2. Internet Marketing

3. A new tool or a new paradigm? The internet is changing the practice of marketing but the fundamental principles of marketing remain the same.

4. Segmentation Demographic –the demographics of internet access and usage now mirror the population as a whole. –Silver surfers Lifestyle –the internet allows targeting by activity, interest or beliefs Behavioural –websites attract potential customers with high involvement, actively seeking information

5. Positioning The way the product/brand is defined by consumers on important attributes (Kotler) the place the product occupies in the consumer’s mind relative to competing products implanting the unique benefits and differentiation in customers’ minds Web sites must signal this positioning

6. Integrated Marketing Communications What part does the internet play in the overall adoption process? AIDA? How does it integrate with the promotional tools? –Advertising? –Sales promotion? –PR –direct marketing

7. The uses of cyberspace Angehrn 1997 Virtual Information SpaceVirtual Communication Space Virtual Transaction SpaceVirtual Distribution Space Web pages Product info Price Availability E-commerce Orders Payments Downloads File transfers Fulfillment Order-tracking Advertising Email Message boards

8. Search engine marketing Keyword analysis –what words do potential customers use? –optimise the site design to ensure high listing Paid placement Pay per click –bidding against competitors for highest listing Domain names see www.webgravity.co.uk

9. Web site design www.insites.be in Pelsmacker Content productivity –relevant, up-to-date, meeting needs Browse efficiency –ease of navigation Design efficiency –interpreted and understood correctly

10. Exchange level –interactivity Emotional attractiveness –entertainment value

11. Relationships on-line Long-term relationships –retention, increased life-time customer value personalised web-site (cookies) interactivity, feedback targeted direct marketing on-line communities - increased brand loyalty

12. On-line communities e.g. user forum, message board Customer to customer communication added value for the website user Viral marketing feedback PR vehicle not an advertising medium