers as coproducers through customization
5. Use creative pricing in the Priceline.com world
6. Create anytime/anyplace distribution and integrated supply chains
7. Redesign advertising as interactive and integrated marketing, communication, education and entertainment
8. Reinvent marketing research and modeling as knowledge creation and dissemination
9. Use adaptive experimentation
10. Redesign the strategy process and supporting organizational architecture
Source: Wind, Jerry and Vijay Mahajan. Digital Marketing. New York: John Wiley and Sons, p.8.

23. Point-Counterpoint: New Rules or Old Rules of Marketing

24. Introduction to Internet Marketing
Definition and Scope of Internet Marketing
Seven-Stage Cycle of Internet Marketing
Four Key Relationship Stages and the Marketspace Matrix
Guidelines for Internet Marketing Success
Overview of the Book
Conclusion

25. Overview of the Chapters
1. Framing the Market Opportunity
2. Formulating the Market Strategy
3. Designing the Customer Experience
4. Crafting the Customer Interface
5. Designing the Marketing Program
6. Leveraging Customer Information through Technology
7. Evaluating the Marketing Program
Customer Relationships
Product
Pricing
Communication
Community
Distribution
Branding
Designing the Marketspace Matrix
Illustration: Marketing Campaign for The Lord of the Rings: The Fellowship of the Ring

26. Introduction to Internet Marketing
Definition and Scope of Internet Marketing
Seven-Stage Cycle of Internet Marketing
Four Key Relationship Stages and the Marketspace Matrix
Guidelines for Internet Marketing Success
Overview of the Book
Conclusion

27. Introduction to Internet Marketing — Conclusion
Traditional marketing methods are still highly relevant in the networked economy, though firms must now consider a host of new and innovative marketing methods available online (e.g., dynamic pricing, online community)
In contrast to the one-way mass promotion that characterizes modern marketing, Internet marketing enables firms to engage the individual in personalized dialogues
Individualization and Interactivity are two forces that make online marketing different
Marketing, and the relationships it creates, should be considered in the context of particular processes and stages