1. E-Marketing/6E Chapter 1
Past, Present, and Future

2. Chapter 1 Objectives After reading Chapter 1, you will be able to:
Explain how advances in Internet and information technology offer benefits and challenges to consumers, businesses, marketers, and society.
Distinguish between e-business and e-marketing.
Explain how increasing buyer control is changing the marketing landscape.
Understand the distinction between information or entertainment as data.
Identify several trends that may shape the future of e- marketing.
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3. The Barack Obama Campaign Story
Barack Obama’s Internet strategy targeted year-old voters because 93% are online and used the Internet to get information and connect with friends.
Facebook displayed over 8 million Obama friends.
Two-thirds of all campaign funds came from Obama’s online channel.
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4. Internet 101
The internet is a global network of interconnected networks.
and data files move over phone lines, cables and satellites.
There are three types of access to the Internet:
Public internet
Intranet: network that runs internally in an organization.
Extranet: two joined networks that share information.
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5. E-business, E-commerce, E-marketing
E-business is the continuous optimization of a firm’s business activities through digital technology.
E-commerce is the subset of e- business focused on transactions.
E-marketing is the result of information technology applied to traditional marketing.
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6. E-business, E-commerce, E-marketing
Effects traditional marketing in 2 ways:
Increases effficiency and effectiveness in traditional marketing functions
Transformation of many marketing strategies through the use of technology
Results in new business models, example through the use of Facebook, Twitter etc.
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7. E-Marketing Is Bigger than the Web
The web is the portion of the Internet that supports a graphical user interface for hypertext navigation with a browser
The web is what most people think about when they think of the Internet.
Electronic marketing reaches far beyond the web – sofware and hadware used for CRM, SCM and EDI don’t rely on the internet.
Non-web communications are also effective for marketing puposes- text messaging, , internet telephony.
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8. The Web Is Only One Aspect of E-Marketing
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9. E-Marketing Is Bigger than Technology
The Internet provides individual users with convenient and continuous access to
information (product reviews, search engines etc.)
entertainment (music, movies etc), and
communication (chat, s etc).
Communities form around
shared photos (Flickr),
videos (YouTube), and
individual or company profiles (Facebook).
Auctions in consumer and business markets
Filesharing – Google Docs, Dropbox.
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10. E-Marketing Is Bigger than Technology
The digital environment enhances processes and activities for businesses.
Cross-functional teams from around the world
Human resource recruitment and financial information flow
Societies and economies are enhanced through more efficient markets, more jobs, and information access.
Remote societies accessing to legal ,health advice
Work at home convenience
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11. Global Internet Users
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12. Internet users in the World 1995-2010
Jun, 2011
2,110 millions
30.4 %
Internet World Stats
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13. World’s Top 20 internet users(2010)
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14. E-Marketing’s Past: Web 1.0
The Internet started in 1969 as the ARPANET, a network for academic and military use.
Web pages and browsers appeared in 1993.
The first generation of e-business was like a gold rush.
Between 2000 and 2002, more than 500 Internet firms shut down in the U.S.
By Q4 2003, almost 60% of public dot-coms were profitable.
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15. Internet Timeline
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16. The E Drops from E-Marketing
Gartner predicted that the e would drop, making e-business just business and e- marketing just marketing.
Nevertheless, e-business will always have its unique models, concepts, and practices.
Online search
Online data collection
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17. E-BUSINESS JUST BUSINESS?
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18. Web 2.0
Netlingo – The components of Web 2.0 sites (the popularity of blogs and social networking sites) exist because of the ability to offer mini home pages, a gig of storage, your own , music player and photo, video and bookmark sharing…… all of which are initially “first generation” technologies.
Marketers create products that capitalize on the Web 2.0 technologies
Web 1.0 – connected people to computers
Web 2.0 – connected people to computers and other people in social networks
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19. E-Marketing Today: Web 2.0
Web 2.0 technologies connect people with each other through social media, which have created opportunities and challenges for marketers.
Power shift from sellers to buyers.
Consumers trust each other more than companies.
Market and media fragmentation – cable tv, special interest magazines. Now addressing needs of smaller groups.
Online connections are critical
Customers now more sophisticated and thus more demanding
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20. POWER SHIFT FROM COMPANIES TO INDIVIDUALS
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21. Inbound Marketing
Customers have moved. No longer reachable in significant numbers through traditional media.
Customers fed up with interruptions to their daily activities. Television commercial skipping ever growing.
Inbound marketing – customers found online; mainly from social websites. Growth through referrals via social media websites.
Customer engagement – customer participation in activities and making customers more attentive and be for favorable towards the brand.
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22. Acquiring a Customer from Social Media
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23. OTHER OPPORTUNITIES AND CHALLENGES IN WEB 2.0
Internet adoption matures – need to find new ways to get the customers’ attention
Online retail sales reach 4% of all sales – thus competition very keen for online buyers.
Search engines are now reputation engines – now a key part of the online marketers budget.
Content is still king – agile and flexible in responding to consumer generated media. Essential to have relevant and interesting content.
Improved online and offline strategy integration –website, outlets, catalogue
Intellectual capital rules – more critical than financial capital
60% broadband adoption at home – entertainment on demand; self uploading of preferred videos and movies
The long tail – selling small quantities of large no. of products
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24. Wi-Fi at Train Station in France And Everywhere
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25. The Future: Web 3.0
Lines between traditional and new media are blurring.
Appliances are converging and becoming “smart.”
Wireless networking is increasing.
Semantic web will provide worldwide access to data on demand without effort.
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26. Web 3.0
The Semantic Web will utilize a standard definition protocol that will allow users to find information based on its type, such as:
The next available appointment for a doctor.
Details about an upcoming concert.
Menu at the local restaurant.
Represents the next huge advance: providing worldwide access to data on demand without effort.
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27. How do experts characterize Web 3.0?
Semantic web will be achieved and the mobile device will be the primary Internet connection tool by 2020 (Pew study).
Interactive media will cannibalize traditional media (Forrester Research).
Web 3.0 will ultimately be seen as applications which are pieced together…run on any device…are very fast…are distributed virtually (Eric Schmidt of Google).
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28. INTERNET-TIME ANALOGY
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